Maximising your Dental Practice’s EBITDA

In this webinar Arun discusses how to maximise your dental practice value through growing your practice EBITDA before you sell.

Click here to read our article on Dentist and Dental Associate Expenses Guide

Dental Accounts & Tax Specialists

As dental practice owners ourselves, we know what makes a clinic tick. We have been working with dentists for over 20 years to help manage their accounts and tax.

Whether you’re a dental associate, run your own practice or own a dental group and are looking to save time, money and effort on your accounts and tax then we want to hear from you. Our digital platform takes the hassle and the paperwork out of accounts.

To find out more about how you can save time, money and effort on your accounts and tax when you automate your finances with Samera, book a free consultation with one of our accounting team today.

Dental Accounts & Tax: Further Information

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How to Sell Your Dental Practice in 9 Steps

Sell your dental practice while maximising its value, and minimising your tax

No dental practice sale is identical to another. It usually takes at least 6 months for the process of selling a dental practice to be completed, but this varies depending of the type of practice that is involved and the support structure that is in place. The process itself should always involve certain important steps.

If you are wondering what the proper steps are to sell a dental practice, keep these 9 points in mind. If you’re ready, contact us today and our expert dental practice sales agents will help guide you through the process

Step One: Work out your timeline to sell your dental practice

When are you looking to sell your dental practice? Is it in the next 12 months, or is it in 3-4 years time? Are you thinking of staying on working at the practice or are you looking to make a clean break when you sell?

We have often found that it takes around 6 months to sell a dental practice. However, all deals are different, they all present their own challenges and they can all take varying lengths of time.

When you plan on selling your dental practice, and how far ahead in the future the sale will be, is crucial to making sure you get the best possible price.

Once you have a clear idea of when you are thinking about selling, work backwards and plan what you think needs doing. Ask yourself these questions:

  • What is the financial performance of your dental practice like?
  • How profitable is the dental practice?
  • Does it show a steady improvement or decline?
  • If in decline, what needs to be done to turn the situation around?
  • How dependent is the practice of your income generation?
  • How dependent is the practice of any key income earners?
  • If you fell ill at the practice, would it still be profitable?
  • If not, what would need to be done to make it profitable in such a scenario?

If you have no idea what the answers are to these questions, then you have your work cut out, and you really need to get your house in order to ensure you achieve the sale you want in the timeline you want. Otherwise, you will struggle to get a qualified buyer with the right money for your dental practice.

Action Points

  • Determine your desired timeline for selling your dental practice, considering whether it’s within the next year or in 3-4 years.
  • Decide if you plan to continue working at the practice post-sale or if you prefer a complete departure.
  • Understand that selling a dental practice typically takes about 6 months, though timelines can vary due to unique challenges each deal may present.
  • Assess the current financial performance and profitability of your dental practice, noting any trends of improvement or decline.
  • Identify necessary actions to improve the practice’s financial health, especially if it’s currently in decline.
  • Evaluate the practice’s dependency on your personal income generation and its capacity to remain profitable in your absence, such as during illness.
  • Develop a plan to address any issues identified in the financial performance and operational dependency to ensure the practice’s profitability and appeal to potential buyers.

Click here to watch our webinar on selling a dental practice.

Step Two: Raise the profitability to sell a dental practice

The times of using a % of your revenue figure as a metric for valuing a dental practice are truly gone. Whilst revenue may inflate your ego, it will be your profit that will determine your valuation and the price you sell your practice. A valuation of your goodwill will more than likely be based on profitability, whilst using turnover purely as a secondary indicator.

Click here to read more about growing a dental practice.

EBITDA (Earnings before Interest Tax Depreciation and Amortisation) is a term you may have heard about. This is a common measure used to determine the “cash” profit of the business and is increasingly used to value dental practices, especially by the cash-rich Dental Corporates. Focus on increasing your EBITDA to maximise the value of your practice goodwill and other assets.

Click here for more information on EBITDA.

Action Points

  • Shift focus from revenue to profitability as the key determinant in valuing your dental practice.
  • Understand that goodwill valuation will primarily be based on profitability, with turnover serving as a secondary metric.
  • Familiarize yourself with EBITDA (Earnings before Interest, Tax, Depreciation, and Amortization) as a crucial measure of “cash” profit.
  • Aim to increase your practice’s EBITDA, as this metric is commonly used by Dental Corporates and others in the industry for valuation purposes.
  • Implement strategies to enhance the profitability of your dental practice, thereby maximizing the value of your practice’s goodwill and other assets in preparation for sale.

Step Three: Get your financial house in order to sell your dental practice

Whilst high-quality clinical dentistry is essential in order to sell a dental practice, it is critical to have accurate and up-to-date financial information about your dental practice as well. Why? Well, the reasons are two-fold.

  1. If you are serious about improving your financial performance, you will need to know where things are working, but also where problems lie. Not knowing the figures means you don’t really have your finger on the pulse with respect to your practice performance and, therefore, its valuation. Knowing your financial performance, and adjusting it accordingly, is imperative to maximising the sales value of your dental practice.
  2. When it comes to showing off your financial performance to prospective buyers, having an up-to-date set of accounts (last 3 years), plus recent management accounts (last 12 months) really are essential. These can be a deal breaker if not available, as a serious buyer is only going to buy your practice if they have accurate financial information about your practice in the first place.

If you have up-to-date financial information, it is then imperative to ensure your cost base is managed well, whilst your revenue is strong – Why? So you are maximising your EBITDA.

Contact us to find out more

For instance, look at your staff costs; have you got too many staff for the revenue you are generating? Are your laboratory bills carefully managed? What about your materials, have you sourced cost-effective suppliers? And do you have a tight control over ordering each month? How much are you spending on marketing? It’s very easy to spend on marketing, but are you getting a good return on it?

Click here to find out more about accounting and managing finance in a dental practice.

Run through each line of your accounts and see where you can make potential savings, then act on making the changes needed. Why? Because every £ saved increases your profit, which increases your EBITDA, which increases your practice valuation.

In summary, if you want to get top whack for your practice, make sure you have up-to-date and accurate financial information for any prospective buyers, but have also ensured your cost base is well managed, and your revenue is maximized.

Action Points

  • Ensure your dental practice’s financial information is accurate and current, as this is crucial for both valuation and sale preparation.
  • Conduct a thorough financial analysis to identify strengths and areas for improvement within your practice.
  • Maintain a clear understanding of your practice’s financial performance to effectively manage and adjust operations for maximum sales value.
  • Prepare and organize the last 3 years of financial accounts and the most recent 12 months of management accounts for prospective buyers.
  • Recognize the importance of these financial documents in providing transparency and building trust with serious buyers, potentially influencing their decision to purchase your practice.

Click here to listen to our podcast on how to structure your dental practice finances.

Step Four: Find or build a team that will help you get maximum value when you sell a dental practice

Running a dental practice is one thing, selling it successfully is something completely different. To maximise the sale of your practice, getting the right advisors early on can significantly add to the ultimate sales price.

Creating a power team makes it far more likely that a sale will be secured at the right price. Accountants, brokers and lawyers with significant dental experience, are essential to getting an excellent deal.

Our experience has shown that it really is essential to have people who know and understand your practice before it is even put on the market for sale.

A few tweaks in the business in the right place can optimise its performance, which will ultimately improve the practice sale value. So, make sure you have thought through your timeline for sale, then work with expert dental accountancy, legal and marketing advisors that can recommend a course of action.

