Premium Allstate Business – Big Book Big Potential

Santa Monica, CA (Los Angeles County)

Seller Financing: Available if the price and deal structure is right

Zip Code: 90405

Asking Price: $2,200,000

Cash Flow: $ 583,253

Gross Revenue: $878,613

EBITDA: N/A

FF&E: N/A

Inventory: N/A

Established: 2005

Employees: 3

Business Description:

This successful agency was built on the back of a family-owned Allstate book that thrived for four decades before its purchase in 2005. Today, this three-book agency is an 11-time Honor Ring Award winner (for distinctive achievement) with 4,617 policies in force. Historically, Allstate agency’s value has always been higher than independent agencies. The strong brand name and customer service commitment provides considerably higher retention rates for its agents. Referrals and cross-selling to the existing books of business are key revenue drivers. Customer referrals have an 85% closing ratio while internet leads are 25%. The operation is quite efficient, and two valued and experienced employees are likely to stay, fast-tracking the Buyer’s transition and road to long-term success. NDA {SUBMIT BELOW} is required to secure comprehensive Confidential Information Memorandum (CIM) crafted by ProNova Partners.

Facilities: The office is on the upper level of a small retail/office complex. Below, luxury retailers face a busy street. Rent is $3,700 per month plus a 10% CAM rate. The lease has 2.5 years left.

Competition: Allstate corporate does a lot of advertising, leads primary marketing efforts, and provides marketing material to agencies. In so, it has developed a strong brand name that is associated with strong customer service and peace of mind. It also provides proprietary products not available on other Property and Casualty (P&C) policies that offer agents more sales opportunity. For instance, the new Milewise Auto Policy is available in California and only12 other states but not by any other major carrier.

Growth & Expansion: Referrals from mortgage brokers and realtors and development of financial services and target Uber and Lyft drivers and people renting portions of their homes through Air B&B/VRBO as Allstate has specialized products through its expanded market partners for those customers that other carriers aren’t offering.

Financing: Available if the price and deal structure is right for a highly qualified buyer with a large down payment.

Support & Training: Four weeks at 20 hours per week.

Reason for Selling: To concentrate on another insurance specialty in a different area.