Masterton's Queen Street Pharmacy and The Chemists will merge next month in a bittersweet move to keep both businesses running.
The move has come about after a new pharmacy dispensing contract came into place in June 2012, making it difficult for small pharmacies to survive.
Queen Street Pharmacy owners Hamish and Belinda Duncan said one of the main changes added extra paperwork for pharmacists, limiting the amount of time they can spend with customers.
"You can't do that when there's heaps of people waiting for you," said Mrs Duncan.
She said the merger would allow the combined chemist to have two pharmacists, meaning there should be somebody available to help people in the store most of the time.