=
MediEstates - Building value into your practice from day one
Building value into your practice from day one
It’s very easy for dental practitioners to be so wrapped up in treating patients and dealing with the minutiae of day-to-day practice, that they never manage to take a step back and assess the practice as a business. It’s not surprising, considering the many aspects of running a dental practice, including of course the core aim of providing excellent patient care, but also providing a great customer experience, ensuring compliance, supporting a well-trained and motivated team, maintaining the premises and managing the practice budget.
Nevertheless, it is absolutely crucial, as practice owners, to make sure that the practice is profitable and bringing in a good return so that when the time comes to move on, the sale will provide enough collateral to finance your future plans, whatever they may be.
This means being aware of all the elements that will build value into the business and starting that process as soon as you pick up the keys!

Decide what type of practice you are


The first thing we recommend is that you decide what type of practice you are. You may have already given this some thought when you were looking for a suitable practice to buy, but it’s important from day one to devise a clear plan of how to achieve your aim: does your practice suit the local demographic? Are you happy with the range of treatments you offer, or are you planning to phase some out and introduce new ones? Does your dental team have the skills required to meet these expectations and is the equipment in the practice suitable for your needs?
Once you know what type of practice you are, you need to let your community know about it. Building a strong local reputation will add value to your brand and this process can start immediately. Make sure your brand reflects your practice values and make it consistent throughout your communications – both online and offline. Start building relationships with existing patients and encourage new enquiries by local door-drops or advertisements saying you are accepting new patients.

Maximise business returns


Making your practice as efficient as possible is vital and means that the whole team will be working much more productively. Measuring key metrics in the business will also help you to understand where things are going well and where there is room for improvement.
For example, ensuring recalls are working effectively and failure-to-attends are reducing by automating reminders are small things that can make a big difference to profitability.

Ensure you have a good and knowledgeable team


Employing good people is one of the most difficult things in running a business and the value of a dental practice can be raised significantly dependent on the quality of both clinical and non-clinical staff and their ability to provide quality care to the patients.
Having access to a trusted dental recruitment company like Medicruit can really make a difference in this area – helping build a confident and capable team, whilst also providing access to flexible locum cover so you can accommodate the peaks and troughs in patient demand.
Having sufficient cover means you can limit waiting times and fill your appointment book – particularly important when trying to meet UDA targets.

Keep your practice up to date and competitive


Your patients want to know that you are keeping up to date with the latest clinical evidence and that the practice is equipped with equipment that is keeping pace with latest technology and trends. Over time, this will require investment, whether that’s in new digital equipment or in a refurbishment or extension.

Being able to demonstrate the value of your practice to the bank or other financial partner will increase your chances of obtaining the finance required. Working with a financial partner such as Henry Schein Financial Services will give you the flexibility to build further value into your practice and maximise its potential in the future.

And when you finally decide to move on…


Of course, constantly concentrating on building value means that when it comes to considering an exit or moving on, you will be in the best position to realise a good sale price. At Mediestates, we know that dentists who concentrate building value will attract higher than average multiples and command good offers.
An NHS practice that is comfortably fulfilling its contract, or a private one with strong patient loyalty and a healthy bottom line, or one that is a mixture of the two, are all practices with high value. Making sure that you add to that value from day one should ensure a successful and prosperous business and when you finally do decide to move on, a future full of possibilities – for you and the practice you leave behind.
Posted by: Phillip Barker on 24 May 2018

General Buyer Terms 

This agreement is in relation to MediEstates Limited whose registered office is at 1st Floor, Pacific House, Stanier Way, Wyvern Business Park, Derby, DE21 6BF acting for and on behalf of our clients ("the Vendors"); and yourself (Buyer's Name) in relation for an introduction to a prospective sale of a business as a going concern. By registering through this agreement I agree to all terms set out below:

  1. Definitions
    In this Agreement the following terms and phrases shall have the following meaning unless the context otherwise requires:

