There is a lot to consider (and worry about) when you go to sell your pharmacy but there are 3 that bother most owners the most.
1.) I do not know how to value my pharmacy and thus do not know if I am getting a fair offer.
This can be difficult but don’t worry it really comes down to whether you are selling to a chain or another independent. Most will want to know both prior to receiving offers, so you are prepared. Chains typically base the purchase price on a multiple (typically $10 to $25) of the total scripts filled per year. Independents will typically take a multiple (average is 3) of your EBITDA (earnings before interest, taxes, depreciation and amortization).
2.) How do I deliver the news to my employees?
This is a tough subject and really is something you should seek professional help with. Most professionals will recommend trying to keep the information confidential up until the sale is complete. Once the sale is complete deliver the information as soon as you can. You must consider that some employees may be angry and could affect your day to day operations or even the sale itself.
3.) Who would buy my business?
Believe it or not there are a lot of buyers even in a down market. The two main buyers in our market are chains, like CVS and Walgreens, and other independent pharmacies looking to grow. To find these potential buyers seek a broker which can be found by searching pharmacy brokers on Google or speak with your wholesale rep.