Specialist Dental Sales brokers

Making sure to engage a specialist dental sales broker is important. It provides far more value than trying to sell a practice without professional assistance.

Specialist dental sales brokers have access to a long list of active, interested individuals and corporates that want to buy your practice, who they can introduce to clients. They can also professionally value practices, create sales brochures and deal with questions about, and interest in, a practice. The normal cost of using this service is around 2.5-5% of the sale price.

In other words, a dental practice sales broker can get you a much better price for your business.

Click here to read our 8 things you need to know when choosing a dental practice sales agent.

Specialist Dental Accountants

A specialist dental accountant and tax advisor helps a seller to get the most from the sale of a dental practice. They know how to present accounts in a way that is attractive to buyers. They can also provide advice on aspects such as ownership of the business and how to optimise the tax position of the seller.

Seek advice early from your Specialist Dental Accountant, as before selling a dental practice there maybe tax structures that could be considered before the final sale, which could save tax.

Click here to find out more about our dental accountancy services.

Specialist Dental Solicitors

It’s never a good idea to use the services of a solicitor who has no experience of the dental practice market when selling a dental surgery. They may be an excellent solicitor when it comes to dealing with the sale of a home, but without the required specific experience of the dental industry they could cause serious delays with the sale, or it could collapse altogether.

Do not forget, the solicitor that is chosen will be advising on vital aspects of the sale such as the contract, due diligence and property transfer, so expertise is essential. The normal cost of this service is around £5,000 – £10,000 for a sole trader or partnership and around £10,000-£20,000 for a limited company.

Click here to listen to our podcast on the 7 legal pitfalls of dental practice sales.

Action Points

  • Assemble a team of advisors with extensive dental industry experience to aid in selling your practice.
  • Partner with accountants, brokers, and lawyers who specialize in dental practices to ensure a favorable sale outcome.
  • Implement strategic business adjustments recommended by your advisory team to enhance your practice’s performance and sale value.
  • Engage a specialist dental sales broker to access a wider pool of potential buyers and benefit from professional valuation and marketing services.
  • Consult with a specialist dental accountant for tax optimization and financial presentation advice tailored to attract buyers.
  • Retain a solicitor with dental market expertise to handle legal aspects of the sale efficiently, avoiding potential delays or deal collapse.

Step Five: Practice visits and information disclosure

From our experience, no-one sells a dental practice better than the owner. They are the best person to answer any buyer questions, honestly and thoroughly. This is why I would always recommend the seller is present when buyers view a practice.

If you are the owner, try and arrange visits when you are around. This will enable you to sift through the serious buyers, but also provide you with the opportunity to sell the key benefits of buying your practice.

Remember, you may end up working at the practice for some time post-sale, it is imperative you understand and (maybe even like) the incoming party!

At this stage, the prospective buyer may well request certain information from you too, such as accounts, management accounts, details of the property lease, CQC registration details, details of the dentists working in the practice etc.

If you have your house in order, as detailed in step 3, you will have no problem in collating and providing this information to them. However, make sure that non-disclosure agreements have been signed, which will protect both parties.

Click here to read more about associated costs that buyers will scrutinise.

Contact us to find out more

Non-disclosure agreements

Non-disclosure agreements are an essential feature of a dental practice sale. They prevent potential buyers from discussing the sale with anyone except their own financial advisors. This is important as you do not want any details of the sale to leak out prior to completion.

It’s not even a good idea to disclose any information to people working in the practice. There is no certainty that a deal will go through until completion actually happens. It’s not worth creating stress and uncertainty amongst the dental practice team when there is no valid reason to do so.

Click here to read more about retirement and transition planning.

Document Other Agreements

Another important point to remember is that you may have verbal agreements with your support staff. When you’ve been running a business for so long, sometimes it can be easy to let certain things become purely verbal or even unspoken agreements.

When you’re selling a dental practice, it’s essential to make sure that all verbal agreements you may have with support staff, contractors or suppliers are documented properly. Make sure your agreements are in the form of a written contract to ensure a smoother transition.

Action Points

  • Ensure your presence during practice visits to effectively communicate the value of your dental practice to potential buyers and answer their questions directly.
  • Organize viewings for times when you can be present, allowing you to assess buyer compatibility and sincerity while showcasing your practice’s key benefits.
  • Be prepared to provide detailed information such as financial records, lease details, and CQC registration to interested buyers, ensuring all documentation is in order.
  • Require non-disclosure agreements to be signed by potential buyers to maintain confidentiality and protect sensitive information about the sale.
  • Document all verbal agreements with staff and suppliers to formalize arrangements and ensure a seamless transition to new ownership.

Step Six: Consider ALL offers before you sell your dental practice

When you put your practice out for sale you may well receive various offers. The key is to ensure you review each and every offer in detail.

Whilst an offer from your Associate may be the best one financially, they may struggle to raise the money from the bank, especially in this climate. Whilst a Dental Corporate may well offer you a slightly lower price, they can typically move quickly and get the deal done, whilst your Associate is still filling in forms for the bank!

Always assess each offer you receive carefully, knowing the full facts and the exact conditions of purchase, such as a tie-in to continuing to work at the practice for a few years. In addition, you may be requested for key personnel to stay on if you accept the offer, so the offer made may need to satisfy some of the existing team by getting them to sign and stay for a period too.

Details of the offer and knowing the buyer has the economic power to actually buy the practice are critical at this stage, or else you really will be wasting your time on offers from keen buyers who actually have no substance behind them.

An offer that guarantees a large sale price may seem like the best choice, but it’s not a great deal if the buyer making it is going to struggle to secure funding. There are many things to consider when looking at offers that have been made. Here are a few which are fairly common.

  • Can the buyer secure funding easily and quickly?
  • Is a lower offer the best choice as a quick sale is guaranteed, so associated costs will be reduced.
  • Is staying on as an associate part of the offer?
  • Are any of the current team part of the offer, do they need to agree to stay in order for the deal to progress?
  • Does the buyer have the substance for the sale to be successful?

It’s never as simple as just picking the highest offer and running with it.

Click here to read our 5 mistakes to avoid when selling to a dental corporate.

Step Seven: Negotiating a deal and due diligence

Once an offer comes along which looks interesting, it’s time for the dental specialist sales broker to structure the right deal for the seller, taking into account what the seller expects from the sale and what their tax situation is. There are several different arrangements for payment that can be put into place.

  • Upfront payment transfer for NHS driven profits.
  • Deferred payments when performance based criteria comes into play.
  • Earn out agreement when a buyer is not willing to meet the sale price now but payment of an additional amount based on profits can be made at a later date. This can mean that the seller achieves more than the original sale price at the end of the day.
  • Negotiated UDA rates for a seller who is going to remain working at the practice after the sale.

Once the deal has been negotiated and agreed, Heads of Terms should be put in writing so that there is no room for misunderstanding. These terms will normally be written by the buyer’s solicitor but they should be scrutinised by the seller’s expert dental solicitor. They should always be marked as “subject to contract”.

Do not sign these without taking legal advice.

A timeline for exchange and sale can be agreed at this point, but is subject to due diligence being completed successfully.

Once the heads of term have been signed and agreed, the buyer will now want to carry out due diligence on what they are buying. This will include due diligence in the 3 key areas of legal, clinical and financial.

Depending on the type of buyer, this can be quite a thorough and exhaustive process which requires you, the vendor, to be organised and quick in providing the information by key dates.

