When you ask someone about the variables involved in establishing the value of a dental practice, they will usually list the quantity and quality of the equipment, the turnover, the profit, the location, the size of the patient-base and the demand for practices in the area. All of these factors (and more) are, of course, huge indicators of the expected price.
Most people would acknowledge that it is inappropriate for a judge to preside over a case involving a family member. If they did, their decision could be influenced by their personal relationship with the person involved in case, rather than the facts. Any ruling would not be deemed fair and just to those who sought judgement (and it probably wouldn’t be).
One of the greatest fears buyers of dental practices have is that they will pay significant money for goodwill and there will be a mass exodus of patients when they take over. To mitigate this risk, any buyer needs to seriously look at the reasons why a patient frequents the practice, and give them no reason to want to change their behaviour.
Great to see this great article in Bite magazine that we are quoted in
Excited to be featured in the ADA NSW podcast this month.
There is a paradoxical relationship that dental practice owners have with their last few years of ownership. They usually know when they are within a few years of selling. Yet strangely, they behave as if their practice value is set in stone, start to relax, and let a career worth of work be seriously compromised by fatigue, decreasing the practice’s performance, right before it is about to be appraised. For practice owners like this, history can judge the last few years of ownership harshly!
We were thilled to be part of our favourite podcast, The Savvy Dentist! Simon spoke to Dr Jesse Green about all things practice sales, from preparing your practice for sale to knowing when it's time to sell and planning your exit strategies. Click here to listen to it