Is it time to sell?
The team at PMA Practice Transitions partners with very specialized banks that focus exclusively on the dental community. Dental practice lending is a specialty niche within banking that focuses exclusively on financing for dental practice acquisitions, which is critical to a successful dental practice transition. Those that specialize in this niche understand practice cash flow, are knowledgeable about the industry and work hard to offer buyers the very best loan term and structure.
Selling dentists may not think that bank with a dental niche is important to them in a sale. After all, it’s the buyer’s loan, right? Believe it or not, the buyer’s lender can dramatically impact the seller’s goals in a transaction. It’s important that the selling dentist understands how this impacts his or her own transaction. A dental specialty lender understands cash-flow lending vs. asset-based lending, which is critical for financing a dental practice. Lenders usually offer 100 percent financing for the buyer, so the seller receives 100 percent of the sale proceeds at closing.
It’s always important for dentists to stay on top of their practice numbers. However, if selling your dental practice is on the horizon, it’s absolutely critical to get your practice finances in order. After all, your ability to sell at the right price depends on your buyer’s ability to finance the purchase. Let’s examine three key areas where lenders will focus their attention before approving a buyer’s loan, and we’ll identify what you can do NOW to prepare ahead of time.
Want to learn more? Check out this whitepaper.