In my last post, I discussed three common mistakes that buyers make when acquiring an agency: (1) letting emotions cloud your judgment, (2) getting misled with incomplete information and (3) being influenced by transaction advisors. All three deal with collecting [...]
Everyone in the industry has heard stories of buyers succeeding in rolling up agencies and selling for huge multiples. I bet everyone has also heard the war stories of failed acquisitions – employees and producers jumping ship, carriers terminating contracts, [...]
In my post from October, I discussed debt coverage ratios and EBITDA multiples. Now let’s talk about projecting cash flow. I’m shocked how many buyers make offers without figuring out what the cash flow will be with financing. I’m not alone either. I’ve spoken with many loan officers that deal with the same issue. This article is long overdue.