How do I list my practice for sale?
The process is simple. Click on the ‘LIST YOUR PRACTICE’ button on the top right of the screen and you will be prompted to provide a list of information about your practice, as well as photographs. The key to a successful sale is to provide as much relevant information as possible.
From there, you will be asked to provide a list of information about your practice, as well as photographs.
The key for a successful sale is to provide as much relevant information as possible.
Who are optometrypracticesales.com.au?
Optometrypracticesales.com.au is powered by ProVision and accessible to the entire independent optometric industry. Through years of experience in facilitating the purchase and sale of practices, ProVision identified the need to create an easy-to-use platform for both sellers and buyers that not only connects both parties seamlessly but also houses a wealth of relevant information and referral partners.
Can anyone list their practice for sale?
Yes, as long as your practice is independent. Brokers are welcome to advertise here as well.
What qualifies as an independent practice?
An independent practice can be owned by an optometrist, or a dispenser. optometrypracticesales.com.au is here to assist independent owners and buyers to simplify the process of practices changing hands. An independent practice is not owned by a corporate entity or consolidating group.
What does it cost to list my practice?
There is no cost to list your practice.
If you require more comprehensive assistance, such as an appraisal or a facilitated sale, you can access the trusted referral partners on the homepage. If you are a member of ProVision, reach out to Business Services at business@provision.com.au to learn more about the services available to you.
How do I get my practice valued?
You have several options available to you.
Your accountant is the perfect place to start. While accountants often arrive at a number that is different to what might meet the market, the key is to provide them with as much information as possible about your practice and the market itself.
Another option is a broker who specialises in the optometric industry. They offer an ‘appraisal’ as compared to a sworn valuation. Their expertise in the industry and understanding of the landscape can be of benefit when presenting a price for your practice to the market.
Finally, an accountant that specialises in the optometric or broader health industry can provide you with an accredited or sworn valuation. This valuation is more involved from a process and cost perspective but is recommended for more complicated sales, or partnership changes.
Do I need a broker to sell my practice, or can I do it independently?
A broker typically offers expertise and resources in marketing, valuation, and negotiation. Brokers that specialise in optometry should have access to a network of potential buyers, increasing exposure and potentially fetching a higher sale price. They handle much of the process, from marketing the business to vetting buyers and facilitating negotiations, freeing the owner from much of the legwork so they can focus on running the practice.
They typically charge a percentage of the sale price as commission.
On the other hand, selling independently can give the owner more control over the process and potentially save on brokerage fees. However, the owner must take on all aspects of the sale, including marketing, negotiation, and legalities, which can be time-consuming and complex. Independent sellers may have a limited network of potential buyers, potentially affecting the sale price and duration of the process.
Regardless of your approach, your accountant and legal representative will be key stakeholders in the process.
Ultimately, the choice between using a broker and selling independently depends on factors such as your available time, expertise, network, and desired level of involvement in the sale process.
How long does it typically take to sell a practice?
There are several steps involved when selling a practice. From the initial preparation to valuation, advertising, negotiations, and finally, the due diligence and legal steps required, we typically expect a 6 – 12 month period from launch to settlement.
Similar to real estate, location, demand, and competitive pricing are just some factors that can make a difference in expediting a sale.
What do I need to have prepared to sell my practice?
Preparing to sell your practice involves several key steps and considerations:
Financial Documentation: Gather financial statements, tax returns, profit and loss statements, and cash flow projections for the past few years. These documents provide important insights into your practice’s financial health that buyers will be looking for.
Your Lease: Without security of tenure on your lease, it will be extremely difficult to sell your practice. Notify your landlord of your intention to assign the lease and ensure extra tenure in the way of an extension, or additional options will be available to you.
If you own your premises, obtain an appraisal from a local agent to present to buyers.
Practice Valuation: Determine the fair market value of your practice. Consider hiring a professional appraiser or business broker to assist with the valuation process if your accountant cannot assist.
Operational Documentation: Document key operational processes, organisational structure, and employee responsibilities. This helps buyers understand how your practice operates and ensures a smoother transition post-sale.
Create a Prospectus: Develop a comprehensive prospectus that should include the history of your practice, staff, patients, and your trade area. Additionally, the prospectus should contain all relevant financial information and management reporting that buyers will be seeking to review. The more relevant information, the better. Finally, showcase your practice with well captured photos of the exterior, retail area and consulting rooms so buyers can see what it looks like prior to inspecting.
Confidentiality Agreements (NDAs): Implement confidentiality agreements to protect sensitive business information during the sale process.
Financial Planning: Consult with your accountant of financial planner to develop a tax-efficient sales strategy and understand the tax implications of the sale for both the business and the owner.
Transition Plan: Develop a transition plan outlining the transfer of ownership, key responsibilities, and any ongoing support or training required to ensure a smooth transition for the buyer.
Legal Counsel: Seek advice from legal experts specialising in business transactions to ensure all aspects of the sale are legally compliant and adequately documented.
Due Diligence: Be prepared to undergo due diligence from potential buyers, providing access to financial records, contracts, and other relevant information to verify the business's value and mitigate risks.
How do I engage a broker to facilitate my practice sale?
A broker that specialises in the optometric industry should always be a preference because they will have access to a pool of buyers, industry understanding as well as specialised appraisal skills.
Engaging with a broker that can physically meet you at your practice is advantageous, but not always necessary.
We have a list of referral partners on our homepage that you can view and engage with directly. All these brokers have a solid track record in selling optometry practices as well as sound reviews from previous sellers.