Gravity Kicks in on Goodwill Values
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- Published: Monday, 13 October 2025 10:50
- Written by Peter Ingle
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The quarterly NASDAL (National Association of Specialist Dental Accountants and Lawyers) statistics on goodwill values provide an insight into the vital signs of dental businesses. It is based on a survey that includes data on valuations as well as deals completed, from practices bought or sold, by clients of NASDAL members. The period reported is the quarter ending April 30th 2025.
Against a background of concerning news from the wider economy, the results will not come as a great shock. There was a small further reduction in goodwill values in terms of both valuations and deals done.
Overall, goodwill values were at 118% as a percentage of gross fees, compared with 128% in the previous quarter. NHS goodwill values were steady at 148% of gross fees, from 149% in the previous quarter. Private practices rose slightly from 108% as a percentage of gross fees compared to 102%. Mixed practice goodwill values showed the greatest change, and drop, at 132% as a percentage of gross fees, down from 149% in the quarter ending 31st January 2025.
Mike Blenkharn, Partner and Head of Dental at UNW LLP who compiled the goodwill survey commented, “You may remember that in the previous results that I predicted a flurry of activity in the next quarter before the end of March. That has definitely been borne out in the figures, but the reduction in values is perhaps down to a rush in those wanting to complete deals before April and therefore avoid the Capital Gains Tax changes. It is still a buyer’s market. Deals and valuations are now much more aligned and I still expect a strong market in the coming months.”
Johnny Minford, Commercial and Development Director, DJH and NASDAL Media Officer added, “The market is definitely skewed towards private practices in our experience which perhaps surprises me a little considering the current economic climate. I am finding that people are still less confident than they were and also a wide spread in the values from the lowest to the highest. A good number of practice owners are taking the decision to continue working for another 2-3 years when returns may be better.”
Given the time lag between deals being struck and appearing in the NASDAL statistics there may be more changes to come. The relative strength of private practice values despite the current economic climate against that of NHS ones, may indicate the professions and lenders confidence in an improved NHS contract appearing anytime soon.
NASDAL point out that as with any averages, these statistics should be treated as a guideline only.
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