INFORMATION THAT WILL BE REQUESTED INCLUDE:

  • Historic Accounts and Financial records
  • Clinical patient records
  • CQC registration details
  • Employment contracts
  • Associate agreements
  • Supplier contracts
  • Hire purchase and lease contracts
  • Property lease agreement
  • Details of the performance of the practice
  • Loan agreements
  • Complaint details
  • Patient list details

This list is not exhaustive. Due diligence can be a complex process and sellers always need to be prepared to provide any requested information and to answer buyer’s questions in a transparent manner.

Click here to read more about due diligence.

Standard Purchase Agreement

Both parties should be protected as part of a Standard Purchase Agreement. The buyer’s solicitor will normally request a warrant from the seller to state that all contractual and financial information provided is accurate. The seller’s solicitor should negotiate to ensure that any inclusions in the warrants minimise the risk of any potential future claims.

A Standard Purchase Agreement will normally include:

  • Sale of the practice and assets.
  • Handover.
  • Post completion considerations.
  • Partially completed treatments.
  • Employees of the practice.
  • Non-Solicitation and restrictive covenants.
  • Warrants.
  • Guarantees.

Step Eight: Exchange and completion

Once the due diligence has been completed, and the buyer is satisfied with what they are buying, then it is down to finalising the transaction. If the buyer is using a bank to finance the transaction then they will need to have satisfied all their necessary criteria too.

If all parties are happy, the deal can then be finalised by the solicitors of both parties.

Click here to read the 7 things we wish we’d known before selling our first practice.

Step Nine: Banking the money and paying the tax man!

Your solicitor will more than likely receive the funds due electronically. These will then be wired to your bank account, but don’t spend it all too quickly!

If money is being paid up front, this will normally be transferred into the bank account of the seller’s solicitor on the date of completion.

Enjoy it, but use it wisely and remember it is more than likely you will have a capital gains tax bill to pay.

Under current tax legislation, you may be entitled to Entrepreneurs relief against the Capital Gains Tax payable. If so, this may reduce the effective Capital Gains tax rate to just 10%. There are various criteria that need to be met to ensure you achieve a rate of just 10%, so seek professional advice before you sell.

Action Points

  • Anticipate the receipt of funds electronically through your solicitor, who will then transfer them to your bank account.
  • Understand that upfront payments are typically transferred to the seller’s solicitor’s bank account on the completion date.
  • Exercise financial prudence with the newly acquired funds, keeping in mind the potential capital gains tax obligations.
  • Explore the possibility of qualifying for Entrepreneurs’ Relief, which could reduce the Capital Gains Tax rate to 10%, and ensure you meet the necessary criteria.
  • Consult with a tax professional or financial advisor to navigate the tax implications effectively and to make the most of any available tax reliefs.

Click here to read the 7 essential things to consider before selling a dental practice.

Contact us to find out more

What is Samera’s Process for Selling a Dental Practice?

We like to simplify the process to 8 major steps when we help dentists sell a dental practice.

  • Initial enquiry – The vendor sends the completed data collection form to Samera and initial discussion with our team takes place.
  • Valuation and practice visit – This is when we confirm the key variables and arrange a visit at the practice and our report is discussed with the vendor(s). Phase one of Samera marketing process is explained and begins straight after the meeting.
  • Viewings – Phase 2 of Samera marketing process consists of appointment making with potential buyers who have already been screened and viewings.
  • Offer stage – We negotiate the best financial package and best terms, then Heads of Terms are negotiated and agreed.
  • Due diligence – Key information and documents are reviewed by legal teams.
  • Ongoing Support – We are there at every step of the way, supporting sellers during the financial and legal due diligence for a smooth completion.
  • Completion – Sales and transfer of funds to the vendor’s bank account.

Click here to find out more about selling a dental practice with Samera.

Selling a Dental Practice FAQs

How Do I Value My Dental Practice?

If you want to know how to value a dental practice, you firstly need to know that every single practice is unique, and every single dental practice has a range, where a lower range and a higher range. Of course, this will be determined by the financial accounts, so we always ask for at least the last 3 years’ sets of accounts, and the most up-to-date management accounts.

We analyse the potential value of a practice by visiting the practice and using a comprehensive questionnaire we have tailor made for dental practice valuations. We then create a valuation report and discuss with you the exact market value of your dental practice. If you are selling a practice and want to know what it is worth, please do get in touch.

You can find out more about determining the value of a dental practice here.

How Long Does Selling A Practice Take?

The length of time that it takes for selling a dental practice in the UK varies subject to several factors, such as the type of practice. However, the dental practice sales process averages to 5 and a half months from beginning to end, (from the initial inquiry to the completion of the deal).

You can find out more about selling a dental practice here.

How Do I Maximise The Value Of My Practice?

In order to maximize the value of your dental practice, you need to know that every single dental practice has a price range. In order to maximize the price, the first and most important thing to do is to value the practice properly according to market value. Generating a loss of interest, creating a successful and strategic marketing campaign.

At Samera Dental Practice Sales, we have a huge database of active registered buyers. Most importantly, we have a personable and sustainable relationship with our buyers that keep coming back and buying practices from us. We had a very successful year last year. We sold all valued in excess of £100 million worth of practices, with most of the practices achieving above asking price. If you are selling a dental practice and want to know how to maximize its value, please do get in touch.

What Do I Need To Sell My Practice?

If you are selling a dental practice, there are a few documents and contracts that you should have prepared for any potential buyers to look at. For example, any buyers would want to have visibility of their last 2 years’ sets of accounts, as well as the latest 12 months of management accounts. Also, if you have a verbal agreement with any of your support staff, do make sure that these agreements are documented and written down in a contract, so that any potential buyer will continue to pay and remunerate your staff as you currently do.

Most importantly, if you are thinking of selling a dental practice, perhaps you should think that if you were a buyer, what would you want to know about your practice? This is always a good question to ask yourself, alongside the reason for selling your practice. If you want to know more about what documents and what contracts should be prepared ahead of selling a dental practice, please do get in touch.

Why Do Some Buyers Choose To Pay Over A Deferred Period?

A deferred payment on the completion of a dental practice sale is when part of the agreed price is paid over billable time, over a number of years. That is always subject to either target for personal target achieved in terms of income, or practice turnover. We see more and more deferred payments applied to some of the deals completed over the years.

This is usually done by some corporates, and often some individual buyers, where they think that there might be an element of risk associated with the full price. They might want to protect themselves by applying for the deferred payment. If you want to know if your practice qualifies for deferred payment, or it might be subject to a deferred payment negotiation, and how to negotiate a deferred payment, please do get in touch.

Should I Get A Practice Evaluated When Selling To An Associate?


If you’re thinking about selling a dental practice, and even if you’re thinking about selling to your associate, you should always have a valuation carried out of your practice. Imagine if you’re selling a practice to your associate, and perhaps you decide to stay and work together for a number of years. Perhaps you sell below market value, and you realize a year or two year later you are above market value; clearly, it’s going to create some animosity with you and your associate.

However, even if you don’t decide to stay, it’s always advisable to achieve the best available price, and the best deal structure. If you want to know what your practice is worth and if you want any support in how to negotiate with your product associate, please do get in touch.

Why Should I Use A Broker For Selling My Practice?

A broker will help you to achieve the best price and the best possible deal structure available on the market by engaging with as many buyers as possible to create a loss of interest and examine the practice you’re thinking of selling.

