Sica Fletcher

APRIL 11, 2024

This article examines the most common types of insurance agency sellers, which we break down into two distinct categories: the owners - agency CEOs and founders - and the partners - professionals in charge of overseeing a sale to ensure the best outcome. Financial Need. Urgent financial requirements (e.g.,

Insurance 52

Insurance Advisory M&A Investment Banking 52

Mergers and Inquisitions

MAY 3, 2023

To be fair, in some industries – like commercial banks and insurance within FIG – the DDM is a core valuation methodology. And Equity Real Estate Investment Trusts (REITs) must distribute almost all their Net Income, so the DDM can work well in REIT valuations. But outside of those, its status is murkier.

Valuation 64

Valuation DCF Debt Financial Models 64

Sica Fletcher

JULY 23, 2024

In it, we provide readers with a quick and simple overview of the current insurance brokerage M&A market , after which we discuss several macroeconomic and industry-specific factors that could drastically affect transactions in the next six months. The market is already highly competitive, but it’s also limited to what buyers can afford.

M&A 52

M&A Insurance S&P Valuation 52

RKJ Partners

AUGUST 6, 2017

Yet, taking this equity investment means accepting painful ownership dilution due to the low valuations given to companies at this early stage. From a financial planning point of view, venture loans can be an attractive insurance policy. So, what's the alternative?

Debt 40

Debt Capital Raising Capital Equities 40

Sica Fletcher

MARCH 26, 2020

Many of our clients have asked us about the impact on insurance brokerage M&A of the pandemic and the resultant containment efforts. The Largest Strategic Players Tell Us Full Steam Ahead – The major strategic acquirors have informed us that they plan to continue to aggressively pursue acquisitions of insurance brokers.

Insurance 52

Insurance M&A Broker Economics 52

Focus Investment Banking

MARCH 10, 2025

Optimize Working Capital (One Year Ahead) What It Is: Net Working Capital (NWC) is Current assets minus current liabilities (A/R + Inventory A/P + Accrued Expenses), excluding cash, which you keep (in a typical cash-free, debt-free transaction). These are called addbacks, and are extremely important to valuation.

Investment 52

Investment Book-building Sale Business 52

How2Exit

MARCH 12, 2023

Concept 3: Document and insure Ownership One of the most important elements of planning for sale is to document and insure ownership. In addition to documenting ownership, it is also important to insure ownership. This means that it is important to have a clear understanding of the business and the contracts that are in place.

M&A 130

M&A Business Insurance Mergers and Acquisitions 130

Sica Fletcher

JULY 1, 2020

Update on Private Equity and Insurance Brokerages In our ,, previous article , we reported that the COVID-19 pandemic had not diminished the pace of mergers and acquisitions transactions we are seeing in the insurance agency and brokerage sector. The number of transactions we are working on has not abated. The question is, “Why?”.

Private Equity 52

Private Equity Insurance Debt Equities 52

Sica Fletcher

SEPTEMBER 25, 2019

In recent posts, we outlined the background of and reasons for the dramatic upsurge of private equity investment in the insurance brokerage industry , how the combination of private equity and low interest rates have dramatically raised valuations , and how private equity sponsored agencies increasingly dominate the insurance agency business.

Private Equity 52

Private Equity Equities Insurance Capital 52

Sica Fletcher

JUNE 2, 2020

Insurance Agency & Brokerage M&A Update Many of our clients have been asking us “now that the first phase of the coronavirus pandemic seems to be ending, where do things stand with insurance brokerage M&A?” As a result, they had and continue to have large pools of equity and debt capital to deploy in acquisitions.

Insurance 52

Insurance Broker Private Equity M&A 52

Growth Business

JUNE 7, 2023

It’s also the second Black-founded unicorn in the UK, and co-founders and brothers Oliver and Alexander Kent-Braham, along with CTO David Goaté have set their sights on disrupting the insurance industry. And it’s fair to say that for a while some private market valuations became inflated, with predictable consequences for some.

Funds 98

Funds Bank Banking Investment 98

Sun Acquisitions

NOVEMBER 29, 2022

billion valuation by 2030. The first step in positioning your HVAC business for a favorable acquisition is increasing its current valuation. This can be done by paying off as many outstanding debts as possible, renegotiating terms for business loans, securing new clients, and getting your receivables paid up.

Business 52

Business Valuation Broker Book-building 52

Wall Street Mojo

JANUARY 17, 2024

The lender, in this case, who buys the instrument has to pay the premium like that of an insurance policy, in exchange of which the seller of the instrument will compensate for the loss in case of default faced by the buyer of the instrument from their borrower. The payment continues till the maturity of the agreement.

Financial Models 52

Financial Models Financial Modeling Insurance Valuation 52

Wall Street Mojo

JANUARY 17, 2024

Subtract the cash outflows from payments like salaries, dividends, rent, insurance, loan repayment, stock repurchase, taxes, etc. Unlock the art of financial modeling and valuation with a comprehensive course covering McDonald’s forecast methodologies, advanced valuation techniques, and financial statements.

Accountant 98

Accountant Finance Finance Profitability 98

Wall Street Mojo

JANUARY 18, 2024

Some of these are banks, NBFCs, investment companies, brokerage firms, insurance companies and trust corporations. It refers to the possibility that the lender may not receive the debt's principal and an interest component, resulting in interrupted cash flow and increased cost of collection.

