You want to sell your care center? If so, it's good to know what the acquisition market looks like in terms of care centers. Healthcare is having a tough time. This was made especially clear by the covid pandemic, but little has changed since then. Staff shortages, an aging population and digitalization are key issues for the survival of care centers.
The number of care center mergers and acquisitions has been stable for years.
There are many ways to value a business. A common method of expressing the value of a business is "a factor x gross annual profit." This factor is also called multiple and another designation for gross annual profit is EBITDA (Earnings Before Interest Taxes Depreciation and Amortization).
In healthcare and pharmaceuticals, the sector to which care centers belong, an indicative EBITDA multiple range of 5.9 to 6.9 is currently used, according to the Brookz Takeover Barometer. The average EBITDA multiple across all SME sectors is 4.90.
The valuation of a business is often the starting point for negotiations between buyer and seller. The outcome of these negotiations is the final sales price. So valuation and price are two different quantities. Besides valuation, the price is also determined by possible scarcity in the market, bargaining power of the parties, the strategic value of the business for the buyer and possible synergy effects for the buyer (cost savings, purchasing advantages).
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Want to buy a business or sell a business in the healthcare & pharmaceuticals sector? With this Brookz Sector Monitor, we want to present buyers and sellers with facts, figures and an outlook that provide insight into the number of transactions, the value development of businesses and the latest trends and developments in healthcare & pharmaceuticals. Because in every buying or selling process, thorough preparation gives peace of mind, overview and structure.
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There are relatively many larger organizations in this sector, and therefore the number of businesses with 2 or more employees is quite high.
In figures, the number of care centers in 2024 looked as follows(CBS):
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A number of trends and developments will inevitably cause changes over the next few years, but also offer care centers many growth and acquisition opportunities:
Digitalization brings challenges for care centers. On the one hand, remote health appointments are an efficient solution for eliminating long waiting lists. But cybersecurity and personalized care are causing radical changes in the normal course of events.
The number of elderly people in society is increasing in relative terms. And these elderly require care and attention. How do we keep the elderly active, give them the best care possible and keep them involved in society?
The staff shortage in healthcare has been severe for years and is not expected to get much better in the future. And that's why healthcare needs to automate. Which operations can be performed by robots and smart devices and which care still requires real hands at the bedside are two important research aspects in this regard.
