Let LCF Practice Sales and Financing guide you through the hurdles of selling your practice.
Seller’s remorse is real
Selling your practice is a big undertaking that involves commitment and lot of work for everyone involved in the transaction. So please make sure you have given it a lot of thought and consideration before deciding to list your practice for sale. Here are some questions you should consider before initiating this sale: Why are you selling the practice? Is it a compulsive or well-thought out decision? Do you need to resolve any problems at the office before selling the practice? Is this the right time for you to sell your practice? What are you going to do after you sell the practice?
The sales process may take several weeks or even several months, depending on the type of transaction. During this time, some sellers can become emotional about leaving their staff members, patients and practices. They lose sight of the reason they chose to list the practice and make it difficult to negotiate final closing terms which often results in the sale falling apart. When a deal falls apart, sellers are later faced with the reality of trying to sell their practice a second time, sometimes at a lower price or with a less qualified buyer. We advise the sellers we represent to remain focused on the reason they wanted to sell their practice so that seller’s remorse doesn’t scuttle the sale.
Honesty is the best policy
We always advise our seller clients to disclose everything up front so that nothing will come as a surprise to buyers when it is time to close the deal. Deals often fall apart at the last minute because certain situations or problems were not disclosed and resolved earlier in the transaction. This unfortunate event wastes a lot of time for all the parties involved: sellers, buyers, brokers and attorneys. When a deal is needlessly scuttled over a disclosure issue everyone loses out; weeks or months are wasted, and the seller misses opportunities to find more qualified buyers for his or her practice. At LCF Practice Sales, we believe that most problems can be worked through and resolved if they are disclosed at an opportune time early on in a transaction.
What LCF can do for you
As a seller, you must remember that LCF works primarily on your behalf to try to sell your practice at your desired price. We are on your side every step of the way. We will put your practice on the market (anonymously, if requested), help find a qualified buyer, and work with different parties involved (attorneys, landlords, consultants etc…) to close the deal.
From the buyer’s perspective
Today’s buyers are very savvy when it comes to choosing a practice. They are often looking at more than one office at a time, and will try to close the deal as soon as possible to prevent lost opportunities. Sellers, therefore, need to understand what buyers are looking for in order to successfully sell their practices.
Buyers are looking for reasonably priced practices with potential for growth. This means that the practice’s price must be competitive, all financials cleared and equipment and fixtures updated. Last but not least –the buyer will always want the seller’s goodwill in the transition process. Buyers want sellers who are reasonable and trustworthy to help transition the office’s patients and staff.
Sellers need to have realistic expectations about how to sell their practices and the price that they can expect. LCF’s staff is more than willing to work with sellers to put the office on the market, find qualified buyers, and coordinate every step in the transaction. But we cannot work effectively on the transaction if the seller is not willing to cooperate or if the office is over priced. Sellers often estimate monetary values for their practices that are above market value. Buyers, on the other hand, are very savvy and will pass over a practice that is over priced. It is better to price the office at the market value and have qualified buyers bid the price up than to over price a practice and have buyers pass it by.