2014 Best Practices Study
7.5%
5%
5.9%
4.7%
4.5%
4.9%
4.5%
3.5%
0%
2007
2008
2009
2010
2011
2012
2013
2014
Analysis of Agencies with Revenues Over $25,000,000
Pro Forma EBITDA
EBITDA Margin
Operating Margin
Key Benchmarks
Employee Productivity
Profile
Revenues
Average
+25% Profit
+25% Growth
Total Number of Employees (FTE)
275.8
241.8
282.8
Expenses
Revenue Per Employee
$203,873 $131,686 $72,187
$218,807 $127,274 $91,533
$210,296 $135,612 $74,684
Profitability Employee Overview Producer Info
7-Productivity
Compensation Per Employee
Spread Per Employee
Average
+25% Profit
+25% Growth
$250K
Service Staff Info
$200K
Technology
Insurance Carriers
$150K
$218,807
$210,296
Appendix
$203,873
$100K
$135,612
$131,686
$50K
$127,274
$91,533
$74,684
$72,187
$0
Revenue Per Employee Compensation Per Employee Spread Per Employee
Average
+25% Profit
+25% Growth
Average number of Agency Employees that work remotely
10.4
7.7
*
% of Agencies with Remote Workers
41.4%
42.9%
14.3%
*Insufficient Data
Administrative Staff Accounting & HR Department Info
8-How-Successful-Prod-Spent-Time
Average
Top 25%
Accounting Department Total Number of Employees in Accounting Department
10.5 28.0
High Low
Most Successful Commercial P&C Producer
4.0 Most Successful L&H Producer
2014 Best Practices Study
Revenue per Accounting Employee Total Payroll for Accounting Employees Accounting Payroll as % of Net Revenue HR Department Total Number of Employees in HR Department Soliciting New Business 30.4% Mgmt/Personnel/ Agency Admin. 11.4%
$5,851,191
$8,490,813
Mgmt/Personnel/ Agency Admin. 11.1%
$687,670
Soliciting New Business 34.7%
1.2%
Agencies with Revenues Over $25,000,000
3.2 9.0 1.0
Personal Training/
Personal Training/
High Low
Education/ Prof. Dev. 5.9%
Education/ Prof. Dev. 8.2%
Servicing Existing Accounts 46.1%
Servicing Existing Accounts 52.4%
Revenue per HR Employee Total Payroll for HR Employees HR Payroll as % of Net Revenue
$20,788,247
$34,281,300
147
$240,620
0.4%
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