JAVMA News

Clarification

The article “Women practice owners projected to overtake men within a decade” in the Dec. 15, 2020, issue of JAVMA, stated “Approximately 77% of U.S. veterinary practices were corporate owned in 2019.” The figure is based on how a practice is recorded on the Internal Revenue Service tax form.

Frederic Ouedraogo, PhD, an assistant director in the AVMA Veterinary Economics Division, explained this categorization is different from what most people think of when referring to corporate veterinary practices. In fact, the term “corporations” in the veterinary profession traditionally refers to large groups such as consolidators and national group practices, including Banfield, VCA, VetCor, National Veterinary Associates, Southern Veterinary Partners, and Pathway Vet Alliance. These large groups currently represent less than 25% of all practices in the U.S.

The largest proportion of veterinary practices in the U.S. are S corporations, according to the Census Bureau. These corporations can have up to 100 shareholders, with each shareholder paying taxes only on profits received.