October 14, 2016 taxitime

5 reasons you should get a business valuation BEFORE buying

Buying into an allied health practice is a huge investment for your future with considerable personal risk for yourself. Given the size of the investment and risk a business valuation is highly recommended for many reasons, including these I have listed below:

  1. Rely on professionals who have experience in the whole marketplace
  2. Don’t overpay when embarking on a significant financial commitment, pay the fair and market price
  3. For the future, other Partners may come in or leave the practice, a market valuation will set the benchmark for this purpose
  4. Banks often require valuations to lend for the purchase
  5. Challenge the seller’s offer armed with the real valuation and objective information to backup that value

Pat Mannix, Partner, Paris Financial

Follow me on Twitter @mannix_pat

Image courtesy of Vichaya Kiatying-Angsulee at FreeDigitalPhotos.net

 

 

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