After nearly a decade of building a successful health and Medicare-focused agency, a Midwest insurance agency owner had grown tired of wearing all the hats. Despite healthy revenue growth, expanding into new states, and earning national recognition for Medicare performance, he found himself wondering: Is it time to stop going it alone?
His agency was doing well just shy of $300,000 in annual revenue with a lean, profitable model. But as operational demands increased and the next phase of growth required heavier infrastructure, the owner began exploring what a strategic partner could bring to the table.
That’s where Equity Expansion stepped in.
Location: Midwest (operating in Iowa, Missouri, Kansas, California, and beyond)
Annual Revenue (2024): ~$285,000
Adjusted Profit (2024): ~$100,000–$110,000
Team: 16 independent 1099 agents, 4 physical offices
Focus Areas: Health insurance, Medicare Advantage, and mid-size group benefits
After growing steadily post-COVID, the agency built a national footprint, with particularly strong performance in California, Texas, and the Sunbelt states. But while expansion had gone well, operational complexity was increasing:
The owner shared, “I’ve built my personal book. Now I want to help other agents build theirs. That’s where I see my next few years.”
Two years after a prior conversation with Equity Expansion, the owner decided to revisit the idea of a strategic partner. The tipping points:
He explained, “We can weather the storm alone but it would be a lot easier to have a partner in this.”
Equity Expansion offered a hands-on, zero-obligation process to help the agency assess whether partnership made financial and strategic sense. The two main support paths included:
1. Pre-Partner Financial Modeling (No Cost, No Commitment)
Equity Expansion’s Director of Finance worked line by line with the owner to:
Key Insight: Every $1 in reduced expenses can increase agency value by ~$8. By streamlining operations, the agency had already increased adjusted profit by $20K–$30K YoY from 2023 to 2024.
2. Access to a High-Performing Partner Network
Equity Expansion maintains relationships with vetted strategic buyers those offering:
Rather than push a sale, Equity Expansion positioned itself as a behind-the-scenes partner helping the owner assess whether a deal in 2025–2026 would align with his culture, goals, and financial targets.
A Cultural Fit That Matters
The owner wasn’t looking to sell out. He was looking for the right fit, someone who could help take his agency to $500K–$750K in annual revenue by the end of the decade, while allowing him to mentor agents and focus on high-level strategy.
His criteria for a partner were clear:
As he put it: “I’m not bored but I’m ready for the next part of this journey.”
Outcome & Next Steps
The agency is currently working with Equity Expansion under NDA to:
If a partnership is right, the owner could:
And if it’s not the right time? Equity Expansion remains a behind-the-scenes advisor, helping position the agency for a stronger future transaction.
Is It Time to Explore Your Options?
If you’re an insurance agency owner generating $500K–$2M in revenue and feeling the weight of operations or just wondering what your next chapter looks like it may be time to explore a strategic partnership.
Equity Expansion can help you:
Schedule a confidential consultation today.
No pressure, no obligation just smart insight from experts who get it.