The Best Time to Sell Isn't When You're Burned Out.It's 2-3 Years Before That.
What the Market Is Telling Us Right Now
Market timing isn’t everything — but it matters. Here’s what current conditions mean for practice owners considering a transition.
Private equity-backed DSOs remain aggressive acquirers, driving competition for quality practices and pushing multiples higher in desirable markets.
Higher interest rates increase the cost of acquisition financing, which can pressure multiples. Selling while rates are manageable preserves buyer demand and deal value.
Qualified buyers — both DSOs and private — continue to outnumber quality practices available for sale. Seller-favorable conditions persist, but windows don't stay open indefinitely.
A wave of baby-boomer dentists approaching retirement will increase supply of practices for sale over the next 5-10 years. Earlier sellers face less competition.
Signs You May Be Ready
- You're thinking about retirement more than growth
- Burnout is affecting your clinical performance or personal life
- You've lost the passion for the administrative side of ownership
- A life event (health, family, relocation) is creating urgency
- You're turning down growth opportunities because you don't want the complexity
- You find yourself saying 'I'll sell in a few years' — repeatedly
- Your EBITDA has been stable or growing for 2+ consecutive years
- You've invested in technology and facilities recently (buyers inherit the benefit)
- Your patient base is growing and retention rates are strong
- You have a solid associate or hygienist team in place
- Your overhead is optimized and margins are healthy
- You've addressed any deferred maintenance or compliance issues
What to Do Based on Your Timeline
Whether you’re 5 years out or 1 year out, there are specific actions that will strengthen your position and maximize your outcome.
- Understand your current valuation baseline
- Identify value gaps and growth opportunities
- Begin building associate capacity to reduce owner-dependence
- Optimize overhead and operational efficiency
- Consider joining our Advisory Program for ongoing guidance
- Clean up financials and normalize EBITDA
- Address any deferred maintenance or capital needs
- Diversify payer mix if over-concentrated
- Build systems that run without you
- Document processes and standard operating procedures
- Begin conversations with your CPA about tax planning
- Engage an M&A advisor (that's us)
- Complete formal valuation and market analysis
- Position practice for maximum buyer appeal
- Identify and approach qualified buyers
- Evaluate offers using the 7 Pillars framework
- Negotiate, close, and transition
Common Timing Mistakes
Burned-out owners make rushed decisions, accept lower offers, and lack the energy to negotiate effectively. The best deals happen when you're selling from a position of strength, not desperation.
Practice performance directly impacts valuation. Selling during a revenue dip — whether from staffing issues, personal health, or market conditions — means your multiple is applied to a lower number.
Buyers scrutinize 3-5 years of financials. Messy books, excessive personal expenses run through the practice, or inconsistent reporting create red flags that reduce offers or kill deals.
Owners who try to sell without professional representation consistently leave money on the table. You wouldn't perform surgery without training — don't navigate a multi-million dollar transaction without expertise.
Our Advisory Program gives you strategic guidance, market intelligence, and preparation support — so when you are ready, you’re in the strongest possible position.
Frequently Asked Questions
Market conditions in 2025-2026 remain favorable for sellers: buyer demand is strong, multiples are at or near historic highs, and DSO consolidation continues to drive competition for quality practices. However, ‘now’ is only the right time if your practice is performing well and you’re personally ready. Market timing matters, but practice readiness matters more.
Ideally, 2-3 years. This gives you time to optimize financials, address value gaps, build associate capacity, and plan tax strategy. Owners who prepare for 2-3 years consistently achieve 20-40% higher valuations than those who sell reactively. Even if you’re 5+ years out, understanding your current value and building a roadmap is valuable.
That’s exactly what our Advisory Program is designed for. You get ongoing market intelligence, strategic guidance, and preparation support without the pressure of an active transaction. Many of our most successful outcomes started with owners who engaged us 2-3 years before they were ready to sell.
Absolutely. Partial sales, recapitalizations, and partnership structures allow you to monetize a portion of your equity while maintaining ownership and clinical involvement. This is increasingly common and can be an excellent way to de-risk while preserving upside.
Several risks compound over time: market conditions can shift, your energy and clinical output may decline, more competing practices enter the market, and personal circumstances can create urgency that weakens your negotiating position. The best time to sell is when you’re strong, the market is favorable, and you have time to be selective.