Selling a Practice

Are You Ready to Sell?

Are you ready to sell your veterinary practice? This is always a difficult question to answer for most veterinarians. You may still love practicing but want less stress. How is your body holding up? Do you have enough money to retire? How much is your practice worth?

Contact your transition consultant/broker and have a heart-to-heart about your practice, goals, and options. We have lots of experience to share that may be beneficial to you. We can do a complimentary quick look to give you an idea of what your practice may be worth and of course a full valuation will need to be done to determine the final value.

Once you have an idea of what you may be paid for your practice and associated real estate, you can talk with your CPA and financial planner to know what retirement looks like for you and plan what to do with your sales proceeds. You may have practice or real estate debt to pay off at closing, or you may have a retirement plan you can utilize to save on taxes.

Many veterinarians don’t know if they want to sell their real estate with the practice. In our experience, the best person to own the space is the veterinarian working in it. If you happen to have a lot of rentals and enjoy that, maybe this is an option for you, but if your buyer leaves, empty veterinary spaces can be difficult to sell.

Sometimes veterinarians believe their practice is worth more than our valuation and want to stay on to increase collections that may have waned a bit due to slowing down. You can certainly do that but know that banks look at the last three years of tax returns so if you want to increase collections to increase practice value, you will need to increase and work another three years.

If you still love being a veterinarian and want to sell and stay on part-time, you need to start thinking about how much you want to work and how you will build a practice that can maintain a schedule for more than one veterinarian. This can be done, but you need to have a plan and your transition consultant can assist with this.

Are you ready to sell? Give it some serious thought after talking with your advisors and make the decision with confidence. Contact us today.

Are You Ready to Sell?

Are you ready to sell your veterinary practice? This is always a difficult question to answer for most veterinarians. You may still love practicing but want less stress. How is your body holding up? Do you have enough money to retire? How much is your practice worth?

Contact your transition consultant/broker and have a heart-to-heart about your practice, goals, and options. We have lots of experience to share that may be beneficial to you. We can do a complimentary quick look to give you an idea of what your practice may be worth and of course a full valuation will need to be done to determine the final value.

Once you have an idea of what you may be paid for your practice and associated real estate, you can talk with your CPA and financial planner to know what retirement looks like for you and plan what to do with your sales proceeds. You may have practice or real estate debt to pay off at closing, or you may have a retirement plan you can utilize to save on taxes.

Many veterinarians don’t know if they want to sell their real estate with the practice. In our experience, the best person to own the space is the veterinarian working in it. If you happen to have a lot of rentals and enjoy that, maybe this is an option for you, but if your buyer leaves, empty veterinary spaces can be difficult to sell.

Sometimes veterinarians believe their practice is worth more than our valuation and want to stay on to increase collections that may have waned a bit due to slowing down. You can certainly do that but know that banks look at the last three years of tax returns so if you want to increase collections to increase practice value, you will need to increase and work another three years.

If you still love being a veterinarian and want to sell and stay on part-time, you need to start thinking about how much you want to work and how you will build a practice that can maintain a schedule for more than one veterinarian. This can be done, but you need to have a plan and your transition consultant can assist with this.

Are you ready to sell? Give it some serious thought after talking with your advisors and make the decision with confidence. Contact us today.

Are You Ready to Sell?

Are You Ready to Sell

By Megan Urban, Practice Transition Advisor

Are you ready to sell your dental practice? This is always a difficult question to answer for most dentists. You may still love doing dentistry but want less stress. How is your body holding up? Do you have enough money to retire? How much is your practice worth?

Contact your transition consultant/broker and have a heart-to-heart about your practice, goals, and options. We have lots of experience to share that may be beneficial to you. We can do a complimentary quick look to give you an idea of what your practice may be worth and of course a full valuation will need to be done to determine the final value.

Once you have an idea of what you may be paid for your practice and associated real estate, you can talk with your CPA and financial planner to know what retirement looks like for you, as well as plan what to do with your sales proceeds. You may have practice or real estate debt to pay off at closing, or you may have a retirement plan you can utilize to save on taxes.

Many dentists don’t know if they want to sell their real estate with the practice. In our experience, the best person to own the space is the dentist working in it. If you happen to have a lot of rentals and enjoy that, maybe this is an option for you, but if your buyer leaves, empty dental spaces can be difficult to sell.

Sometimes dentists believe their practice is worth more than our valuation and want to stay on to increase collections that may have waned a bit due to slowing down. You can certainly do that but know that banks look at the last three years of tax returns so if you want to increase collections to increase practice value, you will need to increase and work another three years.

