Most dentists that have their own practice didn’t start it right after graduating from dental school and getting their DDS or DMD.
Instead, they commonly begin their careers as dental associates working for someone else’s practice, honing their skills and gaining experience. After some years, most want to have their own practice, and while this goal is clear in their mind, they might not know if starting a new dental practice or buying an existing dental practice is the better option.
There are specific pros and cons to each, and the choice can be a very hard decision to make. Obviously, there is no right or wrong answer – only certain factors that might sound more or less appealing depending on your preferences, lifestyle, personality, and finances.
If you’re thinking about starting a dental practice or buying a dental practice and trying to determine which is best for you, read on to learn more about the pros and cons of each so you can make a more informed decision.
Pros and Cons of Starting a New Dental Practice from Scratch
Starting a dental practice is an exciting once-in-a-lifetime experience and allows you to have control over every aspect of the practice – from the kind of chairs in the waiting room and the colors of the walls to your brand messaging and the name of your practice. You can ensure everything aligns with your personality and vision and truly make the business your own, but this can be quite the undertaking.
You’ll likely be spending a lot more than you would if you were buying a dental practice, you’ll need to develop a new customer base, it can take longer to get up and running and become profitable, and there is a very real risk of failure whenever creating a new business.
Pros and Cons of Buying an Existing Dental Practice
Buying a dental practice gives you immediate access to cash flow and an existing customer base, and you should have a good understanding of the historical and projected future performance of the business.
Additionally, you should have all the equipment you need. You’re essentially taking advantage of a turn-key operation from day one, and you’ll also be able to rely on the seller’s knowledge, who can act as a mentor during the transition and set you up for success.
But when you buy a dental practice, you’re not getting many of the same benefits as starting a dental practice, like control over branding elements or laying out your own business structure.
We hope you now have a better idea of which option will work best for you, but we realize you still might have some questions pertaining to funding. For financial advice on starting your own dental practice, reach out to Unsecured Funding Source’s experts today!