MORR Dental Transitions has more than 160+ years of service dedicated to fostering strategic partnerships with group and individual practices. We’re passionate and dedicated to ensuring our clients’ goals are met or exceeded. We’re pleased to present our team below.
Maria, who received her CPA license in 1998, began her career at KPMG, LLP in Boston, working primarily with clients in the Healthcare/Life Science sector. Maria then worked in corporate development for American Dental Partners, Inc where she was involved in nearly 100 transactions, ranging in size from $50,000 to $90 million. During the last half of her tenure, she was director of her department and responsible for overseeing all aspects of the acquisition process.
In 2012, Maria joined forces with Larry and Mark Rosen to form MORR Dental Transitions to assist individual dentists and dental groups with all aspects of transitions. Due to Maria’s background with American Dental Partners, Inc., she has inside knowledge of how DSOs operate. This enables Maria to understand the complexities of the group transaction marketplace fully.
Outside of work, Maria serves as a volunteer and member of the Board of Directors for Sibling Connections, Inc., an organization focused on reuniting siblings separated when placed in the foster care system.
Maria earned a Bachelor of Arts in Economics from Gettysburg College and a Master’s Degree in Accountancy from Bentley College and became a Certified Valuation Analyst in the spring of 2014.
Since 2009, John has been helping dentists get the most out of their practice transitions. As vice president at Bank of America’s Practice Solutions Division, John managed the New York and New England territories, helping hundreds of dentists transition into or out of practice ownership. His extensive experience in the financial industry gives him a unique perspective when it comes to finding and vetting prospective buyers, which helps to make deals happen smoothly.
John has an unparalleled knack for listening to — and connecting with — his clients. He learned that skill early on in his career when he worked for Brooks Brothers, the iconic menswear store. Understanding the importance of listening enabled John to fast-track his way through a myriad of personal and investment banking channels. A consummate professional, John always keeps the best interest of his clients at the forefront of any transaction and values client satisfaction as his top priority.
John is originally from St. Louis, Missouri, and made his way to Boston through Columbus, Ohio, and New York City. When not spending time with his lovely wife, Corey, and French Bulldog, Franky, he’s skiing, playing golf, traveling, or attending any ticketed event.
Before Maddy’s time at MORR, she was an analyst within UMass Memorial’s Medical Group budgeting department. Maddy joined the MORR team in March of 2018 as a Transitions Analyst. Maddy assists in the transition of various dental practices, often ranging in size and complexity. She is originally from the Worcester, Massachusetts area and has since moved to Boston. Maddy holds a Bachelor’s degree in Health Management & Policy from the University of New Hampshire and a Master’s degree in Business Administration from Assumption College. When not working, she enjoys spending time outside with friends and family on Cape Cod.
Suzanne began her career in the dental industry in 2013 with Bank of America Practice Solutions. Starting in Columbus, Ohio and then transferring to Boston, she primarily spent several years covering the New York and New England markets until presented with the opportunity to relocate to Atlanta in 2017. She has since been managing the Southeast market as Vice President of their Dental Finance division until joining the team at MORR. Suzanne has a deep understanding of the financial aspects of owning a dental practice and takes a hands-on, personalized approach to customer service and representing her clients. Suzanne and her husband Ryan enjoys traveling, cooking, and spending time outdoors with their dog Bowen, and are excited about their newly expanding family.
MORR Dental Transitions has a broad range of financial partnerships, all with one goal: To better serve our clients. The financial institutions have an expertise in the dental industry, ensuring your dental transition is as seamless as possible.
Yes. Today, many Buyers own several locations and therefore need the doctor who is selling to continue to treat patients. This can be a great way to ease in to retirement — a gradual scale down over time versus having to walk away the day of the closing.
There is no simple answer to this question. Many in the industry like to cite the fact that dental practices sell for between 60 and 75% of collections. This is a broad range and also doesn’t account for the unique valuation attributes of a specialty practice. There are many aspects of a particular practice that factor into its value. That’s why it pays to engage the services of a valuation expert. They can help you understand the true market value of your particular practice.
Be sure to have your practice analyzed and valued — well in advance of a potential sale. By performing an analysis 5 to 10 years in advance of your retirement, you’ll have the opportunity to make changes, which will help maximize your value. Too often, I am contacted by a seller who wants to sell immediately but has let their practice deteriorate or hasn’t kept up with capital investment. When this is the case, it makes it a lot tougher for the seller to get the maximum value for their sale.
