If you are interested in selling your dental practice, it is only natural to want to get the highest possible price for it. For the most part, a dental practice valuation is fairly straightforward. It is based on formulas, and modified by certain intangibles such as brand equity and intellectual property. Still, there is always an X factor, which is the personal feeling that the practice evokes in a potential buyer. Here are 5 creative ways to boost your dental practice valuation.
If you do not have a website for your dental practice, adding one will boost your valuation quickly, as long as it is of high quality. Fill the website with content and educational materials that add real value for patients. Put your new patient forms online so that patients can complete them ahead of time. This will improve your valuation by demonstrating a genuine commitment to the patient experience, as well as an acknowledgement of the digital world we live in.
In addition to a high-quality website, a strong social media presence is vital. Start connecting with other dentists on LinkedIn, and with your patients on Facebook and Twitter. Start updating your social media pages several times per week with interesting, interactive material. This shows potential buyers that your marketing is up to date and that you are making a real effort to connect with current and potential patients. You can even track your conversion rate to see how many new patients you attract on social media.
You also need to learn what people are saying about your practice. Patients tend to leave reviews only when they are extremely happy or very angry about the service you provided, and you need to know which is true for your patients. In addition, a quick, heartfelt yet professional response to a negative review can turn around a bad situation and build trust with others who are reading the review.
Start asking your patients to leave reviews on your website, social media pages, and third-party sites such as Yelp. Read and respond to your reviews at least once a week.
Once your online presence is up and running well, take a look around the office. You may have heard of “staging” a house for potential buyers, using simple decorating tips to make it look more appealing. Staging is just as important for your dental practice. Replace furniture that looks worn and dated. Update the lighting if it is dim or harsh. Remove personal items and family artifacts.
Look at pictures of modern dental offices online for inspiration, or schedule a free consultation with an interior decorator who specializes in office spaces. You don’t need to spend a fortune. Even a few small tweaks can make an enormous difference in attractiveness to buyers.
In an ideal world, you would already have a business plan that is updated regularly and guides the growth of your practice. If yours is outdated or, worse, you don’t have one at all, it is time to get to work. Your business plan should contain a plan for growing the business, such as ideas on how to encourage referrals from existing patients and how to work with employers and insurers to bring in new patients. The more active growth potential you can demonstrate, the higher your potential valuation may be.
Ready to Get Started?
If you are interested in learning how to take your dental practice to the next level, please contact Ascent Dental Solutions today at 413-224-2659 to learn how Dr. Coughlin can help.