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.
With so many agency acquisitions taking place these days, its important to understand the different types of agency lenders if you hope to have a chance at buying an agency. Most acquisitions of property and casualty insurance agencies today involve [...]