Small practices and doctors providing non-essential services struggle to keep up with major hospitals.
Whether you're having trouble keeping your head above water or are a huge success looking to make more money, selling a medical practice is sometimes the best way to go. Yet, selling a private practice is no walk in the park.
To get you started, here are four tips on how to sell a medical practice.
1. Plan, but Be Ready to Act
If you have your ideal process planned ahead of time, you have the best chances of an informed and smooth deal.
Selling your medical practice to a hospital is the most common way to sell. Industry news runs stories about hospitals absorbing private practices all the time. Yet, it's often hard to find a buyer for a medical practice.
The reality is that there are only so many hospital systems in a city. Your chances of finding another independent practice to take over are small, too.
This is true in the best of times, but right now it's even harder to snag a buyer with so many businesses struggling. You need to be ready to go with the first offer because you don't know that another will come in.
A benefit is that you can be done with the process and have your money faster than through a planned deal. The downside is that fast sales lead to more accidents.
2. Ask for Help When Selling a Solo Practice
Quick sales are risky, but being careful and informed pays off. Knowing how difficult the medical practice market is tells you it's not smart to go it alone. Medical practice consulting is a great start and gives you the facts about how much your practice is worth.
Knowing your numbers makes your sale competitive. A starting price at or below market value makes your private practice more appealing to buyers. While hiring professionals is an added cost up front, they'll help you spend less time and money marketing your practice and you save in the long run.
3. Qualify for a Loan for Selling a Medical Practice
It's obvious that most buyers need a loan to buy a practice, but sellers sometimes don't realize that they need to qualify for the loan as well. Getting a pre-qualified loan for the asking price is a smart move.
When a buyer comes along, they can't lowball you. To finish selling, all they need to do is qualify and sign. You also won't be embarrassed if the buyer qualifies, then you apply and get rejected.
4. Polish Your Practice Before Selling
Tweaks and repairs are an important part of how to sell a solo practice.
Try to invest some in updating your website and doing building repairs. If you're selling equipment, make sure it's all up-to-date and in working order.
Avoid Business Trouble With Our Easy and Enjoyable Articles
The medical practice market isn't easy to navigate, but these tips on selling a medical practice give you a leg up.
It's hard enough to be a business owner in a chaotic and changing economy. You don't need to struggle through dry and confusing studies to stay on top of your game. Our simple business articles bring you the same quality information without giving you a headache.
Click on another one and be on the way to peak success. And visit the Healthcare section of our site to learn more about building a selling a medical practice.
