Guide to Selling a Fertility & IVF Practice in Michigan

A Guide to Navigating a Thriving Market

Selling a Fertility & IVF practice in Michigan presents a significant opportunity. The combination of a thriving market and a supportive state environment has created prime conditions for practice owners considering an exit. Realizing your practice’s full value, however, requires careful preparation and strategic planning. This guide covers the key market trends, valuation principles, and process considerations you need to know to navigate a successful sale.

Market Overview

A National Growth Story

The U.S. fertility services market is not just growing. It is booming. Valued at nearly $8 billion in 2022, the market is projected to more than double to $16.8 billion by 2028. This incredible growth is driven by shifting demographics, greater social acceptance, and advancing technology. For practice owners, this national trend provides a powerful tailwind, fueling intense interest from buyers and investors looking to enter or expand within a high-growth sector of healthcare.

The Michigan Advantage

While national trends are strong, Michigan presents its own unique advantages. The state has recently enacted legislation that strengthens legal protections for families using assisted reproductive technologies (ART), signaling a supportive and stable operating environment. This legal clarity reduces risk for both practice owners and potential buyers. Understanding how these Michigan-specific dynamics layer on top of national growth is the first step in positioning your practice for a premium valuation.

Key Considerations

Beyond the market’s climate, selling a fertility practice in Michigan requires navigating a unique regulatory landscape. For example, the new Reproductive Health Data Protection Act, effective in mid-2025, changes how patient data can be handled in a transaction. Furthermore, state law prohibits the sale of embryos, which has direct implications for how these sensitive assets are addressed during a sale. On the horizon, potential legislation like H.B. 6047 could mandate insurance coverage for fertility treatments. This would transform clinic revenue models and valuations. Properly preparing for these factors is critical to a smooth and successful sale.

Market Activity

The strong market fundamentals have attracted significant attention from buyers. Two key trends define the current M&A landscape for fertility practices in Michigan.

1. Premium Valuations. Fertility clinics are not being valued like typical medical practices. While a general practice might sell for 3-4 times its adjusted earnings, fertility centers often command multiples of 8x to 11x or even higher. This is a direct result of the specialty’s high growth, strong margins, and recurring revenue streams.

2. Sophisticated Buyer Interest. The buyers driving these high valuations are often private equity groups and large, strategic healthcare systems. They are actively seeking well-run, scalable fertility practices to serve as platform investments for future growth. They see the opportunity in Michigan and are willing to pay a premium for the right practice.

The Sale Process

Selling your practice is a marathon, not a sprint. We find the entire process typically takes six to twelve months from the initial decision to the final closing. It starts with strategic preparation, which includes a deep dive into your financials and operations to understand your true value. From there, we identify and confidentially approach a curated list of qualified buyers to create a competitive environment. The most intensive phase is buyer due diligence, where every aspect of your practice, from tax returns and payroll records to clinical protocols and marketing materials, is scrutinized. Being thoroughly prepared for this stage is what separates a smooth, successful transaction from one that encounters unexpected and costly delays.

Valuation

What is your practice actually worth? Buyers don’t look at your tax returns. They look at your practice’s future cash flow, which is best measured by Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization). This figure normalizes for owner-specific expenses and one-time costs to reveal the true profitability of the business. From there, a valuation multiple is applied. That multiple is not fixed. It is heavily influenced by the specific risk and growth profile of your practice. We help owners tell the right story to justify a premium multiple.

Key Factors Influencing Your Valuation Multiple

Post-Sale Considerations

For many owners, the sale is about more than a final number. It is about legacy. A successful transaction plan must also map out what happens the day after closing. Your sale does not have to mean a complete loss of control. We specialize in structures like strategic partnerships and equity rollovers, where you can sell a majority stake in your practice for immediate liquidity while retaining ownership in the larger, growing platform. This allows you to secure your financial future, reduce your administrative burden, and get a “second bite at the apple” when the larger entity sells in the future. Defining what you want your future role to be–clinically and financially–is a critical part of designing the right exit strategy from day one.