Dentists often put off selling their practices because they are concerned about life after dentistry. What will they do with all those extra hours; how will they cope with leaving behind the identity that has defined them for decades?

As a result, they often phase into retirement and slow down, rather than stop working altogether.

From one year to the next they do fewer hours per week in the practice, and take more time off to go on holidays. They stop reinvesting in the practice; they justify to themselves that any reduced remuneration is more than made up for by their improved lifestyle…that is, until it comes time to sell. When they eventually decide sell, it often dawns on them that they haven’t just been reducing their remuneration each year, but also severely depreciating the value of their practice - to the point where their asset is worth far less than it was before. They are often faced with the choice of postponing retirement, or cutting back on their post-sale lifestyle. 

There is of course another way to slowly phase into retirement; one that doesn’t compromise the value of your asset - that is, to sell first.

The advantages of this approach are:

• They are selling at the business’s peak, maximising the return on their asset.
• They are ending their career spending their professional hours doing dentistry, instead of dealing with the burdens of ownership like bookkeeping, admin, staffing issues, organising the replacement of broken equipment, marketing, etc.
• They are acquiring the ability to fade into retirement at a pace that they are comfortable with - working how often and how much they want, without compromising the sale price of one of their most valuable assets.

Their career thus far may have included decades in one location, working the same way they always did. Now they can have a second career doing locum dentistry in:

• Different dental work environments (multi-chair, multi-dentist practices, working with hygienists, with Cerec machines and OPGs in-house, teaching/mentoring, etc.).
• Different parts of Australia. After years in the city, they can spend stints of time in regional or rural environments…or vice versa. They can work and live in different states, near a beach or national park, in a busy city or a quiet town.

Many dentists note that they get a renewed passion for dentistry – and life - from their post-sale work, because they are discovering different parts of Australia and different ways to be a dentist.

Many experienced practice owners running their practices are surprised to find that they are actually in high-demand from recruiters, who are looking for dentists to work in high-end, busy practices as locums. These dentists are actually top tier candidates.
They could use their skills for valuable projects or charities that make a very real difference in people’s lives, like Filling the Gap (fillingthegap.com.au), or YWAM in Papua New Guinea. (https://ywamships.org.au). We have sold practices for people who are now using their post-sale time to set up dental facilities from scratch – some in developing countries, and some in aged care facilities near their homes.

For more articles on “Selling a Practice: Timing your sale and Retirement”. Click here:

• The Tortoise, The Hare and the Sins of Success
• Drive for show, Putt for dough
• Pace Yourself
• Retirement: Is it better to jump out or fade away?
• Exit Plan...or put your head in the sand
• Just a few more years... What Muhammad Ali can teach us about exit planning!
• How can you tell when it's time to sell?
• Dental Practice Ownership : The Final Years