🏥 Factors affecting practice value: internal and external factors.

🔍 Internal factors:

1️⃣ Good practice reputation = higher value. Indicates efficiency, quality, and patient satisfaction.

2️⃣ High revenue per patient and patient volume = more value.

3️⃣ Efficient processes and updated operations = increased value. Improves staff productivity.

💡 Modernization factors:

New equipment, computer systems, and technology.

Leasehold improvements. Offer a turnkey operation and add value.

💰 Cash flow is key:

Net operating income determines the practice's profitability.

Buying a practice without profitability is not recommended.

📈 Practice-specific trends:

Patient volume and retention.

Practice capture rate.

Effective patient communication.

Referral sources' impact on patient flow.

📍 External factors:

Location analysis is vital.

Area demographics and competitors affect practice viability.

Economic climate, employment rate, and home prices impact the practice.

Local demographic conditions influence the type of services provided.

Population age helps determine specialization options.

City growth rate indicates potential new patient acquisition.

📊 Analytical and unbiased approach:

Gather data and understand how the business operates.

Formulate changes for growth and improvement.

Determine feasibility.

Hit the ground running and maintain successful operations.

💼🌱 Gather data, analyze, and plan for a successful practice purchase.