Foresight – Its a wonderful thing.
The other day I had a healthcare practice owner phone in to ask about the process of selling her allied healthcare clinic….. in two years’ time.
You might think that was a strange thing to do, but this lady is actually very savvy. I could’ve hugged her. What she is doing is getting her ducks lined up. She knows that in two years’ time, she wants out.
She asked the two important questions…
- Are there buyers out there who would want the owner to stay on in a full time or part time capacity for a significant amount of time?The answer to that question is a resounding yes. We have on our buyers’ database several groups that are in acquisition mode and are looking for either owners that are willing to stay on either as a partner or sub-contractor or associate run healthcare practices and clinics.
Unless you want to get out completely this is often a win win situation for everyone. You get to stay on and continue nurturing your baby, ensure the handover is smooth and see that your patients receive the same level of care they are used to. The new owner can relax as the reins are in already capable hands, and the goodwill is more likely to remain stable and continue to grow.
- What should she be doing in the meantime to get the practice ready for sale?Equally important! This owner is keen to show her practice in the best light possible and sell a viable business. Below are some things she can look after in the meantime until the time is right for her to sell.
- Keep doing what she does best – running her practice if it is profitable and growing – keep it up. Don’t lose focus
- Check out her practice – from a buyers point of view.
- Is it fresh, clean and uncluttered or could it do with a bit of fresh paint?
- Is your patient paperwork, notices, folders etc.. neat and tidy or dog eared and worn?
- Are her financials in order? Buyers will want to see the last three years’ profit and loss statements, patient statistics etc.
- Are her employee contracts up to date?
- Does she have favourable lease options? Perhaps it’s time to renegotiate her lease. Buyers will want secure lease options.
Because this buyer has the foresight to think ahead she will sell her practice when she is at the top of her game and not peaked out and over it. She will have the stamina for the process because she is focused. She will have an excellent outcome.