Sale of a Home Health Agency

It is extremely difficult in today’s financial times to find qualified “Buyers” that can bring cash to the closing. That being said let me walk you thru the sales process.

1. First you and I, DFW Business Exchange (or a Broker), will enter into a “Listing Agreement.” This much like selling a house is the document that allows us to represent you. It basically outlines what we are selling (the Agency), what the listing price will be and what the cost will be to sell. Bottom line: we don’t get paid until after you get paid.

2. Also, we will supply you with a list of legal documents required to sell the agency. (i.e. License, past survey results, past financials and tax returns, etc.) We MUST have these documents to market your agency as these are the first documents a buyer will want to see. **Please return with the signed Listing Agreement.

3. Once the listing agreement has been signed and the documents have been supplied, we will represent you in the process of finding a qualified buyer for your business. We will use our contacts (built over years) to find the right buyer for your agency at the price you want.

4. We contact our network or CPA’s, Attorneys and Home Health Corporations that either buy agencies like yours or represent the people that do. We will also market your agency (confidentially) over 8 internet web sites all at our expense.

5. We handle all negotiations regarding money for the agency. You will be called on to answer all questions about your agencies formation, how long it has been in business, patient base, why you are selling, etc.

6. Once we find a buyer at an agreed upon price, we direct all the paperwork with the buyers. A normal sale usually involves a Management Agreement that is a bridge from the day we sign the papers of the sale until the 60 day requirement is fulfilled for notice of your intent to sell with the state (We will walk you through this).

7. You will also enter into a Purchase Agreement that will take effect 60 days from the signing of the Management Agreement. This legally transfers the company to the new buyers. You normally sign both the Management and Purchase Agreement at the same time.

8. Payment is normally in 2 stages. 50% due at the Management Agreement signing with the remaining 50% due in 60-90 days when the Purchase Agreement takes effect (for smaller agencies). This is part of the negotiations process and is usually different by agency. Larger Agencies are obviously much different in most cases.

9. Your total expense is our fee which is 10% of the Sales Price—-It is paid after your receive your first initial payment.

10. The Seller is usually required to help the new buyer for 2-4 weeks, which is included in the sale price.

As you can see this is a very complicated legal process, so be extremely careful. Whether you use DFW Business Exchange or not, (which we do suggest) you need to use a broker that knows about Home Health Agencies.

**We are not attorneys and are not qualified to give legal or financial advice**

There is a lot more, but I think you are getting the idea by now—this is a very complicated process.

Give us a call when you are ready. We have people that are interested TODAY.

Don Harman
Owner, DFW Business Exchange
214-707-9073
[email protected]

Julie Larman
Office Manager, DFW Business Exchange
[email protected]

PRIVACY POLICY:  Personal and confidential Information about any viewers of this site will be kept confidential by DFWBusinessExchange.com and not knowingly share with any other person(s) or companies.  Your privacy is very important to us as well It should be.  Your information, phone numbers, emails, etc. are never sold to any third parties.