Sellers
Selling a Dental Practice? Trust Watson Brown in Taking the Next Step.
At Watson Brown, we understand that selling a dental practice is a significant decision and often comes with a mix of emotions. Our dedicated team is here to guide you through the process, ensuring a seamless transition. From valuating a dental practice to closing on a sale, we’re here for each step of the process and to help make the complexities of dental practice sales hassle-free.
Dental Practice Sales
Preparing to sell a dental practice doesn’t have to be overwhelming. With Watson Brown, you can rest assured that we’re here to help you figure out where to start and get the maximum return for your efforts. Look at our proven, step-by-step process or contact us to discuss your options.
Phase 1:
Dental Practice Valuation
Our comprehensive dental practice valuations include:
- Full practice appraisal with market research and evaluation
- Identifying opportunities to increase your selling price
- Implementation strategies for a successful sale
- Expert guidance from Watson Brown’s experienced team
Phase 2:
Marketing Your Practice
Our marketing efforts provide many advantages for positioning your practice for a successful sale, which include:
- Access to our extensive buyer network
- Marketing your practice through our national and local industry outlets
- Assistance with creating marketing material from our brokers
- The creation of a Prospectus (material that shares both narrative and financial information)
Phase 3:
Closing the Sale
Our legal experts guide you through the transaction step by step, offering turn-key solutions for:
- Maximizing value and net proceeds
- Tax planning
- Handling lease or real estate
- Staff and patient retention
- Ensuring a confidential transition
FAQs for Selling a Dental Practice
When it comes to preparing to sell a dental practice, we understand that you will most likely have some questions. To help you better understand what to consider when selling a dental practice, we’ve compiled a list of frequently asked questions (FAQs) that are designed to offer insight and guidance.
- The location of your dental practice will often determine how quickly it sells. In an urban environment, your practice may sell in as few as 6-12 weeks from the time the dental practice valuation is completed. If located in a rural community where the demand for a dental practice is possibly lower, it could take anywhere from 2-5 years to sell a dental practice. You can read more about factors that affect how long it takes to sell a dental practice here.
- In most cases, it is possible for the buyer to secure 100% financing for the purchase of a practice. We have established excellent relationships with a number of large national lenders who specialize in dental practice acquisition financing, as well as SBA and local lenders that make these loans. In fact, purchasers often secure 100% financing, plus working capital as well.
- A private seller does not have access to the resources needed to effectively sell a dental practice. A broker can provide a potential buyer with a compelling appraisal, cash flow assessment, and risk analysis information that documents your practice’s true value. Other benefits include:
- Brokers offer accurate dental practice valuations.
- Brokers can offer your attorney and accountant tax advice on how to structure your sale.
- As experts in dental practice transitions, brokers can recommend legal measures to protect you in a transaction.
- Brokers can interpret financial statements and articulate the actual value of your practice.
- Brokers provide maximum listing exposure in a wide range of media outlets.
- They save you money. A broker frees you to continue working and earning an income.
- Brokers lend legitimacy to a sale. Their expertise inspires confidence in both parties.
- We provide listings on leading industry websites, including Dental Economics, Dental Town, Texas Dental Association, WBA, and ADS.
- In print classifieds, including Texas Journal (TDA)and Dental Economics.
- We present your practice to 4th year students and residents at Dental Schools, such as Baylor College of Dentistry and University of Texas Dental Branch at Houston.
- We network with local attorneys, accountants, practice management consultants, and lenders who work in the dental industry. (See our list of professional referrals.)
- We are the sole ADS Member in Texas and possess a national network of local brokers that provide buyer referrals.
- We exhibit your practice at the TDA Texas Meeting (San Antonio), Southwest Dental Conference (Dallas), and Star of the South (Houston).
- Through direct mail.
- Reassess your fees. Your fee structure should be updated annually and can add value to your practice.
- Conduct a cash flow analysis.
- Maintain a high level of production. You may be tempted to decrease productivity as you approach retirement, but by raising or continuing your production levels, you maintain practice value.
- Keep patient numbers high. The total active patient count is one of the principle metrics used to calculate practice value.
- Keep organized financial records. Ask your accountant to organize records so that you can easily determine your actual overhead and profits accurately.
- Maintain accurate patient records. A purchaser will likely review the condition of these records.
- Improve the appearance of your office. Clean and redecorate to ensure a good first impression.
- Service dental equipment. Poorly maintained equipment will result in a lower offer.
- We recommend contacting our team to help you weigh the advantages and disadvantages of selling your dental practice to a Dental Service Organization (DSO). Some of the main items to consider involve working after the sale with less autonomy, and financial implications related to your production levels. We are here to help you make informed decisions about your unique situation and determine the best path forward for your dental practice and future.
Explore Your Options for a Successful Dental Practice Transition
When you have Watson Brown by your side, you can rest assured that your practice will be taken care of, and you’ll get the best deal possible. If you’re interested in selling a dental practice, adding an associate, or forming a dental practice partnership, contact us today — we’d love to discuss your options and create the perfect plan for your needs.
