There is a lot of talk in the veterinary marketplace about consolidation. If you have been approached by a private equity group, you may be impressed by their offer. Without comparison, however, how do you know if this is the right move for you, your staff and the animals under your care? There is no easy answer–but a DVMmatch Transition Professional, who only represents the seller, can guide you through the multi-step process, provide you an independent and substantiated value of your hospital and negotiate on your behalf.
Bottom line: An unsolicited offer may be right for you—or wrong. And your ultimate decision to sell to a corporate buyer, or individual buyer, will still require a team of professionals to assist you. Representation is critical. Here are some things to consider when evaluating your options.
When you look around, you can see that may people do sell to a corporate group. What are some upsides?
· Yes, these offers can yield a big payout for you the seller
· Helps you plan for the future and avoid an abrupt emergency sale
· Options to sell and walkaway or stay on
Let’s look at some common issues when selling to a corporate group.
· Offers may be competitive, but not the best you can attain
· Deals can be structured to withhold payments if goals are not achieved
· Tax ramifications you must be prepared for
Neutral questions to consider
· How much control do you lose over business operations if you are staying on?
· How does your compensation change? From owner to employee?
Regardless of your decision, having representation and a team of professionals is critical. DVMmatch can help assemble your team and guide you every step of the way with our Trusted Transition Process TM. Selling your hospital is a big decision—don’t go it alone.