What are the payoffs of a valuation? Agency owners with a well-prepared and current valuation understand two things very clearly: 1) the real value of their agency; and 2) exactly where they can maximize that value when the change of ownership takes place.
In addition, valuations can play a role in planning and growth. Having a current valuation is not only a good tool for strategic planning (such as succession and continuity) – but can also be used to help secure financing quickly for unexpected opportunities, such as to acquire talent or assets. It's quite common for a valuation to speed up financing by allowing your bank's underwriters to quickly understand and verify the value of the agency. This speed can provide a first-mover advantage over competitors who are not prepared.
In short, a skilled and thorough agency valuation can also assist you in both planning and growing your agency. This planning can be leveraged in increasing both the present and future value of your agency.
Learn more about the Brady Financial Group at bradygrp.com
The views, positions, advice or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of AgencyEquity.com.
