The Shrinking Pool of Private Dental Practice Buyers

The shift in the dental landscape is stark. Private practice ownership has dropped from 85% in 2005 to 73% in 2023, while the share of dental students intending to join a dental support organization (DSO) has doubled since 2018. New graduates are choosing the immediate financial security of DSOs over the high barrier to entry of private practice, where startup costs can reach $1.7 million.

The Risks of Succession Planning

Succession plans pinned on current associates are increasingly fragile. Data from the 2025 Dental Industry Salary Report indicates that nearly 29% of associates changed employers in 2024, with almost half actively seeking new positions. This high turnover makes it difficult for owners to guarantee a successor will remain in place long enough to complete a sale. Furthermore, doctor-to-doctor deals often come with hidden financial hurdles. Lenders frequently demand that the seller carry a note for 10% to 25% of the purchase price, tethering the seller’s financial outcome to the buyer's future performance. Connor Jorgensen, Director of Business Development at TUSK Practice Sales, notes that these financing gaps often emerge late in the process, leaving unprepared sellers to restart their exit planning from scratch. As the market evolves, owners who fail to evaluate all options—including DSO partnerships—risk leaving significant value on the table or facing a failed transition.