Pro Allstate Agency for Sale in Maryland

[khalidu]

• 6.5M in earned premiums
• 88% retention
• Appointed in 5 states/districts (MD, VA, WV, PA, DC)
• 40+ years in business
• Fully staffed with 6 licensed and trained agents
• Asking $1.1M
• Office is located in Frederick MD, and office has an office manager

If interested, send me an email at [email protected]

 

[Allen Trent]

• 6.5M in earned premiums
• 88% retention
• Appointed in 5 states/districts (MD, VA, WV, PA, DC)
• 40+ years in business
• Fully staffed with 6 licensed and trained agents
• Asking $1.1M
• Office is located in Frederick MD, and office has an office manager

If interested, send me an email at [email protected]

What is the annual new PC premium being written? If less than $800-$850K of new premium per year, the book will be shrinking at that size.

What is the gross revenues--Premiums are not as important if the commission contracts are low on renewals.

 

[scagnt83]

At a 3x multiple of profit, it sounds like you would make $330k a year for running an Allstate agency.

 

[marindependent]

What is the gross revenues--Premiums are not as important if the commission

True

 

[DonP]

According to my friend who oversaw 75 State Farm offices 88% persistency would be extremely high and in todays environment of massive rate increases very unlikely especially for a captive company selling basically 1 product .

 

[tikibarrister]

What is the annual new PC premium being written?

I'm going to take a wild guess that it's $404,000 per year.

 

[Allen Trent]

According to my friend who oversaw 75 State Farm offices 88% persistency would be extremely high and in todays environment of massive rate increases very unlikely especially for a captive company selling basically 1 product .

It is likely average for the style of agencies today buying leads & having a bullpen of solicitors focused on new sales & no one focused on retention, CSRs working remote from home, closed on Fridays, etc

My sons captive agency is 92% retention, but he could flat line in next few years for policies in force because of the quantity needed to write to replace the 8% on 4,500 active policies. First 30 a month written new are just to replace those moving out of state, dying or cancelling.

 

[Allen Trent]

I'm going to take a wild guess that it's $404,000 per year.

$404k isnt new premium. That is his gross new & renewal commissions "revenue". That is super low on $6.5M of premium at an average of 6-7% commission rate.

Cant cover overhead on that. 6 licensed staff/agents would cost $300-$350k a year in payroll/payroll taxes, not to mention location overhead & all the other costs of being in business.

 

[marindependent]

$404k isnt new premium. That is his gross new & renewal commissions "revenue". That is super low on $6.5M of premium at an average of 6-7% commission rate.

Cant cover overhead on that. 6 licensed staff/agents would cost $300-$350k a year in payroll/payroll taxes, not to mention location overhead & all the other costs of being in business.

Sounds like a real deal.

 

[Allen Trent]

Sounds like a real deal.

So easy a caveman can do it