How to receive maximum dollars using dental marketing strategies when it’s time to sell
As of writing this article, the most active topics on Dentaltown today is a retirement planning thread that has been going strong since 2002 – with nearly 235 thousand views and over 18 thousand responses. For more than 15 years, dentists just like you have been chatting about how they can be one of the 3% who can retire by age 60 and what they might do to maximize their savings when they achieve that goal.
What are the hard and fast answers?
Well … there aren’t any. Sorry. But the sheer number of responses and views, plus the thread’s longevity, tell us one thing quite clearly … As much as you may be passionate about what you do for others, retirement remains top-of-mind.
While you could be investing $40,000 a year towards a retirement that funds your lifestyle for up to 30 years, building the business that has been your passion, and will be until you retire, can add upwards of 10-15% to that investment.
When your practice is successful, investing in it at a higher pace will add to your practice valuation. When it’s time to sell, you’ll be adding to your retirement portfolio at a higher rate than you would if you back off in the years leading up to retirement.
Advanced technology and a smoothly running patient acquisition and retention strategy will work for you when maximizing practice value. Variables like the stock market and real estate environments will impact everyone in a relatively equal way, but when you have a strong dental practice with engaged patients who understand the value of excellent oral health, your dental practice will weather those storms.
A thriving dental practice allows to you ask – and receive – maximum dollars when it’s time to sell.
Maximizing your practice valuation is critical if you are using the proceeds from your dental practice sale to augment your retirement plan. As a sole method to plan for retirement, investments could have you end up like many dentists after the crash … going back to dentistry shortly after retirement – as an associate or by buying another practice.
In the five years leading up to the sale of your business, increasing your practice valuation and marketing investments are even more important than ever. Because declining revenues are not attractive to buyers, and the last 3-5 years of production are what sets the selling price, easing into retirement by gearing down isn’t going to bring you top dollar. Instead, you want to start ramping up production and revenue and this requires focused continuing education, community involvement, and dental marketing efforts.
Following through with every aspect of your plan and executables will get you sale-ready.
At Patient News, we have seen practice sales fall through or become delayed because of a lack of commitment to the marketing that supports a practice business plan. A lack-luster appearance or disengaged staff can blow your big-bucks planning.
The purchaser of your dental practice can make their own decision about the future of the practice, but if you are at the helm, your focus should be to drive the growth that will increase practice valuation and your dental practice’s contribution to your retirement goals.
Patient News has been helping dentists grow their practices for almost 25 years. Through a wide variety of dental marketing strategies for patient acquisition and retention, thousands of dentists like you have benefited from our unique solutions.
Our dental marketing experts are happy to give you a Free Discovery Session to discuss how you can find the best patients in your neighborhood. No cost. No obligation. Call 888-883-6142 today!