PM37P - Everything You Wanted to Know About MSOs: And Why Veterinarians Should Establish Their Own

Over the past year the media has extensively reported on the rapid change in the business of veterinary medicine with private equity companies, owned by non-veterinarians, effectively acquiring ownership of veterinary practices. These acquisitions are occurring even in the majority of states where only veterinarians are supposed to own practices. The projection is that over the next decade there will be a rapid increase in the percentage of veterinary practices owned by private equity. More often than not, with such ownership the veterinary professional effectively loses clinical control over their practice. To accomplish these acquisitions, despite laws that the veterinarian must own the practice, private equity companies are using the business structure of a Management Services Organization.

Entrepreneurial veterinarians, who want to maintain the independence of their practices from acquisition and control by private equity companies should consider establishing and operating their own MSO as a counterweight to the market forces favoring private equity acquisition. This presentation is an overview of the MSO business structure to assist independent, entrepreneurial veterinarians in deciding whether to establish their own MSO for their practices