Thinking about buying your first pharmacy? Here’s what you need to know

​Before you buy any business, you need to understand the market that you will be entering.

Throughout last year, transactional activity was buoyant despite ongoing operational challenges. In 2024, Christie & Co completed 225 pharmacy sales, more than double the amount for the preceding year. 36% of these were corporate disposals which we expect to subside in 2025 and be replaced with an increasing volume of independent sales.

First-time buyers were the most active buyer type in 2024, acquiring 33% of pharmacy businesses on the market with us, this is down from 45% in 2023. In contrast, large groups and corporate operators made up just 8% of acquisitions last year. This was largely due to the large number of corporate disposals that entered the market over the last few years – this really opened up the marketplace for independent buyers who might have previously been priced out of some of these assets but, instead, were able to acquire them at a more reasonable price point.

What to consider before you buy

• Cash Deposit – The bigger the deposit, the better. Banks typically lend at a Loan to Value of 70%-80%, so ensuring you have a large enough cash deposit is essential. The larger your deposit, the more lending options you will have at your disposal but the devil is always in the detail, and advice from a qualified finance broker such as Christie Finance is paramount.
• Pharmacy Specialist Solicitors – Having the right solicitors by your side will ensure a smooth process and allow you to make supported commercial decisions.
• Pharmacy Specialist Accountants – Knowing how to run a business before you start puts you at a great advantage. The right accountant will be able to guide you through the financial side of the business to help you keep your accounts lean and profitable.
• The Extras – While the cash deposit for the pharmacy makes up the bulk of the purchase, don’t forget to hold additional cash aside to enable you to purchase stock and pay the professional fees for your legal and financial advice.
• Don’t sweat the small stuff – Buying your first pharmacy is an exciting endeavour. While it can seem daunting at first, utilising your pharmacy specialist broker will ensure it isn’t a stressful one. Trust them to guide you through the process and ask the right questions on your behalf.

For a current list of pharmacies for sale, click here. If you would like to discuss your buying options in more detail, please contact Tom Laybourn: 07561 115 178 / tom.laybourn@christie.com