Are You Considering Going Corporate?
There are a few things to know when you are considering corporate or consolidation. Throughout this blog, we will highlight some of the key questions to answer before making that final decision.
When Did Consolidations Begin?
Corporate-owned veterinary practices have been around for roughly 30 years. Just like every other industry, it has its ups and downs. VCA Animal Hospitals now own over 800 clinics throughout North America. This was the start of many other corporate companies. There are now just over 70 different corporations that exist in the United States, but really only 10 major players in the field of veterinary.
This is all information that is important to know when you are considering corporate. If you are looking to consolidate, there are many different options to choose from or that could choose you. It is now not a question of whether or not they will consolidate more clinics but how and when.
Is there Concern From Clients?
The short answer is, yes, probably. Clients like the idea of walking into the clinic, seeing their veterinary professional, and knowing that their pet is going to be taken care of. There could be worry that the corporation won’t take care of their pets like before.
There are always customers that are not so easy to get along with. Another one of our recent blogs talks about how to communicate with them. It is important to make sure that if you do decide to go corporate that you assure your clients will have the same service they did before.
Sometimes people hear the word “corporate” and they instantly think that it is a bad thing or that they don’t get the same treatment. They think that the company is just in it for the money. In the blog listed above, we talk about how sometimes they don’t know the different terminology or don’t know how to interpret it. It helps to send out letters or talk with our clients if you are consolidating. Communication is better sooner than later.
Questions to Ask Yourself
Why you are considering corporate is something of top priority. If the reason is you are looking to retire, or get out of the business, are there other options to consider as well? It is important to know the exact reasoning behind choosing so you don’t have second thoughts while going through the process or after.
When you are considering this decision is another big question to have answered before you go searching for someone to take over your business. If you are not quite ready, let people know. Companies are willing to work with you but sometimes need to be reminded that it’s not their business yet.
People Who Can Help
Veterinary Integration Solutions was designed to help veterinary professionals with consolidations. Their services are provided to help you choose the best way to consolidate your company. On the site, they have two different Consolidator Maturity models. The CMM is the view of patterns that are in development during the consolidation of small businesses to a corporation with the purpose of Value Creation. This happens through business processes, systems, and data optimization.
The first model, Strategic CMM, has different organizational development levels. It also includes the leadership levels and how they are developing over time. Veterinary Integration Solutions whole concept of this model is to show how the consolidation is becoming more resilient and anti-fragile.
The second model on their site is Tactical CMM. This is described on their site as the playbook for consolidation. Their business has collected years of assessments. This is so they could develop a system to track if you are prepared to go to the next level of consolidation. Veterinary Integration Solutions along with others are there to help the process and decisions made if you want to consolidate, or when you want to.
Where To Go From Here?
After asking yourself the questions above, do some research. If you choose not to consolidate right away, that’s great! If you think that consolidation is the best thing for your company, that’s great too! Just be prepared for whatever you choose to do next. Going into the meetings with knowledge of your own is better than going in blind.