First acquisition or fifth, NHS or squat — the practices that look best in the sales pack are rarely the best deals. We check before you commit.
Most buyers view a practice, picture themselves in it, and only then look hard at the accounts. By that point the emotional decision is made and the numbers become something to justify rather than test.
We flip the order. Before you offer, we rebuild the practice's earnings from the raw information: what the principal really takes clinically, what an incoming associate would actually cost, whether the UDA contract is being delivered or quietly clawed back, and how much of the goodwill walks out of the door with the seller.
Building from scratch trades goodwill cost for ramp-up risk. We prepare the business plan and cash-flow model lenders expect, help you size the borrowing honestly, and track the build-up monthly — so an empty diary in month three is a data point, not a panic.
Private and mixed practices are typically valued on a multiple of adjusted EBITDA; predominantly NHS practices are often discussed as a percentage of fee income. The critical work is in the adjustments — a realistic principal's clinical salary, sustainable associate costs and honest add-backs. We rebuild the numbers before you rely on the broker's version.
Financial due diligence should test UDA delivery and clawback history, associate and staff cost sustainability, plan income attrition, fee income by clinician (how much walks out with the seller?), equipment condition and lease terms. We run this as a structured review with a plain-English report.
Dentistry is one of the most fundable professions in the UK — mainstream and specialist lenders actively compete for dental acquisitions, often at high loan-to-value. A clean, well-presented financial pack materially improves the terms you're offered; preparing that pack is part of our service.
A squat avoids paying for goodwill but buys you a build cost, a fit-out, and months of building a list. We model both routes — acquisition versus squat — including cash flow through the ramp-up, so you choose with your eyes open.
Send us the sales pack and we'll give you a fast, honest first appraisal — what the numbers really say, and the questions to ask before anyone instructs a lawyer.
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