How to Find the Best Drug Rehab for Sale in Your Area

Finding the best drug rehab business to purchase is a significant investment but requires careful research and attention to the details of the market where you are buying. The addiction treatment industry has seen significant growth in business in recent years due to an increase in awareness and demand. According to statistics, the United States drug and alcohol rehab industry revenue is $5.2bn in 2023. For professionals and behavioral health entrepreneurs, investing in drug rehab for sale is a fortunate opportunity right now. Let’s explore in detail, the guide on finding a perfect drug rehab for sale in your area.

Strategique Partners can help you find profitable opportunities for drug rehab businesses in the area with all the due diligence and deal brokerage, Consult Today!

Seven Steps in Finding the Right Drug Rehab for Sale

Before you look for opportunities it is better to plan your searching efforts in a stepwise manner to ensure professional success and avoid chaos. Follow the steps to hit the right spot!

Step 1: Start with Local Research in the Market

The First step is to always start from your home town. You need to understand the market trends in your area regarding drug rehab treatment and demands. This will let you decide whether a particular opportunity is worth buying or not. This will also help you plan your business future accordingly. You can also hire our market research experts to analyze the full potential of your market and whether any opportunity is feasible for it or not. 

 

 

Step 2: Ask or Explore Opportunities Around

How you can decide on purchasing which drug rehab is the best suited for your endeavors you can look into the following points while doing market research:

• Local Statistics: Look into SAMHSA and NIDA Websites to check the statistics of drug abuse and type of treatment gaps in your area

• Business Listing Websites: Search online for business listing websites and look for opportunities relevant to your desired treatment programs and business plan. 

• Direct Outreach: Visit the local market and ask around if there is a potential behavioral health business of drug rehab. Look around the businesses in your market to get an idea of the scope of services being delivered. Or you can hire our consultant to do it for you.

• Business Brokers: Reach out to behavioral health business brokers such as Strategique Partners and consult if they have drug rehabs for sale in your area. They can also guide you all about the M&A process in the purchase of business and startup guidance.

Strategique Partners can help you in expert market research and finding the right opportunity that sells well in your area, Consult our business advisors today!

Step 3: Look into The Financial Aspects of the Business

Evaluating a drug rehab purchase is one of the most critical aspects of a business startup, financial stability and profitability are lifelines to any business. While you hoop on the purchase, try examining the facility:

• Income Stream

Check the revenue of the business for the past three years to analyze its financial standing. If the income stream is growing or stable it puts a solid client base and successful operations at hand.

• Operating Costs

Analyzing operational expenses is mandatory before investing as it guides the financial projection and net income outcomes. Expenses such as staff salaries, operational costs, and amenities costs will help in assessing rehab’s profitability.

• Insurance and Payment

Drug rehabs commonly operate the same way through private or government insurance programs such as Medicare and Medicaid. Before buying a drug rehab facility, make sure it is 

• Patient Load

Analyze if the facility’s client retention is continuous and comes with a strong referral network. The patient’s incoming paves the way for a strong investment outcome. 

You can consider asking the owner for a comprehensive financial report or hiring an expert financial advisor to assist you in finance valuation.

Check our guide on the importance of behavioral health finance valuation to analyze why is it necessary!

Step 4: Check Legality through Licensing and Accreditation

A do-or-die factor in purchasing a drug rehab is to make sure it is legally sound and meets all the regulatory standards as set by the state or federation laws. Without proper licensing and accreditations, purchasing a drug rehab could be a risky shot. Check if the business has:

• Business LLC
• JCAHO accreditation
• CARF accreditation 
• Detox License for drug detox programs

Apart from the above, state healthcare licensing for drug rehab is compulsory for all. So always consult a legal advisor to check whether the business you purchase is legally sound or not!

Read our Expert’s analysis on Tips to get licensing for behavioral health business.

