One of Conrad Insurance’s primary strategies for growth is insurance agency acquisitions. We are currently interested in small agencies for sale that have up to $1 million in revenue that are located in Pennsylvania. This is a growth initiative that is based on our resilient business platform.
All insurance agency acquisitions will be competitively organized to do the following:
If you are thinking about selling your insurance agency, you have come to the right place. Here at Conrad Insurance, we will work with small agencies that are interested in making the rewarding conversion from being an agency owner. We will work with you in a manner that is completely confidential and offer you a price that meets your specific needs.
For the past few years, there are more and more insurance agencies for sale on the market. This is primarily due to the recent rise of the federal capital gains tax that went into effect in 2011. However, there are a number of additional factors that has more insurance agents looking to sell, such as:
All of these things are major matters of concern for the insurance agency owners of today. There are many factor in play these days, including the varying consumer, the altering regulatory environment and the shifting carrier perceptions on the way that they sell and market, which has an effect on both captive as well as independent agents.
This means that there is not any capability for the insurance agency owners of today to just sit back and relax. The end result is simply a company that decreases in value each and every year, as opposed to a business that sustains and increases in value over time.
If you are the owner of an insurance agency that is not having any success with an annual revenue increase of at least ten percent or more, your agency is losing its value. If you are not able to follow a strategy for insurance agency acquisitions that allows you to add new locations, purchase the book of a producer or combine forces with the competition, then your agency is decreasing in value. If the overhead cost of your insurance agency is going up, but your revenue is either staying the same or going down, then your insurance agency is losing value.
As the owner of an insurance agency, it is incredibly important for you to understand that you have a company asset of some value. Just like owning stock shares, you will have the best possible price when that asset reaches its peak, not when it is on the decline.
Insurance agents looking to sell should not wait until it is too late. Many agency owners make the grave mistake of saying that they are going to wait until they get the commission revenue back up to a certain amount before they sell. However, in all reality, if you had the capability of keeping your revenue at that amount then it would already be there.
The solution to saving face and maintaining some revenue is to sell, partner or consider remote work agents. For insurance agents looking to partner, sell or grow their agencies and are interested in talking over acquisition, please contact Conrad Insurance for a confidential discussion.