SELL YOUR HEALTHCARE BUSINESS
Founder-focused advice for healthcare business owners looking to sell
OVERVIEW
Selling your healthcare business is one of the most important decisions you will ever make.
At Eclipse Corporate Finance, we work exclusively with founders of established healthcare companies generating £1m–£5m of annual profit (EBITDA).
Our focus is to deliver the best outcome, combining realistic valuations, access to the right buyers and hands-on deal execution.
Every process we run is entirely confidential, designed to protect your staff, patients and clients while giving you control at each stage.
WHY OWNERS CHOOSE TO SELL
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There are many reasons why founders consider a sale. For some, it is about retirement and succession planning, ensuring that the business they have built continues to thrive under new ownership. For others, it may be about partnering with private equity to de-risk personally while unlocking the next phase of growth.
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Consolidation is another strong driver. Across healthcare, corporates and investors are actively acquiring profitable businesses to gain scale, broaden services or expand geographically. This creates windows of opportunity where timing can make a material difference to the outcome.
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Ultimately, the decision to sell is unique to each founder, but whatever the motivation, the process requires careful preparation and experienced guidance to secure the right buyer at the right value.
VALUATION DRIVERS IN HEALTHCARE
The value of a healthcare business is shaped by more than just financial performance. While scale of profitability is the starting point, with most buyer interest beginning at £1m EBITDA and above, the quality of those earnings is just as important.
Buyers place a premium on businesses with recurring income, strong contract visibility and diversified revenue streams. Heavy reliance on the founder or on a small number of contracts will reduce buyer appetite, whereas robust management teams and broad patient bases increase it.
Geography and growth potential also play a role. Businesses with capacity to expand, or those operating in regions of strategic interest to consolidators, often achieve stronger multiples.
Typical ranges for high-quality healthcare businesses are between 5-10x EBITDA, depending on these factors.
WHO IS ACQUIRING HEALTHCARE BUSINESSES?
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Corporate consolidators (often private equity-backed) remain highly active, particularly in segments where scale creates operating efficiencies. These groups often look for bolt-on acquisitions at the £1m+ EBITDA level, using them to build regional or national platforms.
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Private equity investors are increasingly shaping the market. While smaller businesses are of interest mainly as bolt-ons, those generating £2m–£5m EBITDA may start to attract attention as direct platform investments in their own right. This distinction is important as it can materially change deal dynamics and valuation.
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Strategic operators, often regional groups or sector specialists, acquire selectively to strengthen their footprint, add complementary services or secure specialist expertise. These buyers typically pursue fewer deals but can be highly motivated when there is a strong strategic fit.
OUR RELEVANT EXPERIENCE
Our work spans the breadth of the UK healthcare market. Recent examples include:
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Advising Sano Physiotherapy, a 40+ site physiotherapy group on its platform investment from Bestport Private Equity
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Advising Audiological Science, a provider of audiology services to NHS and private patients, on the private equity-backed management buy-out funded by YFM Equity Partners
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Advising Enable Therapy Services, a provider of case management and occupational therapy services, on the sale to private equity-backed corporate consolidator, Examworks
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Advising HealthHarmonie, a community-based provider of NHS ophthalmology, gynaecology and dermatology services, on the sale to strategic acquirer Medinet (backed by Fremman Capital)
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Advising Remedy Healthcare Solutions, a provider of clinical insourcing and staffed modular solutions, on the sale to strategic acquirer Medinet (backed by Fremman Capital)
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Advising Fox Covert, a group of specialist dementia care homes, on the sale to corporate consolidator Aurem Care
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Advising Lucis Pharma, a specialist pharmaceutical business, on the sale to Rosemont Pharmaceuticals, a consolidator backed by Inflexion Capital
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Advising Keys Group on the acquisition of Peak Education, a group of four SEN schools in the Midlands
INSIGHTS
