While recently moving toward the closing of a large general practice, the buyer’s attorney reminded me that the “DEVIL WAS IN THE DETAILS.” When it comes to dental practice transitions, no truer words have ever been spoken! While price, covenant, and possession date may be the most obvious issues, I would like to discuss some of the finer points which have derailed any number of proposed purchases... More »

Before buying or selling a dental practice, great care and planning should be taken to consider the TAX CONSEQUENCES regarding the allocation of the sale price to the various assets involved in the transaction. Typically, the group of assets that would be sold between the selling party and buying party would include dental supplies, furniture, fixtures, and equipment used in the practice, patient... More »

There are several ways in which dentists can grow their practices. Some of these methods range from expensive marketing campaigns to expanding services or products offered to patients. Although these methods may prove to be effective, we have found the best and most profitable way to grow a practice is a “practice merger.” In essence, a practice merger involves the complete movement of a seller’s... More »

When practicing as a partner, one key agreement that should be in place is the buy-sell agreement. This stipulates the orderly purchase of a partner’s share of the practice if a partner dies, becomes disabled, retires, or leaves the practice prior to retirement. Here are 10 questions to ask about your buy-sell agreement:1. Is the purchase optional or required in every triggering event?In the event... More »

Making the decision to sell a dental practice is a major event in a person’s professional life, and when someone becomes committed to the process, there are some things that he or she, as the seller, can do to increase the chances of a rapid and successful transition. Whether the seller decides to retain the services of a professional practice broker, or attempts the endeavor alone, there are some... More »

(Please note that the following article is not intended to be a legal opinion or to address other legal issues that might arise in the case of marriage dissolution. Typically, divorce law is governed by state statute and state legal precedence. Accordingly, one should seek competent legal advice from an attorney familiar with marriage dissolutions.)There is a joke circulating that’s the result of the... More »

In the peak of your career, SELLING YOUR PRACTICE may seem too far in the future to consider in any detail. On the other hand, with retirement on the horizon, the prospect of your career’s end may feel overwhelming. Either scenario can prevent the wheels of planning from turning. Although early planning is always ideal, it is never too late to develop a strategy for selling your practice. Abraham... More »

There is nothing more comforting than knowing that EVERYTHING IS GOING TO BE ALL RIGHT. Whether it’s a small child with her favorite teddy bear or your insurance being in “good hands,” the knowledge that a project will be handled properly gives you peace of mind. The same is true of a practice broker. When a doctor hires a broker to handle the sale of his or her practice, the selling doctor must have... More »

Last month, we talked about the importance of protecting your most important asset, YOUR DENTAL PRACTICE. We compared your practice to a three-legged stool, and discussed two legs of that stool-life and disability insurance and forming a death and disability survival group. This month, we’ll look at the third leg of the stool, preparing your practice for sale now. To ensure that your stool is properly... More »

In this day and age, it is critical that you PROTECT YOUR ASSETS as you strive for financial independence and financial security in retirement. I have found during my 36 years of working with dental professionals that often their most important asset, their dental practice, has not been adequately protected when the unexpected happens, such as death or severe disability. Without question, this asset... More »