Buying a dental practice can be rewarding as long as you have an experienced dental practice attorney at the outset to guide you through the process. At Mahan Dental Law, we work with new and experienced dentists to secure growth opportunities in the dental industry.
From choosing a location and identifying a target practice to determining its value and closing the deal, we will guide you through every aspect of buying a dental practice. Lead attorney Anthony Mahan has extensive experience representing medical professionals and helping them achieve their objectives.
We regularly collaborate with a nationwide network of dental attorneys and advisers with extensive knowledge of the regional markets around the country who are committed to helping our clients achieve their objectives. When you partner with us, you will be equipped to buy a dental practice with confidence.
Above all, we will leverage our knowledge and skills to help you engage in a seamless and successful dental practice acquisition. Contact our office today to set up an appointment.
The Informed Choice in Buying A Dental Practice
Whether you are buying your first practice or expanding an existing one, we are committed to your success. When you become our client, we will work closely with you to:
- Identify an established, profitable practice
- Negotiate deal terms
- Structure the transaction
- Conduct due diligence
- Determine the value of the practice
In addition, we can prepare the necessary legal documents, including the purchase and sales agreement and confidentiality, noncompete, and nonsolicitation agreements. Let our legal team guide you through all phases of buying a dental practice and work to achieve a timely closing.
What You Need to Know About Buying a Dental Practice
A dental practice acquisition requires the parties to enter into a nonbinding letter of intent which gives you the right to conduct due diligence for a specified time period while the seller agrees not to consider other offers. Our dental business lawyers will:
- Conduct a comprehensive due diligence analysis
- Review the target practice’s patient and financial records
- Assess potential legal liabilities
- Arrive at a fair purchase price
The Deal Structure
While from a taxation perspective, it is in the seller’s best interest to structure the deal as a stock sale, doing so can expose you to potential legal liabilities. For this reason, we work to structure dental practice transitions as asset sales in which you acquire the equipment, systems, and other assets while avoiding liabilities and debts previously incurred by the seller.
The Purchase Price
Ultimately, the purchase price is based on the value of the target practice’s tangible assets (e.g. equipment, inventory, furniture, premises, land) and intangible assets (e.g. goodwill, brand identity, intellectual property). Goodwill includes the practice’s client base, employees, and reputation. Another key consideration in determining the purchase price is whether you are only buying the practice or the real estate as well. At Mahan Dental Law, our team of legal, financial, and accounting professionals will work to determine a workable price point that suits your budget.
The Payment Terms
In addition to pricing, our dental practice attorneys will clarify the payment terms, which may involve a combination of:
- Cash payment
- Promissory note held by the seller
- Earnouts (deferred payments based on the dental practice’s post-closing revenues)
Trust Mahan Law to help negotiate favorable payment terms and make the best deal.
Financing
Buying a dental practice may be the largest investment of your professional career, which makes it crucial to have access to lenders and funders with expertise in the dental industry. While the purchase price is a key factor in determining the loan terms, lenders also consider the cash flow of the practice and collateral (a percentage of tangible assets).
Hiring Staff
Buying a dental practice typically involves hiring and training key employees. We can help to establish policies and procedures, design employee handbooks, and prepare employment agreements to clarify the terms of the employment relationship and mitigate the potential for employment-related disputes.
Dental Real Estate Transactions Overview
When it comes to dental practice real estate transactions, it’s crucial to make informed decisions. Here’s what you need to know:
- Location Matters: The right location can make or break your dental practice. Consider demographics, visibility, and accessibility when choosing a property.
- Lease Negotiations: Skillful negotiation can lead to favorable lease terms, helping you save on overhead costs.
- Market Research: Conduct thorough market research to understand the demand for dental services in your chosen area.
- Legal Expertise: Consult with legal experts who specialize in real estate to ensure a smooth and secure transaction.
- Property Inspection: Don’t overlook property inspections; they can reveal hidden issues that may impact your practice.
- Financial Planning: Plan your budget carefully, factoring in property costs, renovations, and equipment.
At Mahan Law, we specialize in dental practice real estate, offering expert guidance through every step of the transaction. Whether you’re a new dentist or an established practitioner, we can help you find the perfect space to build a thriving practice. Make your move into the dental industry with confidence.
Why Choose Mahan Law For Buying A Dental Practice?
Buying a dental practice is a gateway to practice ownership, but you need to plan ahead and be prepared. Our dental practice lawyers have an impeccable reputation for adhering to the highest ethical standards and working strategically to help our clients achieve their objectives. We offer cost-effective service on a flat-fee basis and also provide ongoing counsel on:
- Regulatory/compliance
- Legal and human resource issues
- Civil litigation/administrative proceedings
Above all, we will always work in your best interests, provide you with a superior level of personal service, and set you on a path to success.
Contact Our Experienced Dental Attorneys
If you are looking to buy a dental practice, turn to Mahan Law. We will guide you through the process, offer you trustworthy advice and guidance, and enable you to fulfill your mission, providing quality care and dependable service to your patients. Contact us today to get started.
Mahan Dental Law helps their clients with buying a dental practice throughout the United States including the states of Ohio, Kentucky, Pennsylvania, Florida, California, and Michigan.
