Is it possible to use the SBA with an MSO/PC structure?
December 09, 2022
by a searcher from Gonzaga University in Spokane, WA, USA
Currently pursuing a roll-up of the medical aesthetics space - specifically medical spas (e.g., botox, lasers, non-invasive fat removal).
Medical spas must comply with the CPOM (in states where applicable). This means a doc must own the medical practice. As such, we prefer to find targets where the seller/physician will stick around post-close. We'll be using an MSO/PC structure to satisfy the CPOM. The seller/physician would become the owner of the PC.
From what I understand, the SBA prohibits the seller from sticking around for longer than 12 months and having continued ownership in the acquired entity. For the savvy bankers and SBA experts out there, is there a way to use the SBA and have the seller/physician stick around in the MSO/PC structure post-close?
from Eastern Illinois University in 900 E Diehl Rd, Naperville, IL 60563, USA
from The University of Texas at Austin in Austin, TX, USA