Industry Trends
Both private equity firms and strategic buyers are looking for smaller companies to roll into their operating company systems. As these “big guy” companies loom larger in more markets they will have the growing advantage of being able to attract scarce caregivers by providing insurance, paid vacations, and other attractive benefits. They all also have the financial resources to advertise on TV, radio, and in social media. Because the increasing competition is becoming more intense, it is harder for the larger companies to grow organically so they are paying more aggressive multiples of earnings to attract sellers of established businesses.