Finance for Buying a Professional Practice
Every cost of the transaction,
not just the price.
A practice purchase needs funding for more than the agreed price. This is what typically needs funding, in the order it tends to arise.
The journey
- 1
Goodwill
Often the largest part of the price, and the part lenders look at most closely.
- 2
Premises
Where the freehold is part of the deal, or you want to buy it separately.
- 3
Deferred consideration
Later instalments due to the vendor, or replacing them with a single payment.
- 4
Stock and equipment
Stock on day one for pharmacies and opticians, and any equipment upgrades.
- 5
Fit-out
Refreshing the practice under new ownership.
- 6
Working capital after completion
Payroll, integration and the gap before income settles.
- 7
PII run-off, where relevant
For regulated professions, run-off cover can be a significant payment on a merger or acquisition.
Let's talk
Finance for
what's next.
Before you approach a lender, speak to someone who understands the transaction. Confidential, no-obligation initial discussion.