Valuation of Pharmacy Stock for Business Sale
An independently owned pharmacy near the town of Rockhampton, Australia, required the support of RGIS. The purpose of the inventory was due to the sale of the business and an inventory was sought to provide a valuation of stock.
REQUIREMENTS
RGIS has conducted many sale of business inventories in the region, so RGIS were chosen due to experience and reputation. The vendor and the purchaser required a valuation of stock on a Sunday, so that the business transaction could take place on the Monday. The independent pharmacy required RGIS to provide the following:
- Experience within a pharmacy environment
- Provide a full inventory of the pharmacy
- Very quick turnaround of completing the count for the sale to proceed
- Reports to enable the customer to value the stock on site correctly
- Must provide accuracy as a priority
SOLUTION
The independent pharmacy partnered with RGIS to complete the inventory count for business sale project, and RGIS provided the following:
- Scheduled a team of 14 experienced RGIS auditors from two districts
- A stock file from the pharmacy Point of Sale (POS) was provided and stock details loaded into RGIS handhelds
- Expired stock was removed from the shelves prior to counting
- Scanned all stock both on the shop floor and in the back stock rooms
- Following the counting of each section, location reports were provided to the vendor and purchaser for checking
RESULTS
The independent pharmacy found by outsourcing the inventory count for business sale project to RGIS, the following results were achieved:
- RGIS teams counted 54,000 units at a value of $530,000 AUD
- An accurate stock valuation was provided at the end of the inventory and updated stock on hand values loaded back into the store POS, in readiness for the purchaser to takeover
- Counts completed within the tight time-frame given so the sale could proceed
- Both the vendor and purchaser were happy with the result and settled based on the stock valuation provided by RGIS