Blog
Blog
 
 
 
 
 
 
 
 
 
 
 
Blog
IDOC actively shares industry-focused articles, blog posts, podcasts, videos and other thought leadership with our members and other optometric practitioners. Below, you will find links to our growing library of educational materials and multi-media assets written and created by IDOC's team of seasoned industry experts.
Nathan Hayes | 9/6/2019
IS YOUR PRACTICE READY TO SELL TODAY? HERE'S WHY IT SHOULD BE.

With Private Equity groups scooping up practices left and right (it seems that way at least), it stands to reason that most owners have at least thought about whether they would say yes to the right offer. I tell most owners that they should own their practices for as long as possible.

But that doesn’t mean you shouldn’t keep the end in mind.  Here are three reasons you ought to keep your practice’s final sale in mind.

To protect yourself

I recently learned that half of business owners will be forced to exit their businesses because of one of the ‘5 Ds’: death, disability, divorce, disagreement or distress.  I’ve seen all of these trigger fire-sales of practices. So, while many of you should anticipate owning your practice for decades, you should also have a business that’s ready to sell on short notice.

Practices that aren’t ready to sell can lose tons of their value if they’re forced to sell – and some will simply be unsellable.  Given that most business owners have most of their wealth stored in the business, you owe it to yourself and your family to steward and protect the value of your practice.  And to make it easy for your family if something prevents you from executing the sale of your practice.

To make selling easy.

Here’s the key idea when it comes to your practice’s sell-ability: how easily can a third party see the benefits of owning your practice (cash flow, free time, low-stress staff) and how easily do those benefits transfer to another owner?

A business that is ready to sell is going to be worth more, because it takes the risk off the buyer.  What are some things that make your practice easier to sell?

  • Hire good people, train them well and create a culture that promotes and rewards tenure.
  • Have a good practice management system and EHR and use them well.
  • Keep accurate financials.
  • Grow enough to have another OD, so patients aren’t just there for you.
  • Have a clear practice brand, differentiated from your competition.

To make your business better now

Take another look at the list above.  Regardless of whether you’re planning to sell in 12 months or 12 years, that’s good business advice.  And that’s just the thing.  The most sellable businesses are the best businesses.  The good exit strategy is good business strategy.

Focus on making your practice the best it can be TODAY.  The best practices are low-stress businesses which provide a premium income to their owners and give their owners reasonable control of their time.  What are you waiting for?  It’s good for you now; it’s good for you when you sell; and it protects you and your family should unpredicted events force you to sell before you planned to.

Want help evaluating your practice?  Your IDOC consulting team is here to help.  Don’t hesitate to email me at nhayes@idoc.net or set up a time to talk.

Nathan Hayes
Practice Finance Consultant
Nathan Hayes joined IDOC with a solid background in the eye care industry and serves as IDOC&rsquo;s Practice Finance Consultant. Before Prima launched in 2011, he spent five years in business development for Red Tray and HMI Buying Group. Nathan graduated from Vanderbilt University in three years, with a degree in Spanish and a minor in mathematics. <br/><br/>After graduating, he spent a year working abroad. During that time, he worked for two firms in San Jose, Costa Rica. He interned with Grupo Juridico de San Jose, working in environmental policy to protect a threatened parcel of land, then he worked as a project manager for a US-owned precision machining shop. Nathan then spent 6 months working with street children and orphans in Mexico. <br/><br/>Before getting into the healthcare industry, he was an Assistant Store Manager and completed the Corporate Training Program with Haverty&rsquo;s Furniture Company in Atlanta, GA. Nathan and his wife Heather have a son, Daniel, and a daughter, Hannah. In his spare time, Nathan enjoys reading and outdoors activities - especially cycling and hiking.
 LinkedIn
Trending Blogs
 
 

5/5/2021 | Author: Nathan Hayes

With the spike in patient demand following the COVID-19 Pandemic, many owners are actively recruiting associate ODs to help carry their increased demand. And any owner looking to hire an associate right now knows that the market is tight.

My feeling is we have an outright shortage of... Read more


3/30/2021 | Author: Geronda Wollack

Managing your staff can be challenging! Am I right? Or am I right? Now, managing your staff and feeling confident with whether you are being compliant poses a different level of challenges. I will share a story to illustrate this challenge.

I had a consult with an Office Manager who... Read more


3/30/2021 | Author: Amy Alvarez

Signed into law on March 11th, 2021, The American Rescue Plan Act offers an extension to Families First Coronavirus Response Act. This provision added additional reasons the leave can be used as well as increasing the cap on eligible compensation for a tax credit.

FFCRA... Read more


3/12/2021 | Author: Ximara Vega

What should a practice do when they have lingering product? Well, 1st we have to identify what lingering product is. In my world, lingering product includes all frames that have been sitting on the shelf for a minimum of 6 months. I like to evaluate product every quarter to identify... Read more


2/22/2021 | Author: Amy Alvarez

Maybe you’ve experienced some unpleasant events in your practice that you didn’t have a policy to cover, or you team is large enough that you vacation policy isn’t working anymore. Maybe you have never liked you scheduling and time management policy but do not know how to go about changing it.... Read more


1/14/2021 | Author: Ximara Vega

Every year people tend to make goals for the upcoming new year. Somehow a new year inspires others to reinvent themselves in some way and like most initiatives, they lose their luster after a few weeks. I was supposed have rock hard abs like 3 years in a row. If ever... Read more


10/15/2020 | Author: Geronda Wollack

A friend of mine was out in the job market and applied for a job as a Dental Assistant. She called me for some advice around interviewing, and during our conversation, she mentioned a shocking reality. She said, "Geronda, there were a few companies that I was interested in, but the job... Read more


9/24/2020 | Author: Maddie Langston

By now, most of us are familiar with online reviews and understand their reach and influence, particularly on Google, Facebook, and Yelp. As a marketing consultant at IDOC, I work with optometry practice owners and managers to increase the number of new patients at the practice, retain... Read more


9/11/2020 | Author: Geronda Wollack

During a phone call with my favorite sister (now, let's not share this with anyone else), she shared the following sentiment with me, "I was just as excited for my kids to go back to school this year, until I realized that I have one kid staying home and doing virtual learning and the... Read more


8/13/2020 | Author: Maddie Langston

Let’s say one day after an exam and a visit in your optical, a patient reviews their experience on your Google business listing and Yelp.

The review includes many details which makes it clear to anyone reading that they visited the practice, had an exam, and worked with an optician.... Read more

© 2020 IDOC. All Rights Reserved