48 / 204
2013 Best
Practices Study
Agencies
with Revenues
Between
$1,250,000 and
$2,500,000
48
Analysis of Agencies with Revenues Between $1,250,000 and $2,500,000
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
3.8% 4.0% 4.3%
15.7%
11.7%
16.3%
56.6%
43.2%
56.3%
2.2% 0.9% 2.6%
Average
+25% Profit
+25% Growth
Administrative Expenses
Amortization of Intangibles
1.3%
0.6%
1.9%
Officer Life
0.2%
0.1%
0.1%
Interest
0.5%
0.2%
0.5%
Other
0.1%
0.0%
0.2%
Total Administrative
2.2%
0.9%
2.6%
Total Expenses
78.2%
59.7%
79.5%
Pre-Tax Profit (Loss)
21.8%
40.3%
20.5%
EBITDA
24.6%
41.4%
24.3%
Average
+25% Profit
+25% Growth
Expense Growth Over Prior Year
Compensation Expense
9.0%
16.2%
18.2%
Selling Expense
2.9%
0.6%
-2.0%
Operating Expense
3.0%
0.4%
14.1%
Administrative Expense
-7.9%
-28.7%
5.7%
Expenses
(as % of Net Revenues) —
continued
Expenses
(as % of Net Revenues)