If you own a dental practice that earns $1 million or more in revenue and are looking to grow by leaps and bounds, you owe it to yourself to schedule a confidential phone call and speak with Stan Kinder as soon as possible.
Stan is a consultant for dentists and dental practice owners who want to have maximum impact and profitability in their field and have an interest in exploring a relationship with a DSO.
Stan has been involved with DSOs since the late 90s and grew the first DSO he worked with from $25mm in annual revenue, to over $100mm in annual revenue in just 6 years.
Since that time, he has analyzed practices, negotiated deals, structured employment agreements, and made sure EVERYONE – from the doctor selling the practice – to the CEO who approved purchases he negotiated – WAS HAPPY.
In order to do this, it is important to accurately appraise the value of a dental practice.
A Personal Message From Stan Kinder
If you’ve never heard my name, it’s no surprise. I’m not famous in the industry, except to the dentists I’ve had the privilege to help.
You see, I’m not tooting my own horn here, but the fact of the matter is that I’m perhaps the best informed, most knowledgeable person on the subject of Dental Service Organizations.
I headed up the development of my first DSO in the 1990’s. I analyzed practices, negotiated deals, structured employment agreements, and made sure EVERYONE – from the doctor selling the practice – to the CEO who approved purchases I negotiated – WAS HAPPY.
I served in that position until the stock market tanked and DSOs fell out of favor with investors, because the money dried up and DSOs stopped growing.
Having developed a love for the business of dentistry, I bought interest in a couple of dental practices, and played a role in helping optimize those practices for both efficiency and revenue, resulting in an incredible jump in profitability.
A few years later, when the stock market recovered and money started flowing downstream from Wall Street, DSOs came back into favor with investors. At that point, I was offered the head of business development position for a large DSO.
I liked everyone involved, so I sold my interest in the dental practices to my partners, and went back to work meeting doctors, analyzing practices, structuring WIN-WIN agreements, and building the DSO portfolio of practices.
Eventually, that DSO was purchased by an even larger DSO and I stayed on as head of business development and added tens of millions of dollars a year to the DSOs annual revenue.
To date, I have been directly involved in over $200 million in dental practice purchase transactions, and indirectly involved in well over $200 million more in practice acquisition transactions. I’ve personally analyzed, consulted with and helped optimize over 100 practices.
In 2019, with a consulting agreement in place with my former employer, and a strong desire to help doctors find the DSO that BEST matches their vision of the future – I went out on my own.
Today, I have a direct pipeline to unlimited purchasing power – and the ability to structure favorable purchase agreements and employment contracts for doctors who want to take a HUGE chunk of cash out of their practice, and retain some equity and the ability to earn chairside.
With deep experience on both the operational side of a dental practice, and the mergers and acquisition side of a DSO, I can give you information and insight no one else can:
Here Are Just A Few Examples
And;
There are other ways to benefit from the DSO buying frenzy besides selling your practice to the DSO, retaining interest and working chairside.
The point is, you know large corporate-owned practices are here to stay, and will soon become the rule and not the exception.
You know the primary factor that determines the value of a practice in a doctor-to-doctor transaction is: how much a bank will lend, which is virtually never more than 60% to 80% of the topline revenue.
You know DSOs use a different metric to determine value, with some offering up to 3 to 7-times bottom line profit, (EBITDA).
As owner of a profitable practice, you know the DSO valuation method may net you roughly DOUBLE the cash you’d ever get in a doctor-to-doctor sale.
And, while you may not be interested in selling today… wouldn’t it be compelling to discover you may be able to bank multiple-millions of dollars, (depending on your bottom line profit), and still have equity and chairside income, instead getting FAR less in a doctor-to-doctor sale and walking away?
I am a DSO expert with a direct pipeline to buyers – and hands-on experience architecting over $200 million in transactions where the doctor sellers, and the DSO buyers were BOTH delighted with the transaction.
Now, with all this said, if you have questions about anything in this letter, let’s schedule a call and have a conversation.
You’ll walk away with insights that will apply specifically to you and your circumstances.
Sincerely,
Stan Kinder