AUTHORS

Trent Frost
Trent Frost
Senior Manager

Preparing a veterinary practice for sale requires careful planning and execution to ensure that the practice is presented in the best possible light to potential buyers. 

Here are some practical steps that can help increase your opportunity to sell and maximise sale price:

  1. Get the financials in order: it's essential to have accurate financial records for at least the past three years. This information will be used to determine the value of the practice, and will be vital for potential buyers to assess the business's performance and allow the business to reach maximum value. The financial statements should be reviewed by an accountant to ensure that they are accurate and complete.  
     
  2. Ensure the premises are well-maintained: potential buyers will likely visit the practice, so it's essential the premises are clean, tidy, and well-maintained. Any repairs or maintenance work that needs to be done should be completed before the practice is listed for sale. This will enhance the marketability of the business. 
     
  3. Review the client base: this will identify any clients who may be at risk of leaving after the sale. It's essential to have a client retention plan in place to promote confidence to any potential buyer of a sustained client base.     
     
  4. Review staffing: assess staffing levels and ensure that they are appropriate for the size and scope of the practice. Ensure that all staff contracts are up to date and review any potential issues that may arise with staff members during the sale process. Having staff continuity will allow for a smoother transition to new owners.  
     
  5. Identify potential buyers: consider reaching out to potential buyers such as existing veterinary practices or investors interested in the industry. You can work with a business broker or advisor to help identify potential buyers.  
     
  6. Develop a marketing plan: having a comprehensive marketing plan that promotes the practice to potential buyers will increase the chance of a successful sale. This can include advertising on industry-specific websites, reaching out to industry publications, and attending industry conferences. Remember to utilise your existing network for referral potential. 
     
  7. Seek professional advice: it's essential to seek advice from range of professionals, this could be a lawyer or business advisor who has experience in selling veterinary practices. They can help with legal contracts, negotiations, and other critical aspects of the sale process.  
     
  8. Following sale: prioritise financial planning and check in with a wealth management specialist or financial planner to get make sure you are on track to achieve your personal or business wealth objectives. 

Overall, preparing a veterinary practice for sale requires a thorough approach that addresses the financial, operational, and marketing aspects of the business. With careful planning and execution, selling a veterinary practice to maximise value for the exiting owner can be achieved while also setting up the incoming owner for long-term success. 
 

FOR MORE INFORMATION

Please contact Trent Frost or your local RSM adviser should you have any queries.

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