Author Archives: admin
Innovetive Petcare made a donation to Dogs on Deployment, a non-profit organization that supports our men and women in our military by boarding their pets while they are aware on deployment. Innovetive Petcare financially supports our employees, their causes, and the communities in which they are involved through employee-directed charitable giving. The funds that were donated to Dogs on Deployment were generated through the volunteer efforts of our employees. Through Innovetive Petcare’s BRIDGE program, for every hour our employees volunteer at a worthwhile cause, Innovetive Petcare makes a financial contribution. Our employees select Dogs on Deployment to receive these funds for 2015. Check out the video of Animal Emergency & Specialty Center’s own Katie Brown at the recent World Dogs Awards where there was a live reunion of an active duty solder and his pet, “Saint”.
DVM360.com had a good article in the December 2015 issue entitled “3 Practice Sale Slowdowns”: 3 veterinary practice sale slowdowns A few things are certain: Death, taxes—and the countless ways a practice sale can be brought to a screeching halt. Dec 01, 2015 By Christopher J. Allen, DVM, JD DVM360 MAGAZINE Recently I was contacted by a group of veterinarians who had successfully negotiated an excellent deal to sell a group of practices to one of the large corporate veterinary companies. Based on what they told me then, I explained that it sounded as if everything was well on track and that if price, terms, financing and leasing had all been agreed upon, the closing should be simple and soon. But alas, I heard from them again about a month later. Apparently, the group’s attorney and CPA were being so slow in preparing schedules and documents that the corporate buyer was threatening to pull out of the deal entirely. This response is understandable; corporate practice purchases tie up the acquirer’s transition staff. These buyers need to schedule their people’s time, so time and timing are of the essence. They have little patience for unjustified delays. Clearly, negotiating and consummating a practice sale can be difficult for anyone who’s never been through it. And it can sometimes be tough to even identify who or what is holding things up when the transaction begins to stall. Let’s proceed logically through the process involved in a quick and proper clinic sale closing. Time is money First and foremost, never forget the reasons why it’s critical to move forward with the least possible delay. There are key time-sensitive realities facing both parties. Taxes. The clinic building may be part of a capital gain “like-kind” exchange and as such carries with it a severe Internal Revenue Service (IRS)-imposed time limitation for the buyer. The seller may have capital losses he needs to offset in the year the sale occurs. Missing deadlines can simply kill the sale for tax reasons. Financing rate. Banks and other lending institutions don’t commit to loans indefinitely. If some CPA or lawyer slows down the closing such that a loan commitment expires, it can result in more than an inconvenience. A rate hike can make it economically impossible for the buyer to go forward with the purchase. End of employee contracts. Many practice sales are contingent on the selling clinic having a full veterinary staff at closing. When ownership is about to change hands, employees of all categories begin to get nervous—that edginess can result in staff seeking employment elsewhere and DVMs hesitating to fulfill or renew their employment contracts. The usual suspects Second, once we understand the need for speed in finalizing a practice sale, we need to identify what’s most likely to slow things down. Here are my usual suspects: Lending institution paperwork. Often closings are delayed because banks and banks’ attorneys don’t concern themselves adequately with the importance of thoroughness. Financial institutions loan money day-in-day-out, and one deal looks a lot like the … Continue reading
Austin, Texas — November 19, 2015: Innovetive Petcare, Inc., today announced that it has acquired Lancers Square Animal Clinic (LSAC), a full-service veterinary hospital in Plano, Texas. LSAC was founded by Dr. Lee Reeves and has been serving the Plano community since 1978. “We are very pleased to have Lancers Square Animal Clinic join the Innovetive Petcare family of hospitals. This hospital has been faithfully serving pet owners in Plano since 1978, and we look forward to continuing their tradition of service and excellence,” said Mark Ziller, President & CEO. Innovetive Petcare seeks to acquire other general and specialty/emergency veterinary practices as it continues to build the nation’s premier family of veterinary hospitals. About Innovetive Petcare Innovetive Petcare owns and operates veterinary hospitals. Our clinics benefit from tools, resources, and a great support team dedicated to helping veterinary practices prosper and grow. Our philosophy is to run a great business so veterinarians can focus on providing exceptional patient care. We want veterinarians and their staff to enjoy a better life, with more work-life balance, a strong supportive community, and ongoing training and career development. For more information, please visit www.innovetivepetcare.com.
