Your Next Move: Key Actions After Buying a Dental Practice

Buying a dental practice is a major milestone - congratulations! While it’s exciting to finally take over, the period just before and after the transition is crucial. How you handle these early days can make all the difference in setting the tone for long-term success.

Here’s a practical roadmap to guide your first steps and ensure a smooth transition into ownership.

Secure the Essentials

Before the handover is complete, review all existing service agreements tied to the practice. These might include:

  • Dental software contracts
  • Phone, internet, and email services (including domain ownership if applicable)
  • Alarm and security monitoring
  • Utility providers such as hydro and gas
  • Janitorial or cleaning services
  • Equipment maintenance contracts
  • Marketing services

Ensure these are either transferred into your name or cancelled if unnecessary. Any agreements not previously disclosed or accepted should be the seller’s responsibility to terminate and cover any related fees.

Connect with the Team

Team support dental practices

The existing staff are key to your practice’s success—and they may be feeling uncertain. Meet with them early to reassure them that you value their roles and intend to continue operating as a strong, supportive team. Let them know you’re committed to their well-being and professional growth, and in return, you expect dedication to maintaining the practice’s success.

Finalize Insurance Coverage

If you haven’t already arranged commercial and liability insurance, now is the time. Lenders typically require it, and it protects your business from risks such as theft, property damage, or liability claims. It’s an essential safeguard as you step into ownership.

Introduce Yourself to Patients

It’s a good idea to prepare a letter to introduce yourself to the patient base. Instead of highlighting the change in ownership, present yourself as a new member of the team who is committed to maintaining the high standards they’re used to. Acknowledge the previous owner’s contributions, and focus on providing continued, excellent care. The goal is to create a sense of continuity and trust.

Register for a Business Number

Make sure your business is properly registered with the CRA and that you’ve obtained a business number. If you’re operating through a professional corporation, this may already be in place. The number is necessary for payroll and tax purposes, so be sure your accountant has handled it.

Set Up Payment Systems

POS system setup

Ensure your point-of-sale system is installed and active. All payments should now be processed through your terminal, and the previous owner’s system should be fully removed. This is critical for proper financial tracking and accountability.

Manage Accounts Receivable

On closing day, obtain a full report of outstanding receivables. Typically, the new owner will be responsible for collecting these funds on behalf of the seller for 90 to 120 days after the sale. Keep clear records and ensure timely payouts in line with your purchase agreement.

Maintain Familiarity for Patients

Patients didn’t choose you—they chose the former dentist. That means your focus should be on maintaining consistency during the transition. For at least the first six months:

  • Avoid making changes to the team. Familiar faces create comfort.
  • Hold off on renovations, even if improvements are needed.
  • Be cautious with new treatment plans or recommendations. Drastic changes may make patients uneasy or skeptical.

Allow patients time to get to know you and build trust. Gradual changes can be introduced once they feel comfortable with your care.

Final Thoughts

Taking over a practice is more than just acquiring a business—it’s stepping into a community built on trust. By approaching the transition thoughtfully, maintaining stability, and prioritizing relationships, you’ll set yourself up for long-term success. Start steady, and grow with purpose.

Alan Rustom

Let Meridian Sales & Appraisals assist you on your journey...

Ready to sell your dental practice, or ready to acquire a new one? Our team of experts would be happy to help. Call or e-mail us today!

 

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