Independent Insurance Agency (P&C) Acquisition & SBA Underwriting Financial Model (Excel + Google Sheets)

Description
A lender-ready acquisition model for buying an independent Property & Casualty insurance agency with an SBA 7(a) loan. Revenue is built from the commission book by line - premium times commission rate for personal and commercial lines, plus fee income - and rolled forward on a retention schedule (renewal equals retention times book plus new business), so the sticky recurring book a buyer is really paying for is explicit.

The differentiator is a dual add-back a broker's sheet skips. First, contingency exclusion: contingent and profit-sharing bonuses are volatile and loss-ratio driven, and lenders will not underwrite them as a repayment source, so they are normalized and excluded from the cash flow that services the debt - pricing on them is overpaying for a volatile bonus. Second, owner-producer replacement: the owner usually produces and services a personal book, so a non-producing buyer must re-hire that role, deducted to reach Adjusted EBITDA. The model shows the TRUE DSCR (1.44x) right next to the NAIVE broker-style DSCR (2.52x).

It structures a 3-part SBA 7(a) capital stack, runs the lender's DSCR gate with a renewal-earnings coverage line (about 235%), and prices the sector's number-one risk - a key producer leaving or retention slipping - in an explicit book-shock down-case DSCR of 0.87x. Includes a 3-way profile toggle, a 5-year P&L, Returns & Exit, a Dashboard with a DSCR bankability grid, and a PDF guide. Honest by design: SDE 31%, Adjusted EBITDA 18%, no IRR headlined. Machine-verified with 62 automated checks across three engines. Works in Excel and Google Sheets - no macros.