Financial Models 52

Financial Models Financial Modeling Debt Financial Institution 52

How2Exit

MARCH 24, 2023

To do this, he obtained his insurance and securities licenses and started helping developers raise money. As the economy trends towards recession, debt becomes more expensive, making it harder for small businesses to sell. Initially, the company was looking for a valuation of ten million dollars.

M&A 130

M&A Business Mergers and Acquisitions Investors 130

Focus Investment Banking

JANUARY 10, 2025

There’s also continued insurance challenges and a whole lot more. That valuation depending on how you look at it, boils down to 193% of sales or about 15 times EBITDA. We’ll talk about valuations when we start to talk about selling a little bit. This is a tough business. It’s a big company.

Private Equity 52

Private Equity Mergers and Acquisitions M&A Equities 52

Mergers and Inquisitions

MARCH 13, 2023

Remember that, normally, a bank issues loans and then finds the liabilities (deposits, debt, etc.) Deposits up to $250K are insured in the U.S., If you’re familiar with bank accounting, valuation, and regulatory capital (i.e., to back them. but less than 10% of accounts at SVB were in that category (an unusually low percentage).

Banking 123

Banking Bank Funds Government 123

Growth Business

NOVEMBER 23, 2023

Despite investment in the first half of 2023 dropping to £4.6bn from 2022’s £10.8bn as a result of rising interest rates, high inflation, a decrease in valuations and geopolitical tensions globally, UK fintechs are still attracting more VC investment than all other EMEA fintechs combined, with a significant percentage coming from US investors.

Investment 111

Investment Funds Capital Business 111

Cooley M&A

SEPTEMBER 16, 2024

Any stock-for-stock combination of two companies with relatively similar valuations is typically referred to as a merger of equals transaction, and even some stock-for-stock acquisitions where the “acquirer” is valued significantly higher than the “target” share some key elements of a merger of equals transaction. 2.

Mergers 52

Mergers Mergers and Acquisitions Valuation Stock 52

How2Exit

MARCH 1, 2023

The client should be familiar with how to work with the professionals, such as lawyers, CPAs, and business valuation companies. Finally, creative insurance products may also be available, but this is an area that requires expert advice and research.

M&A 130

M&A Business Mergers and Acquisitions Negotiation 130

Focus Investment Banking

SEPTEMBER 4, 2024

PE refers to a form of investment where institutional investors—such as pension funds, mutual funds, and insurance companies—as well as wealthy individuals, provide capital to PE firms. Lower borrowing costs will make debt-financed acquisitions more attractive, further driving the consolidation of the industry. to 6x EBITDA on average.

Business 52

Business M&A Private Equity Investors 52

M&A Leadership Council

JUNE 18, 2024

Financial risks: credit risk, liquidity risk, market risk, and valuation issues. Risk Mitigation: Develop strategies to mitigate or manage each identified risk: Implement financial hedging and insurance solutions for financial risks. Key Components of an M&A Risk Assessment 1.

Risk Assessment 52

Risk Assessment M&A Mergers and Acquisitions Risk Management 52

M&A Leadership Council

JUNE 18, 2024

Financial risks: credit risk, liquidity risk, market risk, and valuation issues. Risk Mitigation: Develop strategies to mitigate or manage each identified risk: Implement financial hedging and insurance solutions for financial risks. Key Components of an M&A Risk Assessment 1.

Risk Assessment 40

Risk Assessment M&A Risk Management Mergers and Acquisitions 40

Growth Business

AUGUST 3, 2023

“Be clear on your strategy to investors and the type of investor you are looking for, i.e. investors that can provide strategic input and/or opportunities to help grow and develop the business by way of technology or distribution,” said Todd Davison, MD of Purbeck Personal Guarantee Insurance. Here’s where you could get funding.

Funds 52

Funds Investors Investment Business 52

GillAgency

FEBRUARY 10, 2022

Financial Role You will need to have very clean books, records and financials as well as a bullet-proof valuation of your business – the purchase price. For example, a buyer may not assume a debt or take over a piece of real estate. As such, your accountant or CFO has to be part of the exit team. This is rare but it does happen.

Business 52

Business Sale Broker IT 52

Mergers and Inquisitions

OCTOBER 11, 2023

Appraisal / Valuation Real estate appraisal is the process of valuing a property, which is essential when it is being sold. But it’s also important when a commercial real estate loan refinancing occurs, as the amount of new debt is based on the property’s value. However, you do not necessarily need full-time experience (i.e.,

Private Equity 101

Private Equity Investment Banking Debt Funds 101

Mergers and Inquisitions

NOVEMBER 20, 2024

Reference any deals you’ve worked on that required analysis of these points and talk about how they affected the valuation or client’s decisions (this is more grounded than just saying, “I like high-growth companies!”). Notice how “price” and valuation are not on this list. Q: Why growth equity?

Private Equity 59

Private Equity Equities Capital Valuation 59

Cooley M&A

MARCH 17, 2020

Highlighted below are some of the key areas where we expect to see more nuanced negotiations and heightened scrutiny during the course of an M&A transaction as a result of COVID-19’s impact: Purchase Price Adjustments/Valuation. Insurance coverage. Cybersecurity.

Negotiation 40

Negotiation M&A Stock Insurance 40

Mergers and Inquisitions

MARCH 19, 2025

Matt Stoller has an excellent article summing up the companys problems , but the short version is that it came under severe margin pressure due to pharmaceutical pricing : Health insurance companies in the U.S. Excluding operating leases (which Capital IQ incorrectly adds to Net Debt for U.S. So, what is Sycamores plan?

Private Equity 59

Private Equity Retail Equities Mergers and Acquisitions 59