September 2010
For immediate release
The latest quarterly survey of dental practice sales and valuations by NASDA shows that goodwill values remain high but there are more extremes in the prices being achieved on completion.
Alan Suggett, specialist dental accountant and NASDA member responsible for the quarterly survey, said: “In terms of deals, simplistically it seems that a plateau has been reached at almost the magic 100% level. However, analysis of the data shows that this hides quite a spread, with some practices selling at well over 100%.”
His survey of NASDA member deals and valuations for the quarter ending July 31st shows that the average valuations was 94.1% and the average deal a little higher at 98.9%.
Said Alan: “I think the market continues to be influenced by a number of factors, in no particular order: Good availability of funding for smaller practices, upward value pressure from the consolidators, demand from
purchasers generally exceeding supply, and now an increasing trend of sellers overvaluing their practices. In summary, the market is quite chaotic.”
Ray Goodman, Chairman of NASDA’s Lawyers’ Group said that the dental practice market remained buoyant and he and other colleagues in the group were being kept busy with sales. This was partly attributable to the uncertainty in the dental market, he commented, and a significant number of dentists in their mid 50s happy to sell up and work less.
Note to Editors
The National Association of Specialist Dental Accountants (NASDA) was formed in 1998 to promote high standards in dental accountancy and business advice. It now consists of around 37 firms throughout the UK as well as a lawyers’ group with 13 law firms specialising in dental issues. Members abide by the standards of the NASDA charter and meet twice a year to share information. To speak to a member in your area, go to the website at www.nasda.org.uk or for more press information, call Caroline Holland on 020 8679 9595
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