Why use ProPractices

Why use ProPractices to sell your dental practice as opposed to DIY?

  • Under marketing the business –a dental practice owner could well have a single buyer interest – however on that basis the negotiating power probably resides with the buyer and not the seller. ProPractices objective is to generate interest and competition from numerous parties with a view to obtaining multiple offers and thus maximising the sale price.
  • Confidentiality – For many dental practice owners maintaining confidentiality is one of the biggest concerns during the sale process. If you are trying to manage your dental practice as well as the transaction process you may find it difficult to maintain confidentiality as the communication activity will increase and it won’t be long before your staff guess what is going on.
  • Business focus – the sales process can be stressful and very time-consuming involving multiple parties such as buyers, solicitors etc. Managing your business is challenging enough and  managing the sales process could become a significant distraction which, if it is not managed professionally, could ultimately fail and negatively affect your business performance.
  • Financial due diligence of buyers – many sales can fall through because the buyers cannot raise sufficient funds and this situation can only become apparent weeks or months into the sales process. ProPractices will profile potential buyers and ascertain if they to qualify and indeed can raise the means to finance the dental practice purchase so that no time is unnecessarily wasted.
  • Uncommitted buyers if you are dealing with dental practice sales on a regular basis you soon get to recognise the time wasters. Certain ‘buyer’ types will go through the motions but never actually commit any money. We would never release any information without an NDA in place and we would generally quickly screen and qualify interested parties to test the seriousness of their commitment.
  • Sole buyers who use their market position to their own advantage – some players before completion decide to reduce the price, try to re-negotiate previously agreed terms or threaten to pull out in the latter stages of the sales process. Such buyers behave differently if the seller has gone through an agent such as ProPractices because they know other parties would be interested.
  • Inadequate terms of sale when selling a dental practice many issues have to be agreed with the buyer, not least the structure of the sale. Key considerations typically include:
    • Tax efficient strategies
    • Stock
    • Deferred consideration
    • Retentions