144 / 204
2013 Best
Practices Study
Agencies
with Revenues
Between
$10,000,000 and
$25,000,000
144
Analysis of Agencies with Revenues Between $10,000,000 and $25,000,000
Key Benchmarks
Mgmt. Perspectives
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Service Staff Info
Technology
Insurance Carriers
Appendix
Compensation
Selling
Operating
Administrative
0%
10%
20%
30%
40%
50%
60%
70%
Average
+25% Profit
+25% Growth
3.4% 3.4% 3.9%
13.7% 12.7% 14.1%
66.7%
63.1%
65.7%
3.2% 2.2% 3.3%
Average
+25% Profit
+25% Growth
Administrative Expenses
Amortization of Intangibles
1.4%
0.9%
2.3%
Officer Life
0.3%
0.2%
0.4%
Interest
0.6%
1.0%
0.5%
Other
1.0%
0.1%
0.1%
Total Administrative
3.2%
2.2%
3.3%
Total Expenses
87.0%
81.5%
87.0%
Pre-Tax Profit (Loss)
13.0%
18.5%
13.0%
EBITDA
15.8%
21.2%
16.3%
Average
+25% Profit
+25% Growth
Expense Growth Over Prior Year
Compensation Expense
11.1%
10.8%
17.3%
Selling Expense
7.0%
-0.7%
13.1%
Operating Expense
5.4%
5.5%
6.0%
Administrative Expense
5.9%
14.7%
5.5%
Expenses
(as % of Net Revenues) —
continued
Expenses
(as % of Net Revenues)