What should I check before buying a naturopathic clinic?
Check how revenue divides between consultations and dispensary sales, the supplement stock and supplier accounts, lab-testing arrangements with outside providers, whether the selling naturopath will stay through a transition, and how practitioner rooms are booked and paid for.
A naturopathic clinic usually earns money in more than one way. Patients pay for long consultations, and many also buy supplements from an in-house dispensary. Some clinics add lab testing and rent rooms to other practitioners. A buyer should understand each of these lines and which depend on a single person.
Consultations and dispensary sales
Ask for revenue shown separately for visits and for dispensary sales. A clinic that leans on supplements has stock to manage, while one that leans on visits depends on practitioner time. Look at the trend in each line over several months and ask the seller why it moved. Our page on what to check before buying an acupuncture clinic shows how patient loyalty can matter.
Stock, suppliers and lab arrangements
Count the supplement stock and check expiry dates and storage. Ask which supplier accounts exist and whether they will deal with you on the same terms. If tests go to an outside lab, treat that as a third-party relationship, read its terms and confirm it continues after the sale. Patient records raise privacy questions, so ask your lawyer how they transfer.
Will the naturopath stay?
Patients often choose the clinic because of one naturopath. Ask whether the seller will remain for a transition and in what role, and whether the buyer can practise or must hire someone. Put any agreed handover in writing. Ask your lawyer whether any ownership or practice rules apply.
Practitioners and rooms
If several practitioners work from the clinic, ask how each is engaged and paid, and whether rooms are rented or shared. Read those arrangements and the lease. Ask how bookings are tracked, since an empty room costs the same as a busy one, and a good schedule shows how well the clinic is really used.
Related reading
15 pages on the same subject, grouped by topic.
Due diligence
Buying
- GuideBuying a healthcare practice in Canada
- GuideBuying a professional practice in Canada
- GuideBuying a Massage Therapy Clinic in Canada
- GuideBuying a walk-in clinic in Canada
- GuideBuying a mental health counselling practice in Canada
- Expert answerBuying an existing physiotherapy clinic vs opening a new one
- Expert answerHow do I find a med spa or laser clinic for sale?
- Expert answerHow do I find a denture clinic for sale?
- Expert answerHow do I find a naturopathic clinic for sale?
- Expert answerHow do I find an IV therapy or IV drip clinic for sale?
- Expert answerWhat should I check before buying an IV therapy clinic?
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 CanadaGovernmentWhat is inventory
- 03Office of the Privacy Commissioner of CanadaGovernmentThe Personal Information Protection and Electronic Documents Act (PIPEDA)
Deavo is an advertising and listings platform, not a brokerage, law firm or valuation firm. This page is general information, not legal, tax, accounting or valuation advice, and rules differ by province. Confirm anything you rely on with a qualified professional before you act on it.