planning to sell business and building by end of 2024. Est 2002, Privately billed
- Pete’s billings 2020-2021 – $692,860 (worked the full year x 5 days per week)
- Pete’s billings 2021-2022 – $404,563 (Pete didn’t work from December 2021 to May 2022 (because of being diagnosed with leukaemia and subsequent hospitalisation for months of treatment).
- Pete’s billings 2022-2023 – $667,266 (worked the full year x 5 days per week – with some days out for follow up treatment and appointments – but pretty much full time.)
Sally Suggested $437,500 sales price based on the 2021/22/23 years financial
- We own the building (held in our SMSF and leased to the practice). The building and fit out have no remaining debt on them.
- Plans for lease to be renegotiated at end of lease in August 2024 (or before). Annual rent has not increased as per the lease since August 2019 (because of cash flow constraints) – has stayed fixed at $11,538.54 per month.
- Website arthritiscare.com.au currently attracts 248,000 visits per month with many contact/booking requests come into the practice via this website.
- Number one rankings for searches like “Rheumatologist near me” etc
- New mobile-focused website to be launched next month ($5,000+ investment)
- Registration of the ArthritisCARE trademark and Certificate of Registration – able to use the ® logo in association with our logo
- Cohesive corporate branding across web, premises décor, staff uniforms and electronic and print collateral.
- All doctors’ books are filled at a minimum two months in advance – some booked out four months ahead.
Salaries for Pete and for me.
See personal income tax returns attached.
Obviously this is less than what Pete could be earning as a private practitioner.
I work as the Business Manager (no real operational role – left now to the Practice Manager) – with my part-time role more in financial management, strategic direction, technology initiatives and marketing.
No other family members are involved.
Superannuation paid to Pete and to me is limited to the concessional $27,500 per annum.
We are open to selling the practice on its own, then selling the building (with a lease in place) separately not too long after. Or selling the practice with the building at the same time would be another option if that made sense to a buyer.
Peter needs to retire – wants to sell 15th Aug in alignment it the end of the lease, sell business and building – vendor will retire for 2 weeks and then come out of retirement as a contractor … Barb will retire from the 15th Aug from another job (mat leave cover) – she might stay on after settlement and get paid for what she does…. first month wage is included in the sales price for transition and then will work as & when required as a contractor