Hospital owners who manage a veterinary practice for a decade or more demonstrate unquestionable dedication to their calling. Still, at some point, many feel a subtle yearning to do meaningful work in a different vocation. The result is a tension between that thought and the resolve to remain true to a life of serving people and animals. Career changes for veterinarians are a growing trend In fact, Dr. Valerie E. Ragan, Director of the Center for Public and Corporate Veterinary Medicine at the Virginia- Maryland College of Veterinary Medicine, provides workshops and other resources for veterinarians who are thinking of a career change. In a recent AVMA article*, she states, “We get a lot of contact from veterinarians who are looking into doing something different, but they still want to be veterinarians, and they don’t have any idea what’s out there or where to start.” She goes on to say, “Another group is veterinarians who have been in practice 25 years or longer and want to do something different for fun, to give back, or to travel.” Practice owners face two significant obstacles Time Constraints Veterinarians in practices today wear many hats as clinicians. Clients expect general practitioners to have extensive knowledge about numerous species and breeds along with expertise in every clinical discipline from radiology to nutrition. Practice owners carry the additional demands of managing a veterinary business in a changing economic climate. One survey conducted by the National Commission of Veterinary Economic Issues reported, “… owner vets spent an average of 18 hours per week on practice management tasks” Freedom to Explore Unrestricted time and money are two essential ingredients for a lifestyle of freedom. Many practice owners maintain large non-liquid equity, but don’t know their options for tapping into that wealth. So, what are some options? Spending a lot of time and cash finding a good practice manager could solve the time factor, but not the non-liquid equity. Sell your practice and take the leap to another endeavor that may or may not work out well. Delay a change until you’re older and, hopefully, in a better financial position. What if you could free up time and cash while practicing your way in your hospital? • Would you spend more time with family? • Would you volunteer for a cause you care about? • Would you explore ways to work part-time at home and build something to carry on after retirement? • Would you like to fill in the blank? Good news: many of your colleagues have found a way to gain that kind of freedom with the help of a corporate buyer. Diversify your assets by investing your equity in whatever way suits your situation. Create time in your life. Leave inventory management, staff training, payroll, accounting, marketing and all that business stuff to business professionals. Fulfill your number one calling. Focus more than ever on practicing quality medicine. Reduce staff turnover. Less stress means a happier office culture, and reduced potential for burnout. Discover new … Continue reading
Selling your veterinary practice may be the most important financial decision you make in your professional life. While many factors are involved in a decision to sell, one frequently gets overlooked: timing. Is there a “best time” to sell? Maximizing sale value is usually near the top of every owner’s list. So how do you pinpoint the “best time” to sell to command the best price for your business? The first step is to understand the components that influence valuation – as well as the extent to which you may be able to leverage them to your advantage. These variables include: The current economic environment and dynamics of the veterinary industry; The current conditions of capital markets; and The performance of the practice. Keep in mind that factors outside your control, like current economic and capital market conditions, may have as large a bearing as more controllable factors, such as revenues or profits, on how the sale turns out. We are currently in a “seller’s market” Today’s economic environment of historically low interest rates and readily available capital makes it relatively easy and affordable for buyers to purchase clinics. Add to this mix another favorable dynamic: increased demand for clinics by corporate buyers. The result? Healthy valuations for some veterinary clinics. However, like any trend, market cycles can and will change. If history is any guide, changes, when they occur, often happen without warning. An increase in interest rates, tightening of the money supply, or downturn in the economy could have a strong negative impact on a clinic’s valuation. These variables all are outside a business owner’s control. How to seize the “window” of opportunity There are ways to help protect a business from value-influencing factors outside your control. Planning ahead to provide a window of opportunity to time the sale is one such management tool. For instance, if you know you would like to retire or need liquidity in five years, now is the time to start positioning your clinic for sale and making any necessary improvements to the practice. At the two- to three-year mark, if things are going well, and you are able to obtain a good price for your business, you can sell a little early. Conversely, if the economy or business has hit a rough patch, you still have several more years until your original target date to ride out the down cycle and/or make additional improvements to the clinic. But if you wait until close to the five-year mark to start the sales process, you lose the flexibility to adapt to business cycle swings or unexpected events. Recognizing common delay reasons for delaying Owners may delay the sale of their practice for any number of reasons. Common ones we hear include: I’m too busy running my practice. I don’t have time to think about selling! I’ve made substantial investments in my practice. I want to wait to sell until after I realize the full value of those investments. My practice is going gangbusters! Let’s … Continue reading
