Specialist Medical Practice Valuation
Your specialist medical practice is everything to you, and as transitions arise, it is important to create a calculation of value (COV). COVs can tell you how much your practice is worth, which you need to know when:
- You are planning to sell or transfer ownership of your practice
- Partnerships are changing with the practice
- Practice owner is going through a divorce
- Estate Planning
- Retirement Planning
At HMSA, we complete COVs for specialist medical practices like yours. Let us show you how much you stand to gain from a sale and how you can improve future valuations.
What value is my specialist medical practice worth?
This type of valuation is based on the future expected profit (earnings) adjusted for unexpected costs. Usually, four different methods are used to determine a Valuation:
- The Multiplier, or the “Rule of Thumb” Method
- The Market Approach Method
- The Income Approach Method
- The Asset Approach Method
For an appraisal of your specialist medical practice, it is worth keeping in mind that:
The true value of a specialist medical practice is not the amount you think it is worth nor the amount someone tells you it is worth based on gross, net, multipliers and the like. Rather, it is how much someone is willing to pay.