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Results for "Seller FAQ"
Broker Tip – Planning for Career Transition or Retirement
Doctors considering a career transition or retirement must plan 3-5 years ahead of time before selling their practice. This will allow time to make any required changes to increase profitability. If practice profitability is 12% EBITDA (earnings before interest, taxes,… Read More
Broker Tip – Planning For Practice Sale
Doctors anticipating a career transition of a future practice sale should plan ahead by requesting a practice valuation at least three years before the sale, so if needed management improvements can be made to get the adequate net cash flow… Read More
Broker Tip – Negotiation Factors
When selling your practice there are several underlying factors to negotiate. Having a professional help you to recognize these factors and facilitate these decisions can greatly affect the bottom line (i.e. equipment leases, real estate sale/lease, stock options, etc.). Experience… Read More
Broker Tip – Show Your Profit!
Show Your Profit! Every dollar you disclose as income on the business tax return is worth four to five dollars in practice value. Show your profit! If the lines are blurry between personal and business expenses, make them transparent. Declare… Read More
Broker Tip – Signing With a Corporate Buyer
Slow down and do not sign a Letter of Intent with a corporate buyer/consolidator until you engage a consultant like TPSG that deals with the consolidators/buyers frequently. Many times, we can better your price and terms by 20-30%. Tip by Dr.… Read More
Broker Tip – Value in Growth
The market is always favorable for practices that have continual growth in value. Maintaining detailed financial records with reports of all income, expenses, and revenues will maximize the value of your practice. Focused care for equipment, office supplies, and patient… Read More
Broker Tip – Plan Ahead For Transition
Practice owners wanting to quit work must plan ahead for their practice transition and/or practice sale a minimum of 3 years before quitting time. Buyers, especially corporate buyers, want sellers to work 2 to 3 years after the sale. If… Read More
Broker Tip – Simple And Clear Tax Returns
Owners anticipating a practice sale within three years need to have simple and clear tax returns, so the buyer does not see taxable income low from non-operating expenses. If low income is because the doctor included the farm, ranch, or… Read More
Broker Tip – Obtain Regular Professional Valuations
Owners should obtain regular valuations. Having a professional valuation done at least every three years lets you know your practice’s current value and what could be done to enhance it. Three years is also a good length of time to… Read More
How Has the COVID-19 Pandemic Affected the Market for Veterinary Practices?
It is obvious that there is a lot of uncertainty right now regarding what the near future will look like, much less what things will look like a year or more down the road. It is also apparent that veterinary… Read More