How is occupational therapy financed

Takeover of an occupational therapy practice. Financing with house bank loans

After 20 years of professional experience, it was time for the trained occupational therapist to set up his own occupational therapy practice. When the opportunity arose to take over a well-established practice, we supported him in drawing up the business plan and applying for the purchase price financing.

Purchase price financing, investment needs, profitability forecast

With the seller, who for reasons of age would withdraw from the ongoing operation of the practice, but at the same time wanted to have his patients well cared for, our customer quickly agreed on the purchase price.

This enabled the planning for the handover to the therapist to begin - the customer base, the contacts to doctors and clinics and, above all, the previous employees were taken over.

At the same time, the plans were concretized how the practice can be set up for the requirements of the next few years - one focus of the work should in future be on the prevention and therapeutic support of dementia patients and their relatives.

For this, some investments in the practice equipment and continuous training of the employees and the practice owner were necessary. These were of course to be taken into account in the business plan when planning investment and profitability, as well as the private cost of living, costs of the social security of the successor and much more.

House bank loan to finance investments and liquidity buffer applied for

Even if the ongoing operation of the practice continued more or less seamlessly, there were still some formal requirements that had to be met for the operation of a practice as a medicine provider. For example, the billing modalities and approval by the health insurance company had to be reorganized, which led to delays in incoming payments in the first few months, for which a corresponding liquidity buffer had to be taken into account.

Equipped with the complete business plan, which in addition to financial aspects also included other aspects such as the competitive situation on site, forecasts of population development, legal and tax issues, etc., the therapist was able to go into discussions with his house bank well prepared.

From there, after a few days, the green light came for the provision of the financing volume by means of a promotional loan, which, in addition to a default guarantee from the guarantee bank, also included a 2-year start-up phase without repayment.