I’ve worked with sellers for over 10 years and there is no right or wrong answer here. Many sellers don’t want to inform the staff until they have assurance that the transaction will close. In fact, they often wait until the funds have actually hit their bank account. This strategy protects the seller from loss of patients and staff, but it also creates an uncomfortable work environment for staffers when they show up for work one day and find out they have a new boss. If you have long tenured staff members, this can also cause them to feel left out—which can lead to resentment. On the flip side, telling the staff well in advance of the closing can also create angst, especially if any issues arise during the closing process. The dental community is small and telling the staff early in the process can lead to staff attrition and loss of patients. Ultimately, this puts the closing of the transaction at risk. For these reasons, I advise my clients to:
There are many Buyers who will offer you this opportunity. In fact, most multi-office owners want exactly that — to have you come in and continue to see patients. They will have a management team in place to support your team members and ensure that the practice runs efficiently. Most dentists whom I’ve partnered with find themselves working longer days than they want. That’s why they are pleasantly surprised when, after the sale of their practice, they can focus purely on providing care to patients, which is what they went to school for in the first place and what gives them the most fulfillment.
There are many factors that impact the length of time to sell a practice. Geography generally has the biggest impact. Across the country, we’ve seen younger doctors who have a preference for living and working in major metropolitan areas. Practices in major metropolitan areas will sell much more quickly than those in rural areas. Another factor that plays into speed of sale is the size of the practice. Many first-time owners need a practice of a certain size; one with an income stream that will cover living expenses, as well as educational debt and the new practice debt. In general, practices with less than $500K in collections take longer to find the right buyer. Lastly, the type of buyer you are looking for comes into play. If you are open to considering a variety of buyers in the marketplace today, you’ll have a better chance of a quick process. However, if you have very specific criteria, it will likely take longer to find the right buyer.
It’s best to make your move before your practice starts to deteriorate. If you start to take more time off from the practice and/or reduce or limit advertising activities, you will lose value. When you consider today’s seller’s market — and the potential to keep working if you wish — it’s best to consider setting up your transition plan 5 to 10 years from your projected retirement.
Negotiating the sale of your practice can be a very emotional journey, so it’s smart to engage professional sale-side representation to keep a level head. The right advisor will walk you through the process and ensure that your value is maximized and that the closing goes smoothly. Most transactions are not complex, have standard legal terms and provisions, and can be documented and consummated fairly easily with the assistance of legal counsel. However, there are times when deals have to be structured creatively. In either case, our team has the experience our clients need to consummate transactions under most any circumstance.
Yes. Each individual’s tax situation will differ. The common characteristic of every transaction is the allocation of the purchase price between tangible assets (taxed at ordinary income rates) and intangible assets (taxed at capital gains rates). The challenge is that Seller and Buyer are on opposite sides of this allocation in regard to what is in their best interests from a tax perspective. That being said, in most transactions, 80-85% of the purchase price is allocated to goodwill.
There’s no simple answer to this question. Many in the industry like to cite the fact that dental practices sell for between 60 to 75% of collections. This is a broad range and also doesn’t account for the unique valuation attributes of a specialty practice. Each practice is unique and there are many factors that play into its value. That’s why it makes sense to engage the services of a valuation expert. They can help you better understand the true market value of your particular practice, as well as assist with the review of financial information presented. A valuation expert also has the insight needed to understand the relationship between the person who issued the opinion on value and how they will be paid for those services.
Due diligence is the process by which a Buyer confirms that the information that was presented to them (leading up to the presentation of their offer) is true and accurate. At a minimum, a Buyer should perform financial, legal and clinical due diligence. This step is critical to protecting the significant investment you are about to make.
When I talk to first time owners about a potential acquisition, typically I ask two questions: 1.) Is this the practice they always envisioned themselves in, and 2.) Is it in a community that they want to be part of for the next 25 to 30 years? Beyond that, it’s important to understand that you and the selling doctor have a similar clinical philosophy. In addition, your ability to perform the same type of procedures as the Seller is critical to maintaining the revenue stream.
When I was on the buy side of dental practice transactions, I never considered the active patient count. There is no industry standard for what is considered an active patient and most software systems have various methods of reporting this figure, making available data unreliable. I prefer to look at the new patient count per month to ensure that the practice is consistently attracting new patients. After that, I focus on the stability of the historical revenue stream. In addition, I typically look at the adult prophy code to gauge the size of the patient base.
The reality is there are no guarantees, and you should expect some attrition, but relax — it’s entirely natural. There are many reasons why a patient might leave a practice, including:
With all that said, if you treat the staff and patients with respect and kindness and instill confidence through your clinical skills, it’s very likely that you’ll retain most of the patients.