Charles Darwin once wrote, “It is not the strongest of the species that survive, nor the most intelligent, but the one most responsive to change.” In the rapidly evolving business of veterinary medicine, as practice owners struggle to juggle work-life balance, training and career development, clinical practice, and business management, it does seem that the law of survival of the fittest applies. Enlisting the support of a corporate buyer to meet the demands is an attractive option, but how do you know which buyer to work with? While there is the typical list of demands (fair valuation, option to purchase or lease real estate, cash at closing, strong team support and financial backing), we’ve curated an additional checklist for savvy practice owners to use when filtering their choices: Personalized Approach Determining the value of what you do is not a simple equation: every veterinary practice is different. Look for a corporate buyer that offers a customized approach to not only acquisition, but also improving practice operations. You want a personal consultation and a comprehensive evaluation of your operations, as well as a customized plan and guidance for the implementation of strategies that are specifically designed to improve performance at your hospital. Local Medical Standards What works well for a 5 doctor practice in Bloomington, Illinois might not work well for a single doctor practice in Malibu, California. Veterinary medicine is best practiced when local veterinarians craft their own hospital and community specific strategies for high quality patient care. Avoid corporate buyers that utilize a single standardized national plan or formulary. Focus on Revenue Growth and Increased Efficiency, not Cutting Costs When your practice is operating at its best, clients and employees are happier, patients receive better care and your bottom line thrives. Choose a corporate buyer that can demonstrate a broad range of proven operational consulting services to the veterinary industry that are proven to grow revenue, including: General and specialty practice management training and mentorship Inventory management assistance Fee schedule review Marketing program development Doctor production analysis Staff training and development Human resources management and recruiting services IT support consultation Commitment to Uphold the Values and Culture of the Clinic You did not spend your career building a practice that is going to be radically changed once you sell it. Your hospital means the world to you. It’s been your life’s work and a labor of love. Choose a corporate buyer who will honor the values and culture of your clinic that are beneficially to the pets, the clients, and the staff. Look for a corporate buyer, like Innovetive Petcare, that works with veterinarian owners who want to continue running the medical side of their practices, but want help with the day-to-day administrative and team management tasks. Enlist a corporate buyer that will help you create a long-term strategy and a sustainable way for your practice to continue thriving — well into the future. The relationship should feel natural and should uphold the values that you built into your … Continue reading
Austin, Texas — August 19, 2015: Innovetive Petcare, Inc., today announced that it has acquired Chattanooga Emergency Pet Hospital (CEPH), an after-hours emergency veterinary hospital in Chattanooga, Tenn. CEPH was founded by Tag Thompson, a local entrepreneur with extensive experience in veterinary medicine. Mr. Thompson will remain on with Innovetive Petcare. “I am excited to become part of the Innovetive Petcare team,” said Mr. Thompson. “Innovetive Petcare’s resources will allow us to offer additional services to the referring veterinarians and pet owners in our community.” CEPH will expand from an emergency-only hospital to a full specialty center that provides veterinary surgery, oncology, internal medicine, avian/exotic and other specialty services. As part of the expansion of services, the hospital is being rebranded “Animal Emergency & Specialty Center of Chattanooga”. “We are excited to build on the success of Innovetive Petcare’s Knoxville, TN, specialty center. CEPH is a growing emergency practice and great entry point for us to bring a broader range of specialty services to Chattanooga,” said Mark Ziller, President & CEO. Innovetive Petcare seeks to acquire other general practice and specialty/emergency veterinary as it continues to build the nations premier family of veterinary hospitals. About Innovetive Petcare Innovetive Petcare owns and operates veterinary hospitals. Our clinics benefit from tools, resources, and a great support team dedicated to helping veterinary practices prosper and grow. Our philosophy is to run a great business so veterinarians can focus on providing exceptional patient care. We want veterinarians and their staff to enjoy a better life, with more work-life balance, a strong supportive community, and ongoing training and career development. For more information, please visit www.innovetivepetcare.com
