Medical businesses are a specific niche area of business valuation and there are very few business valuers in Australia who specialise in medical.
Businesses which are deemed to come under the medical businesses banner or categorisation include:
- General practitioners
- Naturalistic health practitioners
- Medical centres
- Wholesalers and distributors
How are medical businesses valued?
One way is a multiple of earnings, but another way is a multiple of revenues or billings. There are extremes in medical valuations according to the loyalty of customers, the habitual nature of customer demand (seeing the practitioner two or three times a year ...or seeing the specialist only once in a decade etc) so the price earnings ratios of medical businesses varies significantly. Whether the practice is in the country or the city is also an important factor in assessing value.
The business valuer network has a specialist business valuer whose specialty is health industry valuations and his name is John Dorazio. Contact the network co-ordinator on 1300 634588 and he will get John to contact you about your medical business valuation .