Over two-thirds of veterinary practices acquired by corporates - new report

Some 61% of veterinary practice owners have had their businesses acquired by a corporate company, a report from advisory and accounting firm HLB Ireland has found.

Among those that haven’t, 35% are actively considering it, according to the analysis which was based on feedback from more than 100 Irish veterinary professionals.

The report highlighted what was once a predominantly sole-practitioner and generalist model is evolving into more structured, multi-partner and increasingly specialised practices.

Some 43% of practice owners have not identified a successor despite significant increases in corporate acquisitions nationwide.

Only 46% know the current valuation of their business, and 65% say a corporate company has acquired a practice in their local area.

HLB Ireland said this pattern mirrors broader succession weaknesses across professional services and family-owned small-medium enterprises (SMEs).

Mark Butler, managing partner of HLB Ireland, said: “We’re seeing the same challenges in veterinary practices that we see in many Irish SMEs.

“Businesses are getting bigger and more complex, but the planning behind them hasn’t kept pace. The succession gap is not unique to vets, they’re simply one of the clearest indicators of what’s happening nationally,” he added.

Staffing

The report shows significant scaling within the sector. Almost half of all practices (45%) now employ more than 10 staff, while only 21% employ fewer than five. HLB noted that many business owners are now effectively running small to mid-sized enterprises but often without the governance, structures or exit strategies that typically accompany that level of growth.

Despite increased staff numbers, the workload remains high with 62% of staff doing more than 40 hours per week.

Recruitment

HLB Ireland’s analysis found that recruitment continues to challenge veterinary practice owners.

Almost 60% of practices intend to recruit in the coming year, but many fear they won’t find the right candidates.

Higher salaries are a top priority for 43% of veterinary employees, while 23% want more annual leave. The biggest challenges for employers include salary competition with corporates.

Burnout is the number one concern keeping veterinary professionals awake at night, according to the survey.

Recruitment and retention , client affordability and missed care follow next on the list, in order.