How do you look to the Banks
CV – Does your CV look like you are ready to own a practice, have you clearly detailed your dental and management experience such as courses, mentoring staff, training staff and dealing with CQC?
How strong are your associate accounts, would they be strong enough to demonstrate that you can cover the workloads/UDAs at the target practice?
Financial track record, how you have managed your personal finances e.g. do you have high credit card balances? Have you demonstrated an ability to save?
The Right Practice
Location, NHS/Private practice, leasehold/freehold and most importantly, is it at the right price?
There are many factors that you will need to consider when purchasing a dental practice and it can be difficult when you have finished a long day in the practice.
Samera’s Dental Associate Practice Buyers Service can provide you with the answers to these questions.
Have you undertaken your due diligence of the practice? In most cases you are purchasing the goodwill of the business and this may have been undertaken by associates. Does the practice have a detailed drafted agreement in place with their associates?
Practice Lease, is the term as expected. Banks usually match the lease term to the loan term. If the lease only has 2 years remaining, then the loan term will normally be for 2 years.
Specialist Dental Solicitor
A good specialist healthcare solicitor is vital to the transaction.
The healthcare sector has many nuances that are very sector-specific and you will need a solicitor with experience within this sector to make sure that they are dealt with correctly.
If your solicitor has not completed the CQC and NHS contract transfer correctly then this can delay the practice purchase and may even result in you losing the practice.
How are you funding the practice purchase?
Most banks will expect a deposit of 10-20%, with the remainder of the purchase financed via a loan. Samera Finance are experienced healthcare brokers with banking experience and can help ensure you consider all the funding options available in the market.
Please have a look at our website, we undertake finance talks, practice bootcamps and operate the Dental Associate Practice Buyers Service to help you make the right choices when purchasing a practice.