Prior to Purchasing a Dental Practice

Deciding where to buy, how to go about it, and what kind of dental practice to purchase is a very important step in the career of a dentist. There are many essential decisions to make and key factors to examine as you search for the perfect dental practice that meets all of your needs.

Research Research Research

Dentists must not rush into a purchase, and need to manage their expectations, understanding that the process will take some time. There is no need to hurry through important steps and be impatient. Buying the right dental practice for you matters more than closing a deal quickly when the first opportunity presents itself.

Location Location Location

Decide on where you would like to live. You’ll end up being a big part of this community, so you’ll want to make sure it’s a good fit. Establishing a connection with the locals will help your business succeed. A short to medium commute is an important consideration. When you can avoid the long commute, those hours you might have spent on the road can be paid forward and spent instead with family and friends.

What sort of community is the right fit for you and your family? Suburbs? Intercity? Rural? These choices will dictate how many competitors will be in close proximity. Will your spouse be able to find work? Will your kids end up in a school district that will nurture them and grant you piece of mind?

Deciding on the Ideal Practice for You

Consider: size and type, Are you interested in specialized dentistry practice, or a generalized dental practice. Is there room for your particular niche? You’ll want to establish a business plan that is meticulous.

Seek a Valuation

Get a CPA or CVA to perform a business appraisal on the proposed business purchase. Then you’ll have an informed point of view going into things. This is going to give you a leg up in negotiating your purchase.

Enlist Support

Trying to save money by being completely self-sufficient is a poor decision when you plan on purchasing a dental practice. You’ll have to rely on the expertise of others as your patrons will have to rely on you. Trusted advisors can save you plenty of trouble. Here are some people you might want to have on your side:

  • A tax accountant versed in aiding dental care practices and other small businesses on reducing tax burdens and remaining tax compliant. You will need an accountant who can help you set up tax strategies. You’ll want a cpa to advise you on the best entity structure for your small business (S corporation, C corporation, limited liability company (LLC), professional limited liability company (PLLC), sole proprietor).
  • A Bookkeeper who has familiarity in a small business accounting system such as Quickbooks. A certified Quickbooks ProAdvisor is a title bestowed upon a bookkeeper which says the person is certified by Quickbooks as skilled with the Quickbooks software.
  • Legal counsel to review all documents related to the sale and to legally protect your interests in the future.
  • A consultant for your new dental practice will prove useful in helping you navigate toward success.
  • Right at the beginning, you should establish a relationship with a bank. Getting prequalified, and ready to finance, helps you keep perspective on how much you can afford when putting in an offer.
  • An insurance representative will assess the value of your business and evaluate risk to see how much coverage you will be needing.
  • It is smart to seek advice from a mentor that has experienced similar circumstance to those you’ll face.
  • A marketing pro that knows online marketing.

Prepare. Do your research. Trial and error is not the way to proceed.

Tax CPA John Huddleston has a law degree and masters in tax law from the University of Washington School of Law. He has been a guest tax expert on the radio. He advises small businesses in the Seattle Bellevue Tacoma & Everett area on various tax and accounting issues. His firm, Huddleston Tax CPAs, also provides tax preparation service, quickbooks consulting, business valuation, general accounting and bookkeeping service. Profile information on CPA John Huddleston and the CPAs employed by Huddleston Tax CPAs is available at CPA Tax Accountant Profile.
Seattle Bellevue Tax CPA John Huddleston is a frequent publisher of tax saving ideas.

Seattle CPAsAbout Seattle CPAs
CPA for Dentists+John Huddleston has written extensively on tax related subjects of interest to small business owners. Since 2002, he has been the owner of Huddleston Tax CPAs. He is a graduate of Washington State University and the University of Washington School of Law.

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  • Huddleston Tax CPAs / Huddleston Tax CPAs – CPA 4 Dentist
    Certified Public Accountants Focused on Small Business
    40 Lake Bellevue Suite 100 / Bellevue, WA 98005
    (800) 376-1785

    Huddleston Tax CPAs & accountants provide tax preparation, tax planning, business coaching,
    QuickBooks consulting, bookkeeping, payroll, offer in compromise debt relief, and business valuation services for small business.

    We serve: Tukwila, SeaTac, Renton. We have a few meeting locations. Call to meet John C. Huddleston, J.D., LL.M., CPA, Lance Hulbert, CPA, Grace Lee-Choi, CPA, Jennifer Zhou, CPA, or Jessica Chisholm, CPA. Member WSCPA.