Valuation & financial normalisation
Add-back analysis, provider compensation normalisation, payer mix and concentration risk, and a defensible market value opinion.
07 · Buy / Sell a Practice
Buying & Selling a Medical Practice
A practice sale is the largest financial transaction most physicians ever make. Run it like one — with a valuation, a process, and an advisor who has closed these deals.
Engagement at a glance
- Engagement modelSuccess-based commission, retainer plus success fee, or fixed-fee valuation
- ValuationWritten market value opinion with methodology and comparables
- ConfidentialityNDA-gated process; your staff and patients learn when you decide
- BuyersStrategic groups, private equity platforms, hospital systems and individual physicians
- CoordinationWe work alongside your healthcare attorney and CPA, not instead of them
- Post-closeTransition, retention and earn-out monitoring support
4–8×
Typical EBITDA multiple
Range for established physician practices; specialty, payer mix and provider concentration move it materially.
60%+
Of value in the goodwill
Which is why provider retention and patient panel durability drive the price.
100 days
Post-close transition
Structured handover so the revenue you sold does not walk out with you.
The problem
Sell for what it is worth. Buy something worth owning.
Physician practice transactions are not priced like other small businesses. Value sits in provider retention, payer contracts, referral patterns, patient panel durability and the quality of the billing and compliance infrastructure underneath all of it — which means a seller who cleans up operations two years before going to market typically earns a materially higher multiple.
On the sell side we prepare the practice for market, build a defensible valuation, market it confidentially, vet buyers, manage diligence, and negotiate structure — asset versus stock, cash at close versus earn-out, and the employment and consulting agreements that determine what you actually take home.
On the buy side we find practices that match your strategy, evaluate whether the numbers survive scrutiny, model the deal with realistic post-close economics, and manage the transition so the acquired practice does not lose its providers in the first six months.
What's included
Everything in this service, in writing.
Sale preparation
Twelve to twenty-four months of operational cleanup: coding and billing integrity, contract assignment, chart and credential hygiene, and financial reporting.
Confidential marketing
Blind profiles, targeted outreach to strategic buyers and private equity platforms, and NDA-gated disclosure of practice identity.
Buyer qualification & vetting
Proof of funds, financing readiness, transaction history, and cultural fit with your providers and staff.
Due diligence management
A single data room, a diligence tracker, and clinical, financial, coding and compliance responses prepared before questions arrive.
Deal structuring & transition
Letter of intent, purchase agreement coordination with counsel, earn-out modelling, and a 100-day integration and retention plan.
How it runs
The engagement, step by step.
01
Preparedness assessment
We review financials, provider agreements, payer contracts, compliance posture and operational metrics, then tell you what a buyer will discount — and what to fix first.
02
Valuation & positioning
Normalised earnings, market multiple range, and the equity story that gets a premium: growth, retention and payer diversification.
03
Marketing & offers
Confidential outreach, management presentations, buyer meetings and letter-of-intent negotiation.
04
Diligence to close
Data room management, Q&A coordination, definitive agreement support, and closing — followed by a structured 100-day transition.
What we hold ourselves to
These are the operational targets we report against for this service. They are industry benchmarks and internal commitments — your results depend on your volume, payer mix and specialty, and we will tell you honestly where you should expect to land.
4–8×
EBITDA multiple
3–6 months
Typical time to close
100 days
Transition plan
12–24 mo
Prep runway for premium
FAQ
Common questions.
What is my practice worth?
It depends on normalised earnings, provider concentration, payer mix, growth, and how much of the revenue depends on you personally. A solo practice where the physician is the entire enterprise trades at a lower multiple than a four-provider group with a management layer. We model it properly rather than quoting a rule of thumb.
Asset sale or stock sale?
Almost always an asset sale for the seller's liability protection, though it costs the buyer more in depreciation terms and can affect price. Structure is negotiated alongside price, and your attorney and CPA drive the final decision.
Will you keep this confidential?
Yes. Marketing materials are blind — no practice name, no address, no physician names until an NDA is signed. Staff and patients are told when you decide to tell them.
Should I sell to private equity?
PE platforms often pay the highest headline price but usually want a multi-year commitment, aggressive growth and a management layer. Strategic buyers and physician partners often pay less but give you more control. We will show you both paths with real numbers.
Can you help me buy a practice?
Yes. We source opportunities, run the financial and operational diligence, sanity-check the seller's numbers against claims and remit data, model post-close economics, and manage the transition after closing.
Related services
Often bought together.
Practice Start-Up & Management
Entity formation, licensing, payer contracting, EHR selection, fee schedules, policies and launch support for new practices and new locations.
- Open on schedule, billable from day one
- Contracts, credentialing and fee schedules ready before you see patients
- A named operator for the first 90 days
EHR Implementation & Practice Technology
EHR and PM selection, implementation and migration, interface and interoperability work, automation, reporting and security.
- Vendor-neutral selection — we do not sell software
- Implementation, data migration and staff training
- Interfaces, automation, reporting and security hardening
Telehealth, RPM & Chronic Care Programs
Program design, device logistics, patient enrollment, care plans and compliant billing for telehealth, remote monitoring and chronic care management.
- Compliant CCM, RPM and PCM program build and billing
- Device kit logistics, enrollment and consent handled
- Care plans, monitoring workflows and documentation that stand up
Talk to someone who has run this before.
Thirty minutes with an operations lead who works this service every day. Bring your numbers if you have them; we will tell you what we see either way.
A 30-minute call with an operations lead. No obligation, no sales sequence, and we will say so if you do not need us.