Healthcare Business Valuations

How much your healthcare business is worth on the market is the most critical piece of information required when a sale or divestiture is being considered. Accuracy is vital, but can be a challenging goal given the fluctuating nature of markets in this fast- and ever-changing industry. Having expertise on your side can make an impactful difference.

Fleetridge Pacific advisers provide comprehensive business valuation services to our clients, taking a systematic and professional approach to all valuation engagements. Valuing a healthcare business requires the consideration of a variety of complex factors. We design our healthcare business valuation services to reflect the reality of current market conditions. We have our fingers on the pulse of the healthcare industry, enabling us to provide the most accurate and up-to-date valuation for your business.

Why You Need a Valuation

  • Valuing a healthcare business requires input from specialists, as it is a must to understand the value drivers relevant to the healthcare industry sector.
  • When business owners entertain the idea of selling their business, a market-based business valuation is a great place to begin formulating the foundation of their decisions.
  • In the event of a merger, sale or alliance, it is vital to understand the value likely to be created through the transaction.

What a Valuation Entails

At the most basic level, providing healthcare valuation services for mergers and acquisitions entail identifying assets, analyzing cash flows, and determining their worth to potential buyers. Here’s an simplified synopsis of what Fleetridge Pacific will do for clients:

  • Assess the value of tangible assets (such as real estate, equipment, furniture, etc.)
  • Assess the value of intangible assets (scale of business, staff expertise and experience, innovative power, etc.)
  • Assess the financial state of the business (revenue, debt levels, margins, cash flows, etc.)
  • Assess how potential buyers in various sectors might value specific assets (determine best synergy matches based on trends, geographic locations, etc.)
  • Carry out all of these assessments based on current market conditions
  • Provide an estimate of an expected selling price

The Importance of Expertise

A general M&A adviser or broker may provide similar services, but cannot match Fleetridge Pacific’s industry-specific expertise. Accurate healthcare valuations require understanding how home health agencies, hospice agencies, physicians’ practices, labs and medical device companies operate — and we do. We know how they provide care, how they handle legal challenges and how they market, thanks to our team’s vast experience in various segments of the healthcare industry.

Understanding each sector so thoroughly helps us understand the others. With this insight, we can determine which specific potential buyers might be able to maximize synergies — which can greatly affect valuation. We not only have that expertise, but also close relationships with industry players, and a database of private equity firms that focus on healthcare investments.


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Need an accurate, current valuation of your healthcare business? Contact us today to learn what we can do for you — 888-220-2270.