Selling A Medical Practice

How To Sell A Medical Practice

Figuring out how to sell a medical practice requires patience and strategy. The process of finding a qualified buyer you can entrust with the future of your practice may be long and tedious. However, the potential payoff is enormous. Here are three critical steps for securing the sale of medical practice:

1. Get multiple quotes:
   

   Practice Advisors 360 – Medical Practice Consultants

As a selling physician, acquiring multiple quotes can help get the best offer for your practice. You don’t want to wait for the potential buyers to come to you; instead, you should contact a handful of viable buying prospects, including medical groups and group practices, to let them know that you have plans to sell your practice.

Also, reach out to your competitors in the area and find out if they want to expand their practice. Local groups or hospitals can also be a good resource; someone on the board may know a staff member interested in starting their private practice.

1. Improve your medical practice before selling:

Suppose you should consider revamping certain areas and aspects of the practice to boost your practice value. Updating your practice can entice more buyers, increasing the number of offers you receive. For example, you might decide to redo the waiting room decor or invest in a new X-ray machine. Changes like this when selling medical practices can quickly increase your establishment’s value and make it more appealing to potential buyers.

1. Evaluate your sale options:

If you are the owner of the building or facility you practice in as well as the practice itself, then you might have an opportunity to maximize your profits with two sales.

Being a double owner gives you some options. First, if you want to remain the building owner, you could sell your medical practice and then lease the space to the new owner. Doing this could let you earn some passive income depending on your mortgage payments and the current real estate market, or it could be a drain on your finances.

The other option is to sell both the practice and the facility. Selling the facility and practice might be the correct route to take if you don’t want to be responsible for monthly mortgage payments and any facility upkeep. Now, if the practice buyer doesn’t want to purchase the facility, you can always sell the space to a different buyer.

It would be best if you discussed the possibilities with your real estate broker and accountant to ensure you’re making the right choice when selling medical practices.

1. Communication: Speak with staff and patients

hospital, profession, medical education, people and medicine concept – group of happy doctors meeting on presentation or conference at hospital

Keep in mind that before you start to open up to your staff and patients about selling the practice, it’s essential to talk to the buyer. You will want to discuss with them and find out if they plan on keeping the current staff and continue seeing your patients. Getting this information before the sale of the medical practice can help you better communicate with your team and patients.

It would help if you tried to give your staff and patients as much notice as possible that you’ll be stepping down as owner and selling the medical practice. Be transparent about your departure date and reason for leaving, provide as many details as you can about the practice’s future, and take time to answer questions. Your departure will be an uncertain and possibly anxious time for your staff and your patients.

You might consider staying on under a temporary unemployment contract for a few months. During this time, you can help educate the new owner about your health care processes and procedures and help your patients transition and train any new staff.