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A certified valuer will listen to your situation and answer any questions you may have, at no cost.
Whether it is a family GP clinic in Salisbury or consulting suites near the new Royal Adelaide Hospital, the value rests on what the practice earns once your own clinical sessions are paid at market rates, and every step of that reasoning is set out so it can be checked.
Most Adelaide medical practices are valued on capitalised future maintainable earnings. We swap the principal's drawings for a market salary covering the sessions they actually consult, strip out non-recurring items, and apply a capitalisation rate built up from a risk-free rate and specific risk premiums. Recent sales of similar practices and the market value of the fit-out and equipment are then used to check that figure.
There is usually a deadline behind the call. A long-serving GP in Norwood wants to retire and two associates have offered to buy the practice between them. A corporate group has approached a four-doctor clinic in Mawson Lakes with a sale and service agreement. A surgeon with rooms in North Adelaide is going through a separation, and the property settlement needs a figure for the practice interest. A lender wants an opinion before it funds a second clinic near the growing estates around Mount Barker. Or the practice accountant is restructuring the service entity, or claiming the small business CGT concessions, and needs a market value the ATO will accept.
South Australia's GP owners include a large group who opened their practices decades ago and are now planning their exit, so many valuations here are about succession inside the practice rather than a sale to an outsider. Knowing the value first shows what the practice earns without your consulting hours, which is what an incoming partner or buyer is really paying for. It also lets you split any offer into the goodwill you are selling and the price of the years you would be asked to keep working, and those two parts deserve to be negotiated separately.
A certified valuer will listen to your situation and answer any questions you may have, at no cost.
The Income Approach leads. A settled patient list brings people back through the door every month, and that kind of repeating income is what an earnings-based method is designed to measure.
The capitalisation rate is built up rather than picked: long-dated Commonwealth bond yields give the risk-free rate, and on top sit an equity risk premium, a premium for size, a premium for the health sector, and a loading for this practice alone. That last loading reflects how much of the billing rests on one or two doctors, how long the lease has to run, the mix of bulk billing and private fees, and how reliable the records are.
Usually one figure for sustainable earnings is divided by that rate, which equals the discount rate less long-term growth. When the next few years will look different from the last few, a discounted cash flow is the better tool. An Unley practice bringing a registrar through to partnership, a specialist group near Flinders Medical Centre adding a satellite suite in the southern suburbs, or rooms whose lease is about to be renegotiated can be modelled year by year in a DCF in a way one multiple cannot show.
Sales of similar practices, measured per full-time doctor or per active patient, tell us whether the earnings result lines up with prices buyers have paid. Two or three close South Australian matches carry more weight than a long list of practices that only loosely resemble yours.
Treatment room fit-out, clinical and diagnostic equipment and any imaging gear are restated from written-down value to what they would fetch today. The result is a floor: a practice that trades profitably should not be worth less than the net amount its assets would realise.
Normalisation is where two valuations of the same practice usually part company, so every adjustment appears in the body of the report with its reasoning. For a medical practice the usual list is:
The city's practices follow its hospitals and its new housing. Specialist suites gather around the BioMed City precinct on North Terrace, where the Royal Adelaide Hospital anchors referrals, across the river in North Adelaide, near Flinders Medical Centre at Bedford Park in the south, and close to the private hospitals in the inner suburbs. Long-established group general practices are spread through the eastern and inner southern suburbs such as Burnside, Norwood, Unley and Glenelg. Newer bulk-billing clinics, and most of the interest from corporate operators, are found in the north around Salisbury, Elizabeth and Mawson Lakes, in the south beyond Marion, and in the Adelaide Hills around Mount Barker.
Those differences decide which sales are comparable. Consulting rooms off North Terrace and a five-doctor family clinic in Elizabeth share a city and little else: their billing mix, access to doctors, rent and dependence on one name are not alike. On top of that sits payroll tax. Whether amounts paid to contracted GPs are wages under the Payroll Tax Act 2009 (SA) has been argued over across the country, and RevenueSA has published its own position on medical centres, so the way a practice engages its doctors can change both its earnings and the risk a buyer prices in. We confirm the RevenueSA position as it stands at the valuation date rather than assuming it.
The wider sector keeps adding businesses. Nationally, health care and social assistance businesses grew 6.7 per cent over 2025 to 2026, while South Australia ended the year with a net 5,613 more actively trading businesses across all industries, a rise of 3.3 per cent (Source: ABS, Counts of Australian Businesses, July 2022 to June 2026, released 18 August 2026). A deeper pool of practices means more sales to compare against, and more competition among buyers for clinics with several doctors and a long lease.
Each report starts by recording why the valuation was done, the standard of value adopted, the valuation date and the documents relied on, with any gaps in them stated. It then works through every approach we considered, the method chosen within it, each earnings adjustment and its basis, and finally how the results were weighed into a range.
That weighing is the part a challenger aims at. If a report cannot explain why earnings were preferred to sales evidence, or why the chosen multiple sits where it does, an opposing expert in the Supreme Court of South Australia, or the other side in a property settlement before the Federal Circuit and Family Court in Adelaide, will find it. Where doctors share a practice in partnership with no written exit terms, the Partnership Act 1891 (SA) can affect what interest is being valued, and the report states the basis it uses. Every report follows APESB, APES 225 Valuation Services and is signed by a certified valuer prepared to explain and defend it.
Ask which assumption in your practice valuation is the most open to challenge, and how they would support it under cross-examination. A valuer who cannot answer straight away has not finished the job.
An Indicative valuation suits a principal who wants a private benchmark before answering a corporate approach or pricing a junior partner's entry. It is for internal decision-making and is not written for third party reliance. A Summary report covers most partner admissions, retirements within the practice and lending applications. A Detailed report is the right level for a property settlement before the Federal Circuit and Family Court in Adelaide, a falling out between practice owners, or any matter where another expert will pick through the opinion.
The purpose sets the depth. The likelier it is that a judge, a bank, the ATO or an opposing valuer will test the figure, the fuller the report has to be.
For internal decision-making. Useful for testing an offer, setting an expectation before a negotiation, or deciding whether to go to market. It is not written for third party reliance.
Sets out the approaches applied, the normalisation adjustments made and the reasoning behind the conclusion. The usual choice for a sale, an ownership change or a finance application.
Applies and reconciles all relevant approaches in full. The level required where a court, the ATO, a lender or another expert will review the opinion.
Talk your situation through with a certified valuer before you commit to anything, at no cost.