July 8, 2019
Do I Need a Dental Practice Broker to Sell My Practice?
As a business owner, it may be instinctual to want to take the sale of your practice into your own hands rather than hiring a professional. But hiring a professional dental broker to handle the sale of your practice will help you get the most out of your transaction in the long run in terms of both time and money. After all, your job during this transition is to focus on keeping the value of your practice up in order to get the most out of your sale. Here’s how.
Future plans
Whether you’re planning to put your investments toward retirement or another investment, you’ll want to ensure a smooth and lucrative transition. Take advantage of a complimentary prospectus offered by a dental broker to know the true value of your practice and which options are available.
Timing
Selling a dental practice takes approximately 150 hours, time that could be better spent maintaining a successful business. A qualified broker will already have contracts in place rather than hiring an attorney to draft documents for you, saving thousands of dollars. The broker will also save you time by already having a list of potential buyers in the area or at least an active marketing approach.
Maximum value
A qualified broker will present all possible options to you so that you can look at and compare all sides. This not only means selling to an individual, bringing on an associate or affiliating with a dental service organization (DSO), but also considering all options within each vertical. Considering various strategic approaches will help maximize the value of the transaction.
Process details
The work has only just begun after receiving a prospectus from a dental broker and presenting your practice to qualified buyers. 80% of the transaction includes the contracts, negotiations and final sale. A qualified broker guides the transition of ownership, from negotiating the sale and finding fair market value to providing the asset purchase or stock agreement and assisting with the real estate needs.
Due diligence
Having the money to purchase your practice does not mean it’s the right dentist for the job. A dental broker will go through the due diligence process to find the best match for your practice, whether that’s an individual or a group, to help you, your staff and your patients feel comfortable with the transition.
Confidentiality
Knowledge of a potential sale can hurt your business and increase your attrition rate significantly. What’s more, your staff may take the opportunity to look for employment elsewhere. Confidence is key with a professional dental broker so as to not impact the value of your practice.
Emotional baggage
Starting and putting your own sweat equity into your dental practice can be an emotional process when the time comes to move on. Strong emotional ties to your practice can make it more difficult when it comes to making business decisions, which is why hiring a broker can help make the transaction more efficient and smoother.
What’s next?
Professional Transition Strategies not only offers a free valuation at the beginning of the process with no signed contract in place, but also 30-day listing agreements where most other brokers require a yearlong contract with penalties. Contact the experts to start the seamless selling process.