Step 5: Analyze Market Repute and Patient Responses

The long-term success of drug rehab is based on patient-valued response and the facility’s market standing. To analyze reputation you can work through:

1. Online Reviews: Check Google My Business profile or the website of the drug rehab how the patients have responded to the treatment journey in that particular rehab
2. Industry or Market Recognition: consult a behavioral health advisor in that market to learn about the industry standing and patient treatment outcomes of the facility
3. Word of Mouth: ask around the business premises or talk to patients directly to know how the facility operates and provides treatment and how much are the clients satisfied with the services.
4. Patient Record file: if possible ask the owner to provide a patient record file so you can access the treatment journey and outcomes or consult an advisor for data tracking and outcome analysis.

Analyzing a facility’s reputation is never easy when doing it on your own as owners are hesitant to disclose information and its time consuming. So it is better to consult a drug rehab business advisor for all of your drug rehab business entrepreneurship! 

Review our guide on how to start a drug rehab center to learn more about market dynamics and requirements

Step 6: Evaluate Staff Expertise and Treatment Program Efficiency 

A drug rehab business is known for its quality of care and expert services provided under experienced staff. Make sure the drug rehab you are purchasing has qualified staff for the services they are providing and has the required certifications and licensing up to date! Look for their:

• Clinical Expertise: 

Whether they are adeptly expert in providing drug detox and aftercare services with doctorate degrees and SUD licensing

• Treatment Program Types: 

Do their programs align with the required treatment modules for drug addiction treatment.

• Counseling Staff: 

Do they have expert psychotherapists to provide counseling services for post-withdrawal mental health issues.

To build a strong and compassionate team of behavioral health experts you can take consultation from staffing experts to ensure they are medically expert and seasoned in addiction treatment!

Step 7: Perform Due Diligence To Budget Your Investment

The last step, before you finalize your purchase, is to recheck all of the legal, financial, and contractual documents to ensure there is no discrepancy in the business. Proper due diligence is necessary to streamline your business operations without any legal hurdles or operational effects. Hire an expert buy-side M&A advisor to complete all your contract and purchasing processes!

Finalize Your Deal or Hire a Behavioral Health Business Advisor

In the end, you might get confused about all the complex procedures in purchasing your first drug rehab business for sale in your area. However, all of the fuss can be resolved when you play smart and consult a drug rehab business advisor like Strategique Partners. We can complete your purchase and give you a turn-key head start in your business investment so you don’t have to be perplexed about all the legal and administrative compliance regarding purchase. We provide:

• Buy-Side Drug Rehab M&A Advisory
• Turn-key Solution after purchase
• Company Development for drug rehab business
• Operational Service

Register yourself as a buyer in our forms to know the latest opportunities in your area for purchase. Or consult our business advisor to start today!

Also, review our expert tips for purchasing a behavioral health business for sale to know more precisely about your next purchase!

Frequently Asked Questions about Drug Rehab for Sale

People often ask questions about starting a drug rehab business such as:

What Is the Average Cost of Buying a Drug Rehab?

The average buying cost of a turn-key drug rehab business depends on several factors such as location, size, services, and financial valuation. However, the general cost for different types of drug rehab may be:

• Small-sized facilities with outpatient and inpatient (10-20) can cost $300,000 to $1000,000
• Mid-sized facilities with more beds (20-50) $1000,000 to $3 million
• Large-scaled facility with more than 50 beds $3 million to $10 million

The exact cost can only be accessed via your business plan and investment goals. For more precise information review our guide on the cost of opening a drug rehab business.

How Can I Ensure That the Drug Rehab I Purchase Is Successful?

The success of your drug rehab business depends on your financial goals and business plan in general to make your business a successful entrepreneur you can take the following steps:

1. Conduct thorough Due diligence
2. Devise a Clear Vision and Strategy in your business plan
3. Provide evidence-based treatment programs
4. Hire expert and professional staff with years of expertise in the field
5. Automate and strengthen your operational efficiency
6. Robust marketing strategy
7. Improve client experience
8. Monitor and track your performance
9. Stay up to date with the industry trends

Can I Get Financing to Buy a Drug Rehab Facility?

Yes! You can secure numerous grants or financing for starting a drug rehab facility such as:

• Small Business Administration (SBA Loans)
• Traditional bank loans
• Private equity firms
• Federal or state-level grants

However, securing such free-of-charge investment requires robust planning and executing timely application to be eligible for the funding!