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…
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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…
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**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.…
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**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…
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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…
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**Client Case Studies: The Not So Successful Start-up** We wrote previously about a successful start-up and you can find that article using the link below. https://practiceownership.com.au/client-case-studies-the-successful-start-up/ In this article we will discuss a client case study involving a not so successful start-up. This client came to us back in 2019. The location the client…
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**Practice Management Series: Dedicated Reception Staff** Over the past year we’ve been trialling having dedicated rostered shifts for phone and email management and would like to share our experience. This article is directed at larger surgeries (>4 chairs). Overall, it was a success and something we will be implementing going forward. The reason we initially…
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**Client Case Studies: The Successful Start-up** Recently we had a past client approach us for a practice health check. The client first contacted us back in 2017 to assess a potential location for a dental start-up. We were bullish on the site and the client ended up doing the start-up. Fast forward to now. We…
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We’ve had a recent influx of clients wanting to do start-ups and being advised by third parties to take up leases on >200 square metre (SQM) sized tenancies. These third parties often have their own motivations. Commercial leasing rates (unlike residential) is typically calculated as a per square metre rate. For example, if the rate…
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**What to ask for when analysing a practice for sale** When analyzing a practice for sale it is important you receive certain important pieces of information from the seller or broker. The purchase of a dental practice is a significant financial commitment and you must have the appropriate information in order to analyze it…
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