Thinking of selling your home care agency eventually? Here’s what you need to start planning for now.
The appetite among strategic investors seeking to expand their home care footprint through acquisitions and financial investors seeking a platform to enter the industry has never been stronger. It’s being fueled by durable, expanding demand by families steadfast in their intent to keep their elderly loved one safe and sound in the comfort of home. It’s also being fueled by the $2.8 trillion US health care system’s embrace of home care to improve continuity of care and reduce readmission rates.
Nonetheless, for many owners of home care companies, the question “What is your Exit Strategy?” is a source of angst. They have been so focused on building their care teams and serving others that they haven’t thought much about themselves in terms of how they will eventually monetize and maximize their home care investment when the time is right to sell.
For more than 15 years, we have been blessed to initiate confidential acquisitions across the country on behalf of our high achieving home care clients. In doing so, we noticed five commonalities among those owners that achieve excellent outcomes. These “Five Enablers of Top Dollar Exits” are the pillars of our Succession Planning & Sale Preparation Process. They are summarized as follows.