My past blog talked about non-traditional GP practices and how you should approach them, this blog will talk about the “large practice” GP practices and the various ways you’ll need to deal with them. What do I mean by “large practice”? The “large practice” is one which usually requires at least two dentists to handle […]
Tag: Practice Selling
Practice Sellers – How to Maintain Practice Value Before a Sale
During my many buyer representation engagements, I tend to see some common issues when it comes to practice valuations that sellers could have avoided to help maintain their practice values. Here are some of those areas. Clean Record Keeping: Remember, buyers and their advisors will be picking over your information, it’s like inviting someone into […]
Don’t Be So Quick to Turn Your Head on High Overhead
So you’re in the market looking to buy a dental practice, and you’ve seen information from brokers with summary practice information. As you’re looking at the overhead information, you think that some of the OH stats look really low and that must be great, and some look really high, and that must be terrible, so […]
Buyer Beware – Practice Prices Based on Rules of Thumb
We’ve recently seen an uptick in practice purchase/sale transactions involving specialists such as endo, oral surgery, perio, and prostho. Obviously, the vast majority of practice purchase sales we see are general dentistry because the vast majority of practices out there are general dentistry. A common problem we’re seeing when reading through reports prepared by brokers […]
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! […]
There’s More to Selling Your Dental Practice Than the Price
Here is a post from Tim Lott, CPA, CVA and Ellen Dorner of NL Transitions, a Dental Brokerage firm. Far too many times when dentists are preparing to sell their dental practice, they are focused mainly on the price and may wind up overlooking many other issues surrounding the practice sale that are just as important, some even more important than […]