---
title: "Allied Health Practice Valuation Melbourne"
url: https://businessvaluationsmelbourne.com.au/industries/allied-health-practices/
description: "Valuations of Melbourne physio, psychology, podiatry and OT practices: clinician mix, contractor terms, payroll tax and payer mix. From $1,495 + GST."
updated: 2026-11-11
---

# Allied health practice valuations for Melbourne clinic owners and incoming partners.

For physio, psychology, podiatry, OT, speech, chiro, osteo and exercise physiology practices: sales, buy-ins, partner exits and restructures. Fixed fee, set by turnover.

[Talk to a valuer (15 min)](https://businessvaluationsmelbourne.com.au/contact/)[All industries](https://businessvaluationsmelbourne.com.au/industries/)

A Melbourne allied health practice is valued on the profit that stays once the founding clinician steps back, after every clinician is paid at a market rate and the clinic pays market rent. Our valuers measure how much revenue the owner personally generates, how secure the other clinicians are, and how income splits across private fees, health funds, Medicare, NDIS plans and injury schemes. Contractor arrangements are read closely because the SRO can treat practitioner payments as wages for Victorian payroll tax.

## How much of the practice walks out with the owner

Clients often choose a physiotherapist, psychologist or podiatrist by name, so the first job is to measure how much of the revenue the owner produces personally. Practice software shows appointments and fees by clinician, new versus returning clients, and where new clients come from: online bookings, local GPs, sporting clubs, schools or aged care contracts. A clinic in Camberwell or Moonee Ponds where five clinicians each carry a full book and the owner mostly manages is far easier to sell than one where the owner sees half the appointments. The valuation sets earnings on the basis that the owner is replaced by a clinician on market terms, and where the owner's personal caseload is large, the report allows for clients who are likely to leave with them. A planned transition period, with the incoming owner introduced to regular clients, can lift the share of goodwill that stays.

Our signed reports are a fixed fee of $1,495 + GST for a small business and $2,495 + GST for a medium business, and every one is independently reviewed by a suitably qualified business valuer. A small-business report is delivered in 2 business days and a medium-business report in 3 business days. Delivery time starts once payment and all required information have been received. Business Valuations Melbourne is not a registered tax agent.

Get a fixed fee[Ask the valuer first](https://businessvaluationsmelbourne.com.au/contact/)

## Contractors, service fees and Victorian payroll tax

Many allied health practices engage clinicians as contractors who keep a share of their fees and pay the practice a service fee. That model changes the cost base and how secure revenue is if a clinician leaves, and it raises a payroll tax question. The SRO says payments to contractors can be deemed wages under the relevant contract provisions of the Payroll Tax Act 2007, and it applies a public ruling to arrangements between medical centres and health practitioners case by case. The SRO also says Victoria's payroll tax exemption for GP work, which started on 1 July 2025, does not extend to other medical or allied health professionals. For a valuation, this goes to maintainable earnings and risk: a buyer wants to know whether past years are settled and what payroll tax would cost from here if the practice grows past the threshold. The valuer records the position your accountant gives us. Whether payroll tax applies is for your accountant or the SRO.

## Payer mix, NDIS registration and the lease

Allied health income comes from several sources with different risks: private fees and health fund rebates, Medicare items for clients on GP care plans, NDIS participant plans, and injury and compensation claims. A practice that relies heavily on one funder, or one large contract with an aged care group or a school, carries concentration risk. If the practice is a registered NDIS provider, the NDIS regulator says a registration is linked to a single ABN and cannot be moved to a different ABN, so a sale of assets to a buyer's new entity may need a fresh registration. The valuation notes this and assesses the NDIS income on the deal structure proposed. Fit-out matters too: a clinic with treatment rooms, a gym area and hydrotherapy access is harder to relocate, so the remaining lease term and renewal options are tested. The valuer reads the lease and any guarantees; your lawyer advises on the terms.

## Restraints, records and the transition

Two documents decide how much goodwill a buyer actually receives. The first is the set of agreements with clinicians, including any restraint on working nearby or contacting clients after they leave. The second is the seller's own restraint in the sale contract. The valuer reads both and records what they say; whether a restraint can be enforced is a legal question for your lawyer. Clinical records also matter, because a buyer needs lawful access to them to keep treating clients. A practice with tidy records, current clinician registrations and clear policies is easier to transfer and carries less risk. The report records these points so a buyer, a bank or an incoming partner can see what they are inheriting.

