Mobile Radiology & Laboratory Diagnostics, Texas & Multi-State

$4.0M

Revenue

$3.8M

SDE

4.0x

Multiple

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Full Editorial Writeup

This is a mobile diagnostics operation that brings radiology and laboratory services directly to patients where they already are: long-term acute care hospitals, rehab facilities, nursing homes, local clinics, and private residences. The fleet includes vans equipped with portable and fixed X-ray units, ultrasound, MRI, DEXA scanning, DR panels, and lab equipment, all reportedly owned debt-free. The business holds Medicare and Medicaid approval, CLIA certification for the lab, radiology licenses, an active PTAN number, and medical directors in place, which is the regulatory backbone that lets a mobile provider bill and operate legally.

The company operates active contracts in Texas and New Mexico and claims applications pending in eight additional states. Its core value proposition is turnkey immediacy: the seller pitches six-figure monthly gross revenue from day one via existing accounts and contracts. The customer base of LTACs, rehabs, and nursing homes represents a captive, recurring stream, since immobile and elderly patients cannot easily travel to imaging centers and facilities need bedside diagnostics on demand.

The numbers as presented require caution. The listing shows $4M gross revenue but $3.8M cash flow and a separate $10M EBITDA line, which is internally contradictory and cannot all be true. A buyer must treat every financial figure here as unverified until books, billing reports, and payer remittances are examined. The asking price of $15M against $4M in revenue is aggressive, and the multiple math only makes sense if the growth story into new states actually materializes.

Why we like it

The customer base is genuinely recession-resistant and demographically tailwinded. Immobile patients in LTACs, rehabs, and nursing homes need bedside imaging and labs regardless of the economy, and Medicare and Medicaid reimbursement means the payer is the government, not discretionary consumer spend. Demand for aging-population diagnostics compounds over the next two decades.
The regulatory moat is real if the licenses check out. An active PTAN number, CLIA certification, Medicare and Medicaid enrollment, radiology licenses, and medical directors in place are slow and painful to build from scratch. A buyer is arguably paying for the enrollment stack and existing facility contracts more than the vans, and that barrier keeps casual competitors out.
The equipment is stated as debt-free and included in the asking price. Portable X-ray, ultrasound, MRI, DEXA, and DR panels represent real hard asset value, and if the $3M FF&E figure is accurate, a meaningful chunk of the purchase is collateralized by machines that are currently generating revenue rather than sitting idle.
Recurring facility contracts create predictable volume. Nursing homes and rehab hospitals order diagnostics on a rolling basis, so revenue is not one-and-done project work. Existing accounts across Texas and New Mexico give a buyer immediate cash flow instead of a cold start.

How to improve it

Reconcile the financials before anything else, then build a clean revenue model by payer and by facility. The listing shows $4M revenue, $3.8M cash flow, and $10M EBITDA, which is impossible, so establishing the true numbers is job one and will directly reset what this business is worth.
Densify existing routes before chasing eight new states. Mobile diagnostics economics are driven by vans-per-mile and patients-per-stop, so adding facilities within the existing Texas and New Mexico footprint improves margin far faster than launching in states where you have zero contracts and only pending applications.
Tighten the revenue cycle and claims process. Medicare and Medicaid reimbursement lives or dies on clean billing, correct coding, and denial management, so installing a disciplined RCM function or vendor can materially lift collected revenue on the exact same order volume.
Sign multi-year contracts with the anchor nursing home and LTAC chains. Converting handshake or short-term arrangements into committed agreements de-risks revenue, raises enterprise value, and makes the growth-into-new-states story credible to lenders and future buyers.
Build a real management layer so the business is not dependent on the retiring owner. The seller staying on as admin is a crutch, and a buyer should use the transition window to install a clinical operations lead and a billing manager who can run daily operations independently.
Optimize equipment utilization by tracking machine-level revenue. Some units like MRI and DEXA carry high acquisition cost, so measuring utilization per asset tells you whether to redeploy, sell, or add capacity, protecting your return on the equipment package you paid for.
Diversify beyond concentrated payers and facilities. If a handful of nursing home groups or a single reimbursement code drives most revenue, expanding into home-based diagnostics for private-pay and Medicare Advantage members reduces concentration risk and adds margin.

Diligence notes

Resolve the contradictory financials immediately. Revenue of $4M cannot support $3.8M cash flow or $10M EBITDA, so demand tax returns, bank statements, and payer remittance reports for three years and treat the asking price as unjustified until the real cash flow is proven.
Verify every license and enrollment in the buyer's name is transferable. PTAN numbers, CLIA certification, Medicare and Medicaid enrollment, and state radiology licenses do not always transfer in a sale, and a change of ownership can trigger re-enrollment or revalidation that pauses billing, which is the single biggest deal-killer here.
Confirm the eight additional state applications are real and assess their status. The growth story and the $1M monthly projection rest on these approvals, so pull the actual application filings and understand timeline, cost, and probability before assigning any value to expansion.
Audit the equipment condition, ownership, and lien status. The listing claims all machines are debt-free and operating, so validate titles, service records, calibration and FDA compliance, and remaining useful life on the MRI, X-ray, and ultrasound units that anchor the purchase price.
Scrutinize payer concentration and reimbursement risk. Understand what share of revenue comes from Medicare versus Medicaid versus commercial, whether any codes face upcoming rate cuts, and how exposed the business is to a single facility group or a small number of referral sources.
Investigate compliance and billing exposure. Mobile diagnostics and government payers attract audit scrutiny, so review any past RAC or ZPIC audits, denial rates, medical director agreements, and Stark or anti-kickback exposure before assuming the revenue is clean and defensible.

Source

Originally listed on BizBuySell. View original listing →