Sica Fletcher

MARCH 12, 2024

Insurance Agency Valuation: The Core Methods EBITDA An EBITDA ( earnings before interest, taxes, depreciation, and amortization ) valuation is a projection of a company’s profits that also includes the agency’s potential for overall profitability. SaaS, tech), those with very high projected growth rates, or for early-stage agencies.

Valuation 52

Valuation Insurance M&A Profitability 52

Sica Fletcher

MAY 8, 2024

This will give you time to make necessary changes to the operational structure to make your agency more profitable, thus increasing the probability of a higher payout when it goes to market. Beyond proof of sustained profitability when analyzing these documents, look for: Liquid Assets. What Documents Do I Need? Let’s Talk.

Insurance 52

Insurance M&A Valuation Advisory 52

Sica Fletcher

JULY 11, 2024

Insurance Brokerage M&A Multiples, 2024 The following sections offer additional context for the data in the table above by outlining the current insurance brokerage M&A market and providing insights from our team to make selling your brokerage smoother and more profitable once you get started.

Insurance 52

Insurance M&A Debt Equities 52

Sica Fletcher

SEPTEMBER 3, 2024

The table below contains a few recommendations to make your business more profitable. YoY growth, profitability, agency structure) that don’t necessarily result directly from the BoB. Financing options offered by the seller, based on the book's performance over time. A single payment made at the time of closing.

Insurance 52

Insurance Business Valuation M&A 52

Sica Fletcher

OCTOBER 23, 2024

Earnings before Interest, Taxes, Depreciation, and Amortization (EBITDA): The total profits of the company with interest, taxes, depreciation, and amortization added back, showing the future value of the business to prospective buyers. Determine Valuation Methodology There are three traditional valuation methods for RIAs.

Valuation 52

Valuation M&A Insurance Advisory 52

Sica Fletcher

MARCH 14, 2024

EBITDA is preferred for insurance agency valuations as a rule of thumb because it accurately represents the profitability of an agency over time by removing the operational expenses associated with running it. Larger or more profitable firms, however, may be closer to the higher estimates. Learn more at , ,, SicaFletcher.com.

Insurance 52

Insurance Valuation M&A Consulting 52

Sica Fletcher

JULY 1, 2024

boost your profits, cut your bottom line), doing so with a brokerage requires paying special attention to the diversity of your policy portfolio. The grim reality is that approximately 50% of brokerages are not in a good position to sell, either due to their own profit margins or the state of the market.

Insurance 52

Insurance M&A Advisory Funds 52

Sica Fletcher

SEPTEMBER 12, 2024

Changes in the Valuation Process Valuation is the first formal step in the M&A deal process, taking place once the seller has gathered all their preliminary documents and made any necessary changes to the company's internal structure to make it more profitable. Think Long-Term.

Insurance 52

Insurance Valuation M&A S&P 52

Sica Fletcher

APRIL 11, 2024

These are specialists whose job is to sell your agency as it currently exists, though they may advise you on possible paths to make your agency more profitable (and therefore more appealing to buyers). M&A Advisory Firms For the vast majority of insurance agency sellers, you will likely work with an M&A advisory firm.

Insurance 52

Insurance Advisory M&A Investment Banking 52

Sica Fletcher

JULY 2, 2024

Financial: Often referred to as private equity, these buyers are interested in purchasing an insurance agency for the express purpose of making it more profitable and then reselling it further down the road. Sica | Fletcher has been the leading name in the industry for the last decade since our founding in 2014.

Insurance 52

Insurance M&A Private Equity Advisory 52

Sica Fletcher

JULY 31, 2024

These buyers are interested in the financial profitability of their returned investment post-closing, which means they are willing to purchase agencies at a loss now if they see the possibility of profiting from them in the future. The following sections detail our team’s advice for agency owners considering a transaction.

M&A 52

M&A Insurance Debt Equities 52

Mergers and Inquisitions

AUGUST 14, 2024

However, the specific question here is who profits from these features, not which users benefit the most. Again, these are all perfectly viable and profitable businesses, but they don’t have the same margin or valuation profile as true SaaS companies. vs. how much money it makes.

Investment 59

Investment Business Consulting Mergers and Acquisitions 59

Sica Fletcher

MARCH 26, 2024

Buyers want to acquire your agency and intend to sell it after several years for a profit, typically as part of a larger portfolio of purchased companies (e.g., and EBITDA gives buyers a better sense of the agency's future profitability. aggressive competition, regional chains, etc.). Learn more at , ,, SicaFletcher.com.

M&A 52

M&A Insurance Valuation Advisory 52

InvestmentBank.com

OCTOBER 24, 2019

While hospitals can profit from alignment with physician practices, some argue that physician practices also benefit from this relationship given the greater resources and income generating opportunities available to them [17]. Is Healthcare’s M&A Trend Softening? 2014, March 25). 2014, September 12).

Hospitality 40

Hospitality Private Equity Equities Acquisitions 40

Sica Fletcher

JUNE 20, 2024

PE firms rely on leveraged buyouts (LBOs) for the lion's share of their deals, which often involve using the acquired company’s assets as collateral to insure the loan used to purchase it. The following subsections detail those strategies as well as actionable insights and suggestions on what to do in the coming year(s).

Insurance 52

Insurance M&A Valuation Equities 52

InvestmentBank.com

MAY 18, 2021

Most facilities are owned by private sector businesses while other community hospitals are either non-profit, for-profit, or government owned. Government funded programs include Medicare, Medicaid, Children’s Health Insurance Program, and the Veterans Health Administration. Lee & Robert S. Justin Chakma et al.,

Healthcare 40

Healthcare M&A Valuation Hospitality 40