Is My Practice Worth One Year’s Gross?

We are continually impressed by the number of times we hear veterinary practice value being based upon some percentage of gross revenues. This concept is often suggested by some finance companies as well as veterinarians and even an occasional Accountant, but rarely by those who are familiar with business appraisal methodology. Take, for example, the […]

Why Should I Buy A Veterinary Practice?

There is no greater personal satisfaction than to have a thriving business and know that you were responsible for its success. Besides setting the standards of care and level of client service you desire, the financial benefits of practice ownership can be significant. Being a practice owner means you will succeed or fail on your […]

Mergers: For the Practice at Risk

Richard A. Goebel, DVM, Simmons Great Lakes For the full transcript visit: Mergers For Practices At Risk As An Exit Strategy Trends Affecting the Practice Market While the balance between buyers and sellers seems to be in equilibrium at the moment, the next decade may reveal a different trend. The post-WWII population explosion, commonly referred […]

Avoiding Practice Purchase Pitfalls

David Gerber, DVM, Simmons Northwest For the entire transcript visit: Avoiding Practice Purchase Pitfalls Tonight we will be discussing some of the most common pitfalls we see time and time again surrounding the purchase or sale of a practice. By identifying them here and discussing solutions, it is my hope that you will be able […]

What Creates Veterinary Practice Value?

David Gerber, DVM, Simmons Northwest Strictly speaking, a veterinary practice’s value is a function of its profitability. It is profitability that determines the maximum amount for which a practice can sell and still satisfy the financial requirements of buyers and lenders. But there are other intangible qualities that make one practice more “valuable to buyers […]

Reducing the Impact of Educational Debt – Veterinary Profession

Dr. Richard Goebel, October 16, 2005 Educational debt has been growing faster than starting salaries. What are the implications for those entering veterinary practice and for their employers. Tonight we plan to discuss the implications for significant debt for borrowers before graduation and after graduation, and implications for employers of new graduates with significant educational […]

What is the Basis of Practice Value? (Part II: Calculating Earnings)

– Doyle Watson, DVM, Simmons Southeast In another article, we have discussed the calculation of “Adjusted Net Cash Flow.” This is the amount remaining from gross revenues after necessary operating expenses are met. It is the amount available to the owner to spend at the owner’s discretion. The debt service and owner/chief of staff’s (COS) […]

Why Do I Need A Broker To Sell My Veterinary Practice?

David King, DVM, Simmons Southcentral It is true. You don’t need a broker to sell your veterinary practice. It’s your property. You can do whatever you want with it. However, it is also true that your clients can treat and medicate their own pets. Now, most of your clients would never dream of spaying their […]

How Does the Real Estate Effect the Practice Value?

– Dave Gerber, DVM, Simmons Northwest With the exception of mobile practices, every veterinary practice must have a facility in which to operate. The cost of the facility, either rented or owned, is a real expense to the practice when considering profit. In essence, there needs to be a “rent” figure as an expense on […]