For immediate release
NASDAL Goodwill Survey – further NHS practice woes
This week sees the latest results from the NASDAL (National Association of Specialist Dental
Accountants and Lawyers) Goodwill Survey statistics. This survey covers the quarter ending 31st July
2022 and includes data on valuations as well as deals completed (i.e., practices bought or sold by
NASDAL members’ clients in the period).
The quarter saw a mixed bag – goodwill down for NHS and mixed practices, but a slight increase for
private practices. Overall, there was a decrease in goodwill as a percentage of fee income in the
quarter across all types of practice – deals averaged 135% of gross fees – down from 143% in the
quarter to 30th April 2022.
NHS practices fell back to 132% goodwill as a percentage of fee income in the quarter – a big drop
from 178% of gross fees in the previous quarter. Mixed practice goodwill values were also on the
slide as they dropped to 119% of gross fees (132% in the previous quarter). Private practices saw a
small increase with goodwill at 140% of gross fees – up from 124% in the last quarter.
NHS Practices less attractive?
Mike Blenkharn, Head of Dental at UNW LLP who compiles the goodwill survey, said, “In my view,
this quarter is more indicative than the previous one. I feel that NHS practices are less attractive
than they were twelve months for a number of reasons – recruitment of staff being one of the major
ones. The right mixed practice can offer the benefits of both private and NHS.”
Johnny Minford, Principal of Minford Chartered Accountants and NASDAL Media Officer added, “I
think that the market will stabilise over the next twelve months. With a coming recession and lower
consumer confidence, the NHS could be perceived as a safe haven. The value of a steady income is
starting to be seen in the Goodwill Survey results, with mixed practices showing higher values than
predominately private. NHSBSA are taking a hard line on clawback and abatement, so conversely this
could lead to more NHS practices on the market.”
The goodwill figures are collated from accountant and lawyer members of NASDAL in order to give a
useful guide to the practice sales market. These figures relate to the quarter ending 31st July 2022.
NASDAL reminds all that as with any averages, these statistics should be treated as a guideline only.
ENDS
Note to editors:
NASDAL, the National Association of Specialist Dental Accountants and Lawyers, was set up in 1998.
It is an association of accountants and lawyers who specialise in acting for and looking after the
accounting, tax and legal affairs of dentists. It is the pre-eminent centre of excellence for accounting,
tax and legal matters concerning dentists. Its members are required to pass strict admission criteria,
and it regulates the performance of its members to ensure high standards of technical knowledge
and service.
Heidi Marshall, the Chair of NASDAL, is available for interview. To organise to speak to her or
any other members of NASDAL for more information please contact Chris Baker.
For further information please contact Chris Baker on 0845 370 2211/07947 470896 or email
chris.baker@coronadental.co.uk
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