Are You Considering Buying a Dental Practice?
If you’re considering buying a practice, I can help you to locate a practice. I can also assist you in evaluating a practice (or practices) you may have already found yourself. I can even help you to obtain 100% financing from a choice of several qualified lenders. Call (727) 560-0823 or email firstname.lastname@example.org and let me know how I can assist you.
Frequently Asked Questions About Buying a Dental Practice
How Profitable Is a Dental Practice?
Dental practices generally have profitability levels ranging between 30% to 40% of revenue. A dental practice’s profitability depends on factors such as cash flow, gross income, location, and asset value. Adjusting overheads and other expenses on the profit and loss statements may be necessary to determine a practice’s true profitability.
How Much Money Do You Need to Buy a Dental Practice?
The amount you need to buy an existing dental practice depends on the practice’s number of transactions and price-to-collections ratio. Generally, an existing dental practice sells at a price ranging between 60% to 80% of its gross revenue. On average, buying a dental practice requires an investment of $350,000 to $500,000.
How Can a Dentist Purchase Dental Practice?
Purchasing a dental practice is a process consisting of several steps:
- Determine your ideal practice location and type
- Find a practice for sale
- Research the practice’s financial information
- Research the practice’s patient profile and treatment procedures
- Assess the site and facilities
- Obtain financing
- Complete and sign the practice sale agreement
How Long Does It Take to Buy a Dental Practice?
Buying a dental practice can take between six months to five years. Negotiations, financing, drawing up property agreements, and the Care Quality Commission application can be time-intensive. Proper planning and time management are necessary to ensure that you complete the transaction cost-effectively and within time.
What Is a Dental Broker?
A dental broker is someone who specializes in facilitating the sale of dental practices, and they will guide you through the process of transitioning a dental office. Your dental broker will assist you with all aspects concerning the transaction, including the practice valuation, negotiations, and drawing up a contract.