Late last year we encountered a situation which left us baffled. We had an associate dentist wanting to buy the practice they were working in for around 2 million dollars. They came to us very excited about the opportunity. However, the owner had only provided financial statements from the 2024 and 2023 financial years. The…
Over the years we’ve had clients approach us about purchasing the goodwill of a nearby practice. Typically, it is a small 1 chair practice with the dentist approaching retirement. The lease may be ending and the fitout and equipment old with little value in selling the practice as a whole on the open market. How…
We recently discussed a case study on a successful practice purchase. You can find that here. https://practiceownership.com.au/client-case-studies-the-successful-practice-purchase/ In this article we’ll discuss a not so successful purchase. We encountered this practice last year when doing a practice purchase assessment. However, the initial purchase was in 2022. The purchase price in 2022 was 525K. The practice…
**Client Case Studies: The Successful Practice Purchase** Success in dental practice ownership can be defined in many ways. For some, success is building up your own business and creating a practice that you’re proud off. For others, success may be building an excellent working environment for staff or providing an important service to the community.…
**Vendor Market Wage** We analyse many practices every year and the market wage of the vendor is perhaps the simplest yet most overlooked aspects by buyers. Many prospective buyers will look at the above profit and loss and interpret the ‘net profit’ as the amount they will receive if they purchase the practice. Further, many…
We’ve been noticing a recent trend of dental practice partnerships breaking down. The most common reason is how each partner clinician is remunerated. We recently received this enquiry. It’s been heavily redacted. “We setup the clinic with us 4 partners as 25% equal share holders. The clinics been doing well. We all initially had a…