Click here to find out more about finding a dental practice sales agent.

Why Should I Use Samera As My Broker?

We have a huge database of active registered buyers, corporate buyers or an individual buyer looking to purchase a practice. Most importantly, we have a personable and sustainable relationship with all of our buyers. We always match the right buyer with the right practice for the best price and for the best deal structure available in the market. We work on success. Your success is our success.

Click here to book a consultation to find out more about how we can help.

What Is EBITDA?

EBITDA is (E)arnings (B)efore (I)nterest, (T)axes, (D)epreciation and (A)mortisation it is an industry-standard way of determining a business’s profit and overall financial performance.

It is one of the key metrics we use to valuate dental practices.

You can read more about EBITDA here.

What Should I Consider When Buying A Corporate Practice?

I think you should consider buying an ex-corporate practice. With corporates, they always have a good marketing strategy and they are usually very CQC compliant. They’re great with their policies and procedures. They really know how to run a day-to-day dental practice. The cons that you should consider are why are they selling their practice in the first place? Consider it just might not fit in their strategy or there might be other reasons, and that’s something we could help you with to see whether this purchase would be suitable for your needs.

What Do I Do With My Equipment Still Leased?

If all or part of your equipment is leased you could either transfer the arrangements to the buyer, if they are in agreement or paying it off, which is usually most buyers preferred choice.

What Are The Legal Warranties?

Most solicitors acting on behalf of their clients as buyers will advise their client to include in the Standard Purchase Agreement ( SPA ) document, a warrant from you as a seller that all information provided including any financial and contractual aspect of the practice is true and accurate.

On the other hand, the seller’s solicitors should negotiate and deal with the warranties in a way that protects the vendor and minimise their risks against potential claims in the future.

Will The Dental Sales Process Trigger A New CQC Inspection?

The Care Quality Commission is another potential reason for a delay in practice sale, even sometimes 3 months delays if either the buyer or the seller don’t have their DBS check ready and available to submit, or the practice has not been inspected lately.

The process of selling a practice will involve deregistration of the seller and registration of the buyer to work at the practice, and this process will likely trigger a new CQC inspection unless one was carried out recently. So have everything ready and DBS not older than 6 months when planning to sell a practice.

Do I Need To Have All My Certificates Ready And Available?

During the due diligence process, you will be asked to provide and show your certificates such as the GDC registration for you and your qualified staff, professional indemnity insurance, employer’s liability cover, autoclaves, compressors and X-Rays.

Have all those ready and it will save you time when selling a practice.

What If I Have A Lease On The Property?

If there is a lease on the property and the lease is less than 15 years to the expiry date, it is advisable to talk to your landlord about a potential extension and engage the landlord at an early stage.

Any buyer would want at least 15 years lease or more if possible and the likelihood is that the landlord would ask for his legal costs to be covered.

What If I Own The Property?

The options are either selling the property, or have a lease in place with the buyer. If you are selling to a Corporate, you should know that the property aspect of the deal is not their main interest. However, they may acquire your property if you wish to sell it. The property will be valued as a commercial property and not on a residential basis, so this is a point to consider when thinking about selling or not.

What Issues Do You Come Across When Selling A Practice?

We have never encountered an issue that we cannot resolve.

No practice is the same but we have never encountered an issue that we cannot resolve, sometimes it just takes a little longer. Any problems usually come to light at the due diligence stage when all documents are thoroughly inspected.

You can find out more about issues in the selling process here.

What Is The Sales Process Of A Dental Practice?

We like to simplify the process to 8 major steps.

Initial enquiry – The vendor sends the completed data collection form to Samera and initial discussion with our team takes place.
Valuation and practice visit – This is when we confirm the key variables and arrange a visit at the practice and our report is discussed with the vendor(s). Phase one of Samera marketing process is explained and begins straight after the meeting.
Viewings – Phase 2 of Samera marketing process consists of appointments making with potential buyers already been screened and viewings.
Offer stage – We negotiate the best financial package and best terms, then Heads of Terms are negotiated and agreed.
Due diligence – Key information and documents are reviewed by legal teams.
Ongoing Support – We are there at every step of the way, supporting sellers during the financial and legal due diligence for a smooth completion.
Completion – Sales and transfer of funds to the vendor’s bank account.

You can find out more about the selling process here.

When Should I Inform My Staff Of The Sale?

Selling a dental practice is a very emotional and challenging time in any dental owner’s life.

Informing your staff is a crucial step in the dental practice sales process and this must be done at the appropriate time.

If the timing is wrong, it could create unnecessary stress and uncertainty amongst your loyal and faithful staff, and what if the sales are not completed? The risk is ending up with creating disruption, loss of trust, loss of revenue and more costs.

Your solicitor will be able to advise you when the right time to inform your staff of the sale is.

You can find out more about transition planning here.

What If I Have An NHS Contract?

If your contract is time-limited (PDS) instead of open-ended (GDS), it may be worth considering a conversion, as a GDS contract (if possible) may attract more buyers. There are risks when converting the contracts, so it is always advisable to seek legal and financial expert support.

Regarding the sale of the dental practice with the NHS contracts, there will be 28 days’ notice between exchange and completion to add to the NHS element of the deal.

Do I Need To Prepare An Inventory?

Yes most certainly so, it takes some time and is boring but it will create clarity with regards to the items you are leaving at the practice and the items you are taking with you, also it will avoid any potential arguments and dispute further down the dental sales process.

What Do I Do After Selling My Practice?

Consider accurately life after selling your dental practice, and make plans ahead of marketing the practice.

Whether you are retiring and want to cash in, or want to continue working in the practice or wish to set up a new practice, consider your options prior marketing your practice, and talk to a professional advisor who has helped others make the best choice before.

Do I Need A Specialist Dental Lawyer?

Never consider the services of a solicitor or a firm with no experience with dental practice sales.

It’s that simple, but occasionally we have experienced some dental principals going down the route of a solicitor who may be brilliant dealing with selling houses but could slow down the process of selling a practice.

Using an expert dental solicitor will ensure you get the right advice at the right time within budget.

What Is Due Diligence?

Due diligence is a very important exercise carried out during any dental sales and acquisitions process.

It is divided into legal and financial due diligence. It is an exercise to confirm that all information provided at the time of discussing and agreeing on offers is accurate and precise. Information such as accounts, management accounts, patient numbers, staff contracts, NHS contracts and any legal issues such as change of control clauses, lease and property contracts, just to name a few of the documents are usually checked at this stage. An expert legal and financial team will know what to look for in a professional and time-effective way.

Our Expert Opinion

“I have learnt that to sell your practice for the best terms available is it should always be ready for sale. Instead of thinking you can pick up the phone and ask someone to sell it, you should have everything prepared in advance to stand a chance of getting the best terms available. This means all contracts in place, all accounts up to date, and of course ensuring it is firing on all cylinders, this way you will always get the best available terms out there, as you will then have a wider pool of buyers.”

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

Make sure you never miss any of our articles, webinars, videos or events by following us on Facebook, LinkedIn, YouTube and Instagram.

Dental Practice Valuations

In this webinar, filmed during the first lockdown, Arun discusses how the valuations of dental practices in the UK have been affected and why now is the time to capitalise.

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

Make sure you never miss any of our articles, webinars, videos or events by following us on Facebook, LinkedIn, YouTube and Instagram.

