Purchasing a periodontal practice is an exciting step for dental professionals looking to expand their expertise and careers. However, this process presents unique challenges that require careful planning and expert guidance. Every step matters, from understanding the nuances of a periodontal practice to negotiating the final deal.
At Dental & Medical Counsel, we help dentists work through this complex process to ensure a successful and stress-free transition into ownership. Learn more about how to purchase a periodontal practice in 2025. Then, contact us to make sure you set yourself up for success in this new endeavor.
Periodontal practices specialize in preventing, diagnosing, and treating gum disease and related conditions. Unlike general dental practices, they often cater to patients referred by general dentists, creating a unique referral-based business model. These practices require specialized equipment and staff training for surgical and non-surgical periodontal treatments. In addition, they serve patients with specific needs, such as dental implants and advanced periodontal care.
The operational structure of periodontal practice ownership also differs from that of traditional dental offices. The patient base may include more repeat visits for ongoing periodontal maintenance. Financial models often reflect these differences, as procedures are typically more specialized and more expensive. Knowing these distinctions is critical for assessing whether a periodontal practice aligns with your professional goals.
Purchasing a periodontal practice involves unique hurdles that potential buyers should anticipate. Some of the most common challenges and pitfalls to consider include:
Owning a periodontal practice requires significant time, energy, and financial resources. Start your periodontal practice purchase process by evaluating your personal and professional readiness for this step. Consider whether you have the clinical expertise, leadership skills, and financial stability to manage the practice effectively. Consulting with a dental lawyer at this stage can help you understand the legal responsibilities of ownership.
A dental lawyer can also assess your readiness from a regulatory and contractual perspective. They’ll help you evaluate risks, review licensing requirements, and identify potential liabilities. This foundational step ensures that you enter the process fully informed and prepared.
Defining clear goals means that you select a practice aligned with your professional vision. Consider the size, location, and patient demographics you want to target. Think about your long-term goals for growth, specialization, and financial success. Your dental practice lawyer can also help you with this.
A few sample goals you might want to consider as you select a periodontal practice to purchase include:
Aligning your search with these goals helps you identify the best opportunities and set your practice up for success.
The search for a periodontal practice should begin with thorough market research. Look for practices that match your goals in size, location, and patient demographics. Use online platforms, dental brokers, and professional networks to identify opportunities. Dig deeper into their performance metrics once you’ve compiled a list of potential practices. Analyze revenue trends, patient retention rates, and operational efficiency with the help of your dental practice attorney. This ensures you’re focusing on practices with strong potential for growth.
Evaluating the financial health of a periodontal practice is a critical step. Review revenue streams, including income from procedures, maintenance programs, and patient referrals. Look for consistent growth or signs of untapped potential.
Pay close attention to overhead costs, such as equipment maintenance, staff salaries, and supply expenses. Compare these costs against industry benchmarks to assess profitability. This initial financial evaluation will help you narrow your options before conducting due diligence. Lean on a dental practice law firm to help you with your due diligence process.
Due diligence involves examining every aspect of the practice’s operations. Review patient records, financial statements, and compliance history to uncover potential risks. Look for patterns in patient referrals and retention rates.
A few issues you might find as you do your due diligence include:
Identifying and addressing these issues during due diligence ensures a more informed purchase decision.
Securing financing is often necessary when purchasing a periodontal practice. Traditional bank loans are a common option, offering competitive interest rates for qualified buyers. Alternatively, consider Small Business Administration (SBA) loans, which provide favorable terms and lower down payments. Private financing is another possibility, especially for buyers with strong professional networks. Exploring multiple financing options ensures you find the one that best suits your financial situation.
Negotiating your purchase terms is a critical step that requires a dental attorney’s expertise. They’ll help you understand complex contracts and protect your interests. From the purchase price to non-compete agreements, every detail matters. Once the terms are finalized, your attorney will guide you through the closing process. This includes transferring ownership, licenses, and patient records.
A smooth transition is critical for maintaining patient trust and staff confidence during dental practice ownership changes. Collaborating with the previous owner to introduce yourself to key referral sources, including general dentists and specialists. These relationships are vital to maintaining a steady flow of patient referrals. Additionally, meet with long-standing patients to reassure them about the continuity of care and address any concerns.
Internally, schedule team meetings to discuss the transition, outline new processes, and set clear expectations. Encourage open communication to address staff concerns and foster collaboration. Investing in training ensures that team members are prepared to adapt to your management style and practice goals. A well-planned and executed handover builds confidence among patients and staff, setting the stage for a successful dental practice transition.
