Selling Your Dental Practice? Here's What You Need to Know

A close-up of two people's hands working on paperwork

It is a pretty monumental task to sell a dental practice. You have put up so much time and effort into setting up the practice; you need to ensure that you sell it to the right person for the right price. Therefore, you must prepare yourself financially and mentally in advance.

Following are some things dentists should know if there are planning to sell their practice, as it can make the transition smoother and less daunting.

  • Start Early: No matter how hard you try, you won't be able to sell your dental practice overnight. It is a process that can typically take up to 1 year. It often hinges upon the owners' financial plan as they dabble with fundamental questions such as, "When can I afford to do this?" and "Is this the right time?" The answers can be obtained for most people by doing a quick review of their cash accounts, investment, and individual retirement plan. Nevertheless, it is important to start thinking about it in advance when you have ample time to evaluate your assets and consider your options.
  • Have Realistic Expectations: A common mistake most business owners make is having a flawed view of their business's market value. They assume that a buyer will give them three to five times earnings before interest, taxes, depreciation, and amortization (EBITDA). Although small businesses could traditionally expect this in a sale, it isn't that simple. Various factors can contribute to a sizable gap between the worth of the practice on paper and what buyers are willing to pay for it.

If you plan to put up your established dental practice for sale, one of the best decisions you can make is hiring an experienced dental broker. A dental broker is an expert who will guide you through every step in the transition process of a dental practice.

If you reside in Colorado, Wyoming, Idaho, Utah, Arizona, Alaska, or Hawaii, visit CTC Associates now.

Posted on Feb 8, 2021
Image Credit:

File ID 4858517 | © Pressmaster | Dreamstime.com

Share:

Archive

May 10, 2021, 8:53 AM
Whether you’re selling your dental practice or planning to buy one, the process can be stressful. Since most dentists aren’t…
Apr 26, 2021, 11:18 AM
Whether you’re selling your dental practice or planning to buy one, the process can be stressful. Since most dentists aren’t…
Apr 12, 2021, 10:46 AM
A dental broker is a person who specializes in all transactions related to a dental practice. They are guides who walk you…
Mar 22, 2021, 11:52 AM
Buying a dental practice can be a huge step. On one hand, it can be a great way to kick-start your own practice without…
Mar 8, 2021, 10:59 AM
Buying or selling a dental practice is a complicated process. It extends far beyond just putting up a dental business for…