Before putting your practice up for sale, you need to ask yourself some serious questions. What do you want to do and what goals do you want to achieve after the sale? Why are you choosing to sell now? Is it the right time to sell? If you have made the tough decision to sell, you need to have a plan in place to make the process as smooth as possible.
If you are wondering what your options are for selling your practice, let’s take a look at some of the things you can do.
1) Sell to a Corporation
If you are looking to sell your practice to a corporation, you will need to find a buyer and complete a sale agreement. You will also need to make sure that your practice is in good standing and that all licenses and permits are up to date.
The selling price is often good, but the owner typically has to stay on for a certain amount of time to assist with succession. It can be difficult to suddenly become an employee if you are previously a private-owned business.
2) Merge with Other Practices
Merging with other practices can be a great way to sell your practice. This option can be especially beneficial if you are struggling to find a buyer. Merging with another practice can help to increase your practice’s visibility and attract new patients.
When merging with another practice, you will need to negotiate a sale agreement and make sure that all licenses and permits are up to date. You will also need to decide how the ownership of the practice will be divided among the owners.
3) Sell with 100% Buyout
If you are looking for a quick and easy way to sell your practice, a 100% buyout may be the best option for you. With a 100% buyout, the buyer will purchase your entire practice, including all of your patients, equipment, and supplies.
This option can be attractive to buyers because it allows them to take over the practice immediately. It can also be beneficial to sellers because it eliminates the need to find a buyer and negotiate a sale agreement.
4) Hold the Real Estate
If you are looking to sell your practice but want to keep the real estate, you may want to consider a leaseback agreement. With this agreement, the buyer will purchase your practice and lease the real estate from you.
This option can be attractive to buyers because it allows them to take over the practice immediately. It can also be beneficial to sellers because it allows them to continue to make money from the property.
5) Sell to Non-DVMs
If you are not interested in selling to DVMs, you may want to consider selling to a non-veterinarian. This option can be beneficial because it can allow you to get a higher price for your practice.
However, it is important to note that non-veterinarians may not have the same understanding of the veterinary industry and may not be able to run the practice in the same way that you have.
Conclusion
There are a number of different things to consider when selling a veterinary practice. By understanding the different options available to you and weighing the pros and cons of each, you can make the best decision for yourself and your practice.
Consult myVETgroup to know the perfect option to take. We are transition specialists for veterinary practices that can help you assess your next steps. Get in touch with us today!
