Dear Reader,
There’s a massive shift happening in dentistry, and if you’re not paying attention, you’re already behind.
DSOs are not a trend—they’re a takeover. Private practices used to be the backbone of dentistry, but the rise of corporate-owned dental chains is changing everything. And whether that’s a golden opportunity or a death sentence for your practice depends on what you do next.
Why DSOs Are Growing at an Explosive Rate
- Investors Love Them
DSOs are a cash-printing machine. Unlike traditional private practices, DSOs are backed by corporate investors who see dentistry as a low-risk, high-profit business. They buy up practices, cut costs, maximize revenue, and deliver predictable profits year after year.
- New Dentists Are Flocking to Them
The new generation of dentists isn’t following the same path their predecessors did. They’re drowning in student loan debt and don’t want to take on more by purchasing a private practice. DSOs offer them a salaried job with no financial risk, no management headaches, and guaranteed income—a tempting offer for a young doctor trying to stay afloat.
- DSOs Pay More for Practices
If you’ve ever thought about selling your practice, here’s a wake-up call: DSOs will pay 2-3X yearly profit, which is significantly more than what another dentist would offer. They’re cash-rich, and their deep pockets mean they can outbid independent buyers every time.
- They Have Unlimited Resources
DSOs run dentistry like a business, and that means massive infrastructure, technology, and marketing budgets. They streamline operations, automate processes, and invest in AI-driven patient management systems—all things that an independent practice owner can’t afford to compete with on their own.
- They Target Larger Practices
DSOs don’t waste time on small, one-doctor offices. They prefer medium to large practices generating $1-2M+ in revenue with multiple doctors and room to scale. If your practice is successful, you’re exactly the type of target they want.
The Future of DSOs—And What It Means for You
This is not speculation. It’s already happening. By 2025, 50-65% of dental practices could be under DSO control. That means the industry is splitting into two camps:
- Corporate-Owned Chains That Dominate The Market
DSOs will continue to acquire private practices at record speed, leveraging economies of scale to make it nearly impossible for independent dentists to compete on price or convenience.
- Independent Dentists Who Learn to Outmaneuver the Machine
The only way to survive is to offer something DSOs can’t. That means focusing on:
- Personalized, high-touch patient care (DSOs treat patients like numbers—don’t make the same mistake)
- Brand differentiation (You need to stand for something. Patients need a reason to choose you over the cheaper, corporate chain down the street).
- Efficient operations (You must eliminate inefficiencies and automate everything you can—or risk being buried under admin work).
Your Move: Compete or Cash Out?
If you’re an independent dentist, you have two choices:
- Fight Back and Compete
If you love running your practice and don’t want to sell, you must transform the way you do business. You need to:
- Brand yourself as the “premium” alternative to corporate dentistry.
- Implement automation and marketing strategies that let you scale without working yourself to death.
- Build a practice culture that prioritizes patient relationships over volume.
- Sell for Maximum Profit—On Your Terms
If you’re sick of running the business side of dentistry and want a lucrative exit, selling to a DSO might be the best move—but only if you do it the right way. DSOs are savvy negotiators, and their first offer is never their best offer. You need an expert on your side to ensure you get:
- The highest possible valuation for your practice.
- A contract that protects your interests (so you’re not forced into a miserable post-sale employment situation).
- A deal that allows you to keep doing what you love—without the headaches.
The Bottom Line: The Clock is Ticking
Whether you want to fight back or cash out, waiting is the worst thing you can do. DSOs are moving fast, and the sooner you have a strategy, the better positioned you’ll be.
At Everything DSO, we specialize in helping dentists navigate this changing landscape—whether that means competing smarter or selling for top dollar.
Don’t wait until you’re backed into a corner. Call us today. Let’s make sure you’re in control of your future.
Your Team at Everything DSO