Dental Practice Valuation
Dental Practice Business Valuation Calculator & Exit Planning Built for Dentists
We built one platform that tracks your dental practice business's value monthly, identifies exit gaps early, and ensures your personal finances align with your exit timeline.
1,000+ Businesses have joined YourExitValue.com
Most Dental Practice Owners Have No Idea What Their Business is Actually Worth
Current Dental Practice Valuation Multiples (2026)
Dental Practice values are strong due to increased buyer demand from DSOs like Heartland, Pacific Dental, and Aspen. Here's what companies sell for:
Every business is different. That's why you need to track your value.
Included in Your Exit Value is a complete Exit Planning Assessment where you track your progress quarterly against your results from the previous quarter.
Know your number and watch it grow
Most business owners guess at their value. You'll know it with precision.
Our platform uses six proven valuation methodologies to give you a complete picture of what your business is worth today—and tracks how that number changes month over month. No more waiting for annual appraisals or paying $15K+ for outdated reports.
See your trends. Spot opportunities. Make informed decisions
What Actually Drives Dental Practice Business Value
Revenue and earnings are the two most influential factors in your dental practice business's valuation. But not all companies are valued equally. Here are the factors that move your number up—or down:
Active Patients
1,500+ Active
Active patients seen within 18 months are your real base. Under 1,000 is small. Buyers calculate value based on active patients, not total charts—a practice with 2,000 active patients at $600 production/patient has clear, measurable value.
Declining patients = declining value
Hygiene Production
33%+ of Revenue
Practices producing $800K+ per operatory show efficiency. Production per op is a key efficiency metric—it tells buyers whether you're maximizing your physical footprint and hygiene leverage.
Low hygiene = poor retention
Associate Doctors
1+ Associate
Associates handling 30%+ of production proves the practice works without you. Solo practices face 100% transition risk—having an associate already treating patients dramatically reduces buyer concern about patient retention.
Solo = high transition risk
Insurance Mix
Balanced Payer Mix
Hygiene should generate 30-33% of revenue. This ratio indicates proper recalls, perio programs, and practice health. High hygiene revenue shows recurring patient relationships and proper preventive care protocols.
PPO-heavy = squeezed reimbursement
Technology Level
Digital & Modern
Specialty services like implants, ortho, and sedation increase production per patient. In-house specialty work captures revenue that would otherwise go to referrals and increases practice value per patient.
Film X-rays = capital needed
Collections Rate
98%+ Collections
Modern equipment and digital technology signal a well-invested practice. CBCT, digital scanners, and modern operatories reduce buyer's near-term capital requirements and demonstrate professional management.
Low collections = revenue leakage
How to Value a Dental Practice
There are approximately 200,000 dental practices in the United States generating over $165 billion in combined annual revenue. Dental practices are among the most frequently valued and sold professional practices in the country. Understanding how to value a dental practice requires familiarity with three primary valuation approaches.
Seller's Discretionary Earnings (SDE) is the most common valuation method for owner-operator dental practices. SDE adjusts net income by adding back the owner-dentist's compensation, personal expenses run through the practice, and non-recurring costs. Dental practices typically sell for 1.5x to 2.5x SDE — lower than many industries because of the high owner-dependence inherent in clinical dentistry.
Revenue multiples are also widely used in dental transactions. Practices generally sell between 0.60x and 0.90x annual collections, with specialty practices (oral surgery, orthodontics, periodontics) sometimes exceeding 1.0x. General practices collecting over $1M with multiple operatories and associate dentists command the upper end.
The unique valuation challenge in dentistry is patient transferability and provider dependence. When the selling dentist leaves, some patients inevitably leave too — typically 10-25% in the first year. Buyers and lenders build this attrition risk into their offers. Practices that have associate dentists already treating patients, strong hygiene department production, and a well-trained front office team retain patients at much higher rates, which directly translates to higher sale prices. Active patient count, new patient flow, and insurance panel participation are critical metrics.
The dental industry has seen massive consolidation through DSO (Dental Service Organization) acquisitions. DSOs like Heartland, Aspen, and Pacific Dental have driven up valuations for practices that meet their acquisition criteria — typically $800K+ in collections with growth potential. Even practices not selling to DSOs benefit from this rising tide. Use our free calculator above to get your instant estimate, then track your value monthly with YourExitValue.
Frequently Asked Questions
What multiple do dental practice businesses sell for?
Most dental practice businesses sell for 1.8x – 2.5x SDE or 0.6x – 0.9x annual revenue. However, the range is wide. Companies with strong active patients can command significantly higher multiples. YourExitValue tracks exactly where you fall on each value driver.
How does active patients affect my company's value?
Active Patients is one of the biggest value drivers for dental practice businesses. Dsos like heartland, pacific dental, and aspen specifically look for companies with strong performance here. Improving this metric can significantly increase your multiple.
How long before selling should I start tracking my dental practice business value?
Ideally 1 to 5 years before your target exit. This gives you time to improve your active patients, reduce owner dependence, strengthen your team, and document growth trends buyers pay premium prices for.
Who buys dental practice businesses?
Common buyers include DSOs like Heartland, Pacific Dental, and Aspen, as well as individual buyers looking to own a business and strategic acquirers. Each buyer type values different aspects. YourExitValue helps you understand what each looks for.
What valuation method is used for dental practice businesses?
Most dental practice businesses are valued using SDE (Seller's Discretionary Earnings) multiples for smaller companies under $1M in earnings, and EBITDA multiples for larger companies. Revenue multiples (0.6x – 0.9x) are sometimes used as quick reference.
What's the fastest way to increase my dental practice business value?
The fastest improvements typically come from: 1) Improving your active patients to hit the target, 2) Reducing owner dependence, 3) Documenting your systems and processes, and 4) Cleaning up financials. Most owners add 20-40% in 12-24 months.
