If you start your own veterinary practice, and eventually build up a steady stream of happy customers, then sooner or later the PE firms will come knocking on your door, too.
Imagine you're drowning in student debt and worrying about keeping your business afloat, when someone offers you $5M, and says you'll still get to work with animals, which you love, while they take care of the financial and business side, which you didn't enjoy. It's a no brainer for most people.
No way. I think most people realize “they are offering me $5M because they know they’ll make a good profit on this business. That means it’s worth more.”
I think that's true to an extent. And, especially successful people, often would rather be their own boss for less money than to be a corporate cog. Having the freedom to make ethical judgements yourself and build local community is a real luxury. We are, mostly, just social animals that want to build our status by helping each other out in the end.
Two things, I think, might make the decision for them, in spite of that:
- The money is actually more than their business could be projected to make alone. This is because the PE firm isn't just buying the single practice but every practice in the area to kill competition. Get that captive market and you can charge more.
- The personal ownership freedom can be already lost on these independent people if they feel they are already tied down too much. I know this is especially the case in small medical offices where insurance and regulation can over-rule them. Feeling like you don't have control in this way can cause a lot of depression (tangent but look up how we condition mice in order to test treatments of antidepressants on them). At that point, the monied exit starts looking like a better option.
it is worth more, but you have to do 100% of the work to get 25% more upside.
Or take $5m and get no more upside and 70% less work. The "work" here is dealing with regulations, insurance companies, administration, payments, and accounting, not actually looking after dogs
the PE model is often to provide a competent regtech/administration core and then plug heaps of regulated businesses into it and centralise all the admin
imagine opening a vet in SF in 1950 in a cheap shoplot and people just paid you with hard cash or cheques in person, you wrote receipts with a biro, and filed taxes once or twice a year on a few sheets of paper... compared to now
Indeed. But remember a PE firm has economies of scale because they own many vet practices. They can negotiate better rates with suppliers than you can, and better payment terms. Maybe they even own some of those suppliers. They can divide their advertising costs by all the practices they own, whereas you can't.
Even if you were willing to be as ruthless as a PE firm, raising your prices and sacking half your staff, and even if you were somehow an expert in financial engineering and business optimization, you still won't make the business as profitable as they can.
Porsche is famous for underpromising and overdelivering.
For instance they claim a 0-60 time of 2.4s for this car. Car & Driver independently tested it and achieved 2.1s. They also claim 298 miles of EPA range (mixed highway & city driving). Car & Driver worked out 300 miles at a constant 75 mph (which is harder on an EV than city driving.) On the base model, which claims 303 miles range, MotorTrend achieved 350 miles of pure highway driving.
Pick any Porsche and you'll see that they lie to make things sound worse than they really are.
German brands in general tend to do that - BMW is notorious for under-reporting power, for example. They'd rather understate than have customers be mad at them for underdelivering.
Yeah, the difference between "reported and delivered" in the range of 350-298=62miles is actually that one special thing, that makes Porsches worth the price :-D
In one of the videos you can see dark clouds behind the plane. I suspect the pilots knew they'd have to divert to a different airport if they couldn't land and put pressure on themselves to not have to do that.
Had this done too to cure PVCs - a irregular heartbeat that wouldn't have killed me, but it did lead to an enlarged heart and low energy.
I remember feeling great during the procedure thanks to whatever meds they gave me. I could watch them on a screen threading the wire in through my femoral artery all the way up into the inside of my heart. Then I felt the exact moment I was cured. The irregularity I'd known my whole life just changed rhythm. Then they injected some stuff to stress test the heart at high and low speeds. 24 hours later I was back home.
Thank you for telling your story. It is encouraging. I’m a candidate for the same surgery because of a high PVC burden, but I’ve been resisting doing it because of the risk of death and other life-altering complications.
Moving Synology-to-Synology, I was surprised at how easily I could just move the original HDDs (in their original order) from old enclosure to new enclosure, and it just worked.
If you get laid off, it is your personal relationships that will help you land another good job while everyone else is fighting over the scraps that get posted online.
Imagine you're drowning in student debt and worrying about keeping your business afloat, when someone offers you $5M, and says you'll still get to work with animals, which you love, while they take care of the financial and business side, which you didn't enjoy. It's a no brainer for most people.
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