In the past several decades the United States has experienced an upward-trend of corporate acquisition of private veterinary practices, and there is good reason for this trajectory. The advantages of a corporate buyer include capital, business know-how and strong support teams, and bring great value to the practice of veterinary medicine. Here are 7 other advantages of working with a corporate buyer that you may not have considered. Improved Marketing Corporate buyers assess a clinic’s current marketing programs and implement improvements, if necessary. Corporate buyers can introduce new programs to grow patient visits, profitability per visit, and overall revenue per visit. One such way corporate buyers do this is by improving patient compliance with wellness services, such as annual exams, parasite prevention, dentistry, and other wellness procedures. Corporate buyers have marketing teams in place to help you turn your ideas into reality. Accounting Support More likely than not, the reason you went into veterinary medicine was to practice medicine, not become a bookkeeper. Corporate buyers have an accounting team to manage these tasks for you and start important record-keeping processes. In addition, corporate buyers handle accounts payable, revenue reporting, check writing, cash reconciliation tasks, and financial statement preparation, all critical to keep any practice running smoothly. Human Resources Corporate buyers further free veterinarians up to practice by managing human resources. Corporate buyers offer a comprehensive benefits package and excellent salaries. They have a team of HR professionals to assist with recruiting, hiring and retaining staff. Corporate buyers handle payroll and benefits so you don’t have to. Assistance with Day-to-Day Operations Corporate buyers support local practices by assisting the staff with inventory management, examining new ways to improve ordering to make sure inventory is adequate but not expiring, and providing cost-of-goods reporting to make sure that product is moving. Many practices have had the headache of running out of flea and tick preventive, or the opposite, carrying too much inventory on the shelves. Corporate buyers can help practices get a better handle on the inventory and also assist with vendor contracting to ensure that the practice gets the best price possible on inventory. Financial Resources and Easy Transactions When you want to sell, a corporate buyer is able to offer cash for the practice. In addition, corporate buyers can also acquire clinic real estate when the owner wants to sell it as part of a transaction. Furthermore, corporate buyers have the financial resources to invest in the long term growth, success and health of the clinic long after the acquisition is done. Flexibility and Experience Corporate buyers are in the business of purchasing veterinary hospitals quickly and efficiently, and this includes successfully integrating the staff, including the selling veterinarian, who is welcomes to stay on. In contrast, veterinarians (other than current associates) who purchase a practice are generally replacing the selling veterinarian. Changes to staff, if any, are discussed prior to closing, and corporate buyers make every attempt to maintain continuity throughout the client experience. 7. Access to a Wider Team … Continue reading
Innovetive Petcare was featured in the August 2015 issue of Vet-Advantage magazine. Below is an excerpt from the article: Innovative Petcare Innovetive Petcare is focused on creating the nation’s premier network of veterinary specialty and emergency hospitals, says Mark Ziller, president and CEO. “Since we launched at the end of January, we have already successfully completed our first acquisition and we now have additional clinics going through due diligence. We are getting a very positive response from practice owners and we are pleased with our progress so far. “Ownership allows us to invest in clinics and have a long-term vision – two things not possible in a management services model,” he continues. “Since that is a fundamental part of our value creation model, we do not offer standalone management services.” That approach means that Innovetive is focused primarily on veterinary practices of three or more doctors, says Ziller. “We don’t want to just acquire practices, we want to invest in them, and bring them the tools they need to grow. And that necessitates practices of a certain size.” Another fundamental part of the Innovetive strategy is to ensure that each of its clinics maintains its local identity, name and culture. “We support the veterinarians and their staffs with a suite of best-in-class business services in such areas as human resources, marketing, finance and accounting. We do not rebrand the clinics as ‘Innovetive Petcare,’ nor do we implement any type of national formulary.” Innovetive has chosen to focus on specialty and emergency hospitals for several reasons, not the least of which are rising expectations on the part of pet owners regarding standards of care, says Ziller. “We love our pets. People want to know that if their dog gets cancer, they can take him to a specialist to receive the best possible care. And we see that continuing.” The long haul Innovetive is not seeking to create value simply by aggregating revenue or cutting costs, says Ziller. “Our goal is to effectively use capital and scale to invest in practices and help achieve long-term, sustainable growth. We partner with the veterinarians and staff at each local hospital to develop and implement a growth plan, and we invest in the tools and resources to help them achieve their goals. “Our goal is to build a great business, with a strong culture and resources to help clinics grow and prosper. We believe it is more important what we build than how big we build it. The response from veterinarians has been very positive, and we anticipate strong growth, but our focus will remain on quality over quantity. “Yes, we want to run an efficient business. But the bigger opportunity in our mind is the opportunity to grow, and we’re prepared to invest and take a long-range view of that. With a focus on growth, our goals align well with both manufacturers and distributors, allowing us a great opportunity to partner with like-minded companies.
