We are in a very vibrant market for the sale of veterinary practices and high values can be achieved for the right type of practice. Selling is easy but getting the right price and terms takes a knowledge of the market and experience. If you are thinking of selling speak to The VBA first without obligation
"Remember you will only sell your practice once, once done you can’t go back and re-negotiate, so get the right price and the right buyer first time"
FREQUENT QUESTIONS ASKED OF THE VBA
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Do you undertake any other work for corporate practices ?
VBA - No, we are a small specialist team that only deals with our private veterinary clients in the sale of their practice.
Are you involved with any corporate or buyer by association, ie. They pay your fees, you undertake their accounts?
VBA - No, we only act for the sellers of a veterinary practice, we have no arrangement or obligations to any potential purchasers and take no payments from them
We are responsible only to our clients and their success is our only concern.
What is your success rate?
VBA - Over the last 2 years , we have sold 100% of the practices that we have acted for to the satisfaction of our clients, achieving between 25-100% above the opening offer price, giving a final value well in excess of the owners expectations.
What experience do you have of the Veterinary Market?
VBA - We have 40 years of experience of both practice ownership, practice sales, dealing with corporate negotiations and Ltd company/ share disposals.
Is your service confidential?
VBA - Yes, because of our size we provide a one to one, professional, personal and highly Confidential service.
What can you offer a seller?
VBA - We offer a complete service through to completion, based upon a No Sale No commission fee. Apart from the sale of the business or company, we ensure the financial processes that take place in the due diligence are monitored to prevent any reduction in prices. Additionally we will negotiate the lease of any property and the terms of employment if you stay on with the purchaser.
What are your fees based on?
VBA - A successful outcome, we only charge commission on the Goodwill value achieved once completion has taken place and do not take any additional charges on equipment, drugs or any other assets included in the sale.
Will I be able to sell my practice?
VBA - Most practices are saleable. However to get the best prices they should have a minimum turnover of £500k.
However we will act for practices that have a lower turnover in a good location.
How long does it take to complete a sale?
This is dependent upon several factors, 1. Whether you are incorporated or Sole trader
2. The attractiveness of the practice to the buyers
3. The clarity and transparency of the information available to the buyers.
4. The commercial skill of the sellers brokers, legal and financial representatives .
In most cases from the time of the VBA visit and the release of the sales memorandum this will fall between 3-4 months. From the time of the potential buyers visit to receiving indicative offers 1-2 weeks. From accepting a preferred bidder to completion 4-6 months. Any unexpected events or issues can delay this.
Who else will I need to sell my practice ?
VBA - Although the VBA will deal with all of the process up until the offers are received, it is important to have a specialist corporate lawyer who has experience of acquisitions, but they are not normally required until an indicative price has been agreed. Additionally your accountant will be required to ensure the sale is tax efficient.
The VBA will coordinate with these throughout until completion.
What is an NDA ?
VBA - This is the Non Disclosure Agreement- a document to protect both the seller and the buyer, to allow all information to be kept confidential
Why do I need to use The VBA to sell my practice?
VBA - obviously we would say yes, but the seller needs to concentrate on running the business and not be over diverted by the pressures of selling the business. During the period from the VBA’s first visit up until the completion the practice sales income will determine the final price achieved. We calculate the practices maintainable profit, which is the basis of the offer price right up until the last month of sales prior to going to market. The goodwill value could be increased by £3-£6 for every extra £1 profit made in the current period prior to offer/completion.
What experience is needed to negotiate the sale?
VBA - The corporate veterinary companies are purchasing 30-40 practices a month. They have the experience and skills when it comes to negotiating a deal that obviously is best for them. It can be difficult for the seller to be directly involved in any negotiations on final price and structure of the deal. The VBA has the experience to deal with any of the corporates to maximise the outcome for the seller without risking losing the sale.
What shall I do next?
VBA - Contact us for a free confidential discussion