From Associate to Owner: A First-Time Buyer’s Guide to Buying a Dental Office

By: Todd McVay

For many dentists, owning a practice is a career milestone, a chance to take control of your future, build long-term wealth, and shape the kind of care and culture you believe in. But making the leap from associate to owner can feel overwhelming, especially if it’s your first time navigating the process. If you're considering buying your first dental office, here's a practical guide to help you move forward with confidence.

1. Get Clear on Your Goals

Before you even start looking at listings, take time to reflect:

• What kind of practice are you looking for? Solo or group? General or specialty?

• Where do you want to be geographically? Are you open to relocation?

• What is your timeline? Do you want to buy within the next 6 months or are you planning further out?

Having clear answers will help narrow your search and guide your decision-making.

2. Understand Your Finances and Lending Options

You don’t need a fortune saved to buy a practice, but you do need a realistic understanding of what you can afford and what lenders are looking for. Most first-time buyers finance through dental-specific lenders. These banks will look at:

• Your clinical experience (ideally 3+ years)

• Your production history

• Your credit score and personal financials. If an Associate has been earning a good annual salary but has little of it available, that can be a red flag to lenders.

• The strength of the practice itself (collections, profitability, etc.)

Tip: Get prequalified before you fall in love with a practice, it shows sellers you’re serious and saves time later.

3. Work With the Right Advisors

Don’t go it alone. A good team will protect your interests, help you avoid costly mistakes, and speed up the process. At a minimum, you’ll want:

• A transition consultant or broker who specializes in dental practices

• A CPA familiar with dental finance

• An attorney who understands dental transactions

• A lender with experience in healthcare acquisitions

A good team will also help you evaluate the fit of the practice, not just the numbers.

4. Evaluate Practices Beyond the Surface

It’s easy to get dazzled by a modern office or great location but dig deeper. Ask questions like:

• How many active patients does the practice have?

• What are the overhead costs?

• Are there growth opportunities (e.g. expanded hours, services not currently offered)?

• What’s the staff like? Are they likely to stay post-sale?

And most importantly: Is this a practice where you can see yourself thriving long-term?

5. Don’t Skip the Due Diligence

Once you find a practice you’re excited about, due diligence is your deep dive. Review financials, tax returns, production reports, lease terms, and equipment condition. Look for red flags and opportunities alike. This step is critical and where your advisors really earn their keep.

6. Plan for the Transition

The sale isn’t the finish line; it’s the start of your ownership journey. You’ll want a smooth transition plan that covers:

• Staff communication and retention

• Patient announcements

• Billing, credentialing, and insurance setup

• Marketing the “new” practice without scaring off the existing base

If the seller is staying on for a period, clarify roles and timelines to avoid confusion.

7. Be Patient, But Proactive

Buying a practice can take time. Deals fall through. Surprises come up. But don’t let uncertainty stall your momentum. Keep your goals in focus, keep learning, and lean on your team.

Final Thought

Owning a dental practice is a big step, but it’s also an exciting one. With the right preparation, a clear vision, and the right support, you can move from associate to owner with confidence and set the foundation for a rewarding career. We would love to work with you through the process - start here.