Selling your Telehealth or Digital Therapy practice in New Hampshire presents a significant opportunity. The market is growing rapidly, but turning that growth into a premium valuation requires careful, strategic planning. This guide provides a clear overview of the market, key state-specific considerations, and the steps involved in a successful sale. Understanding these factors is the first step toward securing your financial future and legacy.
Market Overview: A Strong Climate for Digital Health in the Granite State
The timing for selling a Telehealth or Digital Therapy practice has never been better. The industry is not just growing; it’s exploding. This rapid expansion creates a favorable environment for practice owners in New Hampshire looking to transition.
The data speaks for itself. We are seeing strong indicators on a global scale, and New Hampshire’s local adoption rates suggest a particularly receptive market. This combination of broad momentum and local acceptance creates a powerful tailwind for sellers.
| Market Indicator | Growth Statistic | Implication for Sellers |
|---|---|---|
| Global Telehealth Market | 22.9% CAGR (projected 2025-2032) | A large, expanding pool of potential buyers. |
| Online Therapy Services | 14.3% CAGR (projected 2024-2034) | High demand specifically for digital therapy. |
| NH Hospital Telehealth | 71.4% Adoption Rate | Strong local infrastructure and patient acceptance. |
Key Considerations for New Hampshire Providers
Beyond market trends, selling a practice in New Hampshire involves unique regulatory factors. A potential buyer, especially one from out-of-state, will look closely at how your practice handles these rules.
Your biggest asset here is compliance. New Hampshire requires any provider serving a patient located in the state to hold a New Hampshire license. This is a critical due diligence item for buyers. They need assurance that your revenue stream is built on a solid regulatory foundation.
On the other hand, the states payment parity law is a major advantage. This law mandates that insurers reimburse for telehealth at the same rate as in-person services. This significantly de-risks your practice in the eyes of an acquirer, as it ensures revenue stability. Framing this correctly during sale negotiations is a key part of maximizing your valuation.
What We’re Seeing in the Market Today
The market is not just growing; it’s active. We are seeing a dynamic environment where prepared practice owners can achieve premium outcomes. Here are a few key trends shaping sale opportunities right now.
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The Rise of Strategic Buyers. It is no longer just local hospitals or other physicians buying practices. Private equity groups and large digital health platforms are actively acquiring. They look for well-run, compliant practices to use as a platform for growth. They also pay premium multiples, but their diligence process is intense.
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The Medicare Window. Federal rules allowing broad access to telehealth for Medicare patients are in place until late 2025. This provides a clear, stable revenue forecast for the near future, which is highly attractive to buyers. This creates a clear timeline to prepare your practice for a sale.
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Preparation is the New Tactic. The most common reason we hear for delaying a sale is, “I’m not ready yet, maybe in a few years.” That is precisely when you should start the planning process. Buyers pay for proven performance, not future potential. The work you do in the 12-24 months before a sale can dramatically increase your final valuation by optimizing operations and financials.
The Path to a Successful Sale
A successful practice sale is a structured journey, not a single transaction. While every deal is unique, the path generally follows a few key phases. It starts with deep preparation long before your practice is ever presented to a buyer.
First comes the strategy and valuation phase. Here, we help you understand what your practice is truly worth and identify key value drivers. This involves a deep dive into your financials, operations, and market position.
Next, we confidentially market your practice to a curated list of qualified buyers. This creates a competitive environment to drive up the price.
Finally, you enter negotiations and due diligence. This is where many deals fall apart. Buyers scrutinize every detail of your practice, from financial records to regulatory compliance. Being thoroughly prepared for this phase is the key to a smooth closing and ensuring you receive the value you deserve.
How Your Practice is Valued
One of the first questions any owner asks is, “What is my practice worth?” The answer is more complex than a simple revenue percentage. Sophisticated buyers use a specific
method to determine value, and understanding it is the first step to maximizing your price.
Beyond Net Income: Adjusted EBITDA
Buyers look at “Adjusted EBITDA” (Earnings Before Interest, Taxes, Depreciation, and Amortization). We start with your net income and add back owner-specific expenses like an above-market salary, personal vehicle leases, or other non-operational costs. This reveals the true cash flow of the business. Most practice owners are surprised to learn how undervalued their practice is until this process is done correctly.
More Than a Number: The Multiple
This Adjusted EBITDA figure is then multiplied by a number (the “multiple”) to arrive at your enterprise value. This multiple is not fixed. It changes based on your specialty, your scale, your reliance on a single provider, and your growth trajectory. A multi-provider telehealth practice with a strong growth story will command a much higher multiple than a solo practice with flat revenue. A professional valuation is not just about the math; it’s about telling a compelling story to justify the highest possible multiple.
Planning for Life After the Sale
The transaction is not the end of your story. A successful transition plan considers what happens on day one after closing, for you, your staff, and your patients. These considerations should be part of the negotiation from the very beginning.
Many sellers are concerned about losing control or their legacy. This is a valid fear. However, modern deal structures can address this. You can negotiate for continued clinical autonomy, secure roles for your key staff, and even retain a portion of equity in the new, larger company. This “equity rollover” allows you to benefit from the future growth you help create.
Thinking about these post-sale goals upfront is critical. Do you want to continue practicing for a few years? Do you want a clean break? The right buyer and the right deal structure depend entirely on your personal and financial objectives. This is about more than just a sale; it’s about designing your next chapter.
Frequently Asked Questions
What is the current market outlook for selling a Telehealth or Digital Therapy practice in New Hampshire?
The market for Telehealth and Digital Therapy practices in New Hampshire is growing rapidly, with high adoption rates and favorable market conditions. There is strong demand and a growing pool of potential buyers, including strategic buyers like private equity and digital health platforms.
What are the key regulatory considerations when selling a Telehealth practice in New Hampshire?
Compliance is critical in New Hampshire, particularly the requirement for providers to hold a New Hampshire license when serving patients located in the state. Additionally, New Hampshire’s payment parity law ensures insurers reimburse telehealth at the same rate as in-person services, which can increase the practice’s valuation.
How is a Telehealth practice valued when preparing for a sale?
Valuation is based on Adjusted EBITDA, which includes earnings before interest, taxes, depreciation, and amortization, adjusted for owner-specific expenses. This figure is then multiplied by a “multiple” reflecting factors like the practice’s specialty, size, provider reliance, and growth trajectory. A professional valuation also takes into account the story behind the numbers to achieve the highest possible valuation.
What are some recent trends impacting the sale of Telehealth practices in New Hampshire?
Recent trends include the rise of strategic buyers such as private equity groups, active interest from large digital health platforms, and the significance of Medicare’s expanded telehealth access until late 2025. Preparation and readiness significantly impact final sale outcomes, with buyers favoring practices with proven performance and stable revenue forecasts.
What should practice owners consider for life after selling their Telehealth practice?
Owners should plan what happens post-sale, including their continuing role, staff transitions, and maintaining clinical autonomy. Deal structures may allow for equity rollover, enabling sellers to retain partial ownership and benefit from future growth. Personal and financial goals should guide the transition strategy to ensure the sale aligns with the owner’s desired next chapter.
