Ready to Acquire Your Dream Practice?
Buyer-Representation for Dentists
Our Comprehensive Approach to Buyer Representation
Ready to venture into private practice ownership, but don’t know where to start? No worries – we are here to help!
We have helped over 300 dentists navigate the practice transition process over the years! We assist dentists with reviewing due diligence materials during a practice acquisition. This is one of the most important financial transactions in your professional career! You should make sure you are aligned with the right professionals to help you make these tough decisions. You should be working with a dental specialized CPA, Attorney and Banker to navigate pitfalls.
The Typical Documents You Should Request During the Due Diligence Phase:
- Broker prospectus/offering memorandum (if available)
- LOI & Draft PSA (if available)
- Copies of prior three years of business tax returns and we will want to see the QuickBooks financial statements that were used for
these returns - QuickBooks Profit & Loss statement Year-to-date
- Patient Management System Production Reports
- Info regarding new technology in the office and condition of build-out
- Copy of the office lease
Phase 1
Special Project – Practice Acquisition Phase 1
When evaluating a purchase transaction, our primary objective is to assess the cash flow of the practice and the reasonableness of the purchase price and terms of the deal. We focus heavily on evaluating the cash flow and overhead to determine whether or not the practice can cover the debt service and leave enough left over to pay you a sufficient income to cover your household expenses. We will provide assistance with the financial evaluation and tax matters related to the acquisition of your target dental practice.
The scope of our phase 1 work will include:
- Complete a preliminary review of the practice valuation report/broker’s prospectus (if available)
- Review the past years’ tax returns and current year-to-date profit statement of the practice and assess the historical cash flow of the practice
- Correspond and/or meet with you to discuss the pros and cons of pursuing the purchase of the target practice
- Guide you through the acquisition process and actions required to complete the transaction
- Perform an in-depth financial evaluation of the practice and prepare a cash flow analysis and stress test cash flow
- Provide you with our findings and recommendations
- Assist with drafting your Letter of Intent (LOI) as-needed
We require a $3,000 retainer payment deposit upon the inception of our engagement, which will be billed upon you e-signing an engagement.
Phase 2
Special Project – Practice Acquisition Phase 2
The scope of our phase 2 work will include:
- Guide you through the acquisition process and actions required to complete the transaction
- Assist you with the purchase price allocation
- Correspond and meet with you and your attorney as needed
- Assisting with setting up your Gusto payroll system
- Recommend HR best practices
- Help with state tax agency registration questions
If you sign a 1-year contract for post-acquisition bookkeeping & tax accounting services, then we will forego the Phase 2 fee!
$3,000 payment upon completion of our engagement, which will be billed upon closing of your practice, unless signing up for post-acquisition accounting services.
*Please note this fixed-fee project only applies to standard on-market transactions. Off-market practices will be considered hourly special projects.
