A dental support organization may offer a different route for selling a practice. Whether that route fits your goals depends on the complete agreement, including what happens after the transaction closes.

Understand the opportunity

DSOs are part of the practice transition landscape, giving some owners another option to consider. An offer may involve a purchase of the practice alongside continued employment or an ongoing financial interest.

The right comparison looks at your financial goals, desired working schedule, level of control, and preferred exit timeline. A structure that suits one dentist may not suit another.

Evaluate the whole offer

The stated purchase price may combine cash paid at closing with payments or equity that depend on future events. Separate those components so you can understand what is certain, what is conditional, and when each amount might be received.

Consider future compensation alongside sale proceeds. The number of years you are expected to work, the compensation formula, and any performance conditions can materially affect the overall outcome.

Review employment and retained proceeds

Continued employment may come with responsibilities, production expectations, or restrictions. Read the terms carefully and consider whether the role matches the way you want to practice.

For proceeds held back or paid later, understand the conditions for release and what happens if circumstances change. Ask how retirement, illness, changes in performance, or the end of employment could affect those amounts.

Examine equity and exit terms

An equity interest can be difficult to value and may not be readily saleable. Understand what you would own, how its value is determined, the rights attached to it, and the conditions under which you could realize that value.

A DSO transaction can be appropriate for some practice owners. Review its financial, legal, and professional implications with experienced advisors before deciding whether the full arrangement supports your next chapter.

DSO agreements differ substantially. This article offers general considerations based on the original 2023 piece; a dental transaction attorney and financial advisor should review the specific offer.
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