Pediatric Practice for Sale California Orange County

Have you thought about buying a pediatric practice?  We currently have two practices which are available in Orange County.  These are excellent practices.  One is a part-time opportunity which can be acquired as a start-up alterntative or expansion of exisiting operations.  It boasts gross collections of $300,000 and net income of $180,000 on only 20 hours of MD coverage annually.  The second practice is a full-time opportunity with gross collections of $700,000 and net income of $300,000.  For details on these listings please call medical practice broker at 800-416-2055.


Also contact us for details on pediatric practice appraisal and valuation

Leasing space for a dental practice

An important component in the success of a dental practice is the lease agreement for the office space. Occupancy costs can be one of the largest expenses in a dental practice. More importantly, selection of a good location is critical to patient flow and income. Therefore, dentists should consider the lease of an office location not just as a necessary expense, but as an investment. If the location is poorly chosen or if the terms of the lease are overly slanted in the landlord’s favor, it can affect your finances as well as reduce the ability to transfer or sell the practice. A new dental practice buyer is unlikely to assume a highly unfavorable lease and purchase a challenging or unsuitable location.

Running and growing a dental practice is hard enough, and an above-market lease payment can be a drag on growth. New dentists sometimes fall into the trap of associating high-end, high-cost office space with high earning potential. These are not necessarily associated with one another. Be sure to conduct a feasibility study and formulate a detailed business plan before making the site selection.

Also, with the amount of extensive build out and lease-hold improvements done in a dental office, a dental practice cannot be easily moved. Once the build out has started, consider yourself committed to the location. It is important to remember that the property owner’s broker or attorney likely drafted the lease agreement. You should always seek the advice of your own broker or counsel before engaging in such an agreement. Failing to do your due diligence can be a costly mistake!

Charles Kim is a dental practice broker at Transition Consultants, a practice merger and acquisition firm. Mr. Kim provides transaction advisory and dental practice valuation services to dentists and dental groups nationwide. He can be contacted at 800-416-2055 (x224).

Income-based method for valuing a medical practice

The income based approach to valuation is commonly used in the valuation of medical practices and healthcare businesses.  However, appraisers who apply the improper methods (mostly out of convenience) can drastically over or under value the practice.  One frequent mistake I see is the use of the capitaliztion of cashflow/earnings method when the practice has a clear history of volatile profitabilty.  When possible, it is better to use the discounted cashflow/earnings method.  Even if the business forecast is somewhat unclear, the discounted cashflow method offers the appraiser a much higher degree of accuracy.  This is especially relevant when appraising smaller medical practices; reimbursement changes have an effect of greater magnitude on these entities.  Avoiding shortcuts and using the proper methods is critical to an accurate assessment of practice value.

New source for Optometry Practice Financing

OptometryLoans.com is now offering a new source of financing for Optometrists, providing 100% financing for:

* Practice Purchase + Working Capital
* Start-up Practices
* Practice Loan Consolidation & Refinancing - Increase Cashflow
* Fixed Rates as low as 6.5%
* Terms up to 15 years

For details please contact one of our Optometry practice loan experts at 800-416-2055