If you're considering selling your dental practice, there are a few important things to consider. One option you may be exploring is selling to a Dental Service Organization (DSO). While selling to a DSO may seem like an attractive option, it's important to weigh the pros and cons before making a final decision.
3 Pros of Selling to a DSO:
Financial Stability: A DSO usually has access to more resources and capital than an individual buyer, which means they may be able to offer you a higher sale price. Additionally, because DSOs are often backed by investors, they are generally more financially stable than individual buyers.
Management Support: When you sell to a DSO, if you choose to stay at the practice after the sale, you're essentially handing over the management of your practice to a team of professionals. This can relieve you of a significant amount of administrative and managerial responsibility, allowing you to focus on providing quality care to your patients.
Reduced Risk: Selling to a DSO may be a lower risk option, as they have the ability to provide you with a steady income stream after the sale. Additionally, a DSO may be better equipped to navigate the complexities of running a dental practice, which can help to mitigate some of the risks associated with ownership.
3 Cons of Selling to a DSO:
Loss of Control: When you sell to a DSO, if you want to stay at the practice, you'll be giving up a significant amount of control over your practice. This can be difficult for some dentists who are used to being in charge of every aspect of their business.
Patient Perception: Some patients may be hesitant to continue receiving care at your practice if they perceive it as being owned by a large corporation. This can lead to a loss of patients, which could impact the overall value of your practice.
Cultural Differences: Depending on the DSO you choose to work with, there may be some cultural differences you'll need to navigate. This can be challenging, especially if you're used to running your practice in a particular way.
Ultimately, the decision of whether to sell to a DSO is a personal one that should be based on your own priorities and goals. If you’re considering selling your practice, we’d love to join you on your journey and assist with the legal aspects of the sale.