Understanding EBITDA Multiples in Florida
Valuations have shifted from simple percentage-of-collections to EBITDA multiples. Buyers, especially DSOs, scrutinize the trailing twelve months (TTM) to assess true profitability.
Factors Driving Premium Valuations
- High patient retention and recurring hygiene revenue.
- Modernized equipment (CBCT, digital scanners) with clear UCC financing history.
- Prime locations in high-growth areas like Miami, Tampa, and Orlando.
Frequently asked questions
Average EBITDA multiples range from 4x to 6x, with premium multi-location practices or specialty clinics sometimes commanding 7x or higher from DSOs.
DSO consolidation increases competition for high-performing practices, driving up valuations and EBITDA multiples for clinics with strong TTM revenue.