What is an independent insurance agency worth
Seven questions and the owner's own figures give an estimated range of value, computed from published sale data, with what moves it. At no cost, and held in confidence.
The market data behind it
The estimate uses published sale data, cited below. Where a trade has a published band of its own, the estimate uses it; every other business uses the multiples reported by size of sale.
By trade
Independent insurance agency
2.5 to 4.0 times owner earnings
Peak Business Valuation, independent insurance agency pages updated March and May 2026.
By size of sale, all industries
Sales under half a million dollars
2.0 times owner earnings
Half a million to one million dollars
2.8 times owner earnings
One to two million dollars
3.1 times owner earnings
Two to five million dollars
4.0 times EBITDA
Five to fifty million dollars
5.8 times EBITDA
IBBA and M&A Source, Market Pulse, Q2 2026 highlights (published August 2026). The estimate takes the reported multiple half a turn either side and positions the business within that band by its answers; that band is the firm's method, not a published figure.
Questions owners ask
How is an independent insurance agency valued?
Most owner-operated businesses sell on a multiple of what they earn for their owner. Published sale data for independent insurance agency puts owner-operated businesses at 2.5 to 4.0 times owner earnings. Source: Peak Business Valuation, independent insurance agency pages updated March and May 2026. Where in the range a business sits depends on how much of its revenue recurs, how much rests on one customer, and how much rests on the owner.
What are owner earnings?
Owner earnings, or seller's discretionary earnings (SDE), are the profit before tax plus the owner's own salary and the personal expenses the business pays. Larger companies with a management team are usually priced on EBITDA instead, which is earnings after paying a manager to do the owner's job.
What moves the multiple?
Revenue that recurs under contract, no single customer carrying the business, a team that runs the daily work without the owner, and records that prove the earnings. Each is work that can be done before a sale, and each is priced by a buyer.
Is the estimate an appraisal?
No. It is a starting point from published market data and the figures given, not an appraisal, a fairness opinion or an offer. What a buyer pays turns on the records behind the figures and on how many buyers compete.
What happens after the estimate?
The estimate appears on screen and Wild Rose Advisors keeps a copy with the answers, in confidence. An owner who wants to test it against the real figures can book a short call; nothing is owed for talking. The firm can also be reached at (877) 549-4685.