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Setting an Asking PriceUsing a Business BrokerSelling a Business During DivorceSelling a Failing BusinessTransferring Intellectual PropertyPreparing an Online Business for SalePreparing for Sale, Two Years OutSelling a Business QuicklyWriting a Selling MemorandumSelling a Business Step by StepSelling a Business With DebtChanges Worth Making Before Selling— Practice finance
Each one models the thing that actually decides the price in its own sector — chair time, contracts receivable, fee compression, technician hours. Underneath, they share a spine: profile, five-year history, earnings normalization, projections, valuation and adviser notes.
Learn one and you can use all of them.
Equipment, operatories and chair time set the ceiling, and a payor mix somebody else controls sets the rate. The buyer pool includes private equity, which is why an EBITDA multiple anchors the valuation and why the same practice can be worth materially more to a platform than to the associate down the hall.
Physician practices of any specialty. Encounters, payor mix and provider compensation, with the collection rate that turns production into cash.
General and specialty dentistry. Operatories and hygiene days set the ceiling, and case acceptance decides how much of it you fill.
The one practice type where the balance sheet is the business. Contracts receivable run years, and the down-payment share decides who is financing the patient.
Exam lane and dispensary together. Two businesses under one roof, and a buyer prices them differently.
Companion animal practice. DVM production, wellness plans as recurring revenue, and the consolidator multiples that reshaped this sector.
The value walks out at six o’clock. Revenue multiples and client retention dominate, the buyer pool is usually other practitioners, and in law Rule 1.17 removes non-lawyer capital entirely — the structures that transformed dental and veterinary valuations are simply not available. Fee-based businesses with no asset base to fall back on: what a buyer purchases is the relationships and whether they stay.
Compliance transfers, advisory partly, project work barely. The revenue mix decides the multiple more than the margin does.
Hourly, contingency and flat fee valued separately, because only two of them transfer. Rule 1.17 constrains who can buy at all.
AUM, fee compression and flows. A book can post record revenue while the rate it charges falls every year, and the second fact is the one that carries forward.
The sector-specific part is the top half. Underneath, the method is the same, and it is the method a buyer’s accountant will test.
A calculator gives you a figure. These explain what a buyer will do to it.