Specializingin cattle operations, this two-location large animal vet practice is up forsale. Owned and operated by 3 practicing DVM’s, the sellers are looking toslowly transition out of the operation over the next 3 years, and are lookingfor an absentee owner to take interest in the business now. All three ownerssplit time between the two locations, and are helped by two non-owner DVM’s.While the practice has operations in two different towns, the distance betweenboth is just a 15-minute drive.
With focusin the care of cattle, roughly 80% of services are focused on cow/calf andfeedlot operations, including processing facilities. A large part of servicesinvolves dispensation of medication and antibiotics, and comprises 1/4 to 1/3of income. The vets also assist with swine operations, equine facilities andsmall animal concerns.
Six feedyard technicians, helping with the examination and treatment of animals, assistthe vets. Each location has an office manager to handle daily operations andrun the facilities, including A/R, A/P and payroll. Facilities include corrals to hold animalsdropped off for longer-term care.
Agrowth opportunity exists in increasing small animal care, which currently onlycomprises about 8% of income. Even without that increase, a 10% down payment of $140,000 would yield a first-year profit of $156,497after debts.
Years in Business: 14+
Location and Service Area: NortheasternNebraska
Service Breakdown: 40%cow/calf, 40% processing, 8% small animal, 7% swine, 5% equine
Services: Dispensarycomprises nearly 1/3 of income; very little emergency work performed, exceptfor assistance during calving season
Clients:Feedyards, processing, small ranches/farms; top client has spent 500K over the last6 years (25,000 head operation)
Lease:$5,000/month for 2 locations
Reason for Selling: Plannedretirement strategy
Employees: 3owner vets (all will stay on), 2 non-owner vets, 2 office managers (1 at eachlocation), 6 feed yard technicians to assist the vets
Growth Opportunities: Additionalsmall animal care
Current Owner’s Responsibilities: 3 DVM owners looking to retirewithin the next 3 years
Equipment: $45,018– ultrasound and x-ray machines, chute, office machinery – each location hascorrals for cattle/equine drop offs
Intangible Assets: Reputation,client list
Build-out: $210,000for buildings and customizations
A/R: $239,000 between bothlocations – 59% is current & under 30 days
Purchase Price: $1,400,000
10% Buyer Down Payment: $140,000
15% Seller Financing: $210,000
75% Bank Loan: $1,050,000
A 10% down payment of $140,000would yield a first-year profit of $156,497 after debts.