TUSK Practice Sales Offers Guidance on Doctor-to-Doctor Transitions for Dental Practices
TUSK Practice Sales has released guidance addressing how changing trends among younger dentists are affecting private practice ownership and exit strategies. Data from the American Dental Association's Health Policy Institute shows a decline in solo dental practices, with ownership rates dropping to about 50% of all dentists by 2024. Meanwhile, more new graduates are opting for employment within Dental Service Organizations (DSOs), which now attract over one-third of students compared to just 16% in 2018. The high cost of dental education and the rising expense of starting a private practice—estimated at $900,000–$1.7 million—are making ownership less accessible for new dentists. DSOs offer an appealing alternative with competitive pay and reduced financial risk. Additionally, associate dentists are increasingly mobile; nearly half considered or pursued new positions in 2024, complicating succession plans based on long-term employment. TUSK advises practice owners to explore a range of exit options beyond doctor-to-doctor transitions due to the growing uncertainty around finding qualified successors.
Topics: dentistry DSO growth M&A private practice exit strategies