TheBindBrief
The brief on the business of insurance.

Perpetuation is the industry’s word for the agency outliving its current ownership: transferring control and equity to the next generation of leaders, family, or employees rather than selling to an outside buyer.

Internal perpetuation competes directly with the external M&A market. Every aggregator bid an owner receives is implicitly priced against the internal alternative: slower liquidity, more financing risk, and continuity of the firm’s independence and culture.

A real perpetuation plan is funded and dated: identified successors, an equity transfer schedule, financing that works at current valuations, and a buy-sell agreement that survives a death or departure. An unfunded intention is not a plan.