3 Top Tips for Buying and Selling a Dental Practice
You have worked hard to build a thriving dental practice and are on the brink of finally selling it or you are about to take the plunge to buy your own dental practice; these top tips from leading healthcare solicitor and member of the Association of Specialist Providers to Dentists (ASPD), Leah Groves will keep you on the right track:
- Instruct a dental specialist Solicitor:
It is vital that both the seller and buyer instruct experienced dental specialist solicitors well versed in the nuances of dental sale and purchases. Do this early, ideally before the transaction begins, to enable any issues to be resolved early and to avoid delays and costly mistakes. Having an expert legal advisor on your side to guide you through the sale process ensures the deal runs smoothly and that your interests are protected.
- Obtain the right valuation and marketing:
Both sellers and buyers should register with dental practice selling agents who will vet the practice and the buyer so no time is wasted on the wrong match. Let the third party agent take the strain of the negotiation process!
Sellers should also take the time to get a professional valuation of the business by a specialist dental agent for an accurate sale price and for tax purposes, even if the sale is to an associate at the Practice.
- Get the due diligence right:
The buyer should do their own research into the practice and its location on deciding to buy a practice. Although during the sale process the seller provides to the buyer information about the practice for the buyer’s legal team to check that there are no nasties lurking. Information requested includes property title deeds, EPC, Asbestos survey, buildings insurance, planning permissions, commercial contracts, equipment inspection certificates and maintenance agreements, up to date accounts, NHS pay and activity statements and employee contracts and associate agreements. The buyer’s bank will also undertake a due diligence exercise to ensure the practice is good security for their loan.
Leah Groves, an experienced healthcare Solicitor has an in-depth understanding of the niche professional and commercial requirements of dentists having acted for them for over 15 years. For healthcare business acquisitions and everything in between contact Leah on 01245 457092 or [email protected].