The mixed emotions of selling my therapy practice
You are a therapist and you have poured your heart and time into focusing on helping support your clients through really tough times. But as much as I loved being a therapist I was ready to start another chapter. I was a newly adoptee mom, recently married and planning a huge move across the country. So many people have asked me how did you evaluate your practice and who wants to be an already established practice?
Selling My Therapy Practice: The Emotional and Practical Journey
As therapists, we pour our hearts and souls into our work. We spend our days holding space for others, helping them heal, grow, and find their way through life’s challenges. Our practices aren’t just businesses—they are extensions of our passion, purpose, and personal mission. My own story: I had never wanted to start a private practice but after graduate school I had an amazing mentor and my dreams started from there. But there comes a time in many of our careers when we may feel the need to step away from our practices for a variety of reasons: retirement, transitioning to a new field, or simply pursuing new passions. When that time comes, we face a difficult question: how do we value and sell our therapy practice in a way that honors the years of hard work and emotional investment? Will someone love my practice as much as I have?
The Emotional Side of Selling a Therapy Practice
The decision to sell a therapy practice is deeply emotional. After all, we’ve not only built our business from the ground up, but we’ve also developed personal relationships with clients and staff, navigated difficult decisions, and invested countless hours. It can be incredibly challenging to imagine passing on the reins of something that is so much a part of who we are.
When I made the decision to sell my therapy practice, I was flooded with mixed emotions. There was excitement for what the future held, but also a sense of loss. The clients I’d worked with for years, the team I’d helped nurture, and the community we’d built—it was all coming to an end. Not in a bad or regret way but in a what-comes-next kinda way.
However, as I navigated this process, I realized that it was a natural part of growth. Just as we help our clients transition through challenging times, I had to embrace my own transition. Knowing that the practice I’d built would continue to serve others in a meaningful way through new leadership helped ease the emotional sting. The best part is the new owner was and is my dear friend. She had grown into an amazing therapist and now boss lady. In the end, I knew I was ready and she was ready too. This wasn’t the end—it was simply the beginning of a new chapter, both for me and for the practice.
Evaluating the Value of Your Therapy Practice
The next step in selling my therapy practice was figuring out how to properly value it. Unlike some businesses, therapy practices aren’t just about physical assets like equipment or inventory. They are often more about intangible factors such as your reputation, client base, and team. The value of a therapy practice can be challenging to quantify, but there are ways to approach this process with confidence.
Assess Your Client Base: A large, stable client base is one of the most valuable assets of a therapy practice. Potential buyers will be interested in how many clients you have, and whether you have contracts or long-term commitments in place. It’s important to have a clear picture of your client retention rate, your typical session volume, and your overall revenue.
Staff and Team: The quality of your team and their ability to maintain the continuity of care for clients is another key factor in the value of your practice. If you have a strong, cohesive team of therapists who are likely to stay after the sale, this adds to the value of the practice. A solid team can help smooth the transition for both clients and staff. We had a strong team of W2 full time associates and fully licensed therapists that were planning to stay after the sale.
Brand and Reputation: Your reputation in the community and within the therapy field can significantly impact the value of your practice. If you’ve built a strong brand with positive reviews, strong relationships, and recognition in your niche, it will be a selling point for potential buyers.
Financials and Profitability: Buyers will look at the financial health of your practice. This includes reviewing profit margins, overhead costs, and revenue streams. It’s important to have clear and organized financial records that demonstrate the value of the practice and its potential for growth.
Goodwill: Goodwill refers to the intangible value of your practice—its reputation, client relationships, and the trust you’ve built over the years. This is often factored into the overall valuation, as it represents the future potential of the practice. A well-established practice with a positive reputation will be seen as a more valuable asset to a potential buyer.
Finding the Right Buyer
Once I had a better understanding of the value of my practice, it was time to find the right buyer. This step was crucial, as I wanted to ensure that the practice continued to thrive after the sale and that my clients would be in good hands. I reached out to a business broker who specialized in selling therapy practices. They helped me navigate the process, from identifying potential buyers to negotiating the terms of the sale.
It was important for me to find someone who not only had the financial capability to take on the practice but also shared my values and passion for therapy. I wanted to ensure that the practice would continue to provide high-quality care and that my clients would feel comfortable with the transition.
The Transition Process
Once the sale was finalized, the real work began. I worked closely with the new owner to ensure a smooth transition. This included introducing them to my team, transferring client records, and offering support during the first few months after the sale. I also made sure to communicate with my clients, explaining the transition and assuring them that their care would remain a top priority.
This phase was emotional for me, but it was also incredibly rewarding. Watching my practice move forward under new leadership and knowing that the work I had started would continue to help others was a source of pride.
Moving On to the Next Chapter
Selling my therapy practice was one of the most challenging decisions I’ve ever made, but it was also one of the most empowering. It allowed me to step into a new phase of my life, free from the day-to-day demands of running a business, while knowing that my clients and staff were in good hands. I was able to take the summer off and spend much needed time with my kids, traveling and settling
If you’re considering selling your therapy practice, know that it’s okay to feel a mix of emotions. Take your time, assess the value of your practice carefully, and find the right buyer who shares your vision and passion. With the right preparation, you can ensure that your practice continues to thrive long after you move on to new adventures.
As therapists, we’re always growing and evolving, and selling your practice is just another part of that journey. Embrace the transition, and know that the work you’ve done will continue to make an impact for years to come.
Looking for a business consultation that’s tailored to your unique needs? I’m your girl! Whether you're starting a new practice, looking to scale, or just need guidance along the way, I offer 1:1 sessions designed to benefit you—no long-term commitments required. Reach out to me via Email at jennifer@therapyforcyclebreakers.com or phone: 317-643-0507