Broker Tip – Corporate Sales Market Update

Please be aware the corporation bubble has broken and corporate buyers are now lowering their multiples. Corporates are becoming more cautious on deals including deals being contingent on associates continuing to work and signing the corporate employment contract. Corporates may also require the seller to pay (usually out of the purchase price) a large retention bonus to associates to be sure the associates will stay for three years after closing. If your practice is a three doctor practice and doing over $1.5 M revenue per year, you need to step up to the sell or not-to-sell decision before it literally costs you millions in lost sale price.

Tip by Dr. Karl Salzsieder and Mr. Tyler Phillips.

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