“I think anyone involved in dental practice sales and goodwill values will have noticed that the market has gained considerable strength,” reflects Luke Moore, Co-Founder of Dental Elite. “Most practices this year have achieved over and above our valuation.”
This year, NHS practices are displaying a 3.66x ANP, 6.79x EBITDA and 156.70% turnover compared to mixed practices, which sold for an average of 8.98x adjusted EBITDA or 3.56x ANP with a reflection of turnover standing at 136.02%.
“The breakdowns are very interesting,” says Paul Wilkinson, Co-Founder of Dental Elite. “It would seem that mixed practices tend to sell more to dentists who seek to work in the practice themselves, hence the slightly higher EBITDA multiple which is counteracted by the lower Adjusted Net Profit. It is also interesting to see Private Practice Multiples starting to narrow the gap between NHS Practices.”
To find out how you can get the best deal on your practice, and for a free, no strings valuation, contact Dental Elite now.
Following an extensive and successful career within dental, medical and healthcare publishing, Erica Kilburn founded E K Communications Ltd in April 2000. EKC is primarily a PR and media agency for the dental market. However, they also work across a number of healthcare markets. The company’s ethos has remained the same; to provide innovative, effective PR and media support, always putting our client’s needs and goals first.