How do I check a physiotherapy clinic’s referral sources before buying?
Ask for a breakdown of new patients by source, such as physicians, insurers, employers, other clinics and word of mouth. Then check how firm each relationship is and who holds it. If a few referrers send most patients, their loyalty to the current owner matters more than the clinic’s equipment.
Begin with intake. Ask how the clinic records where each new patient came from, and request that summary over several periods. If the seller does not track it, ask staff how patients usually find the clinic. A pattern will show even in rough notes.
Next, test the relationships. A physician who refers regularly may do so because of one practitioner. Ask which practitioners the referrers know, and whether those people will stay. If insurers or employers send people, read any agreements for terms that need consent on a sale. Your lawyer can advise.
Look at the clinic’s own reputation too. Reviews, repeat patients and community ties create referrals that do not rely on a single person. Compare the share that comes from these with the share that comes from a few named sources. Privacy matters, since patient information is sensitive. Ask how records are kept and how they will pass to you, and speak to the professional regulator about what applies. Meeting the main referrers during the transition helps keep them. Ask what the clinic does to stay in touch with referrers, such as updates on patient progress or regular visits. If that work is informal and done by one person, write it down so it carries on. Relationships respond to steady attention.
Key takeaways
- Get new patients broken down by source over several periods.
- Find out which practitioner each referrer actually knows.
- Plan introductions to the main referrers during the handover.
Related reading
15 pages on the same subject, grouped by topic.
Due diligence
Buying
- GuideBuying a physiotherapy clinic in Canada
- Expert answerBuying an existing physiotherapy clinic vs opening a new one
- GuideHow do I buy a physiotherapy clinic in Ontario?
- Expert answerHow do therapist revenue splits work when you buy a physiotherapy clinic?
- GuideHow to buy a physiotherapy clinic in Manitoba: licences, ownership rules and what transfers
- GuideHow to buy a physiotherapy clinic in New Brunswick: licences, ownership rules and what transfers
- GuideHow to buy a physiotherapy clinic in Newfoundland and Labrador: licences, ownership rules and what transfers
- GuideHow to buy a physiotherapy clinic in Nova Scotia: licences, ownership rules and what transfers
- GuideHow to buy a physiotherapy clinic in Prince Edward Island: licences, ownership rules and what transfers
- Expert answerHow do I check a flooring company’s reliance on big-box store referrals?
Selling
Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 02Business Development Bank of CanadaGovernmentUnderstanding post-merger operational integration
- 03Business Development Bank of CanadaGovernmentMajor pitfalls to avoid when negotiating a purchase agreement
- 04Office of the Privacy Commissioner of CanadaGovernmentProvincial laws that may apply instead of PIPEDA
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