Fictitious Name Registration and/or Incorporation and Legal Review
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Before Signing Franchise Agreement

Estrella Insurance

Table of Content
1. Franchise Snapshot
2. Franchise Overview
3. Performance and Metrics
4. Our Take
5. Additional Resources

1. Franchise Snapshot

Franchise Status
Active
Basic Information
Industry
Business & Professional Services
Category
Accounting & Insurance
Investment Range
$49,950 - $84,000
Total US Locations
201
Franchise Units
201
Founding Year
1980
Started Offering Franchises
2008
Management Capacity
Active Owner Operator
Job Count
7
Prior E2 Investors?
Yes
Prior Visa Franchise Clients?
Yes
Royalty Fee
12%
Marketing Fee
7%
Franchise Fee
$25,000
Headquarters (City, State)
Miami, FL
Square Footage
800 - 1200
Retail Location?
Yes
Agreement Term Length
10 years
Video

In these videos you will learn about the company firsthand. And they will also tell you in a short form about the financing of the enterprise.

*Information presented in these videos may change over time and may not reflect the most current franchise offering. Prospective franchisees should review the latest Franchise Disclosure Document (FDD) and consult directly with the franchisor for updated information.

2. Franchise Overview

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Overview

Estrella Insurance is a property and casualty insurance agency. They have been in the market for over 40 years and provide customers with exceptional service and a professional atmosphere. Estrella has developed a strong relationship withmany major insurance companies, giving theman edge above the competition, allowing ownersto provide quality and optionality to theirclients. In addition, they provide superiormarketing and advertising in both Spanish and English languages, including all media such as TV, radio, outdoor, and most importantly, theinternet, though their most successful marketingis of referrals from satisfied customers.

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Management team / founders

After a very successful career in the Life & Health Insurance Industry, Mr. Nicolas Estrella ventured into almost all lines of insurance, specializing in Auto Insurance. He opened his first Estrella Insurance office in 1980; becoming well known in the South Florida community as, "The Lowest Price in Auto Insurance.”He is still the Vice Present and Director of Estrella and his son Nicholas Estrella Jr. is the CEO and also Director of the company. With more than 150 locations in Florida, California, Arizona, and Texas, Estrella is dedicated to the continued success of franchisees. Franchise owners are assisted with every step prior to opening, as well as with continuous support from the management staff. Extensive training is provided periodically to enhance the owner's ability to maximize the income potential.

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Focus of owner for daily business operations

As an Estrella Insurance operator, the main facets of the business entail: 1. Managing your staff; 2. Attracting and retaining clients; 3. Conducting local marketing efforts to attract and retain clients; 4. Review of financials, business metrics and marketing.

3. Performance & Metrics

Franchisor Fees | Item 6
Franchise Value
Industry Median
All Franchises Median
Royalty Fee
12%
9%
6%
Marketing Fee
7%
2%
2%
Franchise Fee
$25,000
Total Investment Cost | Item 7
Type of Expenditure
Low Amount
High Amount
When due
Initial franchise fee
$25,000
At signing of Franchise Agreement
Construction Leasehold, Improvements, Remodeling and Decorating Costs
$4,000
$12,000
Before Opening
Office Supplies
$500
$1,000
Per Vendor
Equipment, Furnishings, Fixtures and Other Fixed Assets
$4,000
$6,000
Before Opening
Computer
$3,000
$6,000
Per Vendor
Signage
$2,200
$4,500
Per Vendor
Insurance
$3,000
$5,000
Before opening
Training Expenses
$500
$2,500
Before Opening
Security Deposits, Utility Deposits, Business Licenses and Other Prepaid Expenses
$1,500
$4,000
Before Opening
New Agency Package
$250
$500
Before Opening
Fictitious Name Registration and/or Incorporation and Legal Review
$500
$1,000
Before Signing Franchise Agreement
Miscellaneous
$500
$1,500
As Required
Additional Funds
$5,000
$15,000
As incurred
TOTAL
Outlets and Franchisee Information | Item 20
Outlet type
Year
Outlets at the start of the year
Outlets at the end of the year
Net change
N/A
2021
160
171
+11
Franchised
2022
171
185
+14
N/A
2023
185
201
+16
N/A
2021
2
2
0
Company-Owned
2022
2
0
-2
N/A
2023
0
0
0
N/A
2021
162
173
+11
Total Outlets
2022
173
185
+12
N/A
2023
185
201
+16
Net Unit Growth (Recent year)
Net Unit Growth (Recent 3 years)
Franchise Health Metrics
Growth Rate
1 year / 3 years
Failure Rate
1 year / 3 years
Franchise for Sale Rate
1 year / 3 years
Estrella Insurance
Industry median
Franchise Health Metrics
Franchise Historical Loan Metrics
10 Year Cumulative Charge Offs by $ of Loans
10 Year Cumulative Defaults
3 Year Predicted Default Rate
*Please note the information provided here is sourced from Lumos. We do not guarantee its accuracy or completeness. For verification, please refer to Lumos directly.
Item 19 – Financial Performance Representations
Historical financial performance representations
Franchise Financials
Franchisor company financial information, if disclosed by the franchisor.
Litigation & Bankruptcies
% of Franchisees Undergoing Litigation
0%
% of Franchisees with Completed Litigation
0%
Number of Bankruptcies Disclosed
0
*The litigation information displayed has been reviewed by our Product Development team. Franchises featured on this platform have been thoroughly assessed. However, Visa Franchise strongly recommends consulting with your own legal counsel for further guidance.

4. Our Take

Estrella Insurance provides a great opportunity for an investor looking to be an active owner-operator. The proven success of the business's revenue model and the experience of the ownership team make the investment relatively safe. Additionally, the brand's expansion into new English-speaking and Spanish-speaking locations provides potential investors with a variety of options.