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Family Dental Practice in West Omaha

Sold

A 50+ year history with an excellent reputation with room for an additional dentist!

CASH FLOW
$68,651

Specifications

  • Down Payment
    5%

  • Equipment
    $174,264

  • Revenue
    $207,593

  • Price
    $165,000

  • Location
    West Omaha, Nebraska

  • Account Receivable
    $15,000

  • Profit Margin
    33%

  • Employees
    1 Office Manager, 1 Hygienist

  • Intangible Assets
    Excellent reputation, long-standing business in the community, loyal patients

As a buyer, you have two great options for purchasing this well-regarded dental practice.  If you are looking for dental office equipment, you can purchase the equipment only for $100,000.  If you are interested in expanding your client base, you can purchase the client list only for $65,000.  If you would like the entire business, you can purchase both the equipment and client list for $155,000, a $10,000 discount!

 

This local, family dental practice has been in business for over 50 years and takes great pride in building great relationships with patients and offering quality dental services.  With over 550 active patients and an additional 100 infrequent patients, this business has a loyal client base with room to expand. 

 

Located in a beautiful strip center along a busy thoroughfare in the Omaha area, this business benefits from great curb appeal in a prime location.  This attractive and modern office has prominent signage, this practice is easy to find with plentiful parking.  Inside, you are welcomed by an attractive waiting room with built-in reception area.  There are three operatories with all necessary equipment including chair, tools, equipment, and lighting.  There is a fourth room that can be converted into an operatory for additional revenue potential. 

 

Currently, this dental practice has a focus on restorative dentistry including crowns, bridges, and fillings.  They also do some cosmetic dentistry including teeth whitening and general dentistry including tooth extraction, root canals, and bite splints. 

 

Growth opportunities can be found in expanding services, or accepting additional forms of payment.  While currently operated by a single dentist, there is room for two making this is a further area for potential growth. 

Business Highlights

  • Year Established:   1962
  • Location: Omaha, Nebraska
  • Patients:  560 active patients with 100 infrequent patients
  • Services:  Restorative Dentistry, General Dentistry, Cosmetic Dentistry
  • Lease:   1,600 sq. ft. with 3 operatories, reception, storage closet, break room, dental lab, consultation room, restrooms   $3200/month
  • Reason for Selling:   Retire from the Practice to teach
  • Employees:  1 Office Manager, 1 Hygienist
  • Seller Training Period: Negotiable 90 days transition
  • Growth Opportunities:  Convert 4th space into operatory, expand payment options, expand hours
  • Current Owner’s Responsibilities:  Sole dentist, bookkeeping, inventory ordering

Financial Highlights

  • List Price: $155,000 for equipment and client list
  • Equipment Only: $100,000
  • Client List Only: $65,000
  • Gross Sales:
    • 2017: $207,593
    • 2016: $217,169
    • 2015: $242,202
    • 2014: $265,206
  • Cash Flow:
    • 2017: $68,651
    • 2016: $71,182
    • 2015: $92,686
    • 2014: $102,509
  • Assets Included in Purchase*
    • Equipment and Inventory: $174,264   Dental chairs, dental instruments, x-ray equipment, dental lab, furniture and fixtures
    • Intangible Assets:  Excellent reputation, long-standing business in the community, loyal patients
    • A/R:  $15,000
    • Lease Improvements:  $175,256
    • Inventory:  $3,000     Hygiene and dental supplies

*amounts may vary

**Owner has been increasing teaching load and decreasing practice time over the past few years, but the practice has the patient-base to continue at previous levels.**

Patients

  • Adult patients 80%
  • Child patients 20%
  • About 30% of referrals are from family members
  • All patients are fee for service, but this practice does take insurance

 

Specific information regarding clients is available upon the receipt of a signed Non-Disclosure Agreement.

Services

Restorative Dentistry 60%

Crowns

Bridges

Fillings

Veneers

Inlays

Root Canals

Bite Splints

 

General Dentistry 30%

Primary Dental Provider

Regular exams

X-Rays

Teeth cleaning

Gum care

Dental Therapy

 

Cosmetic Dentistry 10%

Teeth Whitening

Veneers

Bonding

Employees

Office Manager

Schedule appointments

Reminder calls for patients

Billing

Files with insurance

Helps turn over the room

 

Dental Hygienist

Cleans patients’ teeth

Takes X-rays

Inventory Management

Growth Opportunities

·         Expand hours

·         Expand payment options

·         Expand services offered

·         Convert office space into 4th operatory

·         This business currently does little advertising, so the addition of advertising has the potential to increase business

Valuation Details

The Firm Business Brokerage used a Cash Flow Valuation methodology to determine the Purchase Price of the business. 

The formula used is as follows:

Cash Flow       x          Prescribed Multiple     =          Fair Market Value

Cash Flow is the sum of business net income plus any owner perks and any non-onward going expenses.

A multiple is prescribed by a 20 question, 100-point parameter ranking system that is used to analyze the current business health. Each question is based on a scale from 1 to 5: 1 being low, 2 below average, 3 average, 4 above average, 5 high. The average of the responses sum is the business’ prescribed multiple.

For this business, a 2017 Cash Flow was used with a prescribed multiple is 3.  With this information, the computation is as follows:

$68,651           x          3          =          $205,953

The Fair Market Value found above positions the business List Price at $205,000.

Purchase Options

As a buyer, you have two great options for purchasing this well-regarded dental practice. 

If you are looking for dental office equipment, you can purchase the equipment only for $100,000. 

If you are interested in expanding your client base, you can purchase the client list only for $65,000. 

If you would like the entire business, you can purchase both the equipment and client list for $155,000, a $10,000 discount!

Click to download NDA form

Print, sign and send to:

210 N 78th St. 2nd Floor
Omaha, NE 68114

Or fax to:

f 402.939.0857

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The Firm makes no warranties or representation in consideration to the information provided above. All communication regarding this business must occur directly with The Firm Advisors, LLC. The Firm is not a real estate brokerage and does not sell real estate. The Firm solely advises on exit strategy.