Should I Sell to a DSO or Private Buyer?
DSOs offer higher prices; private buyers offer faster exits. The right choice depends on your priorities around value, timeline, and post-sale involvement.
Quick Comparison
| Factor | DSO | Private Buyer |
|---|---|---|
| Valuation Multiple | 7x - 12x EBITDA | 4x - 7x EBITDA |
| Cash at Closing | 60-85% | 100% |
| Employment Required | 2-5 years typical | 3-6 months typical |
| Clinical Control | Reduced | Transferred |
Choose DSO If:
- Maximizing sale price is priority
- Willing to work 2-5 more years
- Want reduced administrative burden
- Practice has strong EBITDA
- Multiple locations or high value
Choose Private Buyer If:
- Want full cash at closing
- Ready to exit completely
- Value clinical autonomy
- Concerned about corporate culture
- Want faster transaction
Key Considerations
- Post-sale lifestyle goals
- Financial needs
- Legacy preferences
- Staff welfare concerns
- Timeline flexibility
Bottom Line
DSOs pay premiums but require extended commitment. Private buyers offer cleaner exits at lower prices. There's no universal right answer—choose based on your personal priorities and circumstances.
Decision guidance? Contact DentalBridge.