Considering Selling Your Dental Practice to a DSO? Read This First.
Selling your practice is a major decision—financially, professionally, and personally. Whether you’re ready to retire, want to focus purely on patient care, or are looking for the next phase in your career, selling to a Dental Service Organization (DSO) can offer attractive opportunities.
Frequently Asked
Dental Practice Questions
Below are answers to the most frequently asked questions we hear from dentists like you.
How is my dental practice valued?
How is my dental practice valued?
DSOs typically value practices based on a percentage of collections, specifically over the trailing 12 months (TTM), adjusted for your practice’s performance, location, and specialty.
The stronger your profitability, the higher the percentage. Some DSOs may also consider patient base stability and future growth opportunities.
How much will I get paid—and when?
How much will I get paid—and when?
Most deals include a combination of:
- Upfront cash
- Earnout payments (based on future performance)
- Equity in the DSO or parent organization
We’ll help you understand exactly how your deal is structured—and how to maximize your outcome.
What are the tax implications of selling?
What are the tax implications of selling?
The structure of the deal (asset sale vs. stock sale) affects how much you’ll pay in taxes.
Most dentists benefit from capital gains tax rates, which are lower than ordinary income. We always recommend involving your tax advisor early in the process.
How long do I need to stay after selling?
How long do I need to stay after selling?
We like most of our doctors to stay on for at least 2 years post-sale to ensure a smooth transition for your team and patients. However, we have some dentists who stay on much longer and some who decide to retire and exit sooner.
We work with you to understand what the best partnership is with the best outcome for you and your practice. You’ll continue practicing dentistry, often with reduced administrative responsibilities.
What happens to my staff?
What happens to my staff?
Your team is one of your most valuable assets—and we recognize that too. In almost all cases, your staff is retained, and their roles continue with minimal disruption.
Will I still have clinical autonomy?
Will I still have clinical autonomy?
Yes. We will support you on the business side but don’t interfere in patient care decisions. You stay in control of treatment planning and your clinical philosophy.
Will I still run the day-to-day operations?
Will I still run the day-to-day operations?
While we will typically take over administrative functions like HR, billing, and compliance, you often retain input and leadership in clinical and cultural aspects of your office.
Our goal is to have you focus on the things that you want to the most – your patients – and leave the time consuming operational aspects to our support.
Will my practice keep its name?
Will my practice keep its name?
That depends. We will discuss with you to better understand if it makes sense to retain your existing brand or transition to Bayview or Riverdale brands.
We don’t come in to disrupt an office and change everything overnight. Any changes will be discussed, well communicated and executed on an agreed to schedule.
Can I earn equity in the DSO?
Can I earn equity in the DSO?
We do offer equity and partnership options, letting you participate in the growth of the larger group. Since we do have institutional investors, you may also benefit from a second liquidity event down the road
Can I speak with other dentists who’ve sold?
Can I speak with other dentists who’ve sold?
Absolutely. We encourage it. Talking to peers who’ve sold their practices gives you insight into what life is really like post-sale—and how to choose the right DSO partner. We would be happy to put you in touch with some of our dentists.
DSO Partnership FAQs
What is a DSO?
A DSO, or Dental Support Organization, is a company that provides non-clinical business and administrative support to dental practices. This allows dentists to focus on patient care while the DSO manages operations like HR, billing, marketing, and compliance.
How does selling my dental practice work?
Selling to a DSO typically involves an evaluation of your practice, negotiation of terms, and signing an acquisition agreement. After the sale, the DSO takes over business operations while you continue practicing clinically under the agreed terms.
What factors can increase the valuation of my dental practice before selling to a DSO?
Strong financial performance, efficient operations, updated technology, and a loyal patient base can significantly increase your valuation. DSOs also look favorably on steady new-patient flow and well-documented production numbers.
How long am I typically required to stay on and work after selling my dental practice to a DSO?
Most DSOs require sellers to stay on for 2–5 years to ensure continuity of care and practice stability. The exact length depends on the agreement, your goals, and the DSO’s structure.
Can I reduce my administrative responsibilities but keep treating patients after selling to a DSO?
Yes, this is one of the main benefits of selling to a DSO. You can hand off administrative duties while continuing to focus solely on clinical dentistry.
What happens to my existing staff and their roles if I sell my dental practice to a DSO?
Most DSOs retain existing staff to maintain continuity and preserve relationships with patients. Their roles generally remain the same, though they may receive additional training or support through the DSO.
Will I still have clinical autonomy and control over patient care decisions under a DSO?
Yes, clinical autonomy is typically preserved, as DSOs are not allowed to control clinical decision-making. You’ll continue to make all treatment decisions based on patient needs and your professional judgment.
How much control will I keep over the culture and day-to-day feel of my dental office after a DSO acquisition?
You will maintain influence over the practice culture, but some operational processes may shift to align with the DSO’s systems. Many DSOs aim to preserve the existing feel of the office to ensure patient comfort and continuity.
What kind of support do DSOs provide with HR, billing, compliance, and other business operations?
DSOs typically offer comprehensive support that includes HR management, billing and collections, marketing, IT, purchasing, and regulatory compliance. This infrastructure helps streamline operations and improve efficiency.
Is selling to a DSO a good option if I want to retire soon, versus continuing to practice for many years?
Selling to a DSO can work well for both scenarios. It provides an exit strategy for those nearing retirement and a way to reduce administrative burdens for dentists who want to keep practicing long-term.
Considering Selling Your Dental Practice and Ready to Learn More?
If you’re exploring the sale of your dental practice, we’re here to guide you through every step—from valuation to transition.
