Converging influences arrived in 2011 to create the “Perfect Storm” in the pharmacy industry with dire consequences for a number of pharmacy owners. For the first time in our experience there are a relatively large number of pharmacies currently in the hands of administrators. Every day it seems another story of a pharmacy in difficultly
The release this week of the much anticipated changes to the Pharmacy Location Rules has ended speculation circulating in the marketplace that long re-locations would go. To utilise the existing long distance relocation rules (rule 106), pharmacists will require a leasing commitment on a premises arranged prior to 18th October 2011 and need to complete
Pharmacy Solutions is currently engaged in selling about 30% more pharmacies than we would normally anticipate at this time of the year. We believe this increase is due to the culmination of a number of factors, including; the slowdown in business sales in the previous 18 months now catching up, the poor economic environment and
The value of your Pharmacy whether selling the entirety, selling a share or re-financing is a critical element of any deal with the financial institution that you or a potential purchaser of your business uses. With a tightening in lending that we have all noted over the last year or so there has come with
It is always important to consider your lease well in advance of any plans to sell your pharmacy. With a lease in place that suits the needs of the purchaser you can expect to maximise the price that is achievable for your pharmacy.
Lots of pressures are hitting the pharmacy market at the one time and all will cause downward pressure on margins which in turn may affect the sale prices of pharmacies in the future. The recent move by Pfizer to deal direct to pharmacy through DHL has sent shock waves through the industry. The withdrawal of
On many occasions over the last fifteen years I have seen good pharmacies become average pharmacies. This has been for many varied reasons. It could be due to competitive forces in the market place,because of changing demographics of a particular area, changes to business conditions, making a poor choice in relation to a marketing group,
Following on from my last article when I was referring to the current trading conditions, it is apparent that the economy and general trading conditions in pharmacy are not as buoyant as previous years. Add to this the announced cuts to income in the 5th Agreement and the future reductions in income flowing from the
The unprecedented collapse of world financial markets along with the destruction of a lot of personal wealth certainly took the wind out of the sails of many in 2008! Continual stories of pending doom and gloom paint a less than positive picture for 2009. What do I think? I am taking a positive view and
If a buyer enters your pharmacy and asks whether you are interested in selling, what then?