Before signing on the proverbial dotted line, any dentist in their right mind who is looking to buy a dental practice would want to make sure the business is worth what they are paying for it. You would be hard pressed to find a buyer willing to write a cheque without having some form of due diligence in hand.
If you have decided to sell your practice, it is beneficial to compile a thorough due diligence document to help with a smooth sale process as it will minimise delays in the transaction. This is a niche area of the law and choosing a dental solicitor with the necessary experience who can guide you as to the information a properly advised buyer is likely to request will help to ensure that any legal enquiries or complexities that may arise will be dealt with promptly.
Which Parts of the Due Diligence Process Can You Complete?
Performing due diligence yourself is a great idea, and it will give you a very good impression of the state of your dental practice once you’re ready to sell. It may also enable your specialist dental solicitor to identify any potential problems and remedy them before the buyer raises the issue. Moreover, it can help speed up the transaction.
The key to a smooth transaction is to be thorough and honest at every stage of the sale process. Prepare all the documents the buyer’s solicitors may require - these will include all information about your business, with paperwork including accounts, maintenance arrangements, compliance licences and certificates, and last but not least, NHS contract performance levels.
Our dental solicitors can collaborate with you to make sure you collect all the necessary documentation. The goodwill of the practice is another factor that will need to be assessed, and we can discuss the best way to preserve this for the new buyer.
There are certain things such as the Fire Risk Assessment, asbestos reports, Disability Discrimination Act audits that you can easily obtain or complete with appropriate guidance.
Which Parts are Best Left to a Dental Solicitor?
Our specialist solicitors at Goodman Grant can guide you through each step of the process, and we will ensure every detail is covered to protect your interests and to help the sale proceed more smoothly.
Outlined below, are just a few of the ways we can assist you.
We can help transfer contracts and agreements for NHS practices, and with the transfer of CQC registration.
We will also take care of property matters and employment contracts. Once both sides are happy, we can draw up the dental practice purchase agreement, while ensuring neither party is exposed to the risk of operating an illegal practice.
We can negotiate the terms of your sale and our business services team can value the practice and assist you in marketing it for sale.
Our specialised knowledge will ensure selling a dental practice isn’t any more stressful than it needs to be.
The process of selling a dental practice needs to be handled correctly, to ensure the sale proceeds smoothly with minimal stress for both the seller and buyer. This is why it is vital to use solicitors who have the necessary experience in dental practice sales. As a dentist, you will be only too aware of the unique nature of the regulations governing the dental industry, and it is essential to use a dental solicitor who will be familiar with all the terminology and who knows everything that is required when selling a dental practice.