16 / 204
2013 Best
Practices Study
Agencies
with
Revenues
Under
$1,250,000
16
Analysis of Agencies with Revenues Under $1,250,000
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%
–10%
20%
30%
40%
50%
60%
Average
+25% Profit
+25% Growth
5.5% 5.6% 5.7%
17.4%
13.6%
19.5%
52.2%
43.2%
47.1%
1.7%
–1.0%
1.9%
Average
+25% Profit
+25% Growth
Administrative Expenses
Amortization of Intangibles
0.3%
-2.3%
1.0%
Officer Life
0.2%
0.4%
0.2%
Interest
1.2%
0.9%
0.5%
Other
0.1%
0.0%
0.2%
Total Administrative
1.7%
-1.0%
1.9%
Total Expenses
76.9%
61.4%
74.1%
Pre-Tax Profit (Loss)
23.1%
38.6%
25.9%
EBITDA
25.8%
38.9%
28.9%
Average
+25% Profit
+25% Growth
Expense Growth Over Prior Year
Compensation Expense
6.1%
-0.2%
12.0%
Selling Expense
2.4%
5.5%
2.9%
Operating Expense
2.8%
-0.2%
8.8%
Administrative Expense
-1.2%
*
*
Expenses
(as % of Net Revenues) —
continued
Expenses
(as % of Net Revenues)
*Insufficient Data