Animal Emergency & Specialty Center has been selected to participate in the clinical trial of Aratana Therapeutic’s new canine lymphoma drug. AESC is the only hospital in the region selected to participate in the clinical trial. AESC’s oncology department is headed by Dr. Jeffrey Phillips, DVM, MSpVM, Ph.D., DACVIM, who is heading the trial. Cancer is a devastating disease not only for humans but also for pets, and more advanced therapies are needed to manage the disease in pets. The following is just a brief snapshot of the need to help fight one type of cancer, lymphoma in dogs. Unfortunately, several common breeds are predisposed to lymphoma cancers, including Golden Retriever, Labrador Retriever, German Shepherd, Poodle, Boxer, Scottish Terrier, Bassett Hound and Airedale. Current estimates indicate there are 83.3 million owned dogs in the United States. Cancer is on the rise as pets are living longer, and the incidence rate of cancer increases with age. Approximately 1 in 4 dogs will be diagnosed with cancer at some point in their life. Currently, pet cancer treatment options are primarily treated with human medicines which have not been specifically approved in pets. Lymphoma is one of the most common cancers in dogs. It is most commonly treated with chemotherapy, which can be associated with serious negative side effects. Our monoclonal antibodies bring new treatment options that have been shown to be valuable in human medicine. In the United States, approximately 7% of all cancers in dogs annually are diagnosed as lymphoma. Canine Lymphoma Monoclonal Antibodies are a new therapeutic solution for this disease in dogs. The Monoclonal Antibody therapies developed by Aratana are currently being used by specialists under a conditional license based on USDA requirements for demonstration of safety and reasonable expectation of efficacy. Additional clinical studies are in progress to further support the safety and efficacy of this new therapeutic option. What are Monoclonal Antibodies? Therapeutic Monoclonal Antibodies are designed to specifically target cancer in dogs using molecular biological tools to be species-specific antibodies that bind to specific target cell-surface antigens. These antibodies target the specific antigen, and are designed to work specifically in humans, dogs or cats. Lymphoma Monoclonal Antibodies are designed to specifically bind with an antigen on lymphoma cells, and stimulate the dog’s immune system to target and deplete these lymphoma cells from the body. About Animal Emergency & Specialty Center Animal Emergency & Specialty Center is East Tennessee’s premier veterinary emergency & specialty hospital. Located in Knoxville, we provide veterinary specialty services to pet owners throughout Tennessee and neighboring states. Our staff of board-certified veterinary specialists bring a wide variety of experience in many different treatment areas. Our veterinarians are board certified or have advanced experience and training in areas of emergency and critical care, internal medicine, surgery, oncology, ophthalmology and avian & exotic medicine. For more information, visit www.animalERspecialty.com. About Aratana Therapeutics Providing veterinarians with new therapies that are driven by science and specifically made for pets, was the inspiration behind Aratana Therapeutics. We believe … Continue reading