7 Learning Points I Wish I Had Known Before Selling My First Dental Practice

Back in 2013, I was in the process of selling my first dental practice. Since 2004, we had built 3 private dental squats from scratch and then in 2013 sold one of our practices.

This post is about our experience and details 7 points we wish we had known before selling our first dental practice, and how we would do things differently now.

Learning Points

  1. Whilst it maybe flattering to get someone out of the blue wanting to buy your practice, understand their motives.
  2. Get an independent valuation of the practice, don’t entertain direct offers until you get an independent valuation done.
  3. Looking back, whilst we would have had to pay a broker a fee, if they had been any good, we still would have walked away with a price much closer to the offer price.
  4. Provide sufficient information up front to the buyer so there is a reduced likelihood of them chipping away at the price. In addition, make sure the Heads of Terms offer some protection to you if such a situation arises.
  5. Ideally prepare your practice for sale. Improve the revenue and profits and then go to the market.
  6. Don’t entertain just one buyer, see who else is in the market that may want to buy your practice, therefore, use an experienced broker.
  7. Get in touch with Samera Practice Sales, we will help you exit your business on the best available terms in the market, whilst dealing with a professional and friendly team.

Flattery from the buyer

For the clinic in question, an approach was made directly to me from an acquirer. I had spent several years building it up with a great team and now was considering my options what to do with the clinic. In addition, with a young family I was considering my options at the time.

Via Linkedin an approach was received and before we knew it we had them meeting with us.

It was one of our first practices, so much of the team were very close to us and we felt it was important that the team were cared for post sale.

All the right things were said by the buyers, which comforted me.

In hindsight, we were flattered that someone wanted to buy our practice, so we went with the flow, not really knowing its value at the time.

Learning Point 1: Whilst it maybe flattering to get someone out of the blue wanting to buy your practice, understand their motives.
Learning Point 2: Get an independent valuation of the practice, don’t entertain direct offers until you get an independent valuation done.

The Offer Price may differ to the Actual Price Paid

Whilst a good-looking offer was made to us, little did we know that would not be the price actually paid.

After due diligence, the price was chipped down, and a “new price” was agreed. We had already committed sizeable amounts of money to solicitors, so being a little vulnerable we accepted the revised price. Since the buyers had come to us directly, we had no middleman to support us and broker the deal.

Again, in hindsight, having a dental broker working on our behalf at the time would have been a very good idea, but at the time we thought we could do it ourselves.

Learning Point 3: Looking back, whilst we would have had to pay a broker a fee, if they had been any good, we still would have walked away with a price much closer to the offer price.
Learning Point 4: Provide sufficient information up front to the buyer so there is a reduced likelihood of them chipping away at the price. In addition, make sure the Heads of Terms offer some protection to you if such a situation arises.

Being Prepared

As I mentioned the approach to buy the practice came out of the blue, so we weren’t performing at our optimum. A couple of years earlier the practice was performing well but with a few team changes, the revenue had dropped a little so the practice was not working at full steam.

Again, in hindsight, we all know the best time to sell a practice is when it is doing its best year. You can command a higher price and dictate the terms, on this occasion we were on our back foot a little.

Learning Point 5: Ideally prepare your practice for sale. Improve the revenue and profits and then go to the market.
Learning Point 6: Don’t entertain just one buyer, see who else is in the market that may want to buy your practice, therefore, use an experienced broker.

Contact us to find out more

Selling my First Dental Practice: Summary View

The market for dental practice sales continues unabated, with more and more buyers entering the market, both individuals and corporates.
Five years have past since we sold our practice but the points we have raised are even more relevant in today’s competitive market.

At the time, we never used a broker, but this experience was the impetus for us to start up Samera Practice Sales, a new Dental brokerage firm.
Since then, we have been trusted brokers to many dental practice sellers. Our team work hard to understand your practice, so they can then best position it with buyers.

Many owners are turning to Samera Practice Sales, with our unique, professional and friendly approach to helping sellers maximise their Dental practice value.

We certainly don’t aim to be biggest, just the best at what we do.

Learning Point 7: Get in touch with Samera Practice Sales, we will help you exit your business on the best available terms in the market, whilst dealing with a professional and friendly team.

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

Make sure you never miss any of our articles, webinars, videos or events by following us on Facebook, LinkedIn, YouTube and Instagram.

How to Sell a Dental Practice

Click here to read our articles Samera learning centre.

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

Make sure you never miss any of our articles, webinars, videos or events by following us on Facebook, LinkedIn, YouTube and Instagram.

Selling a Dental Practice to a Corporate – 5 Mistakes to Avoid

In the ever increasingly busy world of selling a dental practice, we have noticed how there is a newcomer on a weekly basis claiming to be your new best buddy, tax advisor, selling agent, and “yes sign here and I will protect your interest and save your soul from the evil of corporate world”.

Here’s a thing:

Corporates are not that evil (generally).

I became involved in dentistry 8 years ago and yes, I worked in the acquisitions side with several corporates, so I know what they want and how they operate.

When entering the Dental world I felt like Christopher Columbus when discovering a new world, or even better this reminded me of that day when my wife and I were in Grand Cayman, sitting on a boat and admiring the sea, but when we dived and started snorkelling we saw a world full of colours, with beautiful animals and fishes of different sizes and beauty, some looking friendly some rather scary.

Fast forward from the Caymans to planet Dentistry, and they are actually not that dissimilar.

During the years I have had the pleasure of meeting hundreds of dental principals up and down the Kingdom willing to sell their practices, and I know first-hand how this could be challenging and emotional , but also rewarding when following the correct steps with the right people helping you.

But you have to follow those steps! And you have to choose the right people to help you!

It can be potentially very very stressful!

If you like to cook, you will know that even something as easy as making a tiramisu (I know I am showing off my Italian origin and cooking skills here) could turn into a disastrous kitchen experience if you don’t follow the correct steps in the recipe and don’t buy the right ingredients.

With a tiramisu, the worst that could happen to you is that your guests never come to dinner again, but if we talk about your dental practice, then it could be a lot worse , with emotional and financial implications for you and your family.

Action Plan

Navigating corporate involvement in dentistry is like snorkeling in a vibrant sea—exciting yet potentially daunting. Just as a recipe requires the right ingredients and steps, success in the dental business hinges on following the correct procedures and working with the right partners. Here are some golden tips to help you navigate this terrain effectively.

So, if you can keep a secret, I will give you my very own golden tips from my many years of working in the sector.

Contact us to find out more

5 Mistakes to Avoid When Selling a Dental Practice to a Dental Corporate

Doing it alone

Like it or not, all the greatest achievers have never done it alone, so if you want to achieve your goal, which is successfully selling your practice as smoothly as possible, always ask for professional help, someone that will help you with the valuation of your dental practice, even if it is a second opinion, get tips on negotiating your terms, and even help and suggest the best people for the legal and financial due diligence.

Action Plan

Seek professional assistance for valuation, negotiation, and due diligence when selling your dental practice for a smoother transaction.

Solicitor

Never consider the services of a solicitor or a firm with no experience with dental practice sales. It’s that simple. Occasionally I have experienced some Dental Principals going down the route of a solicitor who may be brilliant when purchasing your house, but could slow down the process of selling your practice, potentially increasing your legal fees or asking unnecessary or more than unnecessary due diligence documentations to complete, ending up wasting precious time.

