VALUATIONS / PRACTICE APPRAISAL

Purchase/Sale of a Veterinary Practice: Document List

Below is a list of items a buyer should want to see when looking to buy a veterinary practice. As the seller, you should have these items ready and waiting for a potential buyer. As the buyer, these are things you need to look at to get a good handle on the practice.

1. FEDERAL INCOME TAX RETURNS FOR THE LAST FOUR YEARS. SCHEDULE C, PLUS SCHEDULES, FOR SOLE PROPRIETORS. FORM 1065, PLUS SCHEDULES, FOR PARTNERSHIPS. 1120 OR 1120S, PLUS SCHEDULES, FOR CORPORATIONS OR S-CORPORATIONS.

2. FINANCIAL STATEMENTS FOR THE LAST FOUR YEARS.

3. CURRENT YEAR INTERIM FINANCIAL STATEMENTS.

4. INFORMATION ON BREAKDOWN OF GROSS IE. OFFICE VISITS, LAB ANESTHESIA, SURGERY, ETC. FOR THE LAST TWO YEARS.

5. INFORMATION ON THE NUMBER OF PROCEDURES IE. 3,000 OFFICE VISITS, 2,312 INJECTIONS, 900 WORMINGS, ETC. FOR THE LAST TWO YEARS.

6. GROSS PER MONTH FOR THE LAST TWO YEARS.

7. NUMBER OF CLIENTS (TRANSACTIONS) PER MONTH FOR THE LAST TWO YEARS.

8. NUMBER OF NEW CLIENTS PER MONTH FOR THE LAST TWO YEARS.

9. PRODUCTION PER DOCTOR PER MONTH FOR THE LAST TWO YEARS.

10. CURRENT PAYROLL JOURNAL, AND INCLUDE HOSPITAL POSITION AND DATE OF HIRE FOR EACH EMPLOYEE.

11. FEE SCHEDULE.

12. LIST OF MAJOR MEDICAL EQUIPMENT.

13. LIST OF OFFICE EQUIPMENT.

14. LIST OF EQUIPMENT NEEDED, IE. EKG, HEART MONITOR, IF ANY.Ç

15. APPRAISAL OF EQUIPMENT, IF AVAILABLE, IF NOT, ESTIMATE VALUE.

16. APPRAISAL OF LAND AND BUILDING, IF APPLICABLE. IF NOT AVAILABLE, ESTIMATE VALUE.

17. ESTIMATE OF DRUGS AND SUPPLIES ON HAND, AT COST.

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