Are you considering retirement in the next few years? Or maybe you don’t have immediate plans to transition out of your dental practice, but the thought of leaving your career is overwhelming. If you’re unsure where to start, a good idea is asking the dentists who have been there. We’re continuing a series where we…Read More→
Tag: dental practice goodwill
What Percentage of the Purchase Price should be Allocated to Goodwill?
I see this question frequently, and occasionally I get asked this question from potential buyers. I see claims made by sellers’ advisors that goodwill should be at least 80% of the total purchase price or worse, they suggest that anything lower than 80% will draw the attention of the IRS. This is just plain FALSE!…Read More→
Protect The Goodwill It’s Taken Years to Build — Before, During and After the Sale of Your Dental Practice
This is a guest post from Dr. Phil LoGrippo of ADS Florida. The most valuable component of the price of a dental practice is the portion allocated to “goodwill.” Goodwill represents the intangible assets of a business—the difference between an established, successful business and one that has yet to achieve success. In an established dental practice, goodwill consists largely…Read More→
Dental Practice Purchase Price Allocation: Is Goodwill the Devil?
Sometimes we come across uninformed buyers that want the majority of their purchase price allocated to equipment because they can get an immediate tax write-off under Internal Revenue Code Section 179 of up to $125k and $250k in very recent years. However, part of our job is to understand and educate ourselves about the state/locality…Read More→