Established Family Medicine Practice, 36-Year Georgia Primary Care with Real Estate

$1.3M

Revenue

$590K

SDE

5.1x

Multiple

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Full Editorial Writeup

This is a family medicine and primary care practice operating in Georgia since 1990, with 36 years of continuous operation and a loyal, multi-generational patient base. The practice serves over 1,000 active Medicare and Medicaid patients and generates more than 6,000 patient visits annually, delivering primary care and knee joint injections as its core services. On roughly $1.28M in revenue it produces $589,949 in cash flow, a healthy margin for a solo-physician practice.

The deal bundles the operating practice with the real estate that houses it, and that building carries two additional revenue tenants: a dental office and a pharmacy generating roughly $67,800 in combined annual rent. The asking price of $3M is supported by an SBA prequalification, seller financing of up to $232,500 at 8% over five years, and an estimated buyer equity injection of about $485,000.

The most notable feature is how underutilized the practice is. The current physician works roughly 27 hours per week and closes the office on Wednesdays, and the practice has historically offered laser treatments, medically supervised weight loss, and IV therapy that have since lapsed. That combination of reduced hours and dormant cash-pay service lines is where the upside lives for a full-time operator.

Why we like it

Earnings quality is strong for a solo primary care practice: $589,949 of cash flow on $1.28M revenue is a ~46% margin, and it is generated on a part-time 27-hour physician schedule. That means the reported earnings understate the true capacity of the asset, which is rare in a small medical deal.
Durability is excellent. Primary care for a 1,000-plus Medicare and Medicaid patient panel is about as sticky and recession-resistant as small business income gets, and a 36-year operating history with multi-generational patients signals real switching costs and community trust.
The market tailwind is demographic. An aging population and chronic-care management keep primary care demand structurally rising, and Medicare/Medicaid reimbursement provides a floor of payer stability that discretionary healthcare cannot match.
The operator advantage is unusually clear. A buyer physician who simply works a full week, reopens Wednesdays, and restores the lapsed cash-pay lines (weight loss, IV therapy, laser) can materially lift volume and margin without acquiring a single new patient relationship.
The real estate and tenant income diversify the return. The building comes with the practice plus a dental office and pharmacy paying roughly $67,800 a year, so part of the debt service is covered by rent that is independent of physician productivity.

How to improve it

Reopen Wednesdays and extend the physician schedule from 27 hours toward a normal full-time week. Patient demand appears to exist; adding capacity is the single fastest lever to convert existing panel volume into incremental visits and revenue.
Restore the dormant cash-pay service lines. Medically supervised weight loss, IV therapy, and laser treatments carry high margins and no reimbursement lag, and they were previously offered here, so restarting them is a proven playbook rather than a speculative bet.
Add a second provider such as a nurse practitioner or physician assistant. A mid-level clinician can absorb overflow visits and chronic-care follow-ups at a fraction of physician cost, expanding capacity while protecting the buyer's own hours.
Layer in Medicare-reimbursable programs like Chronic Care Management and Annual Wellness Visits. With 1,000-plus Medicare patients already on the panel, these recurring, code-based services can add meaningful revenue with minimal incremental marketing.
Optimize the tenant leases in the building. Review the dental office and pharmacy lease terms, escalators, and renewal dates to ensure the $67,800 rent roll is at market and locked in for the long term to firm up the real estate coverage.
Tighten payer mix and billing. Audit coding accuracy and denial rates across the Medicare/Medicaid book, because even modest improvements in clean-claim rate and appropriate coding flow straight to cash flow.
Modernize patient acquisition and retention. A basic digital presence, online scheduling, and recall reminders can convert an aging passive panel into a growing one, especially if the buyer expands hours and services.

Diligence notes

Scrutinize the payer mix and reimbursement risk. A book concentrated in Medicare and Medicaid means revenue is exposed to fee schedule changes and slower payment; confirm the actual collections, aging receivables, and denial history rather than gross charges.
Quantify how much cash flow depends on the departing physician. With a single doctor at 27 hours a week, verify whether patients are loyal to the practice or to that individual, and confirm what transition and non-compete terms are in place to retain the panel.
Separate the real estate valuation from the operating business. The $3M ask bundles the building; confirm an independent appraisal, the $67,800 tenant rent roll, lease documents, and whether the SBA structure is pricing the property at a fair cap rate versus inflating the effective multiple on operations.
Validate the SBA prequalification and financing stack. The proposed $4,030,000 SBA facility plus seller note and ~$485,000 equity injection is subject to final underwriting; confirm the numbers, verify the appraisal supports the loan, and stress-test debt service against real collected cash flow, not the $589,949 headline.
Confirm the growth claims are executable. The lapsed service lines (weight loss, IV therapy, laser) require staff, equipment, and possibly credentialing; verify what was actually generating revenue historically and what capex or licensing is needed to restart them.
Assess staff continuity and licensing. Understand whether the experienced staff will remain post-close, credentialing timelines for a new physician, and any Georgia-specific requirements that could delay the buyer's ability to bill under the practice.

Source

Originally listed on BizBuySell. View original listing →