What's inside
Is it time?
Most billing owners start thinking about selling for one of a few reasons: retirement is getting closer, the work has outgrown one person, a key employee is leaving, or a specialty like anesthesia has become more trouble than it's worth.
Your options
You can sell the whole company, sell only some accounts (for example, your anesthesia clients), hand the business to an employee, step back gradually while a buyer takes on more, or wind down and help clients find new billers.
What it's worth
Buyers look at the fees your clients pay you each year and how likely those clients are to stay. Long relationships, signed contracts, no single client dominating and a willingness to help with introductions all raise the value.
How deals are paid
Most small billing sales combine cash at closing with payments over 12 to 24 months tied to client retention. Some use a revenue share. A few use fixed installments.
Getting ready
Pull together revenue by client for the last two to three years, how long each client has been with you, copies of client contracts and business associate agreements, a list of every system and login, and notes on how you handle each client.
Finding the right buyer
Specialist buyers in your clients' field tend to value a focused book and keep the service clients are used to. Larger billing companies and private equity-backed groups may pay well but can change things more. Brokers can bring several buyers, for a fee.
The handover
Clients should hear from you, with the buyer in the room, after you've signed. Explain why, introduce their new contact, and stay reachable for a few months.
Questions to ask every buyer
What happens to my clients, my staff and my processes? How much is paid at closing? How is the rest measured and paid? Do you already work in my clients' specialty? Can I speak to someone who sold to you before? What happens if you're sold?