Purchasing a periodontal practice is a significant step that requires careful transition planning and expert support. At Dental & Medical Counsel, we specialize in helping dental professionals address every stage of practice ownership. Our experienced team ensures a seamless and successful transition from due diligence to closing. Contact us today to start your journey toward owning a periodontal practice in 2025.
Frequently Asked Questions
Q: What makes a periodontal practice different from a general dental practice?
A: Periodontal practices focus on treating gum disease and related conditions, often through referrals from general dentists. They require specialized equipment, staff training, and expertise for treatments like dental implants and advanced periodontal care.
Q: What are some common challenges when purchasing a periodontal practice?
A: Buyers often face challenges such as high costs for specialized equipment, reliance on referrals, complex financial evaluations, staff training requirements, and strict regulatory compliance.
Q: Why is it important to hire a dental lawyer when purchasing a periodontal practice?
A: A dental lawyer ensures compliance, reviews contracts, negotiates terms, evaluates risks, and protects your interests throughout the purchase process. They also assist with licensing and ownership transfers.
Q: How do I determine if I’m ready to own a periodontal practice?
A: Assess your clinical expertise, leadership skills, and financial stability. Consulting with a dental lawyer can help evaluate legal and regulatory readiness to ensure you’re prepared.
Q: What should I look for when researching periodontal practices for sale?
A: Focus on location, size, patient demographics, referral networks, revenue trends, and compliance history. A dental attorney can help analyze these factors to identify the best opportunities.
Q: What role does due diligence play in purchasing a periodontal practice?
A: Due diligence uncovers potential risks by reviewing financial statements, patient records, equipment conditions, staff turnover, and compliance history. It ensures informed decision-making before finalizing the purchase.
Q: How can I evaluate the financial health of a periodontal practice?
A: Analyze revenue streams, overhead costs, patient retention rates, and growth potential. Compare expenses against industry benchmarks to assess profitability.
Q: What financing options are available for purchasing a periodontal practice?
A: Buyers can explore traditional bank loans, SBA loans with favorable terms, or private funding through professional networks. Consulting with a financial advisor can help identify the best option.
Q: How do I maintain patient referrals after taking over a periodontal practice?
A: Build strong relationships with referring dentists, introduce yourself to referral sources, and maintain excellent patient care to preserve the practice’s reputation and referral network.
Q: What steps should I take to ensure a smooth transition after purchasing a practice?
A: Focus on patient and staff communication, meet referral sources, provide staff training, and outline clear expectations to create a seamless transition and maintain continuity of care.
Q: What types of legal documents are involved in purchasing a periodontal practice?
A: Common documents include purchase agreements, non-compete clauses, lease agreements, and licensing transfers. A dental lawyer can review and negotiate these documents to protect your interests.
Q: How do I know if the equipment in the practice is up to date?
A: During due diligence, inspect equipment conditions and maintenance records. Consider costs for repairs or upgrades and factor them into your financial evaluation.
Q: What should I do if I discover compliance issues during due diligence?
A: Work with your dental attorney to address and resolve any violations before closing the deal. This may involve negotiating terms or requiring corrective actions from the seller.
Q: How can I grow a periodontal practice after purchasing it?
A: Set clear goals for patient referrals, add new services like implants, invest in patient education programs, and develop marketing strategies to expand your patient base and increase revenue.
At Dental & Medical Counsel, we've been instrumental in realizing the practice goals of countless dentists. Whether you're looking to purchase, launch, or sell a dental practice, our expertise is your guide. Beyond the initial stages, we're committed to ensuring your dental practice remains legally compliant.
We provide comprehensive support, including employment law protections, dental contract reviews, and assistance with dental employment agreements. Additionally, we specialize in incorporating dental practices and securing trademarks. And for long-term planning, our services extend to helping dentists with succession and estate planning. Trust us to be your partner in every step of your dental practice journey.
About Ali Oromchian, Esq.
Your Dental Lawyer
Ali Oromchian, JD, LL.M., is a leading legal authority in dental law and the founding attorney of Dental & Medical Counsel, PC, with over two decades of experience. His deep connection to dentistry comes from his wife's nearly two-decade-long career as a pediatric dentist.
This personal insight fuels his dedication to empowering dentists to navigate their legal challenges and achieve their practice goals. In doing so, Ali has helped thousands of doctors open their practices while maintaining legal compliance.
Ali is frequently quoted and contributes articles to dental publications, including the California Dental Society, Progressive Dentist, Progressive Orthodontists, Dentistry Today, Dentaltown, and The New Dentist magazines, further showcasing his commitment to the dental community.