Own a high net acupuncture practice north of Seattle

• Located just 20 miles due north of Seattle, beautiful Edmonds is an easy commute to the big city while still retaining its spirit as a small town.
• Edmonds has a population of just over 40,000, with access to the Seattle Metro Area’s 4 million-plus residents.
• Situated near the sparkling Puget Sound, Edmonds is surrounded by water, mountains, and evergreen forests, and contains thousands of acres of parkland.
• The area has one of the most vibrant economies in the country and has long been recognized as the business, financial, and cultural center of the Pacific Northwest.
• The region possesses a critical mass of well-capitalized and innovative companies that are global leaders in industries such as aerospace, biotechnology, global health, research, retail, software, technology, and wireless services.
• Edmonds is also home to Washington State's first designated Creative District. The community's significant commitment to art in all its forms brings out the best in performing, literary, visual, culinary & liquid arts.
• For the past eleven years, the practice has been located in a mixed-used medical building a couple miles east of downtown near the city’s hospital.
• The 930-square-foot office consists of 3 treatment rooms, a waiting/reception area, a bathroom, a kitchenette, and a storage room. The space is modern and tastefully decorated, and the clinic maintains a close relationship with nearby health providers and the local community, from which it receives many referrals.

• Healing Points Northwest is a non-specialty practice, mainly addressing pain, stress and anxiety, digestive issues and women’s health.
• The patient population has spanned from teenagers to octogenarians. That said, the majority of the current patient load consists of professionals between the ages of 30 and 70 years old.
• The clinic has historically averaged 30-40 patient visits per week, and lately has increased to 40-60 per week.
• Most patients have insurance that covers treatments to some extent, and most continue to come in for maintenance on a consistent basis.
• The majority of patients are from communities within 25 miles of the office. Given the owner’s long history in the area, many patients are referred by word-of-mouth, while others come through the practice’s online presence and in-network insurance webpages.
• The current owner is happy to provide years of past calendars to prove consistent patient volume.

• The current owner uses a combination the Richard Tan Balance Method, TCM, and Master Tung points. She also does a lot of cupping.
• She has been trained in Micro Acupuncture and special techniques for conditions related to the eyes and vision.
• She uses some muscle testing and whole food nutritional counseling.
• About 30% of patients take herbal medicines and supplements, primarily from Evergreen, Golden Flower, and whole food-based vitamins from Standard Process.

The following income and expense summaries are derived from an average of income and adjusted* expenses from 2018-2021. The current owner has office hours 3 ½ days per week and takes up to eight weeks off per year. The practice picked up during COVID, with record numbers of ongoing patients.

Income

Average gross yearly revenue (3 years): $175,491 ($14,624/month)

Expenses

Average adjusted* expenses: $78,571 yearly ($6,548/month)

*Adjusted expenses are the net expenses that a new owner would have to take on in order to run the business at the same level of revenue as the current owner

Net Profit:

Average $96,920 per year ($8,077/month)

• The price is based on a conservative professional valuation of over $153,380, with an average yearly gross of over $175,000 for the past several years.
• The owner’s motivation to sell in a timely fashion has allowed her to generously factor in a discount off of the valued price for potential attrition and start-up costs on change of ownership. She expects the right person will retain her patients and transition smoothly, making this a great opportunity for the buyer.
• The purchase will be structured as an asset purchase agreement and may be drawn up between buyer and seller (preferred) or by attorneys, at the discretion and by agreement of both parties.
• Approval of the buyer is subject to a credit check, and loans from medical practice brokers, banks, or the Small Business Administration (SBA) may be available to finance the transaction depending on the buyer’s creditworthiness.
• The seller may also be willing to hold the loan given a significant down payment from the buyer and excellent credit.
• Upon purchase, the new owner will receive all patient records and equipment, in addition to any supplement inventory.
• The current owner will also transfer to the new owner all clinic-related intellectual property, including the clinic phone number, website, claimed Yelp page, MyTime scheduling and point-of-sale system, Mailerlite mass email program, and clinic-related financials.
• The current owner will facilitate interaction with the landlord in order to secure favorable lease terms.
• The current owner’s goal is to surrender the practice by the end of 2023. She would be willing to stay on for a limited time to train a new owner in her techniques and to assist in the transition, if so desired by the new owner, at no additional cost.

While the current practice nets a healthy return, a motivated buyer could significantly increase their income upon acquisition through a number of simple changes.

• Work more hours – The current owner has office hours 3 ½ days per week, leaving plenty of room to work more hours in the clinic, which would obviously increase revenue.
  
  
• Add additional practitioners – In addition to or in lieu of working more hours, the practice could easily support at least one more provider during the times when the office is unoccupied as either an employee or sublessee.

• Do some marketing - The practice does very little marketing outside of its web presence. There is a database full of patient information that could be used for marketing directly to current and former patients, but the clinic has been busy enough that these resources have not been leveraged. Doing any kind of additional marketing would create more opportunities for an increase in new patients and a return of pre-existing patients.
  
  
• Improve online presence - The current owner has been successful without putting too much ongoing effort into creating an online presence. Blogging, improving the website, paid online marketing, and doing some email marketing all hold great potential to improve awareness of the clinic in order to generate more revenue.
  
  
• Sell more supplements - Only about 30% of patients currently take a limited smattering of herbal medicine. Focusing more on nutrition and purification programs and giving a greater percentage of patients the option of supplements offers another opportunity for increased revenue.