Practice Buyer’s Open Market and Buyer’s Practice Prepurchase Plan

This course will describe the changes in the veterinary practice purchase market and goals, due diligence, fair market value and other factors to analyze in the target practice to determine the potential and feasibility of making a purchase.  Some of the emphasis will be spent on how a fair market value (FMV) is determined and how to use that analysis to determine the feasibility potential.  We will look into the technical work to be done to find the numbers to calculate FMV.

1.       What knowledge will an attendee gain from this program?

a.       Attendees will learn how to analyze a target practice before making a purchase and why  a practice valuation is important compared to a feasibility study  

b.       Attendees will learn why client pricing and doctor efficiency effects profitability. 

c.       Attendees will learn a veterinary practice may not be saleable (other than real estate), unless an insider is willing to make the purchase, based on feasibility and terms of sale.. 

2.       What might they share with their fellow licensees about this program?

a.       Practice buyer’s market is open again to private buyers.

b.       They should share that practices sell for a FMV or an investment value or have a no sale unless one is willing to sell for book value or tangible asset value, but for real estate. 

c.       They should share that practice net cash flow or adjusted EBITDA makes the difference in practice sale value.

d.       Buyers have major decisions and much analysis to do as part of prepurchase due diligence.

• Learn how to decide if a practice is a good fit for you at the asking price. The big things to look at as part of prepurchase due diligence will be discussed.