Top 10 Things
you should be thinking about if
you want to sell your practice
Seller's Frequently Asked Questions
How do I get my Tax Returns to Look Good?
Concentrate on the “bottom line,” that is, you should be profitable. If you are running personal things through
your business, such as inflating categories like office supplies, you might consider ceasing that practice for the
3 years before a sale to maximize your practice sale profits.
#1
Employee Wages
Your employee wages should be an appropriate percentage of your collections, probably somewhere between
20 – 27% for general practices and much lower for most specialty practices. Try to stabilize staff and pay each
staff member an appropriate wage for their job position.
#2
What should a Hygienists' Salary be?
The salaries for your hygienists should be appropriate for each hygienist’s production - and that in the only way you decide a hygienists compensation. Hygienists should
usually produce about 3 to 3 1/2 times their salary. If their production isn't quite up to that standard, consider
hiring a hygiene consultant to help.
#3
#4
Standard Systems
Your systems should be standard, up-to-date, and utilized. If not, consider hiring a practice management
consultant to assist you.
Do I need an associate dentist?
Generally, it is not a good idea to hire an associate dentist if you have not been using one or do not absolutely
need one. Remember, associates cannot be bound by covenants not to compete and could be a threat to many buyers.
#5
How new/up to date should my technology be?
Don’t worry particularly about getting the newest, latest, and/or best technology unless you really want it. It
might help your sale somewhat, but most practices that are sold do not have it.
#6
#7
How often do I purchase General and Office Equipment?
Do keep your general and office equipment relatively new, less than 10 years old for dental equipment and less than 5 years old for office equipment. If you need to buy equipment, buy it now so you can enjoy it for a while.
#8
What should I clean up?
Clean out EVERYTHING! All drawers, stacks, messes and piles. Throw out all unnecessary and unused.
#9
Should I computerize?
If you haven't computerized yet, now is the time to do it. Many of the relatively inexpensive software programs seem almost as good as the very expensive: pick a standard commonly used program and go for it. If you are computerized, be sure you have a relatively modern equipment and monitors (probably less than 3 years old)
What should my reception area look like?
Get and keep your reception room decorated, clean and very neat. The first impression really counts. Consider hiring a professional decorator, even if just for that room.