The Transition Timeline Breakdown
Selling a practice is a complex legal and financial transaction. Delays often occur during the due diligence phase or while waiting for lender approval and credentialing updates.
Phases of the Sale
- Valuation & Prospectus (30-45 days): Gathering TTM financials and calculating EBITDA.
- Marketing & LOI (60-90 days): Confidentially matching with buyers and signing a Letter of Intent.
- Due Diligence & Closing (60-90 days): Asset vs. entity sale structuring, lease assignments, and funding.
Frequently asked questions
What delays a dental practice sale the most?
The most common delays involve securing commercial real estate lease assignments, finalizing bank financing, and transferring insurance credentialing.
Can a dental practice be sold in 3 months?
While possible in cash deals or rapid DSO acquisitions, a 3-month timeline is rare due to the regulatory and financial due diligence required.