    Business
    Dental Practice business providing dental care. This business is under the MediEstates Ltd sale terms.
    Confidential Information
    Means the actual Vendors identity and all confidential information in respect of the Business, including, but not limited to, any ideas, business methods, prices, accounts, finance, marketing, research, development, manpower plans, processes, market opportunities, intentions, design rights, product information, customer lists or details, employees’ details, trade secrets, computer systems and software, and other matters connected with the products or services manufactured, marketed, provided or obtained by the Vendor, and information concerning the Vendor’s relationships with actual or potential clients or customers and the needs and requirements of such clients’ or customers’ operations.
  2. Obligation of Confidentiality
    The Prospective Purchaser agrees to treat as confidential, information supplied by or on behalf of the Vendor in connection with the sale of the Business.
  3. Exclusions
    The obligation of confidentiality set out in clause 2 does not apply to:
    1. any information received from a third party who was legally free at the time of disclosure to disclose it;
    2. any information which was already lawfully in the Prospective Purchaser’s possession prior to receiving it from MediEstates Ltd on behalf of the Vendor; and
    3. any information which is in its entirety already in the public domain.
  4. Duties of Prospective Purchaser
    1. The Prospective Purchaser shall take such a reasonable security measures to protect the Confidential Information and trade secrets.
    2. The Prospective Purchaser shall not, without the prior written consent of the Vendor, permit any of the Confidential Information:
      1. to be disclosed, other than in confidence to its legal or professional advisors;
      2. to be copied or reproduced;
      3. to be commercially exploited in any way;
      4. to be used for any purpose other than in connection with the prospective purchase of the Business;
      5. MediEstates is registered under the Data Protection Act 1998. Upon Signing this agreement you agree to follow the legal obligations of this act to protect the details of the information supplied to you, with it no to be passed outside of the control of you the prospective purchaser.
    3. The Prospective Purchaser agrees to keep a record of Confidential Information received.
    4. The Prospective Purchaser will return to MediEstates or the Vendor all documents containing Confidential Information and all copies of those documents on demand at any time which are in its possession or under its control, and for this purpose the term “documents” includes computer discs and all other materials capable of storing data and information. The Prospective Purchaser agrees that such documents remain the property of the MediEstates on behalf of the Vendor.
    5. The Prospective Purchaser must not jeopardise or re-direct the sale under any circumstances.
    6. The Prospective Purchaser must not contact the Local Area Team or CCG regarding any practice sale, by any means of media unless written permission is granted from the Vendor.
    7. To carry out own due diligence on practice purchases and accepts that any information MediEstates has supplied is information provided by the vendor and is not responsible for its accuracy or completeness.
  5. This Agreement
    The existence of this Agreement and its terms are confidential and neither MediEstates nor the Purchaser may disclose anything about this Agreement or its subject matter or implementation to any person other than in confidence to their legal or professional advisers.
  6. Duties of Prospective Purchaser
    When buying Dental practices, finance is normally needed. Our organisation operated over more than one of the MediHoldings brand, by completing this from you agree that the information can be shared to our other organisations to avoid the need to register independently and provide the best possible service.

    MediEstates will refer you to the specialist dental lending team and MediFinancial who will contact the necessary banks, whom have preferential healthcare lending rates in some cases, to ascertain which funding is available to you.
    By signing this agreement you do not have to use any of the banks MediFinancial contact, it is just another service which we provide.
  7. Deposit for Dental Practice
    If you are interested in putting forward a formal offer in for a practice, once the offer is accepted there will be a deposit required to secure the practice sale which is dependant of the practice size. This deposit is held in a client account and will be returned to the buyer on completion of the practice sale. You the buyer, will be required to sign a deposit schedule which will cover the buyer and the seller in the event that the practice sale does not proceed.
  8. Changes to this Agreement
    Any changes made to this agreement must be authorised and signed by one of MediEstates Ltd Directors.
Your shortlist contents will be included in this contact submission