Selling a dental practice is a complicated process. Don’t go at it alone.
Your dental practice is one of your most valuable assets and the proceeds of the sale will likely be used to fund a significant portion of your retirement. Selling a dental practice is a complicated process that involves numerous steps including determining the market value of your practice, finding the right buyer, negotiating the purchase price, purchase agreement and lease assignment, and facilitating the transition of ownership (just to name a few). Therefore, it’s imperative that you employ the services of a trusted professional to help you navigate the transition process. Here are the top 5 reasons to hire a practice broker when selling a dental practice:
Formulate a transition strategy to meet your individual needs
Not all practices and all doctors are the same. Therefore, a good dental practice broker will listen to your specific needs and goals then develop an individually tailored transition strategy to fit your situation. There are many ways to structure a practice transition, including a walk away sale, associate to purchase, phased sale, and partnership arrangement. When selling a dental practice, choosing the right transition strategy for you and your practice is the first step towards a successful transition.
Confidentially market your practice to find a buyer who is the right fit for your office
Utilizing the services of a practice broker will provide you with the opportunity to market your practice to a broader range of potential buyers, thereby increasing the likelihood of finding a doctor who is an ideal fit for your office as well as shortening the timeframe required to complete the sale. The broker will handle practice showings and oversee all communication with potential buyers and their advisors, which can take a significant amount of time and effort. Delegating this responsibility to a seasoned professional will allow you to focus on the operation of your practice and enjoy your personal time rather than spinning your wheels talking to countless potential buyers. To protect the value of your practice during the marketing process, the broker should require each potential buyer to complete a confidentiality agreement prior to receiving any information regarding your practice and only show your office after business hours.
In Part 2 of this article, we will examine three additional reasons why it is essential to hire a practice broker when selling a dental practice.
This article is brought to you by Brannon Moncrief of McLerran & Associates, specializing in Selling a Dental Practice in Texas.