Agency Valuation

Well-Informed Opinion of Value

Take the Guess Work Out of Valuation

An Agency Valuation (or “appraisal” or “assessment”) is the process used to identify, analyze, and summarize all relevant data needed to establish a well informed opinion of value for insurance agencies. Without a Valuation, the value of an agency can only be determined the same way the seminar attendees did it; by guessing. Valuations look at all aspects of an agency the way a buyer of insurance agencies would consider those same aspects, by viewing each one as either a concern that could negatively impact market value, or an opportunity that could positively impact value.

So Why Get a Valuation for Your Agency? Some of The More Common Reasons for Having an Objective Third Party Establish a Value Include

  • Distribution of assets for divorce, trust estate, or other legal matters
  • Documentation for a partner buyout
  • Justification of market value for the IRS or a lending institution
  • Presentation a seller can use to justify an asking price or a buyer can use to justify an offered price
  • Outside opinion for a business transaction between family members
  • Just having an idea of what the agency is worth to decide if it’s a good time to sell or a good time to address the issues that are impacting a lower value

The Valuation Report Uncovers What Can Harm

The last one is something all agency owners can benefit from, even if they aren’t thinking about selling their agency for another ten years. The Valuation report is going to point out all of the things in the agency that will likely hurt the agency’s market value. By understanding those things now, agency owners can start to address them and build more value in their agency long before they are ready to consider selling.

Maximize Your Business’s Value

An Agency Valuation is a great tool that agency owners can use in numerous situations, but most importantly will ultimately help maximize the value of their business asset by understanding all of the factors that are impacting that value.

For more information, call us today at 800-528-1325Contact Us