Revenue Analysis

Sparrowshield helps independent insurance agencies automate their underwriting process by solving the PDF problem that traditional insurtech software has not yet solved.

Target Market Segments

Independent Insurance Agencies

The backbone of our initial market strategy focuses on the 40,000 independent insurance agencies across the United States. These small to mid-sized firms often lack advanced digital underwriting tools yet handle a significant portion of property insurance sales.

40,000

Independent Insurance Agencies in the US

Source: View Source

Property Insurance Market

With the U.S. property insurance market valued at $240 billion annually, established insurers are actively seeking ways to modernize their underwriting workflows.

$240B

U.S. Property Insurance Market (Annual)

Source: View Source

Insurtech Sector

The rapidly growing insurtech sector, currently valued at $50 billion in 2024, is expected to reach $67 billion by 2029.

$50B

Global Insurtech Market in 2024

Source: View Source

Market Size Analysis

Serviceable Available Market (SAM)

Focusing specifically on U.S. property insurance underwriting:

60%

Property Insurance Sales Handled by Independent Agencies

Serviceable Obtainable Market (SOM)

Customers, revenues, and market share estimates for Sparrowshield thru 2027:

Assumptions

Customers @ Q1 2025:

Monthly Rev per Customer ($):

SaaS Valuation Multiplier (x)

Growth Rate 1

10%

Growth Rate 2

25%

Growth Rate 3

40%

Growth Rate 4

55%

Estimates

Number of customers over time based on different growth rates, starting with 15 customers

Quarter	10% Growth	25% Growth	40% Growth	55% Growth
Q1 2025	15 customers	15 customers	15 customers	15 customers
Q2 2025	17 customers	19 customers	21 customers	23 customers
Q3 2025	18 customers	23 customers	29 customers	36 customers
Q4 2025	20 customers	29 customers	41 customers	56 customers
Q1 2026	22 customers	37 customers	58 customers	87 customers
Q2 2026	24 customers	46 customers	81 customers	134 customers
Q3 2026	27 customers	57 customers	113 customers	208 customers
Q4 2026	29 customers	72 customers	158 customers	322 customers
Q1 2027	32 customers	89 customers	221 customers	500 customers
Q2 2027	35 customers	112 customers	310 customers	775 customers
Q3 2027	39 customers	140 customers	434 customers	1201 customers
Q4 2027	43 customers	175 customers	607 customers	1861 customers

Revenue Strategy

Pricing Model

We've developed a tiered pricing approach:

💰 Base subscription: $40 per office per month
⚡ Usage-based add-ons for additional features
🏢 Enterprise pricing for larger insurers

$40

Base Subscription (Monthly)

Growth Strategy

Our path to capturing 5% market share of U.S. property insurance agents includes:

1️⃣ Initial focus on independent agencies for rapid adoption
2️⃣ Expansion into mid-sized insurers and insurtech partnerships
3️⃣ Geographic expansion beyond initial high-demand states (CA, FL, TX, NC)