One of the most frequent questions our team receives from those selling a dental practice is “How long will this take?” It’s a fairly straightforward question— and an important one at that— but, unfortunately, the answer is not as simple. There are a number of circumstances that contribute to the length of time it takes to sell a dental practice. If you are looking for a faster transition, consider what factors into the process.
- Location, Location, Location - The geography of a dental practice is one of the most important factors for a quick sale. During the last several years, we have seen a trend in younger dentists seeking urban practice locations over rural options. Not that there is anything wrong with small town dentistry, but the fact of the matter is that metropolitan dental practices are likely to sell at a much faster rate.
- Size Comparison - Unfortunately, there is no magic size when it comes to selling. However, owners are looking for a practice with enough cash flow to meet their needs. First-time buyers, in particular, need a practice with a healthy revenue stream that can cover living expenses, education debt, and overhead costs of the new practice. Although there is not a value that is too low for interested buyers, most practices under $500k take much longer to sell. To avoid this, focus on investing internally to build value before deciding to walk away.
- Selling to the “Right” Buyer - While the market is full of potential buyers, you may prefer a certain buyer to others. For example, some dentists may wish to sell to a solo practitioner rather than a large group practice. Regardless of your transition preferences, the more open you are to a wide variety of buyers, the more likely you are to speed up the process.
Whether you’re just considering selling your practice or right in the thick of it, our team can help you navigate some of the trickiest hurdles that can lengthen your transition. Let us know how we can help you find a buyer and speed up your time to sell.