LASIK Specialist “Kobe Kanagawa Eye Clinic” Files for Bankruptcy – M&A Online

News Highlights

Kobe Kanagawa Eye Clinic, a clinic specializing in LASIK surgery, commenced bankruptcy proceedings on February 23, 2020. The clinic was one of the key medical institutions that supported the early period of LASIK surgery’s popularization. This bankruptcy highlights issues in business succession for medical institutions, particularly the challenges faced by highly specialized clinics.

M&A Medical Editorial Department’s Perspective

The bankruptcy of Kobe Kanagawa Eye Clinic suggests the reality faced by clinics specializing in a specific treatment like LASIK when confronted with market changes and business succession challenges. LASIK once attracted many patients as a cutting-edge vision correction technology, but the market environment is constantly changing due to technological advancements, the rise of alternative treatments, and shifts in societal acceptance of refractive surgery in general. In particular, when the chairman/director ages and there is a lack of successor, it becomes increasingly difficult for highly specialized clinics to survive. In cases like this, it is considered extremely important, from the perspective of maintaining regional healthcare, to consider the possibility of continuing the business through third-party succession, involving experts from an early stage, rather than solely considering closure or廃業 (haigyō – ceasing business operations).

Points Raised by This News

• The impact of the maturation and changes in the LASIK market on the management of clinics specializing in specific technologies.
• Structural challenges where a lack of successors makes business continuation difficult for highly specialized medical institutions.
• The necessity of considering early third-party succession to avoid the worst-case scenario of bankruptcy.
• The importance of supporting the business succession of specialized clinics from the perspective of maintaining regional healthcare.

Practical Questions Arising from This News

• Amidst the spread of treatments other than LASIK, what kind of business transformation or diversification could have been considered?
• If no successor candidate was found, how would the clinic’s equipment, brand, and customer lists be evaluated and succeeded?
• What are the benefits of consulting with an M&A advisor specializing in medical institutions before reaching bankruptcy?

If You Feel “Should I Consult Too?”

If you are a chairman/director and feel a vague sense of unease about your age or the lack of a successor, now may be the time to take action. The case of Kobe Kanagawa Eye Clinic is not something to be taken lightly. Many challenges can be anticipated, such as the difficulty of succession unique to specialized clinics and adapting to market changes. Why not start by consulting with an expert in medical M&A to receive advice from an objective perspective on your clinic’s current situation and future options?

M&A Medical (CentralMedience Inc.) supports the business succession of medical corporations, hospitals, and clinics on a full success fee basis, as a certified M&A support institution by the Small and Medium Enterprise Agency. Consultations are accepted with strict confidentiality. Free consultation here