Starting a Veterinary practice from scratch is hard work and comes with a level of unpredictability that no amount of preparation can erase. Growth speed is uncertain, no matter how strong your work ethic or how much success you have had in previous roles.
I can attest to this because I am living it right now. While I have grown multiple hospitals in the past, I have never launched one from the ground up. It is new, exciting, and, if I am honest, a little intimidating. We open in mid-August in what I know is a promising location, but there is still the unknown of how quickly the practice will take off.
This isn’t to say startups are a bad idea—far from it. They can and do succeed. But there may be another path into practice ownership that offers a quicker, more predictable ramp-up. This path is worth exploring for both the young veterinarian eager to own and the retiring veterinarian in need of a succession plan.
Why ETA Fits Veterinary Medicine
In today’s corporate Veterinary landscape, the word “acquisition” can sound a little off-putting. In reality, it is a method of entering practice ownership that can dramatically improve cash flow early in the journey. The acronym ETA stands for Entrepreneurship Through Acquisition. If you read business books, blogs, or follow entrepreneurship content online, it is a concept you have probably come across.
ETA has captured my attention for several reasons. It is a business model that allows me to help retiring Veterinary practice owners while also giving aspiring owners a realistic entry point into the profession. The word “entrepreneurship” is often tied to building something from the ground up, starting with a single idea and growing it into a successful business. However, not every person is a “zero to one” kind of entrepreneur. Some people excel as “one to one hundred” entrepreneurs, taking something with an established foundation and leading it into the next stage of growth.
Veterinary medicine is uniquely suited for this approach. Across the country, there are countless one or two-doctor practices that either chose not to grow beyond that size or lacked the systems to do so. If there is strong client demand in the area, the right buyer can take a stable, cash-flowing practice and turn it into a thriving, expanded business.
The seller benefits from a smooth exit, the community benefits from continued access to pet care, and the new owner benefits from a growth-ready asset. You prevent a clinic from closing or being sold purely for its real estate value; you preserve local Veterinary care; and you create freedom, security, and income streams for yourself. It is truly a win for everyone involved.
The ‘Non-Corporate Target’ Market
There are many Baby Boomer and Gen X-owned practices that are either for sale now or will be on the market in the near future. Many of these clinics are not attractive targets for corporate groups, either because of their size or because the owner has no interest in selling to a corporation. For this article, I am focusing on one and two-doctor practices where the owner genuinely wants to retire and pass the reins to the next generation.
One and two-doctor practices are rarely corporate targets for a simple reason. They are owner-operated businesses that depend heavily on the current practicing owner. Many corporate groups are already struggling to fill vacant veterinarian positions, so purchasing a practice like this would mean taking on significant risk. It is even more difficult to recruit into an older facility and expect a new veterinarian to grow the business without meaningful personal upside. As a result, corporations will likely pass on these deals.
Corporations and large groups typically have the advantage in acquisitions because they can pay higher EBITDA (earnings before interest, taxes, depreciation, and amortization) multiples than an independent buyer using bank financing. However, for these smaller practices, EBITDA multiples are much more attainable and financeable for independent buyers.
This allows for a more realistic purchase price. If you can acquire a practice at a lower multiple that is already cash flowing, your take-home pay as the owner can be solid from day one, provided you retain the clientele. From there, you have a stable foundation to grow on. The risk is not eliminated, but it is reduced. Your job is to earn the trust of existing clients, attract new ones, and take the practice to new heights.
The ETA Pathway for Veterinarians
Finding the Right Practice
The process begins with finding the right practice. One approach is to search the various Veterinary practice broker sites for listings. This can be a slow and sometimes frustrating process since details are often vague until you dig deeper. You may end up signing multiple non‑disclosure agreements, passing on many deals once you learn the exact location, or, if you are fortunate, finding one that fits your ideal scenario.
Another path is to buy into the practice where you already work. In this case, the key is simply making your interest known. Many owners do not think to approach associates about a future sale unless the conversation is initiated.
A third option is proprietary outreach, where you contact practices that are not currently listed for sale to explore whether the owner would consider selling to an independent veterinarian. This approach requires time and persistence, but it can uncover opportunities that have not yet hit the market. It also allows you to focus on specific areas where you want to live or where you see strong potential for growth.
Structuring the Deal
Once you have found the right practice, the next step is structuring a deal that makes sense for you and for the bank that will be financing it. The best place to start is by building a relationship with a Veterinary‑specific lender. These lenders understand the industry, the revenue cycles, and the realities of Veterinary ownership in a way that most general lenders do not.
Whether you use an SBA loan or conventional financing, the fundamentals are the same. The purchase price has to make sense based on the practice’s existing cash flow. In other words, the business needs to generate enough income to cover your loan payments, pay your operating expenses, and still allow you to take home a fair income. If those numbers do not work, the deal will create unnecessary strain from day one.
Every lender has their own way of evaluating a practice’s value and risk, so it is important to lean on their expertise and ask questions early in the process. They can walk you through what they look for, how they structure terms, and what will help your application stand out. I am not here to tell you the “perfect” deal structure, but I will tell you this: a good lender will be your partner through the process, and the right deal will feel sustainable, not suffocating.
Modernizing for Growth
The job does not stop once the deal is closed, and your focus cannot be only on practicing Veterinary medicine. If you want to see growth on your investment, you need to put new systems and technology in place to help the practice expand. Many acquisition targets offer opportunities to introduce tools that make it easier for clients to schedule, improve access to care, or add new diagnostic capabilities that create additional income streams.
Not every system needs to be replaced. You purchased an asset that has been successful for the previous owner, so it is important to respect and preserve what already works. The goal is to “build on the shoulders of giants.” Take the strengths of the past, modernize them, and add to them to create a business that will thrive well into the future. Stay adaptable and be ready to continue evolving to meet the expectations of the clients you serve.
Why ETA Protects Independent Vet Med
Every time a practice changes hands through ETA, it keeps Veterinary medicine in the hands of veterinarians. It protects local care, preserves jobs, and keeps decision‑making at the clinic level rather than in a corporate office.
It also gives younger veterinarians a real path to ownership and keeps the profession from losing more ground to consolidation. In short, ETA is not just a way to buy a practice. It is a way to protect the future of independent Veterinary medicine.
Call to Action
If you are a practice owner thinking about retirement, or a veterinarian who is ready to take the step into ownership, I want to help you explore the possibilities that ETA can offer. Whether you need a plan to transition your practice or guidance on finding the right one to buy, let’s talk.
You can reach me directly at www.truevetpotential.com to start the conversation. The right match can secure your legacy, create a thriving business for the next generation, and keep independent Veterinary medicine strong.