Insights
What PT owners should know before they sell.
Plain answers on how buyers value a physical therapy practice, how asset sales are structured, and what to fix before you go to market. 27 articles.
Valuation
Add-Backs: What Buyers Accept and What They Reject
Which add-backs PT practice buyers accept, which they reject, and the documentation standard that decides whether an add-back holds up in diligence.
3 min readValuationHow Buyers Calculate EBITDA for a PT Practice
A step-by-step look at how buyers normalize PT practice earnings, including market salary for your clinical role and adjusting rent to market.
4 min readValuationPayer Mix and the Value of Your PT Practice
How commercial, Medicare, workers comp and cash-pay patients affect PT practice value, plus why contract assignability matters in an asset sale.
3 min readValuationWhat Is My Physical Therapy Practice Worth?
How buyers value an independent PT practice: EBITDA versus owner earnings, typical multiple ranges, and what moves you up or down within a range.
4 min readValuationWhy Your Referral Mix Affects Your Sale Price
How referral concentration in one physician group lowers PT practice value, and how direct access and diverse sources make earnings safer to buy.
3 min readValuationWhy a Second Location Changes Your Sale Price
How the number of locations shifts the EBITDA multiple buyers pay for a PT practice, and why opening a second site just to sell can backfire.
3 min readPreparing to Sell
Exit Planning Two Years Out: What to Fix First
Two years before selling your PT practice, fix these first: your books, owner dependence, referral mix, growth trend, lease and documentation.
3 min readPreparing to SellOwner Dependence: The Biggest Discount on a PT Practice
Why buyers discount PT practices where the owner treats most visits, and how to reduce owner dependence over 12 to 24 months before you sell.
3 min readPreparing to SellRetrades: Why Buyers Cut the Price After the LOI
A retrade is when a buyer lowers the price after you sign an LOI. Learn why it happens and how preparation and a ready data room prevent it.
3 min readPreparing to SellThe Documents You Need Before You Sell a PT Practice
The financial, staff, lease and contract documents buyers ask for when you sell a PT practice, and why each one affects your price and timeline.
3 min readPreparing to SellThe Numbers Buyers Check First in a PT Practice
Why buyers look at collections per visit and visits per therapist first, how to calculate both, and how to track them monthly before you sell.
3 min readPreparing to SellYour Lease and the Sale of Your PT Practice
How your clinic lease affects a PT practice sale: assignment clauses, landlord consent, remaining term, and owner-owned buildings at market rent.
3 min readDeal Structure
Asset Sale vs. Stock Sale: What PT Owners Should Know
What actually transfers in an asset sale, which liabilities stay behind with your company, and why we only represent PT owners in asset sales.
3 min readDeal StructureEarnouts in PT Practice Sales: How to Protect Yourself
An earnout ties part of your price to future results. Here is how to keep targets measurable, periods short and the money worth what it claims.
3 min readDeal StructureHoldbacks and Escrows Explained for PT Practice Sellers
A holdback or escrow sets aside part of your sale price after closing. Learn what it covers, how release works, and what to negotiate.
3 min readDeal StructureSelling Your Practice to Your Senior PT
How an internal sale to a senior therapist works: financing, seller notes, transition plans, and the honest pros and cons for PT owners.
3 min readDeal StructureTaxes on an Asset Sale: The Basics to Ask Your CPA
General concepts to raise with your CPA before selling your PT practice in an asset sale: purchase price allocation, deferred payments and timing.
3 min readDeal StructureWhat a Seller Note Is and When to Accept One
A seller note means part of your sale price is paid over time. Here is how interest, security and risk work, and how to size one sensibly.
4 min readBuyers
Seller-Only Representation: Why Who Pays Your Advisor Matters
If your advisor is paid by the buyer or works both sides, their incentives may not match yours. Here is what to watch and what to ask.
3 min readBuyersWhen One Therapist Carries the Clinic
When one clinician drives most of your visits, buyers see risk. How to measure provider concentration, retain key therapists and build a bench.
3 min readBuyersWho Buys Physical Therapy Practices
The four types of buyers for independent PT practices, what each one values, and how to match your clinic to the right buyer before you sell.
3 min readThe Sale Process
Compliance and Billing: What Diligence Uncovers
What buyers check in your PT practice's documentation, coding, denials and audits during diligence, and how to fix problems before going to market.
3 min readThe Sale ProcessHow to Compare Two Letters of Intent for Your PT Practice
Two offers rarely line up neatly. Here is how to put cash, notes, earnouts, holdbacks and terms on one sheet and compare them honestly.
4 min readThe Sale ProcessHow to Tell Your Staff You're Selling Your Practice
When and how to tell your PT staff about a sale, how to keep it confidential, and how to keep key therapists through the transition.
3 min readThe Sale ProcessSeven Mistakes PT Owners Make When Selling
Seven avoidable mistakes PT practice owners make when selling, from waiting too long and taking the first offer to weak books and poor transitions.
3 min readThe Sale ProcessThe PT Practice Sale Timeline, Stage by Stage
A stage-by-stage look at how long it takes to sell a PT practice, from valuation to closing, and what you need to do at each step.
3 min read