I have an opportunity to purchase a business friend of mine's P&C agency that has been operating for 3 years. It needs new blood to grow it because he has another agency that he is the sole owner of and more focused with. It is turning only a small profit from what we have talked about. My question is what would be the rule of thumb to use when talking about how much I should purchase this agency for? I see a few things that I have read 1-2 times the gross revenue. Is this correct? I have 3 years experience from the captive side and this would be independent which is what I would choose to do. What are some things that I should look for in the books or questions to ask in aquiring this agency? Thank you for any input!