Appraise your dental practice, at least, every five years
ELEVEN REASONS TO KNOW THE VALUE OF YOUR DENTAL PRACTICE
- Death or Disability
- Retirement Planning
- Estate Planning
- Selling your Practice
- Financial Planning
- Financial Assistance
- Forming a Partnership
- Merging Practices
- Buying a Practice
- Tax Disputes
- Marriage Dissolution
WHAT IS YOUR DENTAL PRACTICE WORTH?
Your dental practice is one of the most valuable assets that you own and you should be aware of its value in order to protect your family and/or yourself. In addition to insurance for which you pay to provide protection in the event of death or disability, the knowledge of the market value of your practice must also be considered. Above are other reasons for an appraisal.
WHAT IS LOST WHEN USING A “RULE OF THUMB” VALUE?
A fairly complex valuation process is sometimes reduced to an overly simplified formula which cannot account for all of the variables when a “Rule of Thumb” method is used. An example of a “Rule of Thumb” method is when the common doctor states that the average practice in the Midwest sells for 61% of last year’s gross so if your practice is grossing 100K it must be worth $61K. THAT is a dangerous assumption because, the fact of the matter is, a practice can deviate from 20% to 40% above or below the “average” price. It is important to know your broker/appraiser’s level of experience. HHA, Inc. has been a proven leader in Practice Brokerage and Practice Management in the Midwest for over 50 years.
We know the Midwest! Call today to make arrangements for your practice valuation.