Whether buying your first business or tenth, acquiring an independent pharmacy presents unique challenges. Similar to any retail business, you’ll be performing your due diligence evaluating:
But when you buy an independent pharmacy, there are more dimensions to understand about each of these elements. They involve additional evaluation, regulation, legal and financial guidance to determine what may or may not be a good buy for you. Below is a guide to some things to consider as you make your plans.
When scoping out the potential for the customer-base to an independent pharmacy, you want to go beyond the basics of who lives and/or works nearby. You’ll want to understand the impact/effect of:
There are many potential sources for customers but there are also many possible obstacles. Dig deep to get a complete picture.
As you evaluate the potential for new or returning customers, you’ll want to understand the community’s perception of the pharmacy. What is the pharmacy’s reputation? Are they known for great service? Good value? A clean and easy to navigate retail space? A well-lit and safe parking lot and entry way? Or have they been perceived as being substandard in one or more ways? Are there any concerns about safety and security in the area in general? Understanding what you may have available to leverage – or overcome – can factor into your assessment of the value and feasibility of the business.
Whether it is complying with HIPAA, documentation for controlled substances or meeting state licensure requirements for pharmacists and pharmacy techs, the success of this business relies on strict adherence to all the relevant rules and regulations. And there are many. As you assess a pharmacy for purchase, you’ll want to understand whether they’ve been compliant or if there are issues that could impact either your acquisition or the possibility of retaining staff.
With so much information to research, compile and interpret, you need an advisory team who understand independent pharmacies and have the right expertise. This could include:
Putting together a team who has the experience to guide you through the intricacies of the process can help make buying your independent pharmacy a more successful venture.