Own an established naturopathic - acupuncture practice in Bend, Oregon 

• With far more sunshine than Portland or Eugene, nature on the doorstep, and great craft beer and coffee, Bend may just be the perfect small US city.
• Bend is located 156 miles southeast of Portland, where the Cascades meet the high desert, and has a population of approximately 90,000 people.
• It is known for its spectacular scenery, its thriving arts community, an incredible array of year-round outdoor activities, and its safe and family-friendly atmosphere.
• In spite of a recent population surge in the past couple of decades (the city has grown by 75% since 1990 alone), Bend remains extremely laid-back and close-knit. It has also been recognized by various publications for its exceptional quality of life as one of America’s top small cities for young families and retirees alike.
• The clinic is located on the east side of Bend two blocks off of Highway 20 in a mixed residential/retail area.
• There are many restaurants, shopping, and banking options within a very short distance, including a large shopping center with a Costco, Whole Foods, Safeway, Old Navy, Office Max, and more.
• The 1,232-square-foot office consists of two treatment rooms currently used for acupuncture; a large consultation room with a private bathroom that could easily double as a treatment room; a large apothecary with plenty of nice wood shelving; an attractive bathroom for patients and staff; and a large waiting/reception area with plenty of light from its many windows.
• The entire clinic is tastefully decorated and is covered in real hickory and oak hardwood flooring, A free-standing natural gas stove lends a cozy feel. Parking is abundant and free, and public transit stops just two blocks away.

• Circle of Health is a non-specialty practice, seeing everything from subclinical and acute conditions to chronic issues that have not responded to other medical interventions.
• The patient population has spanned from infants to great grandparents and everyone in between. That said, the majority of the current patient load consists of those between the ages of 25 and 80 seeking resolution of chronic conditions ranging from internal medicine to pain management and stress and anxiety.
• The practice income is divided about evenly between insurance and cash, and the clinic averages 10-20 patients per week.
• Given the owner’s long history in the area, almost all patients are referred by word-of-mouth, while some come through insurance panels and the practice’s online presence.

• The primary focus of the practice is Chinese herbal medicine utilizing an extensive granular pharmacy, aligning with classical prescribing, as well as diet and nutritional interventions.
• About 90% of patients receive supplements, including customized Chinese herbal prescriptions, German biological drainage remedies, and thyroid prescriptions, along with targeted nutritional therapies.
• Other modalities include acupuncture; lifestyle counseling; fitness coaching; breathing practices and hydrotherapy.
• Acupuncture is primary administered using the Balance Method (Tan/distal needling technique). Far Infra-Red heat lamps are often used, but moxa, gua sha and cupping are seldom employed.

The following income and expense summaries are derived from an average of income and adjusted* expenses from YE2015-20. Note that the current owner sees patients three and a half days per week and takes up to five weeks off per year.

Income

Gross yearly revenue: $154,225 ($12,852/month)

Expenses

Adjusted expenses: $75,332 yearly ($6,278/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:

$78,893 per year ($6,574/month)

• The price is based on a conservative professional valuation of almost $130,000, with an average yearly gross of over $150,000 for the past several years.

• The owner’s motivation to sell in a timely fashion has allowed him to generously factor in a 30% discount off of the valued price for potential attrition and start-up costs on change of ownership. He expects the right person will retain his 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 a loan for the right buyer, given a significant down payment, good credit, and a security agreement.

• 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, Practice Fusion EHR system (for charting, scheduling and submitting Rx requests and patient reminders), and clinic-related financials.

• The practice currently employs the owner’s wife as a part-time office manager. Her primary duties including scheduling, checking patients in/out, filling supplement orders, billing insurance, reconciling bank and credit card statements, mixing Chinese herbs, and ordering items for the apothecary. She may be willing to stay on with the new owner for a limited time to train a new employee by mutual agreement.

• The practice operates in a mixed commercial/residential area and is part of a laager property owned by the current owner of the practice. He would be willing to also rent out the adjoining house to the right buyer, making for quite an easy commute!

• The current owner’s goal is to surrender the practice in 2021. He would be willing to stay on for a limited time to train a new owner in his 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 limits himself to only 3-½ days of patient care per week, leaving. Thus, there is plenty of room to work more hours in the clinic.
• Add additional practitioners. In addition to or in lieu of working more hours, the practice could easily support at least one more provider.
• Add additional sublessees. Subtenants could help cover the monthly rent.  
• Do some marketing. Because current patients refer so many of their friends and family, the practice does very little marketing outside of its web presence. There are many years 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 effort into creating an ongoing 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.