Insurance broker plans to make four acquisitions over the next five years
Daulby Read has made its first acquisition and is set to open a new branch in Abergele in North Wales in the New Year.
Following a purchase of J Carr & Co’s general insurance business, the Chester-based insurance broker will also operate from its Abergele office from 2 January with four members of staff.
Managing director Peter Goddard told Insurance Times the Abergele office will focus on personal and SME lines with a view to expanding the commercial arm in the future.
Daulby Read will still offer larger commercial products for its clients in North Wales from its 13-strong Chester office until then.
Goddard said the broker will look to make four more small community based brokers acquisitions over the next five years.
“North Wales was an obvious area because we have lots of clients there. The local market has been very static for some time and we want to do something different out there,” Goddard added.
“We have been very good in Chester at celebrating the fact that we are a very good community broker. Basically, we want to take that platform in Chester and put that out at another office in North Wales or any other office we find.
“Our strategy is about looking after the community and getting those guys that haven’t sold out to the big boys because they are worried about their clients’ local service.”
The broker expects the acquisition to increase the amount of business it places by an extra £450,000-500,000 from the current £3.3m, and that it will boost its brokerage by up to 20% to around £700,000.
And with plans for further acquisitions and mergers over the next five years, the broker hopes to increase the amount of business it places to £10m.
Goddard said being a Broker Network member gave the firm greater market access.
He added: “We are really excited about the acquisition. It is our first and hopefully it will be one of many. We are looking forward to taking our branding and putting it somewhere else.
“The whole point of a community broker is someone who is providing advice and we want to put our brokerage at the heart of the community.”