Dru Morgan, the Director of Morgan Business Sales, believes that this has been coming for a long time.
“For years we have been hearing about Australia’s ageing population and the opportunity this shift will present. But we didn’t see this reflected with increased buyer demand in this industry. It performed close to the market average. In 2022, the switch has been flicked. There are many parties active in the market now. All looking to roll up the assets they need to be significant players in this fast growing industry.”
While this is great on its own, Mr Morgan says there are two more factors adding fuel to the fire in this market.
“An interesting quirk in aged care is the share of the market which is serviced by non-profit organisations. 80% of in-home service providers are non-profits. Compounding this, it’s becoming harder to get the licenses required to start a new business in this sector. So we’ve got a small pool of for-profit businesses in existence. Few new players entering the market. The perfect storm.”
Mr Morgan says that business owners with an established aged care business are well positioned to achieve a significant exit.
“Business valuation comes down to supply and demand. Markets with small supply and large demand like we’re seeing in aged care result in an excellent outcome for a business owner.”
About Morgan Business Sales
Morgan Business Sales are Australia’s leading Specialist Business Brokers. For the past 25 years, they have successfully sold hundreds of large and small businesses. Whether looking to buy or sell, they are ready to assist you.
From business valuations, franchise sales, to corporate sales, and large business sales to the very smallest business sale, their experienced team of Specialist Business Brokers are ready to achieve a great result for you. Learn more about Morgan Business Sales via their website here: http://www.morganbusinesssales.com/melbourne-business-brokers
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Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No Feature Georgia Heralds was involved in the writing and production of this article.