Will the single man practice survive?

Re: Will the single man practice survive?

Hannah Wynne Richards — Thu, 04 Mar 2010 16:48:09 GMT

Evelyn and I are both single-handed, and both seem very happy in our work-I know I am, and I get the impression that Evelyn is as well. I'm coming up to 30 years qualified, and he is qualified even longer, and we're both still enthusiastic-which suggests that we're both not merely surviving but thriving

Toby It would be difficult to be entirely unsupported in single-handed practice, which is why , although I'm on duty most of the time, I do have a formal arrangement with a practice some 20 miles away, which will shortly obtain hospital status, that they cover when I'm off-and they've promised not to chuck my patients out at 8 am (unless they are genuinely fit to be discharged, not merely transferred back to me )-and I know one of the partners since I was a student seeing practice with him, so was able to negotiate the type of contract I wanted, not Vets Now 1 size fits all model. As far as equipment is concerned, I like to think that my practice is the equal of many larger, video endoscope, digital radiography, Idexx biochem and Laser Cyte haematology I have Tier 2 status, so the inspector thought I was OK

I haven't solved the problem with succession yet, but I'm enjoying practice too much to be unduly bothered-certainly not looking for an exit strategy ASAP

Wynne

Re: Will the single man practice survive?

Malcolm Ness — Thu, 04 Mar 2010 16:19:53 GMT

There are plenty of different business models which allow "buy-in" for assistants coming through the ranks - one of the advantages of being a Ltd company rather than a partnership is that non-vets can get involved in practice ownership (we have a VN buying in). Equally, there are still lenders out there willing to invest. However, the rub is that an awful lot of veterinary practice is simply not profitable in true business terms - take out a sum to pay for capital invested, take account of the management input of the owners, make proper cash accounting of the clinical hours worked by the owner plus an entry in the accounts representing the rental value of the partner-owned premises and many (Anval would say most) small veterinary businesses are not profitable. People with better business brains than me will fill in the detail.

(Arlo - I mentioned VNs in there - is that OK??)

Re: Will the single man practice survive?

Rob Loxley — Thu, 04 Mar 2010 15:50:54 GMT

[quote user="Toby Birch"]My concern is will practitioners wish to take over small practices when the current owner retires or will it simply be easier to sell to a corporate.[/quote]

The question is more will the practitioners raise the money to buy you out, what with the state of the business credit market and the soaring cost of property, than whether they want to. And when the current owner looks to sell will he go for the easy option of the 'corporates' with finance sorted and cash in hand, without looking to sell to the practitioners. We all bemoan corporate practice, and as a young assistant I bemoan the loss of the traditional partnership buy-in opportunities that corporate practices have made.

Re: Will the single man practice survive?

Evelyn Barbour-Hill — Thu, 04 Mar 2010 15:18:36 GMT

[quote user="Toby Birch"]My concern is will practitioners wish to take over small practices when the current owner retires or will it simply be easier to sell to a corporate.[/quote]

I'd rather die working than sell to a corporate.

Re: Will the single man practice survive?

Toby Birch — Thu, 04 Mar 2010 14:37:43 GMT

I have no experience of working in either the small 1-2 vet practice or the corporate one but the question posed is something that I do occasionally think about.

In my opinion there is and hopefully will continue to be a place for the small practice. As said above it is a niche market and can offer an individual service. What they probably can't offer is the full range or services and what I can see happening is that small practices forming tighter, unofficial bonds with larger, local practices whom they trust clinically to provide a standard or care they are happy with. They can they easily divert or transfer emergencies, and cases that require specialised equipment to somewhere they trust without constantly having to officially refer cases. This will leave the small practices free to continuing offering individual care and clients won't move practices because they wish to see there usual vet but know that back-up is easily available if required.

I can see 3-4 person practices going along a similar line and possibly actually shrinking in vet numbers because cases can be moved on and they may become more profitable by being smaller.

In turn (and here I speak from my personal interest of ECC) the larger practices will be able to have veterinary surgeons and nurses dedicated to these types of patients requiring hospitalisation thus sharing the costs of care while also improving the care provided.

My concern is will practitioners wish to take over small practices when the current owner retires or will it simply be easier to sell to a corporate.

Just my thoughts...

Toby

Re: Will the single man practice survive?

Malcolm Ness — Thu, 04 Mar 2010 14:26:29 GMT

When we started our single handed practice 23 years ago, I believed strongly that there was always a good living to be made by a single handed vet practice next door to a big multivet practice. Now we are a 16 vet practice, I still believe the same thing.

Re: Will the single man practice survive?

Evelyn Barbour-Hill — Thu, 04 Mar 2010 13:39:20 GMT

I couldn't say about 3-4 vet practices, but the 1 to 1.5 vet practice supplies a service that people are looking for. As long as they don't try to ape the cheapo see-a-different-vet-every-time-dentals-fifty-pounds-this-week-only types or try to compete on price.

The single-vet practice has fewer problems with providing 24-hour care than you might think.

Re: Will the single man practice survive?

Hannah Wynne Richards — Thu, 04 Mar 2010 11:27:24 GMT

YES, YES, YES and YES

The single man (or woman ) practice that is well-equiped, dedicated, and supplies a PERSONAL service will always appeal to a niche market-can't do it cheaply, so will never appeal to a lot of clients, but that's not the purpose.

The ones who will be squashed are the mid-size 3/4 veterinary surgeon practices-too big to supply an individual service, and too small to compete on cost

Wynne