Leaving the current economic crisis to one side, there is more pressure on Insurance Brokers and IFA’s than ever to sell their businesses as it it reported that books of insurance business are exchanging hands for up to four times their value.
Anne Malone – Insurance Broker Mergers and Acquisitions Director at Insuretec Ltd. who have been introducing buyers and sellers for over fifteen years, told Insuranceblog.
“We are seeing books of business and complete brokerages selling at up to four times their value.
This is double what you could expect if your were selling your brokerage a year ago!
There is a very strong demand for insurance brokers in the Home Counties. Particularly good books of medium sized business could go for even more as the Buyers compete.
Recently we have also experienced seven and eight figure amounts being paid for established online insurance businesses as the Buyers try to cover every distribution channel”
The credit crunch appears to have had little effect upon the voracity of buyers to consume their smaller counterparts – if anything the opposite effect is seen.
There are some very large warchests out there as the larger businesses grow through acquisition.
Perhaps unlike houses – Now is the time to sell your business
In racing parlance – the going has never been so good!