With the lockdown restrictions lifted, many businesses are looking for ways to increase their value if they decide to sell. If you are thinking about selling a dental practice in today’s weakened economy, there are some important things to consider first. Before selling your dental practice, it is important to focus on improving its valuation. It takes planning, time, and due diligence to make your practice more valuable. Once you have prepared your practice and increased its value as much as you can, you can get a dental practice valuation and list your practice.
With that in mind, we are going to take a look at some ways to gain the most from your dental practice:
Build A Strong Customer Base- patients are the biggest asset of any healthcare service. Before getting a dental practice valuation, it is important to gradually increase your customer base to ensure a steady income. It is generally acceptable to increase customer base by around 10% annually. If your dental practice has 500 registered patients today, aim to get 50 new patients this year and 55 next year. Steady increase of customer base is a crucial factor in the valuation process to measure sustainable growth.
Use More Technology- what was considered cutting-edge a few years ago could be labelled as standard technology today. Dental practices should invest in new technology to ensure better competitiveness. An intra-oral X-ray probe may allow for more accurate and quicker diagnosis. Other than incorporating the latest technology, it is important to ensure that your current equipment is always in good working order.
Maintain Good Aesthetics- it is important to ensure a good first impression when people first enter your dental clinic. Because patients spend more than five minutes in the waiting area, they must have good experience. Interior design, temperature, scents, cleanliness, and lighting have strong impacts on their level of comfort. Not only should the dental practice have a stylish interior design, but there must also be other factors that impress patients as well. The restroom must be hygienic as well, because it is a small detail that’s high on the appraiser’s list.
Ensure Profitability- the dental practice will receive higher valuation if it manages to maintain good profitability for five consecutive years or more. Efficiency measures and a strong customer base have a direct impact on profitability. It is easier to sell the practice at higher value if potential buyers are assured of their ROI.
To learn more reasons why dentists might want to get a dental practice valuation and sell their practices, contact Pluto Partners today and speak with a Healthcare Business Advisor who can answer any questions you might have.
If you enjoyed this article, please feel free to share it on your favourite social media sites.