The pharmaceutical industry is one of the most profitable businesses in today’s market. According to Statista, the industry generates almost $1 trillion USD of revenue on a global scale. Successfully getting your foot in the door of the pharmacy industry can seem overwhelming, but it is certainly possible. If you’re interested in buying a pharmacy and joining this massive industry, prepare yourself with this checklist.
Though finding franchise opportunities for pharmacies may be harder than looking within other fields, there are some smaller franchise options. Typically, investing in a franchised business will help take some of the decision-making off of your shoulders. One of the best benefits of joining a franchised pharmacy is that you’ll always have a reliable source to turn to with any questions or concerns you may encounter along your way. If you’re interested in franchised pharmacy opportunities, consider this list of three major franchises in the US.
Starting a pharmacy business from scratch offers its own unique benefits. As an independent business owner, you’ll have complete freedom with everything in regards to your business. You can take this opportunity to examine your competitors and develop your own niche for serving the community in a way that puts you above the competition. It’s important to note that you may initially spend more money as an independent owner, but budgeting and financing effectively can keep the spending at bay. To get a more in-depth understanding of independent pharmacies, find one near you here.
By nature, entering the pharmaceutical industry is more expensive than most other business avenues. Because of this, it’s crucial that you have your finances in order. Be prepared to invest at least 20% of your personal money into your pharmacy. Most lenders and banks will not consider granting you a loan if you don’t contribute this amount. Also, with the added factor of customers’ insurance policies, plan to wait several days before receiving the entire payment for a prescription. The financial aspects of entering the pharmacy business involve a bit more planning than others, and seeking professional advice is recommended to help your sale go smoothly.
In this day and age, the reliance on technology is rapidly increasing. Several online pharmacy options exist for consumers who seek convenience in getting their prescriptions. This doesn’t mean your pharmacy won’t be successful, but you should consider how much these online options might hinder a traditional pharmacy’s success. As a starting point, decide on the area in which you want to open your pharmacy. Then, carefully weigh the odds of your company’s success based on the current pharmaceutical options available.
The pharmaceutical industry is unique in many aspects, but the valuation process is similar to most other businesses. Before you agree to any terms of your purchase, it’s best to contact a professional to conduct an accurate valuation. Obtaining an accurate appraisal places you in the most optimal position for a successful business ownership.
If you’ve decided buying a pharmacy is your next business move, contact a Sunbelt Business Broker! Our team of professionals is ready to help guide you through a successful business deal.