Practice value is enhanced by the potential that a doctor can create and articulate, not just about their practice. Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) is important (Net Income, see LPS EBITDA Memo), but a doctors’...
Doctors are naively attempting transactions directly with IDSOs and leaving money on the table, every single time. In this case study, we achieved an extra $2.0 million net for the doctor after eight bidders weighed in on the practice’s real value. I had to...
Two more OMS IDSOs were launched last week, one national and one regional. OMS consolidation bidders now 15+, some with better strategies than others. I predict one of these new ones will soar and one will flounder. The two new OMS IDSOs launched last week are very...
The Truth About Private Equity in Dental Practice Consolidation For some unknown reason, dentists seem to think that Private Equity (PE) is the only buyer of dental practices. In reality, while PE is the financial sponsor of many Dental Support Organizations (DSO) and...
On today’s episode, Chip Fichtner from Large Practice Sales joins us in this 2-part episode. Chip and Dr. Mark Costes talk everything DSO’s and taking chips off the table. LPS are dental specialists and focus on Invisible Dental Support Organizations (IDSO)...
Record Number of IDSO Partnerships Created by LPS in 2022, But Why? Invisible Dental Support Organizations (IDSO) become a doctor’s silent partner by purchasing 51% to 90% of a practice for cash up front. Doctors continue to lead their practices as owners for years or...
The #1 Best Recapitalization in History is Coming This Month (by Multiple of EBITDA) While #2 achieved almost a $2.0 billion dollar recap value after 30 years, the new #1 will achieve over $2.0 billion in about 36 months. And yes, LPS did partner them with over 100...
One of the largest IDSOs in the country announced their recapitalization last quarter. It has yet to close due to the U.S. regulatory review of their new investor; to our knowledge the first entry of a Sovereign Wealth Fund into the U.S. IDSO consolidation frenzy....
When an IDSO is backed by proven financial sponsors with multiple IDSO experience, the risks are lower, and the odds of success and large returns are much higher. The boom in dental consolidation has attracted all types of investors. Some have a pedigree in dental...
The Dental Trifecta IDSO space is relatively uncrowded and can achieve rapid growth due to partnering with three specialties, instead of only one. These two new IDSOs are both regionally focused. Like the OMS above, I predict one wins, one does not, very specific...
