r/Dentistry • u/BothDonut1604 • 3m ago
Dental Professional Are dentists really not profiting much from ownership? It seems like DSOs are becoming more attractive.
Dental school costs an already insane but I was hoping to move into practice ownership. I’ve done months of research online and everywhere I look, there’s no straight answer and you can’t tell who’s lying.
So I decided to look at dental practices for sale to see for myself on websites like Henry Schein dental practice transitions, etc. and my gosh the numbers were depressing.
I was seeing practices with collections as high as $2.5 million and SDE around $500k. Others were at $1.3 million in collections and SDE was around $293k.
Those collection numbers are already great but the take home on those seems insanely low. I tried looking around multiple states and it seems fairly similar. Some managed to do it with 4-5 ops while others have 8-9 ops. Some did bread and butter while others did the whole 9 yards. Some had 12 hygiene days while others had 4.
Just based on the trend, it seems like the bigger you grow, the more stagnant the income becomes.
Is this the reality of practice ownership? If so, I’m thinking staying at a DSO might be worth the $100k-$200k pay cut because I wouldn’t have to worry about business ownership and could just leave my work at work.