Here’s something most selling doctors never think about…but every buyer secretly dreads:

“Am I about to buy a lawsuit factory?”

Because the biggest threat to a buyer isn’t your overhead, your aging equipment, or your marketing gaps. It’s the hidden compliance landmines that could explode the day after closing and leave them holding the shrapnel.

Buyers Know What You Might Pretend Not to See

Buyers have been burned before. They’ve seen “successful” practices implode under the weight of overlooked compliance disasters that were quietly swept under the rug.

They know that the smiling seller handing them the keys might also be handing them:

• OSHA violations waiting to surface
• HIPAA breaches buried in unsecured email chains
• Improper coding and billing patterns that trigger clawbacks or audits
• Unpaid employee overtime that invites a Department of Labor investigation
• Sterilization lapses that could get the office shut down
• Outdated radiation safety documentation that won’t pass inspection

You might see a clean, well-run practice. They see a minefield, and they know once the ink is dry, the blast belongs to them.

The Buyer’s Nightmare Scenario

Picture this from the buyer’s side: They close the deal. They step in with excitement and vision. And then… the first letter arrives. An audit. A complaint. A demand for back wages. Suddenly, they’re not building a business; they’re paying for your mistakes.

Their legal bills start climbing. Their stress skyrockets. And their dream acquisition turns into a slow-motion disaster. That fear keeps buyers up at night, and it makes them paranoid about what’s hiding under the surface.

Fear Makes Them Slash Your Value

If buyers suspect there are compliance skeletons buried in your practice, they don’t argue. They don’t investigate further. They devalue the deal or they walk.

To them, compliance risk is real financial risk. Banks hate it. Attorneys fear it. And buyers know it can destroy everything they’re about to build. So they protect themselves: lower offers, longer escrows, bigger holdbacks, and stricter terms. And even if your practice is perfectly clean, if you can’t prove it, they assume it’s dirty.

What Buyers Want to See

Buyers don’t need perfection. They need proof of discipline.

They want to see:

• Documented OSHA, HIPAA, and radiation compliance
• Clear sterilization protocols
• Clean HR files, I-9s, and payroll records
• Solid billing and coding documentation
• Evidence that you audit and enforce standards

Show them this, and their fear evaporates. Fail to, and their fear explodes along with your valuation.

Scrub the Minefield Before the Buyer Walks

Compliance isn’t exciting. But to buyers, it’s everything. They’re not just buying your collections. They’re buying your risk profile. If they think they’re buying hidden liabilities, they’ll either walk or lowball you to cover the fallout. But if they see a spotless, disciplined, low-risk operation, they’ll fight to close.

So clean it up now. Document everything. Hand buyers not just a profitable business… but a safe one.

To your unstoppable success,
Your Team at Everything DSO