## When Melbourne allied health practices are valued

- Sale of a practice, or testing an offer from a multi-site group
- A senior clinician buying into the practice
- A partner or shareholder leaving and the others buying them out
- Moving the practice into a company or trust
- Merging two clinics and agreeing each owner's share
- Market value evidence for small business CGT concessions on exit (your accountant applies them)

## Common questions.

How much is my physio practice worth? + It is worth the profit a buyer can keep after paying every clinician, including a replacement for you, at market rates and paying market rent, adjusted for risk. The biggest swing factor is how much revenue you personally generate. Clinics with several established clinicians, a strong flow of new clients and a secure lease are worth more than owner-dependent ones.

Does it matter whether my clinicians are contractors or employees? + Yes. Contractors usually keep a share of fees, which changes margins and how easily revenue leaves with them. There is also a payroll tax question, because the SRO can treat payments under relevant contracts as wages. The valuation sets out the arrangements as they stand and the position your accountant has taken.

Can I sell my psychology practice if clients mainly see me? + You can, but a buyer will pay less for goodwill that depends on you. The valuation measures your share of appointments and allows for clients who may not stay. A longer handover, introducing clients to other clinicians before the sale, and a fair restraint can all help. The report shows how each assumption affects the figure.

What happens to my NDIS registration if I sell my practice? + The NDIS regulator says a registration is tied to a single ABN and cannot be transferred to a different ABN. If the buyer takes the business through a new entity, it may need its own registration. A sale of shares in the company that holds the registration is different. Your lawyer should confirm the right path before the contract is signed.

What does the valuer need from my practice software? + Reports showing appointments and fees by clinician, new and returning client numbers, cancellation rates and income by payer type for at least two to three years. With the accounts, the lease and clinician agreements, these let the valuer measure how secure the revenue is rather than relying on assumptions.

What does an allied health practice valuation cost? + The fee is fixed before work starts and set by annual turnover: $1,495 + GST under $2 million, $2,495 + GST for $2 million to $3 million, $3,495 + GST for $3 million to $10 million, and a written quote above $10 million. Small reports take 2 business days and medium and large reports 3 business days, counted from when payment and all required information have been received.

Related industries

- [Medical and Dental Practice Valuations in Melbourne](https://businessvaluationsmelbourne.com.au/industries/medical-and-dental-practices/)
- [NDIS and Disability Services Business Valuations in Melbourne](https://businessvaluationsmelbourne.com.au/industries/ndis-and-disability-services/)
- [Pharmacy Valuations in Melbourne](https://businessvaluationsmelbourne.com.au/industries/pharmacies/)

Sources

- [Medical industry (payroll tax)](https://www.sro.vic.gov.au/businesses-and-organisations/payroll-tax/industries-and-locations/medical-industry), State Revenue Office Victoria
- [Relevant contracts: medical centres (public ruling)](https://www.sro.vic.gov.au/about-us/laws-legal-cases-and-rulings/public-rulings/relevant-contracts-medical-centres), State Revenue Office Victoria
- [Contractors (payroll tax)](https://www.sro.vic.gov.au/businesses-and-organisations/payroll-tax/wages/victorian-wages/contractors), State Revenue Office Victoria
- [Buying or selling a registered NDIS business](https://www.ndiscommission.gov.au/provider-registration/notify-us-changes-or-events/buying-or-selling-registered-ndis-business), NDIS Quality and Safeguards Commission

Talk to a valuer

## Tell us what you need valued.

A fifteen-minute call confirms the package, the fixed fee and the delivery date, before you commit to anything.

03 8375 4177 Mon to Fri, 9am to 5:30pm Melbourne time

Send the form and we reply within one business day. No documents needed to start.

Small Business Valuation

$1,495 + GST

For a business with annual turnover under $2 million. Signed report in 2 business days. Delivery time starts once payment and all required information have been received. The fee is fixed in writing before we start and never tied to the outcome.

Larger business? Tell us in the form and we recommend the right package. [All fees](https://businessvaluationsmelbourne.com.au/fees/)

Last reviewed 11 November 2026 by Business Valuations Melbourne, Level 7, 55 Collins Street, Melbourne.

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Business Valuations Melbourne · Level 7, 55 Collins Street, Melbourne VIC 3000 · 03 8375 4177 · https://businessvaluationsmelbourne.com.au/start/
