Once a dental practice has reached a degree of maturity, the decision to sell and the methods used in selling the practice may be among the most important business decisions being made by the practitioner. Proper timing, adequate preparation of the practice for sale, and choosing the optimal method of sale are the key variables determining a successful sale. Methods for selling a practice have become... More »

There is a myth circulating in the dental community concerning patient loss after a practice sale. You may have read or heard about practices that have lost 20 percent or more of the patients when a buyer takes over. This myth probably can be attributed to stories based on “I know a colleague who knew a dentist who had the following experience ... .” Facts overwhelm and dispel myths. My average patient... More »

To people who broker dental practices it comes as no surprise how little thought some doctors give to the sale of their practice. Throughout your life there are major decisions that you are confronted with. The sale of your dental practice has to be one of the most important decisions — financially, personally, and professionally — that you will make. You need to be able to answer the very important... More »

One-half gross production or net income plus equipment — what an easy way to value your practice! If only either was accurate. However, as an owner/doctor knows, a practice can never be summarized so simplistically. Aside from a home, in many cases, the dental practice is the most significant asset a doctor owns. By placing a value on a practice based on a simple rule of thumb, the owner/doctor runs... More »

When a practicing dentist dies, what happens to his practice? At times like this, the family of the deceased dentist usually has two choices of whom to turn to for assistance: The family attorney, accountant, relative or key staff member offers to assist the spouse in trying to sell the practice. A dental practice broker who was identified by the deceased dentist prior to his death. The... More »

In most life situations, people use specialists to help them obtain the help they need. People go to their dentists to obtain dental care. They go to a medical doctor to obtain medical care. They seek the services of insurance agents to help design an insurance program to meet their needs. They seek the help of financial planners to help them obtain the financial security they desire. The list can... More »

Many dentists I meet with are under the misleading impression that their practice has a value equal to their annual gross. They’ve read or been told that if their annual fees are $300,000, their practice is worth $300,000. No more, no less. Other than being a very simple method of valuation, this “rule of thumb” approach to value has no validity. Practice value may be greater than, equal to (wholly... More »

One of the most important events in the life of a dentist is when he/she sells his/her dental practice. All too often, retirement is the only event for which doctors prepare. There are other events in a dentist’s life that may necessitate selling all or part of his/her practice. Preparations for these events are equally, if not more important, than a planned retirement. What happens when a dentist... More »