Sell My Dental Practice With A Dental CPA
Sell My Dental Practice
Sell My Dental Practice | If you’re looking to sell the dental practice, you need to understand the prerequisites of the process. Selling a business isn’t a quick decision. It must be taken with careful planning, advice, coordination with experts, and well-timed execution.
A dental CPA firm is an ideal place to seek help when selling a dental practice. Dental CPAs know the industry practice, standards, and trends to help you make an informed decision on business transition.
Understanding the Valuation Process
Before you begin the transition process, you must understand the business valuation process. Selling a business takes time, a few months, and probably over a year in some cases.
Sellers can choose different business valuation methods. For instance, a service business will choose a cash-based valuation method over an asset-based methodology. However, evaluators often implement more than one valuation method to get a clear picture.
Sell My Dental Practice | As a dental CPA firm, we can help you choose the right valuation method. We can work with you on improving the valuation with careful planning and execution. Once you commit to the process, selling your dental practice will be easier.
Tips to Improve Dental Practice Valuation
Business valuation and selling a business take time. The most important factor in selling a business is to improve your business valuation.
Here are a few tips for you to improve the dental practice valuation.
Leverage the Power of Technology
Ramp-up your efforts on matching the latest technology trends in the dental industry. For instance, if your practice doesn’t have a digital X-ray sensor, a potential buyer would notice it immediately. Investing in technology at this stage can increase the total value of your practice manifolds.
Improve Physical Appearance of Dental Practice
Just as visiting patients and regulators notice the physical appearance of your practice, investors would do too. Selling an aging dental practice often sees the issue of lacerated physical assets.
Improve Cash Flows
Cash flows are important for any successful business. Dental practices often pile up accounts receivable over time. It will be a wise idea to outsource the A/R collection to a specialist collection agency at discount. Discounting the A/R will immediately improve the cash flows of your business.
Increase the Patient Base
All dental practices lose patients annually. If you can keep the retention ratio at a satisfactory level before selling the practice, you’ll do good. A step ahead, you’ll increase valuation by increasing the patient base.
Finally, take time to analyze the strategies for improving profits. You cannot alter historic results though. That’s one reason why it takes a long time to sell a running dental practice. Remember, increasing profits do not always imply cost-cutting or employee layoff.
How to Sell My Dental Practice with a Dental CPA?
We’ll take pride in offering our services to assist you with a dental practice transaction. Whether your dental practice is an aging business or a newer one. We’ll ensure a smooth transition takes place by understanding your needs whether you’re moving towards a partnership, divestment, spin-off, owner retirement, etc.
Let us take you through some key steps in selling your dental practice.
Plan an Exit Strategy
Plan ahead of time. Define a clear exit strategy for selling your dental practice. It will largely depend on the motive behind selling your dental practice. For instance, if you’re retiring or moving to another location will have contrasting implications.
Increase Business Valuation
The increasing business valuation takes time and consistent efforts. We’ve listed a few key factors above to help you improve the valuation of your dental practice.
Consult a Dental CPA
You can outsource the brokerage to any business broker. But we suggest working with a dental CPA that best understands your industry. A dental CPA can help you with industry trends, benchmarking, and practices to make an informed decision.
Utilize the Best Marketing Channels
Sell My Dental Practice | Dental CPAs are in a position to market your business to the right buyers. They can leverage the power of referrals, networking, and professional links to market your dental practice on sale. You must insist on utilizing both conventional and digital marketing channels to maximize the marketing reach.
Evaluate Buyer Requests
Evaluate the buyer bids carefully. Again, working with a dental CPA can benefit you here to analyze the right buyer bids.
Negotiate and Finalize the Price
Once you’ve shortlisted the potential buyers, you can now proceed with the negotiations. Seek professional help from a dental CPA here. Remember, you’ll need to keep a margin of safety here.
Proceed with the Transition and Close the Deal
Once you’ve finalized the potential buyer and agreed on the price, proceed with the transition. Enter into a formal deal agreement with the buyer to legally protect your benefits.
Before searching for “Sell My Dental Practice”, contact Ash Dental CPA to learn more. Call (508) 458-6789.