Does This Sound Like a Good Deal?

[amsterp]

I'm in Michigan and am newly licensed in P&C. I am being offered an independent agency who has roughly 500+ customers along with the building and a tenant who has signed a 2-yr lease. Tax records show the building assessed at roughly $77,000. He's offering everything to me on a land contract for 15 yrs for $140,000. First year he is also offering to give me a break at $500/month so I can have extra money to advertise and to get a website up and running and stuff. He does absolutely no advertising what-so-ever right now, just skating along with his current customers. So planning on doing door hangers and mailers. He's already gotten approval to add me as a partner with appointments to his insurance companies he deals with. There are no liens or any mortgages on the building, he owns it outright. Also possibly throwing in his Harley my dad is drooling over!

 

[adamhawley]

I'd say you're close to having enough info, but not there yet.

1) Why does he want to sell it so bad?

2) What do the numbers of the book look like? Premium? Policies per household? Retention? Average time in agency? Profit?

Sorry man. I'd be glad to help, and so would others I'm sure. But, just not enough info...

 

[amsterp]

I'd say you're close to having enough info, but not there yet.

1) Why does he want to sell it so bad?

2) What do the numbers of the book look like? Premium? Policies per household? Retention? Average time in agency? Profit?

Sorry man. I'd be glad to help, and so would others I'm sure. But, just not enough info...

I am going to get the info and let you know!

I do know that he is selling to retire. He had an accident and has a bad back and can barely make it thru the day so he just wants out. Hes a friend of my dads so I'm hoping he wouldn't be screwing me but you never know when it comes to things like this!! Better to be safe than sorry!!

 

[adamhawley]

I'm happy to help. Keep in mind the value of my advice is worth what you're paying for it!

Nevertheless, I have some pretty good experience with business, especially insurance agencies. Happy to help.

Email me directly if you like. [email protected]

 

[xrac]

I am going to get the info and let you know!

I do know that he is selling to retire. He had an accident and has a bad back and can barely make it thru the day so he just wants out. Hes a friend of my dads so I'm hoping he wouldn't be screwing me but you never know when it comes to things like this!! Better to be safe than sorry!!

Get more information but I would say on the surface this sounds attractive.