Thursday, May 25, 2017

Don't Plan to Fail....

Unfortunately, procrastination may be all too common among business owners... NOT a good trait for those considering selling.  The Exit Planning Institute (EPI) estimates that 4.5 million businesses will go to market over the next decade.  However, only 20 - 30% may actually be sold according to Christopher Snider, EPI CEO.  Recent surveys of business owners by EPI reveal that many have little to no exit planning in place. 
If you fail to plan, you are planning to fail.
Platinum Financial Planning;

Selling is not a snap decision nor will it happen in a snap...or, at all if you consider the input from EPI's Snider. It's a decision that requires ample thought...

Michael R. Lewis, a retired corporate executive and entrepreneur, suggests that owners consider some of the following questions before initiating the sale process. 
  1. What will you do after the sale?
  2. Can you replace the income from your business?
  3. Does your business enjoy a healthy advantage in the marketplace?
  4. Who are potential buyers?
  5. What are possible obstacles to a sale?
  6. Are you able to run the business and participate in the sale process?
Start the planning now... the experts suggest business owners start preparing for a sale 3-5 years from the desired exit date.  Conducting internal due diligence is one approach to assessing how prepared an owner is for the big event.  And, keep Ben Franklin's quote in mind... to spur you into action.

Wednesday, May 03, 2017

Investor Feels Good about Urgent Care

CityMD, the New York metro area urgent care provider, will soon go under the Warburg Pincus banner.  The private equity firm is planning to acquire a majority stake in the healthcare services provider.

Good Feeling about UC
Warburg's interest is understandable.  CityMD, founded by Dr. Richard Park in 2010, has experienced impressive growth.  Dr. Park grew the operation from a single clinic to 68 locations serving more than 1 million patients annually (through a merger and start-ups). CityMD has a heavy presence in the New York metro area - the City, Long Island, northern New Jersey.  Also, through a partnership with CHI Franciscan Health, CityMD operates clinics in Washington state.

With today's preference for convenience and as high-deductible health plan become more commonplace, patients will likely seek out urgent care centers to address certain health needs.  Many clinics have already expanded their service menu to appeal to patients. In fact, Becker's Hospital Review reports that "adults under age 30 are more likely to visit an urgent care center than a primary care physician."  Increased use of urgent care centers bodes well for the growth of the sector.