The Best Time to Sell a Dental Practice
Most dental practice brokers agree that the best time to list your practice for sale is at the beginning of the year. The New Year brings a lot of resolutions and with it commitments to make big life altering decisions. Dentists who have been associates or part of a group practice often times decide that it is time for them to purchase their own dental practice early in the year.
High buyer demand is crucial to a seller. The dental practice transition industry is in full stride towards the end of January & February, slows down during the summer months, picks up again around Labor Day until November and then goes into hibernation for the holidays. Therefore, it is best to get the process started as soon as possible during the year as it takes several weeks to digest all the dental practice financial statements and establish the dental practice on the market.
One mistake that a lot of dentists make is listing their dental practice when students are graduating from dental school. While a lot of new dental graduates might be looking for work, most of them cannot qualify for a dental practice loan until they have practiced for at least a year or two.
Those of us who have practiced dentistry for many years realize that as confident as we might have been upon graduation, our real education started when we began treating patients for an extended period of time in the same location. Most dental practice financial lenders also know that real life experience is the best teacher, which is why they usually want to see a new graduate work for a few years before taking the risk to give them a practice loan.
Traditionally, January kicks off the New Year with eager buyers who have been contemplating their decision during the holidays. And we are also anticipating stronger than normal activity this Spring as we are seeing moderate gains and growth within the economy. If you are contemplating the purchase or sale of a dental practice, feel free to contact us for guidance or help on a smooth dental practice transition.
Excerpted from an article written by Timothy G. Giroux, DDS http://www.westernpracticesales.com
When is the best time to sell a practice?