Selling Your Pharmacy
Selling Your Pharmacy
Selling your pharmacy will be one of the most significant business decisions you will face. From beginning to end, PCA will guide you throughout the entire process, while protecting your interests and maximizing your value.
If you are considering selling your pharmacy, the first step you need to take is to engage PCA. The improper dissemination of materials, data, or financial documents from your pharmacy can erode your value. Pharmacy Owners need to engage expert assistance prior to beginning the sale process in order to protect your interests and maximize your value. PCA will then build an Executive Portfolio Summary on your pharmacy while working closely with your legal and accounting professionals to ensure accuracy and confidentiality. We also work with you to make sure you are fully aware of the Board of Pharmacy and DEA requirements associated with transfer of ownership. Then, we will deliver the appropriate information to our network of qualified independent Buyers. Once you have accepted an offer, PCA will attend your “closing’ as your representative. Without proper representation, Pharmacy Owners can leave as much as 20% of their inventory value on the table. At PCA, our goal is to minimize your worry and maximize your value while protecting your interests.
At PCA we will coach you to avoid the following common pitfalls:
Inadequate Representation: One of the most common mistakes made by pharmacy owners. Often times the pharmacy buyer has been involved in many transactions, and the seller lacks experience. Pharmacy owners will rely on advice from colleagues, distribution representatives, or business advisers who do not thoroughly understand the pharmacy buy-sell process.
Poor Planning: At PCA, we encourage pharmacy owners to plan their exit strategy well in advance; In fact, the day to begin planning you exit strategy is the day you buy your pharmacy.
Misunderstanding of Pharmacy Valuation Techniques: An accurate valuation of your pharmacy is critical to a successful divestiture. Attempting to use standard industry metrics (e.g. Dollars per script, percent of revenue) seldom results in an accurate valuation. At PCA, we use metrics adjusted to your particular situation, and test our model against a Return on Invested and Committed Capital database.
Improper Dissemination of Information: The dissemination of information to a potential buyer is critical to establish the highest value. At PCA, we will provide accurate information on your pharmacy in a way that maximizes your value.