Physiotherapy Business Valuations
Physio Partnerships will require a Market Valuation on occasions of new Partners being admitted or other Partners divesting so to have a Firm committed to understanding your business and how it is valued is another important service that we offer at Paris Financial.
There are also occasions where you, and your Partners, want to sell the whole practice to others and this will also require a valuation. There are a number of ways to value a physio practice and we are skilled in identifying what method is best used to value your physio practice.
The main three methods that we use are:
- A percentage of the Turnover of the business (for small practices)
- Discounted Cash Flows method (for fast growing practices, rarely used)
- Multiple of Normalised EBIT (Earnings Before Interest and Tax)
The number 3 method is preferable and the most reliable method of valuing a physiotherapy business and will be accepted by other interested parties such as business and equipment financiers. However, only larger practices are valued this way to reach the market valuation.
Your business valuation performed by qualified valuers that are also specialised in your chosen profession of physiotherapy will give credibility for any reason that you require this service.