Action Plan

Choose a solicitor experienced in dental practice sales to avoid delays, excessive fees, and unnecessary documentation, ensuring a smoother process.

No clear exit plan

You may want to take the money and sail into the sunshine, or you still have some degree of madness in you and want to open up a new practice, the choice is yours.

Consider accurately life after selling your practice to a corporate, as time after time I have met with principals without a clear idea on what to do after completion. You may own the property, so may be best to consider that a Corporate’s main interest is not buying your property, and it is also in your interest most times to keep the property, as the yield you generate as an independent trader is completely different from the yield you have once part of a large group.

Clearly you want to be the one setting your own plan, don’t let others tell you what to do.

Whether you are retiring, or want to capitalize, or want to continue working in the practice or wish to set up a new practice, consider your options prior to marketing your practice for sale and not during , and talk to a professional advisor who has helped others make the best choice before.

Action Plan

Before selling to a corporation, ensure you have a clear post-sale plan, considering property ownership and future goals, and seek advice from a professional advisor to make informed decisions prior to marketing your practice.

Dental Sales Agency

Well, if you want to utilize the services of a selling agent, I advise you to meet and speak with more than one, some will charge you a fee on completion, some others will charge the corporate buyer a fee, but this is almost irrelevant in the grand scheme of things, as you want to follow your gut and your brain when making the decision of what agent you want to represent you.

All I will advise you at this stage is that you want someone who has done it before, with a good reputation, ideally and preferably someone who has sold, bought and also managed dental practices. You want help coming from every angles, or the best accountancy and valuers firm that incorporate all the above qualities. That’s Samera!

Action Plan

When selecting a dental sales agency, prioritize experience, reputation, and a comprehensive understanding of the dental industry, aiming for guidance from professionals who have a track record in selling, buying, and managing dental practices, like Samera.

Inform all your staff

Selling your practice is a very emotional and challenging time in any Dental Principal life’s.

Informing the staff is crucial in the selling process and this must be done at the appropriate time, especially when selling to a corporate.

If the timing is wrong, it could create unnecessary stress and uncertainty amongst your loyal and faithful staff, and what if the sales does not complete?  The risk is ending up with creating disruption and loss of trust and loss of revenue and more costs…..something you don’t want!

These are my pearls of wisdom in working in this sector for a good few years. If you are in the process of thinking of selling, I am more than happy to have a chat to see if I can help you with the big decision.

Action Plan

When selling your dental practice, ensure timely communication with your staff to minimize stress and uncertainty, particularly when selling to a corporate, as improper timing can lead to disruptions, loss of trust, and revenue, potentially jeopardizing the sale.

Contact Details
Arun Mehra
Group CEO
[email protected]
0207 100 8788

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

Make sure you never miss any of our articles, webinars, videos or events by following us on Facebook, LinkedIn, YouTube and Instagram.

Dental Practice Retirement & Transition Planning

Are you ready to retire?

We all dream of living out our golden years as the captain of our own ship – free from the stress and frustration of managing a successful dental practice, and finally able to pursue our other passions. After decades of toil and service to the medical community, you deserve it.

Unfortunately, most dentists are woefully unprepared for the realities of navigating their retirement transition  – and it is easy to understand why. For the last couple of decades you have been preoccupied running your own business, while also providing essential health care services to patients who have practically grown into your closest friends and family. No one wants to think of the day that – for better or worse – it all comes to an end.

If you are like most healthcare professionals, you probably never even considered the idea of retirement until that one day you leaned over the dental chair and heard a few telling “pops” coming from your spine.
But, that’s okay!

If you are reading this article you are already on your way to executing a successful retirement transition as a dentist. You have proven that you have the will to gracefully “bow-out” of providing dental services – all you need now is for someone to help show you the way.

Action Plan

Transitioning into retirement as a dentist can be daunting, but with proper guidance and planning, you can gracefully navigate this significant life change and enjoy your well-deserved golden years free from the stresses of managing a dental practice and focus on pursuing your passions.

What is the right age to retire from your dental practice?

Most people fail to understand how physically demanding it is to be a dentist. The constant bending over, sitting down, standing up, cleaning, polishing, drilling – it takes a toll after 30 or 40 years!

Don’t forget to factor-in the stress of being in business for yourself in a field that can often be rather thankless. I mean, how many more articles must you read where people confess to being more afraid of the dentist chair than the grave?

The harsh reality of the dental field is that you cannot do it forever, even if you want to. Your body and/or mind simply won’t allow it. So, what is the right age to retire?

Most people want to be retired by their early-to-mid 60’s, and it’s no different in dentistry. However, the desire to retire is much less important than having the ability to follow through with it. That is why it is of the utmost importance to begin planning your exit strategy in your 40’s and 50’s.

Every day after your 60th birthday is practically a count-down until your back begins to falter, your knees become stiff, and the dreaded arthritis causes your skilled hands to swell and shake.

You neither have to burn out, nor fade away. By planning your exit strategy now, you can rest easy knowing that you can step away from your practice – still seemingly at the top of your game without having to deal with the inevitable ravages of time (at least not publicly).

Action Plan

Transitioning into retirement as a dentist can be daunting, but with proper guidance and planning, you can gracefully navigate this significant life change and enjoy your well-deserved golden years free from the stresses of managing a dental practice and focusing on pursuing your passions.

How to handle your dental transition

Fortunately there are many options available for dentists on the verge of retirement. It doesn’t matter if you own and operate your own practice, work with a group of partners/associates, or are a member of a corporate group.

Of course, everything relies on your ability to plan ahead – so here are some quick thoughts about your options …

Sole Practice Owner

As the owner of a sole practice, you have the most “elbow room” to manoeuvre in regards to your retirement transition.

The most (financially) beneficial arrangement favoured by most dentists is a flat out sale of their practice to a corporate group – a transaction with which we are very familiar.However, another route might be for you to take on an associate dentist. After spending some time mentoring the new associate dentist, and training them on how to care for your patients, they should be able to buy you out of your own practice. Yet, this method does require a considerable amount of time and effort if you do not choose your associate wisely. For more information on choosing an associate – with retirement as your final goal – contact Samera Business Advisors.

Action Plan

Dentists approaching retirement have various options to consider, whether they own a sole practice, work with partners, or are part of a corporate group. One option is selling the practice to a corporate group, while another involves bringing on an associate dentist who may eventually buy out the practice. Planning ahead and seeking professional advice from experts like Samera Business Advisors can help navigate these transitions effectively.

Partnership

Transitioning management of your dental practice from you to your partners can be a mutually beneficial option for larger practices.
Through an equity buy-in, buy-out, contract you can arrange the “sale” of your practice, decades before you even need to. This saves you from dealing with a lot of stress and frustration further down the road. It should be noted though that transactions between people who have known / worked with each other for years can sometimes get complicated. If you wish to preserve the relationship you once had with your partners – and still get the best money for your practice – we highly recommend contacting a qualified Dental Practice Broker like Samera Business Advisors.

Action Plan

Transitioning management of your dental practice to your partners through an equity buy-in or buy-out contract can offer a smoother transition, but it can be complex. Seek guidance from Samera Business Advisors, experts in facilitating successful transitions.

Corporate Group

If you are already a member of a corporate dental group, your transition should be fairly straightforward. Meaning – it should already be more or less spelled out within the terms of your contract with the organization.
Yet, sometimes it is difficult to negotiate the final offer on your share of the practice. We here at Samera Business Advisors can help to mediate the transition, ensuring that you are paid what you are worth.

