Dentist partner buyouts
Helping you make it your dental practice
Acquiring a partnership or other share in an existing dental practice or buying it outright can be an excellent investment. But there will be substantial costs.
Buying into an established dental practice is a major step in your career. You know the kind of profits you should be sharing in and avoid the costs and uncertainties of setting up.
Partner Buy-ins are common with larger dental practices and may be an opportunity for an existing firm to bring in new talent as part of an expansion plan, or as a way for an existing partner to leave the business, often to retire.
Funding will be required from the joining partner, either to support the growth plans of the business or to recompense the exiting partner for his or her hard work in building up the practice. Some funding may be required by the business itself
With a Buyout, you may acquire the entire practice.
The sums involved will reflect the turnover and new partner joining as a junior might expect to pay considerably less than someone taking over an entire practice. In both cases, it is essential to find the most appropriate kind of funding solution, and the most competitive rates.
Funding a partner buy-in or buyout
Several solutions exist:
The scale of funding required with larger practices - which can be £250,000 or more - may make some form of Secured Loan necessary. Security, such as the business premises or your home, may be required and will be at risk if you cannot keep up repayments.
It may also be possible to arrange a Practice Loan that is effectively an advance secured on the future performance of the business.
Borrowing against the existing assets in the practice, which are likely to include a great deal of valuable equipment, may allow a high level of funding to be raised.
Lenders may provide an Unsecured Loan, repayable over three to five years, to support a buy-in or buyout. No security is required, but you will need to provide a Personal Guarantee or this type of lending.
This an increasingly popular source of finance even at the smaller end of the market. Private equity firms usually want liquidity after 3 to 6 years and expect to take their profits then. Remember that the private equity firm is looking to maximize its own returns, rather than building a sustainable future for the business.
The vendor can help fund the transition by leaving some of their equity in the company as loans to be repaid over time. This may be required by some lenders who seek evidence that the plan is seen as fully viable by the sellers.
REAL EXAMPLES OF WHAT WE CAN DO
Source a professional loan to allow a newly qualified dentist to buy a partnership in an existing practice
Find the most competitive asset refinance deal to allow a buyout
Help a dental professional arrange ‘jigsaw’ funding to allow her to acquire an existing practice
Find finance to allow two partners to acquire a large established practice
Produce funding for a dentist ready to buy into a prestigious London partnership
Why you need Rangewell to find finance for your business buy-in or buyout
If you are planning to buy into an established practice many lenders will be happy to lend to you. Your status represents a good business risk, and you can prove the viability of an existing business with accounts.
But not all lenders will be prepared to offer the most competitive terms or provide the flexibility that you need.
Looking for the most competitive deal across the entire market takes time and expertise. We know the lenders who can offer the most competitive rates and we find solutions for all types of finance, including Professional Loans, Unsecured and Secured Loans, Invoice Finance, Asset Finance, Merchant Cash Advance, Commercial Mortgages, Growth Finance and more.
As well as conventional loan products, we can help you find Alternative Funding, using new loan providers and styles of funding.
Whether you have a straightforward, small-scale funding need, or require a complicated ‘Jigsaw’ funding plan made up of a combination of financial products, we can work with you to find the answers.
Call us now to get our experts working for you.
Helping you build your profits
Lending tailored to your needsAt Rangewell we can help you find the most appropriate finance for any type of buyout or buy-in.
Funding scaled to your needsFunding solutions are available for your plans whatever the size of business, from tens of thousands of pound to tens of millions.
Cutting the costsWe can help you find the most cost-effective solution for your needs.
Reducing risk with expertiseOur expert teams understand all aspects of business funding. Their expertise works to support you and reduce your risks.
Releasing the value in your businessAsset refinance can help you release the value in the business to help you buy it.
Specialist lendersSome asset funding providers specialise in particular sectors. At Rangewell, we can help you find the most appropriate lenders for your practice.
Download Rangewell’s free and detailed guide to Finance for Buy-Ins and Buyouts
What types of finance are there - which do you need?
Why not all providers are equal - finding the one that’s right for you
How we can provide an additional income stream
The downsides to finance - and how to avoid them
How to arrange finance - what paperwork do you need?
Key terms explained
Getting the right funding arrangement is essentialThere are many forms of business finance available. Getting the most appropriate type for your particular needs is essential to avoid excessive costs.
Your key equipment could be at riskIf you are unable to keep up repayments on an Asset Refinance agreement, the equipment your business depends on could be could be at risk.
Long-term financial commitmentsYou may not be able to pull out of a finance arrangement once set up.
Our service is...
ImpartialTransparent and independent, treating all lenders equally, finding the best deals.
In-depthEvery type of finance for every type of business from the entire market - over 300 lenders.
In-personSpecialist Finance Experts support you every step of the way.
FreeWe make no charge of any kind when we help you find the loan you need.