A recent report from accountants seemed to reveal little cheer for practice owners when it comes to valuations. But Henry Strevens of Frank Taylor & Associates suggests that the real picture is slightly rosier than suggested

There has been a lot of commentary suggesting that dental practice values are under pressure, and of course the market is not without its challenges. But when we look at the data available to us through our own valuation activity, we see something rather different.

The recent report from NASDAL (National Association of Specialist Dental Accountants and Lawyers) painted a gloomy picture. But our own latest valuation data suggests that the market is considerably stronger, with goodwill values consistently sitting above NASDAL figures across the key comparable measures.

For example:

  • For the February-April 2026 period, NASDAL reported goodwill at 109% of gross fees, compared with 136.4% across FTA’s valuations on the same basis – a difference of more than 27 percentage points;
  • The NASDAL figure fell by nine percentage points year-on-year, while FTA’s comparable valuation figure increased by five percentage points;
  • FTA’s latest comparable figures put private practices at 125.1% of gross fees, against 95% in the NASDAL data, while mixed practices were valued at 143.3%, compared with 113% – differences of more than 30% in both categories.

This is not simply a case of a handful of exceptionally strong practices skewing the numbers. 74% of FTA’s valuations sit above NASDAL’s overall average figure of 109%. The proportion rises to 79% for private practices and 86% for mixed practices when compared with their respective NASDAL benchmarks.

Underlying data

We believe one reason for the difference is the nature of the underlying data.

NASDAL’s figures are based on its quarterly goodwill survey, whereas our data comes directly from our own valuation register and reflects practices being actively valued in the marketplace. It therefore provides a live view of what practices are being assessed at the point they are being prepared for sale, marketed or otherwise valued.

Crucially, we are not simply observing the market from the sidelines. Our activity involves valuing, updating and launching practices to the market, negotiating transactions and establishing the true market value of practices. This creates a significant and continually refreshed source of market intelligence.

Our figures consistently sit at a healthy level above the headline market averages. That doesn’t mean every practice is worth more, or that the market hasn’t changed.

More discerning

The crucial difference is that buyers are undoubtedly more discerning and are interrogating profitability, costs and future potential more closely. But that is very different from saying that the market is in decline.

Our wider analysis shows that the median goodwill figure across the comparable 2025-26 data was 131% of gross fees, while the median profit multiple remained at 4.4 times reconstituted profit – the same figure recorded in each of the previous four years.

Activity has also increased – we carried out 14% more valuations in the first eight months of 2026 than during the equivalent period of 2025. The median practice value increased by 12%, despite broadly unchanged median gross fees, suggesting that the movement was driven by multiple expansion rather than simply larger practices entering the dataset.

Our message for practice owners is that headline averages do not necessarily tell the story of your practice. A well-run, profitable dental practice with the right fundamentals can continue to command a strong valuation, even in a market where buyers are asking more questions and scrutinising the numbers more closely.

We encourage practice owners who are considering selling, restructuring or simply reviewing their position to look beyond generic market commentary.