Results for "Tip of the Month"
Sellers should avoid huge inventory counts at closing. In a well-managed practice, there should be no more than two weeks supply of inventory. Next-day shipping and computer tracking software eliminate the need to stockpile three months of expensive medicines and… Read More
Be careful when entering into long term equipment leases before putting your practice up for sale. They can lower your cash flow and be a financial burden to your buyer. Tip by Dr. Kurt Liljeberg.
Get 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 start planning… Read More
Use a broker even if you have buyers because some corporations are looking for smaller practices. Using a broker will get you more than the original offer. Tip by Dr. Karl Salzsieder, Mr. Rex Salzsieder and Mr. Nick Elliston
Every day veterinarians sell to corporate buyers with sales prices over one year’s gross, however, using a professional consultant or a TPSG Broker can result in a sales price of $250,000 or more over the original corporate offer. This can… Read More
When selling your practice, the Accounts Receivable (AR) can be an issue. As a rule, AR goes with the practice. If you have a high AR, try to reduce the amount prior to selling your practice in order for a… Read More
If you are considering selling your practice, but leasing the Real Estate to the buyer of the practice, it is important to determine what liens the Mortgage holder (if there is one) has on the practice. It is not uncommon… Read More
Lenders can confidently provide financing for practice goodwill if seller’s have a clean Profit & Loss statement. The best way to achieve a clean Profit & Loss statement is to discontinue paying personal expenses through your business and declare all… Read More
Maintaining growth is vital in getting the best price for your practice. Showing growth on your current P&L minimizes risk for the buyer and allows for better financing. If growth is not maintained during the due diligence phase of closing,… Read More
If you are looking to sell your practice or obtain a practice valuation in early 2019, send all your financial information to your CPA as early as you can so your business tax returns can be completed as soon as… Read More