If you still love doing dentistry and want to sell and stay on part-time, you need to start thinking about how much you want to work and how you will build a practice that can maintain a schedule for more than one dentist. This can be done, but you need to have a plan and your transition consultant can assist with this.

Are you ready to sell? Give it some serious thought after talking with your advisors and make the decision with confidence. Contact us today!

What To Do with Your Practice If You Are Sick Or Dying?

Most of us have a vague notion of what retirement might look like but that’s where our planning usually stops.  Getting sick or receiving a terminal diagnosis isn’t something that is easy to think about and is even more difficult to talk about.  Nobody wants to contemplate their last moments in this world.

Sadly, we have all witnessed peers who have been thrown a curve ball and had an illness or untimely death.  The aftermath of these events places a huge strain on our families.  However, these stresses can be lessened with some discussion and at the very least, taking the steps now to get the right people in place when you need them.

An unexpected sickness can occur at the height of our professional careers.  Depending on the prognosis, it’s critical to get our affairs in order as quickly as possible.  Staff might suspect that something is amiss, and you can ask them to keep health issues confidential.

If you haven’t assembled a team already, start searching for a reputable estate-planning attorney and CPA.  Also include the often-overlooked professional; a practice transition broker who can assist with the transition of your practice and can begin the process with you as soon as possible.  Most widows/widowers are not thinking that the responsibility of selling the practice will fall on their shoulders.  We recommend starting these delicate conversations with your spouse now, so they are not left to deal with this in addition to emotional stress.

If you are still able to work at your practice, we can begin to market the practice heavily but discretely so we can find a buyer as quickly as possible.  The best medicine for you is to heal and take care of your family.  Selling might seem short-sighted if you expect to make a full recovery, but there are many other options available if you still want to continue to work after you heal.

However, for those doctors who pass unexpectantly, word of mouth tends to get ahead of any marketing and the reality is that your practice will be marketed without a doctor and thus the practice value can decrease substantially.  Some of the most difficult challenges that we have encountered are in serving spouses who are left to deal with quickly selling a practice when the doctor is sick or has passed away.  The value of the practice drops sharply and is often valued at 30-40% less even after just one month without a doctor.

Prepare for the unexpected.  Assemble your professional team and get your estate planning documents in order.  Most importantly, make this information accessible and communicate your wishes with your spouse.

Life is short, spend your days doing what you enjoy and take care of your health.

What To Do with Your Practice If You Are Sick Or Dying?

Most of us have a vague notion of what retirement might look like but that’s where our planning usually stops.  Getting sick or receiving a terminal diagnosis isn’t something that is easy to think about and is even more difficult to talk about.  Nobody wants to contemplate their last moments in this world.

Sadly, we have all witnessed peers who have been thrown a curve ball and had an illness or untimely death.  The aftermath of these events places a huge strain on our families.  However, these stresses can be lessened with some discussion and at the very least, taking the steps now to get the right people in place when you need them.

An unexpected sickness can occur at the height of our professional careers.  Depending on the prognosis, it’s critical to get our affairs in order as quickly as possible.  Staff might suspect that something is amiss, and you can ask them to keep health issues confidential.

If you haven’t assembled a team already, start searching for a reputable estate-planning attorney and CPA.  Also include the often-overlooked professional; a practice transition broker who can assist with the transition of your practice and can begin the process with you as soon as possible.  Most widows/widowers are not thinking that the responsibility of selling the practice will fall on their shoulders.  Start these delicate conversations with your spouse now, so they won’t be left to deal with this in addition to emotional stress.

If you are still able to work at your practice, we can begin to market the practice heavily but discretely so we can find a buyer as quickly as possible.  The best medicine for you is to heal and take care of your family.  Selling might seem short-sighted if you expect to make a full recovery, but there are many other options available if you still want to continue to work after you heal.

However, for those doctors who pass unexpectantly, word of mouth tends to get ahead of any marketing and the reality is that your practice will be marketed without a doctor and thus the practice value can decrease substantially.  Some of the most difficult challenges that we have encountered are in serving spouses who are left to deal with quickly selling a practice when the doctor is sick or has passed away.  The value of the practice drops sharply and is often valued at 30-40% less even after just one month without a doctor.

Prepare for the unexpected.  Assemble your professional team and get your estate planning documents in order.  Most importantly, make this information accessible and communicate your wishes with your spouse.

Life is short, spend your days doing what you enjoy and take care of your health.

Contact us today for a free consultation.