Practice Sales Intelligence 01332 609318
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Practice One
Practice Two
Practice Three
MediEstates Services
Location
Southwest Wales Previous
Southwest Wales Practice Practice Location This dental practice has been in operation for almost 25 years after first opening in 1997, the practice was relocated to new premises from which it has been operating since. Situated in a prime location on the edge of a well-known town in Southwest Wales, the practice has a wide reaching, supportive and loyal patient base.
Type of Practice This is a six surgery, predominantly NHS practice, with a small list of private patients. Total NHS income equates to c.£950,000, topped up by private, specialist and hygiene treatments to generate a total revenue in excess of £1,000,000. The business holds the opportunity to further drive the private side of the business and expand the range of specialist treatments on offer. Patients are treated by either the Principal or one of the team of Associates, who are supported by 2 part time Therapists and 1 part time Hygienist.
Financials
Total turnover of £1,024,182 is generated from NHS contract income, private fee per item, and hygiene/therapy. There is a copious amount of scope and potential to increase the income with significant chair time available.
Buyer appetites
During the marketing period, we approached 98 individual buyers and shared with them the sales particulars that we had created for the marketing of the business. We also received a total of 892 web views of the practice via our website. We had three buyers attend the practice for viewings, all of which submitted offers to purchase.
Reason for sale/ Incoming Purchaser
The practice owner, having grown the practice to the successful business it now is, wished to hand the business over to a new owner to continue his legacy. The outgoing Principal was happy to continue working post-completion to facilitate a short handover period.
Price achieved
The final sale price was agreed for the business at £975,000 plus the purchase of the Freehold for £225,000.
Sale Price
Turnover
Computerised
No. Surgeries
Type
Property
£975,000
£1,024,182
Yes, SOE
Six
Predominantly NHS
Freehold
Plus £225,000 for freehold
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Practice One
Practice Two
Practice Three
MediEstates Services
Location
Berkshire Previous
Berkshire Practice Practice Location This well established practice has been in operation since 1975, with the current owners taking over in 1994. The practice is located in an affluent area of Berkshire on a busy high street with significant passing trade and is well served by local transport infrastructure.
Type of Practice This modern practice benefits from shop window frontage and is set over four floors, comprising four fully equipped dental surgeries. The partners also own the freehold premises opting to retain the property and market on a leasehold basis.
Financials
The turnover of £1,384,512 is derived predominantly through private fee-per-item income supported by a small NHS contract, capitation scheme and specialist treatments. The current Partners work alongside a team of Associate Dentists, Specialist, Therapists and Hygienists.
Buyer appetites
Due to the size and specification of this practice it was marketed exclusively to our Premier Tier purchasers, resulting in significant buyer interest. We initially contacted around 30 premier tier buyers and subsequently arranged 7 practice viewings. All buyers who viewed were large group / corporate dental owners and from these viewings we were able to obtain 4 offers to purchase. The highest offer with the most suitable terms was accepted.
Reason for sale/ Incoming Purchaser
The practice came to the market following discussions the partners had with regards to their planned exit strategy as they begin to reduce their responsibilities ahead of retirement. After taking advice, the partners understood that because the practice is predominantly private, there might be a requirement to stay on and work for the incoming buyer for a suitable period.
Price achieved
The sale price was agreed on a leasehold basis at £2,975,000. A portion of the sale price was deferred for 36 months, due to the risks associated with acquiring a private practice. The terms were carefully tailored to ensure they were reasonably achievable in the current climate.
Sale Price
Turnover
Computerised
No. Surgeries
Type
Property
£2,975,000
£1,384,512
Yes, SOE
Four
Predominantly Private
Leasehold
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Practice One
Practice Two
Practice Three
MediEstates Services
Location
Hampshire Previous
Hampshire Practice Practice Location Established for over 50 years, this well-situated practice is located in a busy city within Hampshire. The practice benefits from good accessibility, close to main transport links and with a large onsite car park, making it a desirable acquisition for the incoming purchaser.
Type of Practice The practice has three good sized surgeries and income is generated through a GDS NHS contract, private fee-paying patients, and a small well-known capitation scheme. There is huge potential to increase the private turnover with very minimal marketing being carried out to date. The Principal was very happy to continue working at the practice post-sale to help sustain the income and further grow the business.
Financials
Total turnover of £604,071, includes a £372,483 NHS contract whereby the provider would be targeted to complete 14,000 UDAs per annum. There is further scope to increase the private income by fully utilising the available chair time, introducing additional services, and looking at marketing options.
Buyer appetites
Due to he desirability of the location and mixed income streams, the practice practice attracted significant interest, with MediEstates arranging 20 viewings with prospective purchasers. The Principal decided to sell to a buyer that had the right financial backing but also shared the same values and ethos as he did, as he knew his staff and patients would be well looked after.
Reason for sale/ Incoming Purchaser
The Seller decided to come to market so that he could reduce his responsibilities and would be able to travel to his hometown in France more freely. Although the practice benefits from the security of the NHS contract, the vendor has a private patient list which produces a sizable amount of fee-per-item income, so knew that an incoming buyer may want him to stay on post sale.
Price achieved
£940,000 inclusive of goodwill, equipment fixtures and fittings. The sale was agreed on a leasehold basis at an annual rental of £22,000.
Sale Price
Turnover
Computerised
No. Surgeries
Type
Property
£940,000
£604,071
Yes, SOE
Three
Mixed NHS & Private
Leasehold
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Practice One
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MediEstates Services
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