How to Get the Highest Valuation for Your Dental Practice

One of the trends impacting our industry in 2025 is sales to dental service organizations (DSO). Dental practice owners are starting to retire, with many considering a sale to a DSO. Even if you are a dental practice owner and are nowhere near retirement, DSOs can still offer an appealing level of support. In fact, sales to DSOs have already been increasing in recent years.

Maybe you’ve already decided you want to sell your dental practice to a DSO! An important question to ask now is: how do I get the highest valuation for my practice?

What are DSOs looking for?

It’s crucial to understand what DSOs value and how to position your practice accordingly.

DSOs typically assess dental practices based on key factors such as:

• Revenue and profitability
• Patient base
• Operational efficiency
• Geographic location
• Practice reputation

It goes without saying that high revenue and consistent profitability are essential to determine a practice’s value and that a large, loyal, engaged and diverse patient base demonstrates stability and growth potential. Meanwhile, streamlined operations with reduced overhead make your practice more appealing. Practices in high-demand areas or underserved regions often command higher valuations, and a strong reputation backed by positive patient reviews and referrals enhances your marketability.

Of course, there are some things that the practice owner and staff have control over, and some they do not. For example, it’s challenging to change the geographical location of your practice! However, revenue, patient base, streamlined operations, and a strong reputation are within your control.

A strong patient base = solid revenue

Optimizing your practice’s financial health is a critical step. And, this goes hand in hand with maintaining and growing a strong patient base.

When it comes to maintaining that strong patient base, remember how much the patient experience matters! From convenient scheduling options to personalized care, the patient experience can make or break how a patient feels about their dental practice. Engagement is a significant contributor to this experience. For example, leveraging a patient engagement platform that allows you to use text, voice message, or email according to your patients’ preference will streamline communication. Plus, patients are less likely to miss or arrive late for appointments when the reminder has come in a medium they prefer! This is one of the ways that a solid patient base, the patient experience, and practice profitability are intertwined. A solid patient experience contributes to a solid patient base —  which in turn contributes to profitability.

However, returning patients aren’t the only way to increase your practice’s valuation. DSOs will also want to see growth potential. To attract new patients, some strategies include: 

• Using digital marketing strategies like search engine optimization (SEO), social media campaigns, and Google Ads
• Partnering with local businesses or participating in community events to help build brand awareness
• Diversifying your services where possible, showing the capacity for expansion

And, for revenue and profitability, controlling expenses is equally important! Analyze and reduce unnecessary costs, such as supply expenses or underutilized technology. (The Patient Experience Blueprint recently released a great episode about managing dental equipment!). Negotiating better rates with suppliers or labs can also improve the financial health of your practice before valuation. Importantly, ensure that you track key metrics by maintaining accurate records of revenue, collections, and profitability. 

Reputation management matters

A positive patient experience and solid patient base are also at the heart of building a strong reputation for any dental practice. When patients feel valued, cared for, and satisfied with the quality of service they receive, they are more likely to share their experiences with others. Word-of-mouth referrals and online reviews are powerful tools that not only attract new patients but also build trust. Positive patient experiences lead to long-term loyalty and potential for growth, supporting a high valuation for your dental practice as you prepare to sell to a DSO.

Investing in a patient engagement platform can simplify the process of gathering feedback. These platforms allow dental practices to send satisfaction surveys efficiently, often through automation. Practices can encourage happy patients to share their stories online, leveraging patient advocacy in Google Reviews or any other platform. 

Plus, patient engagement platforms help practices monitor feedback in real-time, addressing concerns promptly and improving services where needed. This all contributes to building that solid reputation and patient base for valuation.

Streamlining operations before valuation

Streamlined operations are another factor DSOs value when considering a practice for acquisition. To make your practice more appealing, document all standard operating procedures, whether they are related to patient care, billing, staff roles, and more. Adopting modern technology, such as robust dental practice management software and a patient engagement platform, can help improve scheduling, billing, and patient communication. 

This is true of dental equipment as well! Ensure that your equipment is up-to-date before the practice is assessed.

Don’t forget about the due diligence process

The due diligence process is a critical phase for your dental practice. This is when a DSO evaluates your practice in detail. Being prepared can streamline this process and enhance buyer confidence. 

Start by organizing all necessary documentation, such as financial records and tax returns. Demonstrating growth potential through data or projections showing how the practice can grow under the DSO’s ownership is another important step. Be transparent about your practice’s strengths and weaknesses, as honesty builds trust and facilitates smoother negotiations. Get ready for tough questions! But with the right preparation, you can show your dental practice with confidence to a prospective DSO.

Intiveo’s resources for dental practices

Recently, Intiveo published 5 Ways to Increase Efficiency at DSOs and MSOs, which is also a great resource for practices looking to sell because of the insights it provides into the inner workings of these organizations. Plus, we offer a number of resources including guides, reports, template packages, and more — plus, The Patient Experience Blueprint podcast!

Want to get resources like this delivered straight to your inbox? Subscribe now!