* Highly Effective Oxygen Therapy - One of the important growth segments of the medical services industry;
* Comprehensive medically supervised oxygen therapy and quality leader in niche market with high gross profit margin
* Demand is driven by population demographics, advanced technology, and the increase in diabetic and other new medical indications for healing
* Approved by Medicare and Private Insurance for Reimbursement
* Off-Label indications done for cash; hospitals can not compete
* World Class Supplier Partners and Cutting Edge Technology
* A Branded and Established Base of Prestigious Accounts - including Kaiser Permanente, and D.O.
* Business: Outpatient Hyperbaric Medical Therapy
* Location: Southern California in an affluent area
* Revenue: Year 2013--- $949, 337
* Seller's Discretionary Earnings: Year 2016--- $230,00
* Price: $750,000
* Founded: 2001
* Reason for Sale: Other business interests and to slow down personal business activity
* Employees: 4
The Hyperbaric Medicine practice was founded in 2001 as a way to help a community needing oxygen therapy. In 2009 the name was changed along with ownership and was moved to an affluent neighboring city in California. The facility currently has a medical team with an extensive background in hyperbaric medicine. At this facility they are dedicated to promoting the highest standards in the field and providing the best patient care available. This Executive Summary gives a broad overview of the Center. Please note that the Center provides hyperbaric oxygen therapy only; there is no wound care available on site, however, it could be included with a new ownership.
The Center was formed in 2001 and accepted cash payments until 2006, when Medical Directors were hired and the Center began accepting third-party reimbursement. At the time of acquisition, the Center did not have any strategic or marketing plan in place. It had been only an absentee ownership business.
Combined with unfavorable economic conditions, lack of marketing, general management, and low employee morale, the business did not experience growth or profitability. The new owner immediately initiated a strong marketing campaign promoting the Center to the local physicians, hospitals, and general public. While 2010 was challenging financially, it was decided to build a new clinic, re- design the oxygen delivery system to incorporate future growth, and collaborate with a new Medical Director, whose practice was adjacent to the Center. It was moved to a new location in May of 2010. As a result of all these initiatives, the Clinic became profitable. The company's revenue experienced substantial growth from 2010 to 2013.
The Center's location, infrastructure, established referral sources, space availability, trained personnel, sophisticated oxygen delivery system, and new state-of-the-art equipment makes it a perfect candidate for conversion to a full-service wound care center, as well as a valuable acquisition target for an individual, small group, hospital, or a medical group.
Wound care centers represent a growing business opportunity for hospitals as the population ages and more people develop diabetes, an illness associated with difficulty in wound healing. Diabetes affects approximately 10% of all Americans. Market research firm Kalorma Information projects the U.S. market for wound care will be worth $21 billion by 2015, up from $16.8 billion in 2012. Private businesses have jumped into the field, as well as hospitals.
REASON FOR SELLING THE CENTER
The owner of this Hyperbaric Center would like to sell the business and not work quite as hard with too many business interests. There is absolutely nothing known to be wrong with this business and a lot of upside for future growth.
FINANCING TO ACQUIRE BUSINESS
There is a very good chance of obtaining SBA bank financing from the Broker of this Sale. SBA loans are the best loans that exist because they are minimal down payment, 10-year term, low interest rate, and no prepayment penalty.