When Buying a Dental Practice

January 20, 2016 by omniadmin Buyer Articles, Buying a Practice 0 comments

When buying a dental practice, there are several essential reports you absolutely must have in order to evaluate the practice. The reports are as follows:

Minimum of 3 years Tax Returns and Financial Statements
Minimum of most recent 3 years annual productions, collections and adjustments
Most recent production by procedure code report
Fee Schedule
Patient demographic information
Accounts receivable and insurance receivable aging
Employee census information
Copy of the lease
List of included equipment and furniture
Outstanding treatment plan report

Now that you have these reports, it’s essential you understand what they mean. If you don’t know how to read financial statements or tax returns, be sure you have a knowledgeable OMNI accountant on your team. If you need help with the practice management reports, hire a consultant or third party practice broker, like myself and my OMNI colleagues. We can help you evaluate the practice.
In the long run hiring OMNI experts to evaluate the reports will more than pay off.
-Rod Johnston, MBA. CMA

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