Practice Sales Intelligence - February 2022

Page 1

Practice Sales Intelligence 01332 609318

www.mediestates.co.uk


Practice One

Practice Two

Practice Three

MediEstates Services

Location

London Previous


London Practice Practice location

Perfectly located within West London which is highly desirable to our buyer base. This dental practice has been operating for over 80 years with the current Principal taking ownership in 1989 whereby the practice continued to thrive and grow. The practice benefits from having an extremely loyal internal team and this is mirrored with their loyal patient base. With shops and services close by this practice is open to invite further business and services.

Type of practice

The practice was operating as a 3 surgery practice with the advantage of possible expansion for a further two surgeries. Income is derived through a mix of both NHS and private fee per item treatments. The Freehold is held with an external landlord. There is scope within the business to offer further specialist treatments and continue private growth.

Financials

The turnover of the business, £873,912, is derived from an NHS contract in excess of £390,000 with a healthy UDA rate plus private fee-paying patients and specialist treatments.

Buyer appetites

This practice was marketed to our premier buyers and generated 3 viewings within the first week, one corporate body and two independent buyers. Subsequently, following each viewing we recieved three asking price offers.

Reason for sale/ Incoming purchaser

The practice came to the market due to the current Principals plans to retire from dentistry. All three offers originally held potential tie in periods which was not going to work for our client. Due to the vast interest this request was dropped by the successful corporate buyer and the client was free to leave upon completion of the sale.

Price achieved

We achieved a sale price of £1,650,000 for the goodwill fixtures and fittings with a long lease given at £18,000 per annum. The offer was accepted on the basis that the sale was to run smoothly and to complete at the earliest possible date. This was certainly fulfilled with the practice sale completing in just 3.5 months!

Sale Price

Turnover

Computerised

No. Surgeries

Type

Property

£1,650,000

£876,912

Yes, R4

Three

Mixed NHS & Private

Leasehold

Next


Practice One

Practice Two

Practice Three

MediEstates Services

Location

Suffolk Previous


Suffolk Practice Practice location Well situated on a high street in an affluent town in Suffolk. There is free parking just outside the practice and the location also benefits from shops and services located close by. The practice is long established and run by two partners. Purchased by one partner as a going concern in 1994 and the second partner joining in 2008.

Type of practice This is a predominantly private practice with a small child only NHS contract. The practice benefits from five operational surgeries with scope to add further surgeries if required. There is huge opportunity to grow the income further and look to offer additional specialist treatments.

Financials

The turnover of c£2,296,000 is derived from mainly fee per item treatments and enhanced by a capitation income, small NHS income and specialist income.

Buyer appetites

This practice was marketed exclusively to our Premier Tier buyers due to the size and specification. All serious offers were invited. Three viewings took place all resulting in offers above expectation.

Reason for sale/ Incoming purchaser

The vendors were looking to reduce their responsibilities and more than happy to stay post sale. As the successful purchaser was a corporate body this enabled the vendors to stay at the practice and continue to build on the excellent reputation.

Price achieved

All three offers were placed with deferred consideration and tie-in periods. In order to secure the practice the successful purchaser revised their offer to reflect the vendors expectations. We achieved a sale price of £6,390,000 for the goodwill fixtures and fittings. A long lease was given at £24,000 per annum.

Sale Price

Turnover

Computerised

No. Surgeries

Type

Property

£6,390,000

£2,296,000

Yes, SOE

Five

Predominantly Private

Leasehold

Next


Practice One

Practice Two

Practice Three

MediEstates Services

Location

Dorset Previous


Dorset Practice Practice location

Located within an area of Dorset which is a popular coastal resort. The dental practice has been operating for over 80 years with the current Principals taking over the ownership in 1995. Situated on the ground floor within a large detached property with further room to add two additional surgeries. The practice is close to the main city centre and has good transport links nearby.

Type of practice

Currently operating as a 2 Surgery practice with the advantage of possible expansion for additional surgeries in the future. Income is derived through a mix of both NHS and fee per item treatments and a well-known capitation scheme. The freehold is owned by the existing client who at this point in time has decided to retain the property. A new lease has been granted to the purchaser with first refusal over the property should the client look to sell.

Financials

The practice turnover is £390,670. This is a mix of a well-known capitation scheme, an NHS contract plus private fee-paying patients and specialist treatments.

Buyer appetites

This practice was marketed to our general market buyers and generated two viewings resulting in a further second viewing taking place from the successful purchaser. Following the second viewing, an offer was placed and accepted shortly afterwards.

Reason for sale/ Incoming purchaser

The practice came to market due to the current Principal’s plans to initially retire from dentistry. During the due diligence stages the client realised that they had not lost their love for dentistry and despite not wanting ownership responsibilities, they will be looking to continue practicing as an Associate at a practice close by to home over 30 miles away. As the purchasers are first time buyers the client also kindly agreed to a mentoring period post sale.

Price achieved

We achieved a sale price of £600,000 for the goodwill fixtures and fittings and a long lease was given at £25,500 per annum. In order for the offer to be accepted, the purchaser had to have first refusal over the property which is currently being retained by the previous client. As part of the success for this practice and for full continuation of care, MediEstates have also introduced the purchaser to many key members of the Henry Schein group to cater for the needs of our new client who we will 100% support for years to come.

Sale Price

Turnover

Computerised

No. Surgeries

Type

Property

£600,000

£390,670

Yes, R4

Two

Mixed NHS & Private

Leasehold

Next


Practice One

Practice Two

Practice Three

MediEstates Services

WHY US? & HOW CAN WE HELP ? Sold 1100+ practices

£825+ million of practice sales

Evidence based valuations with over 200+ years collective experience Largest buyer reach as we are part of the Henry Schein network Over 4,400 buyers in our database

400+ valuations peer reviewed by panel of experts

Voted the most ethical company for the 10th year running

Commercial property review – Reports tailored to your practice size and location

Get in touch

01332 321697

Specialist CQC team contact@mediestates.co.uk

www.mediestates.co.uk

@mediestates


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