Action Plan

Transitioning from a corporate dental group is typically outlined in your contract, but negotiating the final offer for your share can be challenging. Samera Business Advisors can facilitate a smooth transition and ensure fair compensation for your practice share.

Letting your partners and employees know about your retirement

Informing your staff – or partners – about your imminent departure from the business is the most uncomfortable aspect of selling your dental practice. These people may have been with you since the beginning of your career. They have watched your skills develop and your business grow – and they have reaped the rewards along the way. Telling them that you will no longer be around to help or give advice could be a terrifying concept for them. Therefore, there is no easy way to go about it.

We recommend that you approach the subject with compassion and tact. Choose the right time to let people know about your retirement – do not do it when office stress is already high. Let them know what your plan is, and your timeframe. Take the time to talk with them privately about what their options are moving forward.

If you are concerned about how your staff will take the news, there are ways that you can make them feel involved in the process. For instance, there are some transactions where you can include terms that require the future-buyer of your practice to develop the original staff. Of course that is not always the case, and if you want terms such as those included in the sale of your dental practice, you should consult with a qualified Dental Practice Broker like Samera Business Advisors.

Action Plan

Informing staff or partners about your retirement requires compassion and tact, choosing an appropriate time to communicate your plan and timeframe. Consider involving them in the process and consult with a qualified Dental Practice Broker like Samera Business Advisors for guidance on structuring the transition.

Letting your patients know about your retirement

Similar to informing your staff/partners, telling your patients about your retirement can be incredibly stressful.
We recommend sending a personalized letter to your current patients – thanking them for their years of support and friendship. In the letter, you should comfort them by explaining what your transition means for them.

  • Do they need to find a new dentist?
  • Will a new dentist be provided for them?
  • Can you give them a referral to another qualified dentist in the area?

These are just some of the questions that will immediately come to their minds, so make sure to answer them in as much detail as possible – before they have to ask.

However, do not inform your patients of your transition until after it is fully planned, with a buyer already secured and an exit strategy in place. You do not want them to feel as though you are leaving them “high and dry” with no support for their healthcare needs.

Action Plan

Informing patients about your retirement involves sending personalized letters expressing gratitude for their support and explaining the transition process, including arrangements for their ongoing dental care. It’s important to wait until the transition plan is fully prepared before informing patients to avoid causing undue concern or uncertainty.

Contact us to find out more

Putting your dental practice up for sale

Although the specifics of your individual dental practice sale will be unique, there are a few “tried and true” things that every dentist should do when preparing to sell their practice to fuel their retirement goals.

The main objectives for preparing the sale of your dental practice is to build as much value as you can, and ensuring a smooth transition from you to the new owner.

Build your practices value

Many dentists think that the only way to build the value of their practice is by having as many active patients as possible. While that is certainly a big element to making your office look appealing to another buyer – it is not the only consideration.

You must take into account the kind of work that will be required by the new owner. Do you have fewer patients, but perform higher-value cosmetic treatments which prop-up your sales figures? That could be an interesting selling-point for “concierge style” dentists who prefer quality over sheer patient-volume.

You must understand what makes YOUR business model appealing, and then bolster that marketing perspective. In order to do this, we recommend receiving an in depth practice valuation, so you can understand more about your own business … What works, why it works, and who would be interested in taking the reins of a practice such as yours.

Action Plan

When preparing to sell your dental practice, focus on building its value by highlighting unique selling points, such as specialized treatments or patient demographics, and obtaining a thorough practice valuation to understand its strengths and appeal to potential buyers.

Build an active patient list

It practically goes without saying that – when preparing to sell your practice – you should be actively building your book of business. No one wants to buy a dental practice to just sit on their hands all day, hoping that a patient will eventually come in for a routine cleaning.

Try to fill in as many gaps in your daily appointment schedule as possible and keep it consistent. Make the potential buyer of your practice feel as though they are buying a “turn-key” business.

The goal is to make them feel confident that the day they sign the purchase agreement, they will have a steady source of income.

Streamline your Accounting

When a buyer expresses interest in your practice, you should be able to show them exactly where all of the money is coming from, and going. Every pound must be accounted for, and irregularities must be minimized at every opportunity.

Although “cleaning up your accounting” is important for the buyer, it is absolutely crucial for whatever lender is providing the buyer with their funds. If your books are not in order, the lender may put a stop to the sale – even if the buyer is still 100% on board.

Action Point

When preparing to sell your dental practice, focus on actively building your patient list to demonstrate a steady source of income for potential buyers, and streamline your accounting processes to ensure transparency and minimize irregularities, which is crucial for both buyers and lenders involved in the sale.

Choose Samera for Retirement and Transition Planning

You have so much to look forward to as a retired dentist. It is our goal to help you to achieve your financial goals, while safely managing your legacy (your practice). If you are even entertaining the thought of retirement, contact a representative of Samera Business Advisors by contacting us or booking a free consultation.

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

Make sure you never miss any of our articles, webinars, videos or events by following us on Facebook, LinkedIn, YouTube and Instagram.

Should I Sell My Dental Practice to a Private Equity Backed Group?

Arun, the CEO of Samera Business Advisors discusses the Pro’s and Con’s of selling your dental practice to a Private Equity Backed Group.

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

Make sure you never miss any of our articles, webinars, videos or events by following us on Facebook, LinkedIn, YouTube and Instagram.

8 Things You Need to Know When Choosing a Dental Practice Sales Agent

If you have a dental practice for sale, you need to make sure that you choose a dental practice sales agent you can trust to ensure that the process progresses smoothly and that you secure the best possible price for your practice. You need to enlist the services of experts in dental practices for sale who can make sure that your practice comes to the notice of as many potential buyers as possible.

They should also be able to help you with all aspects of having a dental practice for sale, such as preparing your practice for sale, carrying out a valuation and dealing with the process of due diligence, before a sale is finalised. There are several factors that you need to consider when choosing a dental practice sales agent.

What size is the database of registered buyers?

A successful sales agent, who has experience in dealing with dental practices for sale, should have a significant database containing the names of potential buyers for your dental practice. Ask about the number of names that are in this database, so that you can get an idea of the number of people who will be made aware of the sale of your practice. Sales agents should also be able to market your practice outside of the names in this database.

What is the valuation process?

Getting an accurate valuation for a dental practice for sale is an essential part of the sale process. You should be able to access an easy to use valuation service. This should be followed by the provision of a sales pack containing details of the sales process.

Action Plan

A reputable sales agent experienced in dental practice sales should possess a sizable database of potential buyers, and you should inquire about the number of names therein to gauge the reach of your practice sale. Additionally, they should offer an accessible valuation process and provide a comprehensive sales pack outlining the sales process details.

What dental practice health check services are available ?

In order to secure the best price for dental practices for sale, each practice needs to be as healthy as possible, before the sales process begins. The dental practice sales agent you choose should be able to perform a comprehensive health check for your practice. Areas that should be covered include:

  • The performance of the practice.
  • The profitability of the practice.
  • Comparisons with other practices.
  • A breakdown of the valuation process.
  • Advice about how to improve the value and marketability of the practice.

This type of health check is vital when selling a dental practice.

Action Plan

To ensure optimal pricing for dental practices on the market, a thorough health check is essential, covering areas such as practice performance, profitability, comparative analysis, valuation breakdown, and recommendations for enhancing value and marketability. Engaging a dental practice sales agent proficient in conducting such assessments is crucial for a successful sale.

