For our clients who have a dental practice for sale, this often can be a tough question to answer. Usually, our seller’s heed our advice and set the asking price for their practice within the range of market values of similar practices that have sold in their area in the last 6 months to a year. In some cases, however, setting the asking price for a practice can be a difficult, emotional process.
An established private practice is the result of the owner pouring his or her blood, sweat, and tears into caring for patients, managing and leading their team, and, of course, paying for EVERYTHING! When it is time to transition the practice, there is usually a number that the seller has in mind that creates a sense of accomplishment and that they would be excited to receive from a buyer. Sometimes this is close to what we would recommend, and sometimes it is not. When the asking price is too far above what is happening in the market, we find that the dental practices for sale take a lot longer to sell. When it does sell, it is usually within the valuation range that we recommended in the first place.
At McLerran & Associates, we strive to acquire the highest selling price possible for our clients. When we recommend an asking price for a dental practice for sale, it is based on the attributes of that practice – such as cash flow, location, condition of the equipment and facility, the active patient count, etc. – and what is happening in the practice acquisition market. If you are considering transitioning your practice now, or in the next 3 to 5 years, give us a call and we can help you analyze what needs to happen in your practice to get the highest selling price possible.
This article is brought to you by Mc Lerran & Associates specializing in Dental Practices for Sale in Texas.