Own a high-net chiropractic practice in Minnesota
Learn more about this extraordinary opportunity to step into a profitable practice in a gorgeous area, currently offered at an amazing price!
Unique opportunity to own a well-known, high-net practice in the Minnesota hamlet of Owatonna. Dow Chiropractic, currently the chiropractic and massage practice of David Dow, DC, is located just an hour south of the Twin Cities. With a health-conscious population and decades of consistent return business, the opportunity to have an abundant practice drawing from a large geographic area is available from the moment you step in.
Imagine making over $250,000 per year working only four days per week with plenty of time off for vacation. No additional marketing necessary—the reputation of this practice keeps a steady flow of new patients streaming in.
Low overhead, years of records, and consistent patient flow mean you’ll continue to keep your costs predictably low. Add more hours, bring in another practitioner, and/or do some marketing, and you have the chance to add even more success to an already prosperous practice.
Whether you are a practitioner who is just starting out or an established clinician with some years under your belt, Dow Chiropractic offers you the chance to hit the ground running. Step into this rare, once-in-a-lifetime, turn-key opportunity to run the practice of your dreams in one of the most beautiful areas in the country. Call or email us today, come by and spend some time with us, and be thriving in a few weeks.
Learn much more below.
Income & Expenses
Opportunities for Growth
Video & Photos
- Located an hour south of Minneapolis/St. Paul, Owatonna has a population of just over 25,000 people with healthy steady growth each year, and another 20.000 or so in surrounding Steele County.
- Owatonna is consistently ranked among the most livable small towns in the country owing to its exceptional public schools, safe streets, and the diversity of opportunities offered its residents.
- The area is home to more than 50 industrial firms, with more than 500 retail, wholesale and professional firms supporting a large agro-industrial base.
- With a small-town feel and unique amenities, Owatonna has much to offer its residents without the bustle of a big city. But its proximity to major metros — with big-city amenities like airports, professional sports teams and museums — is a bonus, too.
- Minneapolis/Saint Paul are just an hour’s drive from Owatonna. Or, for weekend getaways, you can get to Madison, Wisconsin, or Omaha, Nebraska, in about 4 hours. Kansas City and Chicago are about 6 hours by car or a quick flight.
- The office is owned by the seller and is located just a block from the historic downtown.
- The 2,200-square-foot space was built as a chiropractic office in 1985 and consists of a spacious waiting/reception area, 5 treatment rooms full of natural light, a consult room, a spinal decompression space, an extra office, and 2 bathrooms. Parking is abundant and free.
- 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.
- Dow Chiropractic is a non-specialty practice, seeing everything from subclinical and acute orthopedic 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 men and women between the ages of 25 and 65.
- There are thousands of patient files, with hundreds active at any one time.
- The clinic currently averages well over 300 patient visits per month, including 10-15 new patients.
- About 45% of patients have insurance, 10% are worker’s compensation and personal injury claims, and the remaining 45% pay in full at the time of service.
- The majority of patients are from communities within 25 miles of the office.
- Given the owners’ history of over 20 years in the area, almost all patients are referred by word-of-mouth, while many come through the practice’s exceptional online presence.
- The current owner is happy to provide years of past calendars to prove consistent patient volume.
- While trained in standard chiropractic techniques, the current owner also variously employs diversified chiropractic, activator, and drop table modalities.
- Other treatment options include use of a spinal decompression table; custom orthotics; diagnostic lab testing; DOT physicals; low-level laser therapy; nutritional support; smoking cessation programs; and thermography.
- A full-time massage therapist also works in the practice as an independent contractor, and nets about $1,000 per month for the business.
- Only about 10-15% of patients are sold a limited selection of supplements.
The following income and expense summaries are derived from an average of income and adjusted* expenses from 2017-2021. Note that the current owner has office hours 3 ½ days per week and was further limited by COVID shutdowns.
Average gross yearly revenue (five years): $258,208 ($21,517/month)
Average adjusted expenses: $144,505 yearly ($12,042/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 $113,703 per year ($9,475/month)
- The price is based on a conservative professional valuation of $192,805 with an average yearly gross just over $250,000 for the past several years.
- The owner’s motivation to sell in a timely fashion has allowed him to generously factor in a significant discount off 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.
- 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, Facebook page, Chiro8000 EHR and billing system, Doctible email and appointment reminder system, and clinic-related financials.
- The clinic currently employs a part-time chiropractic assistant who works four half days per week, and a massage therapist who works as an independent contractor. Both may be willing to stay on at the prerogative of the new owner.
- The seller owns the office/building and is willing to lease back to a qualified buyer and/or give the new owner of the business an option to buy the space.
- The current owner’s goal is to surrender the practice by the end of 2022. 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 has office hours the equivalent of 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 facility could easily support at least one more provider.
- Add lessors. In addition to or in lieu of adding additional practitioners as employees, the clinic has space available to sublease to other practitioners.
- Do some marketing. The practice does no marketing outside of its web presence. There are file cabinets and 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 effort into creating an ongoing online presence. Blogging, upgrading 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 a small percentage of patients currently take a limited smattering of supplements. Giving a greater percentage of patients the option of herbs and supplements offers another opportunity for increased revenue.
About The Area
Photos of the Clinic (click to enlarge)
Take advantage of this once-in-a-lifetime opportunity to step into an established, turn-key practice in a gorgeous location! Call (507) 676-0602 or click here to email us today.
Copyright 2022 - Dow Chiropractic, Inc.