Delmonico Agency expects 20 percent revenue growth after acquisition

SYRACUSE — Fresh off an acquisition of another local, family owned insurance agency, the Delmonico Insurance Agency is projecting 20 percent revenue growth in 2013.

The agency, which is located at 901 Lodi St. in Syracuse and also operates an office at 39 Jordan St. in Skaneateles, generated revenue growth of 8 percent in 2012

On March 5, the Delmonico Insurance Agency closed on its acquisition of Betts, Strickland & Munro, Inc., an agency previously located in the University Building at 120 E. Washington St. in Syracuse.

The acquisition brought the Delmonico agency three additional employees to boost its total to 40 full-time employees, says J.D. Delmonico, who owns the business with his father, Joseph (Jed) Delmonico. It plans to add between three and five new employees before the end of the year, he adds.

The agencies “mirrored up perfectly” in their insurance-coverage offerings and the acquisition won’t result in any “new products,” says J.D. Delmonico.

J.D. Delmonico is the “minority owner” of his agency, according to Jed Delmonico, declining to disclose what percentage each man owns. 

The Betts, Strickland & Munro agency brings “a deeper exposure” to the region as the newly-acquired agency dates back to the beginning of the 20th century, according to the younger Delmonico.

“A lot of the customers that we’ve been talking to have been doing business there for generations,” J.D. Delmonico says.

The Betts, Strickland & Munro agency approached the Delmonico agency following a recommendation from Richard Poppa, president and CEO of the Independent Insurance Agents & Brokers of New York, Inc. (IIABNY), according to Jed Delmonico.

“We’re … one of the companies he had recommended for them to approach,” Jed Delmonico says.

The Betts, Strickland, & Munro agency sought the help of IIABNY following the death of agency president William Strickland last December, according to the Delmonicos.

The Delmonico agency learned about the situation in January, and it didn’t take long to finalize the transaction.

“We closed the deal … within 45 days of first being approached,” J.D. Delmonico says.

The Delmonico agency used its own cash to fund the acquisition but declined to disclose the price or other financial details. In the transaction, the Delmonico agency acquired the Betts-Strickland customer list in addition to its three employees.

The employees included Eric Strickland, who J.D. Delmonico referred to as an “officer” of the Betts, Strickland agency, but declined to elaborate further.

Hiscock & Barclay LLP of Syracuse represented the Delmonico Insurance Agency in the transaction. Eric Strickland served as the contact for the Betts, Strickland Agency, during the transaction discussion, says Ryan Trombino, director of operations for the Delmonico Insurance Agency.

Trombino says he’s not aware of any legal representation the Betts, Strickland Agency may have had in the process.

Regarding his agency’s growth plans, Trombino says his firm needs more people to handle the increasing number of accounts it’s getting.

“Our number of clients is increasing … so we’re trying to get more account managers to service those accounts,” says Trombino.

The agency declined to disclose a specific number of clients it services, but indicated commercial clients comprise 60 percent of its customer base and 40 percent carry personal lines of insurance.

The Delmonico Insurance Agency operates in a 4,000-square-foot space at 901 Lodi St. and leases the space from Joseph Falcone. The agency also operates in a 2,000-square-foot space in Skaneateles, which it leases from Charles Richard.

As an independent agent, the Delmonico agency offers about 13 commercial insurance lines that include automobile, bonds, liability, professional malpractice, and workers’ compensation, according to its website. It also offers family insurance lines, including automobile, homeowner, flood, motorcycle, and rental-property protection.

“We represent the customer to the insurance company,” J.D. Delmonico says, noting the agency offers lines of insurance from more than 30 national carriers. They include Allstate, Farmers, the Hanover Insurance Group, Progressive, and Travelers, according to its website.

Contact Reinhardt at ereinhardt@cnybj.com

SYRACUSE — Fresh off an acquisition of another local, family owned insurance agency, the Delmonico Insurance Agency is projecting 20 percent revenue growth in 2013.

The agency, which is located at 901 Lodi St. in Syracuse and also operates an office at 39 Jordan St. in Skaneateles, generated revenue growth of 8 percent in 2012

On March 5, the Delmonico Insurance Agency closed on its acquisition of Betts, Strickland & Munro, Inc., an agency previously located in the University Building at 120 E. Washington St. in Syracuse.

The acquisition brought the Delmonico agency three additional employees to boost its total to 40 full-time employees, says J.D. Delmonico, who owns the business with his father, Joseph (Jed) Delmonico. It plans to add between three and five new employees before the end of the year, he adds.

The agencies “mirrored up perfectly” in their insurance-coverage offerings and the acquisition won’t result in any “new products,” says J.D. Delmonico.

J.D. Delmonico is the “minority owner” of his agency, according to Jed Delmonico, declining to disclose what percentage each man owns. 

The Betts, Strickland & Munro agency brings “a deeper exposure” to the region as the newly-acquired agency dates back to the beginning of the 20th century, according to the younger Delmonico.

“A lot of the customers that we’ve been talking to have been doing business there for generations,” J.D. Delmonico says.

The Betts, Strickland & Munro agency approached the Delmonico agency following a recommendation from Richard Poppa, president and CEO of the Independent Insurance Agents & Brokers of New York, Inc. (IIABNY), according to Jed Delmonico.

“We’re … one of the companies he had recommended for them to approach,” Jed Delmonico says.

The Betts, Strickland, & Munro agency sought the help of IIABNY following the death of agency president William Strickland last December, according to the Delmonicos.

The Delmonico agency learned about the situation in January, and it didn’t take long to finalize the transaction.

“We closed the deal … within 45 days of first being approached,” J.D. Delmonico says.

The Delmonico agency used its own cash to fund the acquisition but declined to disclose the price or other financial details. In the transaction, the Delmonico agency acquired the Betts-Strickland customer list in addition to its three employees.

The employees included Eric Strickland, who J.D. Delmonico referred to as an “officer” of the Betts, Strickland agency, but declined to elaborate further.

Hiscock & Barclay LLP of Syracuse represented the Delmonico Insurance Agency in the transaction. Eric Strickland served as the contact for the Betts, Strickland Agency, during the transaction discussion, says Ryan Trombino, director of operations for the Delmonico Insurance Agency.

Trombino says he’s not aware of any legal representation the Betts, Strickland Agency may have had in the process.

Regarding his agency’s growth plans, Trombino says his firm needs more people to handle the increasing number of accounts it’s getting.

“Our number of clients is increasing … so we’re trying to get more account managers to service those accounts,” says Trombino.

The agency declined to disclose a specific number of clients it services, but indicated commercial clients comprise 60 percent of its customer base and 40 percent carry personal lines of insurance.

The Delmonico Insurance Agency operates in a 4,000-square-foot space at 901 Lodi St. and leases the space from Joseph Falcone. The agency also operates in a 2,000-square-foot space in Skaneateles, which it leases from Charles Richard.

As an independent agent, the Delmonico agency offers about 13 commercial insurance lines that include automobile, bonds, liability, professional malpractice, and workers’ compensation, according to its website. It also offers family insurance lines, including automobile, homeowner, flood, motorcycle, and rental-property protection.

“We represent the customer to the insurance company,” J.D. Delmonico says, noting the agency offers lines of insurance from more than 30 national carriers. They include Allstate, Farmers, the Hanover Insurance Group, Progressive, and Travelers, according to its website.

Contact Reinhardt at ereinhardt@cnybj.com