There’s a lot of misinformation out in the market, but potential pharmacy buyers should not be put off ownership by these myths, says Natalie Sirianni of Attain Business Brokers
It’s no secret that getting into pharmacy ownership can be a long and sometimes difficult process. It requires a lot of hard work and determination to get there – but what worthwhile endeavour doesn’t?
As a pharmacy business broker, I am at the coalface of the pharmacy market and get to see some great transactions and opportunities that lead to long and successful careers for the purchasers.
However, I also often hear a number of ‘problems’ with the pharmacy market and industry in general. So, let’s look into these a bit further…
There are no good opportunities out there
Currently, we are witnessing increased supply throughout Australia for pharmacies on the market. While not all opportunities will suit you as a buyer, there are many opportunities coming to market and many which I believe have great potential.
When looking to buy a pharmacy it is important to have criteria for what you are looking for, but is also important to be somewhat flexible in your approach. Given the number of pharmacy businesses that are sold each year, you may have to compromise on some of your criteria.
It is however important to determine what your non-negotiables are!
It’s much harder to get a look at opportunities now than in the past
We are currently in a time where more pharmacy business brokers are listing their businesses online than ever before! This is giving all buyers an opportunity to see pharmacy businesses that are for sale and move quickly on these opportunities.
Web portals like Practice4Sale.com.au are making the process of finding opportunities easier than I have ever seen it (and I would argue, easier than they have ever been!). As a result, buyers are getting to look at more opportunities than in the past.
The returns are not very good anymore
The returns from pharmacy investment are holding strong and very positive when compared to other asset classes. Many of our clients are achieving great growth and solid returns from their pharmacies.
Obviously this is not always the case and it is important that you ensure you buy a solid business, manage it well and aim for growth. Customers and the Government will always want ‘more for less’, but that is true for all professions.
It’s not what it used to be in pharmacy
While pharmacy may currently face a number of risks and threats, there are also huge opportunities in terms of professional services, automation, online sales, wholesale sales and the list goes on!
There is huge opportunity in professional services and just look at the price of automation in pharmacies and robots which have come down significantly in the last few years.
I feel we are on the tipping point in a number of these areas and there is huge potential moving forward. Let’s make sure we capture this!
So, while getting into pharmacy ownership may be a long and sometimes difficult process, I am fortunate to see many many cases where it is well worth the effort!
I wish you all the best for your journey to buying a pharmacy.
Please feel free to contact Natalie on 1300 ATTAIN (288 246) at anytime regarding buying a pharmacy. I would love to have a chat and help find a pharmacy that suits you!