How good is the seller information that is provided?

Sales agents who are dedicated to providing a high standard of service when dealing with dental practices for sale should provide excellent seller information. This includes facilities such as a comprehensive website FAQ, so that sellers can easily see what the process of selling a dental practice involves.

Is there are a high level of availability?

Selling a dental practice is not something that happens at a certain point of each day or week. If you are selling a dental practice, you need to be able to contact your sales agent when necessary, and be sure that you will get a timely response. A reputable sales agent should respond to any queries within 24 hours of contact.

Action Point

Sales agents specializing in dental practice sales should offer top-notch seller information, including a detailed website FAQ, to clarify the selling process for clients. Additionally, accessibility is key, with agents expected to maintain a high level of availability and respond to queries within 24 hours to ensure smooth communication and transaction progress.

Are there any success stories?

Successful dental practice sales agents will have several dental practice for sale stories to tell. They should be able to provide evidence of satisfied clients. This information should help you to see how they could put the services involved in these success stories to use in helping you to complete the successful sale of your practice.

Contact us to find out more

Is there a good standard of communication?

Good communication is something that is essential to any successful sale of a dental practice. This communication includes all provision of advice and support, from sales process advice on the website to readily available communication systems, such as email and telephone. You need to make sure that you can easily communicate with the professional that you choose.

You also need to make sure that the communication you have is easy to comprehend. The sales agent should have well-developed communication skills that enable them to give you advice and support that you can understand.

Action Point

Effective communication is crucial for a successful dental practice sale, encompassing comprehensive advice and support provided through accessible channels like email and telephone. Furthermore, clear and understandable communication is paramount, requiring sales agents to possess strong communication skills to convey advice and support in an easily comprehensible manner.

Is there a high level of expertise with tax issues and due diligence?

It’s not just marketing a dental practice for sale, and engaging with potential buyers, that are important aspects of a dental practice sales agent’s work. They need to be experts at all aspects of the sales process. This includes dealing with any tax implications and ensuring that due diligence is successfully completed, before any sale is finalised. The due diligence process can be complex, so it’s important to have the right professionals in place to help.

These professionals can help you make sure that you have all the necessary documentation in place. This documentation includes:

  • Accounts and financial records.
  • Patient records.
  • CQC registration details.
  • Contracts of employment.
  • Associate paperwork.
  • Contracts with suppliers.
  • Lease and hire purchase agreements.

If you have a dental practice for sale, you need to make sure that you take all of these factors into account, when you are choosing a dental practice sales agent. Choosing an agent who can provide examples of previous successes means that they are more likely to be able to help you successfully sell your practice.

You also need to think about all aspects of the sale process including finding and engaging potential buyers, dealing with tax implications and ensuring that due diligence is completed with no problems. Sales agents need to be able to communicate openly and clearly with you, so that you understand what is happening, throughout the sale process.

The team of experts at Samera realise how important it is that you get a good price for your dental practice and that your finances and tax situation are optimised before, during and after the sale. Our success stories show that we have the experience and expertise to help you complete your dental practice sale advantageously. Contact us about how we can help with your dental practice for sale.

Action Point

When selling a dental practice, it’s crucial to work with a sales agent who possesses a high level of expertise in tax issues and due diligence. This ensures that all necessary documentation, such as financial records, patient records, and contracts, is in order. With the right professionals in place, like the team at Samera, you can navigate the complexities of the sales process successfully, optimizing your finances and achieving a favorable outcome for your practice sale.

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

Make sure you never miss any of our articles, webinars, videos or events by following us on Facebook, LinkedIn, YouTube and Instagram.

Selling Your Dental Practice: 7 Essential Things To Consider

It’s that time of year when change is upon us, and you maybe considering hanging up the drill and selling your dental practice in 2020. If this is you, read on.

Banking Confidence

Despite the political shenanigans of 2019, it appears we have a hint of certainty arising across the UK which can only be a good thing for the Dental sector.

Dentistry as a whole is liked by the banking sector, but over the last couple of years, banks are slower, and question more before they make a firm commitment.

Arun’s Opinion:

With Brexit due to happen in a few weeks, we believe banks will feel increasingly confident in their lending which, can only be a good thing if you are seeking to sell your dental practice, as buyers have easier access to finance.

Growth Of Private Equity (PE)

PE is a growing trend in the dental sector, with more and more PE-backed groups emerging to acquire practices.

Despite the growth of PE there is a limit to the number of practices available to purchase, with many of the PE backed groups looking for the larger profitable practices.

Arun’s Opinion:

Tread carefully here, just because they have the money, doesn’t mean they will be a good fit for you and your exit strategy.  Seek help and meet with as many buyers as possible before you make a firm decision.

Check out our video on Selling your Dental Practice to a Private Equity – so you are fully aware of the pitfalls that can arise.

Contact us to find out more

Budget And Tax

Sajid Javid’s first budget is pencilled in for February, soon after the UK leaves the EU. In the budget, we can expect some significant changes occurring including Corporation tax remaining at 19%, rather than dropping.

More significant could be a change in Entrepreneurs relief (ER) for Capital Gains tax. This currently reduces CGT down from 28% to 10%, but if this changes, it could mean a significant rise in tax payable for anyone who does sell.

Arun’s Opinion:

Despite the rumours, my feeling is that the Conservative government will try and retain their pro-business stance, and don’t think ER will be abolished – but you never know in the world we live in today!

NHS Values

Values of NHS practices still remain strong, but now with a new government in place, the age-old question of time-limited contracts for NHS Dentistry coming into place could arise.

Arun’s Opinion:

Overnight, changes occurred in the Orthodontic sector, with many practices losing their NHS Orthodontic contract.

Could something happen with general dental contracts?  Possibly.  Bottom-line, make your own judgement and don’t trust anything a politician says.

Golden Handcuffs

For many of the larger transactions we deal with, there are usually a set of golden handcuffs put in place, to ensure that the transition from seller to buyer goes well.

In today’s climate, it’s less likely you will be able to walk away from any sale with all the money in one go, any serious buyer will want to ensure some protection for themselves, so be ready for some monies to be retained, whilst you ensure a successful handover.

Arun’s Opinion:

In such deals, since you will be working with the new owners for a while, make sure you like them and understand their philosophy! Not all buyers are the same!

Competition

Dentistry is a very competitive market. The cost to acquire a patient is increasing every year as the market becomes more and more competitive. This puts downward pressure on margins which can impact your practice value.

Arun’s Opinion:

Getting the branding and marketing is essential in Dentistry today. The cost of acquiring a patient is rising, so it’s imperative every practice cares for each patient appropriately and has the know-how in house to offer the patient the full array of services. See if you can bring specialists to you, rather than sending patients away from your practice.

Which Way Are Valuations Heading?

No-one has a crystal ball and if anyone who says they do, tread very carefully. I have just highlighted some of the macroeconomic factors that will effect the value of your practice in the coming year – some negative, others positive.

Dentistry is not immune to the changing economic climate and is heavily affected by government action.

The key to maximising your value is ultimately running a well-oiled practice, caring for patients properly, developing a stellar team, building a well branded business, which ultimately translates into higher profits and a higher valuation.

To find out our articles you can click here samera learning centre.

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

Make sure you never miss any of our articles, webinars, videos or events by following us on Facebook, LinkedIn, YouTube and Instagram.