How to buy a veterinary clinic in British Columbia: licences, ownership rules and what transfers

Under British Columbia’s Veterinarians Act, the British Columbia Veterinary Medical Association is continued as a corporation named the College of Veterinarians of British Columbia, and a person who is not a registrant must not do the things listed in section 46(2), subject to the exceptions in section 46(3). The College’s own guidance says it has no bylaws dictating ownership structure. What it does require is a designated registrant for every practice or facility, and notice when ownership changes. This guide sets out those British Columbia rules only, and what they mean on a purchase.

Who regulates veterinary practice in British Columbia

The College of Veterinarians of British Columbia is the regulator under the Veterinarians Act. Section 46 sets out prohibitions regarding the practice of veterinary medicine, subsection (2) lists what a person who is not a registrant must not do, and subsection (3) lists the activities to which subsection (2) does not apply. The Act describes veterinary medicine as including the diagnosis and treatment of animals for the prevention, alleviation or correction of disease, injury, pain, defect, disorder or other similar condition. The College’s website also has separate pages on new practice or facility accreditation, changes to a practice or practice facility, and designated registrant and ownership. A buyer can read the pages that match their structure before agreeing on timing. Veterinary drugs are a separate, federal matter: Health Canada’s Veterinary Drugs Directorate applies the Food and Drug Regulations under the Food and Drugs Act, so ask the seller how drug stock is handled.

Who may own a clinic in British Columbia

The College states that it has no bylaws dictating ownership structure. It says a non-registrant can own more than the majority of a practice or facility, but there must be a designated registrant appointed for the practice or facility to offer services. For a buyer who is not a veterinarian, the question is therefore not whether the College will approve the owner. It is whether a designated registrant is in place on the day services continue. Ask the seller who holds that role now, and whether that person intends to stay. Do not treat this as a rule in any other province: it is the College’s position for British Columbia only.

The designated registrant requirement

Under the College’s bylaw 3.4(1) and Division 4.1, every practice or facility must have a designated registrant, who is a veterinarian. The College says it is the owner’s responsibility to make sure a designated registrant is appointed at all times, and other registrants should not practise from a practice or facility where there is none. If the sale also changes the designated registrant, the College points owners to its designated registrant change process, and says the change form can be submitted at any time before the new designated registrant assumes their duties. So ask about the departing veterinarian’s plans before the closing date.

What must be notified when ownership changes

Under bylaw 3.6(9), the designated registrant of the practice or facility must notify the College if there is an ownership change. The College says it does not review or approve ownership structures or changes. Approval for use of a practice or facility name is considered under Bylaw 3.24, so ask whether the clinic’s name will change. The College also says the ownership change should be reported to the BC Registry, which may require confirmation from the College for the new owner’s use of protected terms, and that its confirmation letter serves as that approval if necessary. Ask the College what applies if the transaction involves an amalgamation or a name that no longer describes the services.

Share purchase or asset purchase

The College’s ownership guidance speaks of an ownership change and does not, in the pages read for this guide, distinguish a share purchase from an asset purchase. So ask the College which of its processes applies to your structure: notice of an ownership change for an accredited practice, or a new practice or facility accreditation if the clinic will operate under a new entity. Confirm the same point in writing before closing, and do not assume that a clinic’s accreditation moves with its equipment and client files. The national guide to buying a veterinary clinic in Canada covers the general purchase steps.

What to ask the seller for

Ask for papers that show who is responsible for the regulatory conditions today and how the change will be reported. You can compare current listings through healthcare businesses for sale.

• The College’s current accreditation record for the practice or facility, and the name of the designated registrant on it.
• Any change-of-designated-registrant forms already filed, and the designated registrant’s written plans around closing.
• Evidence of how the practice or facility name was approved under the College’s bylaws.
• The corporate records showing the present owners, so the ownership change can be reported to the BC Registry.
• Any correspondence with the College about ownership, naming or amalgamation.