Thinking of retiring? Implement a succession plan several years in advance for a seamless transition.
It’s just as important to have a profitable and smooth exit strategy as it is to have a successful business plan to open a new pharmacy or purchase an existing pharmacy. More than 37 percent of pharmacists were 55 or older in 2014. Whether you’re looking to buy a pharmacy or sell your pharmacy, now is the opportune time.
The pool of potential independent buyers is growing every year: Not only do you have current owners that would like to expand, but the number of practicing pharmacists in the U.S. increased about 19 percent from 2003 to 2014. The number of professional student pharmacist enrollments also is increasing. Every graduating pharmacist with an entrepreneurial interest represents a future independent pharmacy owner.
For those looking toward retirement (or even a ways off from it), implementing a succession plan several years before retirement comes can put all the financial and operational processes in place to ensure a seamless transition. Remember it’s never too early to start the planning process.
Interested in buying? Consider independent.
For those interested in buying a pharmacy of their own, there is the appeal of the flexibility to spend quality time with patients, providing superior care and not just filling a quota. Here are just some of the benefits of running your own independent pharmacy:
- An independent pharmacy can be a sound investment for a new owner.
- Independent pharmacies enjoy long-established, personable patient relationships.
- Independent pharmacies are important community institutions that not only provide excellent care to community members, but also nurture loyal employees.
Gary Basrai, PharmD, Western States board member and successful multi-store owner, says when looking at opportunities he focuses on pharmacies that have a succession or transition plan in place. For those thinking of buying an existing pharmacy, Gary suggests that you look at not only the inventory costs, and good will, but any remodel and systems changes that may need to be implemented as well to drive further success.
Gary has been an independent pharmacy owner for over 35 years. After completing his PharmD in 1977 at the University of Pacific, he started out by owning one pharmacy location. He currently owns and operating 10 locations in four different counties. As Gary says, “Keeping Independent Pharmacies ‘independent’ is our obligation to all of our WSPC members.”
WSPC can help you plan for a seamless buying or selling process.
Western States Pharmacy Coalition cares deeply about helping its members make sound decisions about the future of their pharmacies. WSPC offers reputable resources for the buying and selling process. Whether you would like to talk with a WSPC member who has purchased or sold pharmacies, contact a financial institution or specialized business consultants, and reach out to others interested in working with independent pharmacies, WSPC can help.
To learn more about succession planning, and independent pharmacy purchasing and selling options, WSPC has a group of individuals with pharmacy ownership buying and selling experience.
If you are interested, please contact any of the following:
John Bruce, PharmD
Vince Cardinale, RPh