11 / 186
F.
Parent Corporation
G.
Plans for Future Ownership of Agency
H.
Population Density of Metropolitan Area Where Home Office Is Located
AGENCIES WITH REVENUES UNDER $500,000
10
EXECUTIVE
PERSPECTIVES
PROFILE
REVENUES/
EXPENSES
FINANCIAL
STABILITY
EMPLOYEE
OVERVIEW
PRODUCER
INFO
SERVICE
STAFF
INFO
TECHNOLOGY
INSURANCE
CARRIERS
APPENDIX
Average
+25%
Profit
+25%
Growth
Less than 50,000
62.5%
60.0%
55.6%
50,000 - 250,000
20.8%
23.3%
25.0%
250,000 - 1,000,000
16.7%
16.7%
19.4%
More than 1,000,000
0.0%
0.0%
0.0%
Description of Parent Corporation
Financial Institution
0.0%
National Broker
0.0%
Other
0.0%
Average
% of Participating Agencies
Owned by Another Corporation
0.0%
For more detail on
bank-owned agency
performance, see
Observations of
Bank-Owned
Agencies
on page
175 of this Study.
Average
Sell to Employees/Family
41.7%
Sell to Third Party in 1 to 5 years
8.3%
Sell to Third Party in 6 to 10 years
12.5%
Sell to Third Party in 11+ years
29.2%
Merge with Privately-held Agency
0.0%
Uncertain at this point
8.3%
The significant number of agencies planning to sell to a third party in the
future reflects the difficulty this group has in recruting and developing internal
future owners. It also reflects the desire by many to retain close ownership
until retirement, leaving a third party sale the only option available. Having
made this strategic decision, they now face the challenge of building an organ-
ization that will have value for and be attractive to a third party buyer when the
time comes.