agency valuation

Articles tagged with agency valuation


A New Look At Insurance Agency Valuation

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A NEW LOOK AT INSURANCE AGENCY VALUATION by Carol Hammes Its becoming increasingly important for agents to recognize that having a complete, professionally prepared appraisal won&...

Agency Valuation Issues

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AGENCY VALUATION ISSUES by Roy Phillips More and more banks are entering the insurance industry by buying agencies, leading owners to ponder how to properly determine their agency&...

Agency Valuation With A Loss Of Market

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AGENCY VALUATION WITH A LOSS OF MARKET by the IAABA Virtual Faculty Two things are going on in the insurance marketplace. First, agencies are continuing to be bought and sold. Second,...

Agency Valuation: Have The Fundamentals Changed?

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AGENCY VALUATION: HAVE THE FUNDAMENTALS CHANGED? by Bill Schoeffler Which comes first, the chicken or the egg? Theres a general perception that agency value has been increasi...

Agency Valuation: What You Need To Know

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AGENCY VALUATION: WHAT YOU NEED TO KNOW by Larry Morrison Before putting a value on your agency, read this article. INTRODUCTION Every agency owner must learn certain basics abou...

Establishing Agency Value

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ESTABLISHING AGENCY VALUE by Chris Burand Why nine out of ten agency acquisitions end up losing money. If youre considering buying, merg...

Get The Right Valuation In A Buy-Sell Transaction

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GET THE RIGHT VALUATION IN A BUY-SELL TRANSACTION by Chris Burand Valuing an agency can be a highly complex process. Who will read the valuation report? Unl...

Trust Accounts: Do they really matter?

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An agency valuation I completed recently came in considerably lower than the agency owners expected. The reason? Their balance sheet was very poor and they were materially out of trust: Meaning that their ratio of Accounts Receivable + Cash to Accounts Payable was less than 1. The agency principals were quite upset that I would decrease their value for this reason. They retorted, “We always pay our companies on time, our companies have never been hurt by this, our customers have never been hurt by this, and our CPA has never found fault with this practice. You're the only one who thinks it matters!”

Valuing Insurance Agencies

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VALUING INSURANCE AGENCIES by Al Diamond One Time, One and One-Half Times, Two Times. Multiple of Commissions, Multiple of Revenues, Multiple of Earnings. In this document, Al Diamond t...

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