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Is a KAI strategic acquisition right for my agency?

By June 23, 2020Blog

A partnership with KAI offers a strong foundation for growth and continued independence for insurance agencies seeking strategic acquisition. But it may not fit every owner’s goals in selling their insurance agency. You should consider the following factors when reviewing KAI as a buying partner.

Business mix.

KAI seeks strategic acquisition with independent insurance agencies with a strong, balanced mix of personal, commercial, and benefits lines of business. These agencies benefit the most from our business model that offers consultative expertise in enhancing this book through value-added services such as captives, surety, risk management, and group health/worksite benefits.

Ownership mindset.

We seek agency owners that want to remain involved in managing their agency and require agency owners remain at the helm for a period of at least 5 years post sale. This helps position the agency for successful perpetuation transition as we work with the team to solidify future business and marketing strategies.

Perpetuation strategy.

Likewise, we desire that an agency has a named perpetuation in place to help transition ownership and set the pace for mentorship and sharing of best practices crucial to continued operational success. The benefit of a partnership with KAI is that we can help alleviate the financial burden future owners would need to assume the risk of owning an agency, especially if your ownership strategy involves a select few staff members.

Strong desire for growth.

We desire agencies with $3 million or more in revenue with an aggressive growth strategy. A key component of our model helps you build solid producer recruitment and retention strategies with educational opportunities that enable producers to sell and maintain a strong, profitable book of high-value business.

If you are an independent insurance agency considering selling in the next 1-5 years and meet the above criteria, fill out the form in the Join Us section of our website and discover what a KAI partnership could mean for sustained growth and vitality of the investment you worked tirelessly to build.