What should I check about practitioners when buying a wellness clinic?
Find out who actually holds the client relationships. Confirm each practitioner’s credentials with their own regulator or association, learn whether they are employees or contractors, and speak with the key ones before closing. A clinic is only as stable as the people who treat its clients.
Start with a simple roster: every practitioner, what they treat, how many hours they work, and how much of the clinic’s bookings depend on each. If one or two people carry most of the schedule, their departure would change the business more than any equipment or lease term. Ask to see how each person is engaged. Some clinics hire staff, others rent rooms to independent practitioners who bring their own clients. The difference affects who owns the client list, who carries insurance, and whether anyone will simply walk away with their patients. Your lawyer can explain what the paperwork must say.
Ask for proof of current credentials and professional liability coverage, and check them with the relevant regulator or association yourself rather than relying on a copy. Ask about any complaints or claims, and how the seller handled them. Then meet the practitioners, with the seller’s permission. Listen for their plans, their view of the clinic’s reputation, and whether they would stay under new ownership. Consider asking the seller to help with introductions during a transition. Ask too how new clients find the clinic, since referrals and a strong website carry on after a practitioner leaves, while personal followings do not.
Key takeaways
- Map how much of the clinic’s revenue each practitioner brings in.
- Confirm credentials directly with the regulator, not from a photocopy.
- Meet the key practitioners before you sign anything.
- Ask how new clients find the clinic, apart from individual practitioners.
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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
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