Market Appraisal FAQ

While we do factor in the quantity, relative age and quality of the equipment in our practice market appraisals, we do not have the expertise or experience needed to look value this equipment in isolation from the business.

Practice Sale Search market appraisals are based on our unique perspective of the market forces of supply and demand and other sales that have recently happened in similar circumstances. We do not have this same insight into the market for second hand dental equipment.

Click here for Equipment FAQs.

Practice Sale Search does not do practice site visits for its market appraisals for three reasons:

1. It would almost certainly be prohibitively expensive for the practice, as there would be additional costs in terms of travel, accommodation and the valuer's time.
2. The amount someone is willing to pay for a practice has more to do with the financial return. Having the financial documentation and dental software reports is enough for us to create a practice market appraisal.

In order to complete an accurate market appraisal, we require the following documentation:

1. A market appraisal registration form completed comprehensively.
2. Profit and Loss statements for the last 2-3 years.
3. Dental software reports breaking down the income by clinician.

There are usually clarifications needed on the above once submitted.

This depends on the completeness of the information that you provide and the current availability and workload of the valuer within Practice Sale Search.

Usually it can safely be completed inside 2 weeks.

Practice Sale Search will go through the details and contact you with any questions and requests for further information, as well as an expected completion date.

Nearing the completion date, Practice Sale Search will schedule a time to debrief the market appraisal document.

We cannot provide practices with a sample one-size-fits-all formula for valuing their practices.

The value of a practice in Australia and New Zealand cannot be reduced to a simple formula, where the only inputs are revenue and profit.

A practice value could also be influenced by many other factors including (but not limited to):

• Supply and Demand in that area at that time
• Security of tenure on the premises
• Trend analysis (trading history and trajectory)
• Key man dependence
• Demographics of the area
• Presentation
• How clinically specialised the work done in the practice is