Instead of a startup, you might be the kind of person who would rather buy an already established business. In that case, your solution is to buy someone else’s dental practice.
Having a dental office that you can call your own is a dream come true for many dentists. But how do you know if you’re getting a fair deal? As a coach, my goal is to take your vision of what the future should look like and show you how to get there.
Some techniques work while other approaches don’t. Then, I realized that there really is no one out there, specifically watching out for buyers. Of course, lawyers will do whatever you hire them to do. Accountants and banks are going to run numbers. The broker for the seller will get a commission. So how can you negotiate a deal where everyone wins? The answer is simple; a successful negotiation is a meet in the middle ground.
How to Establish the Middle Ground
As a buyer, you cannot simply enter a negotiation and expect that all of your terms will be accepted. Just because Dr. so and so wants to sell his practice and you want to buy one does not mean that it should be easy.
It is important to highlight the points or areas where the seller and buyer agree rather than emphasizing, which separates them. This will help ensure a positive environment for negotiations. Although it can be challenging for both parties to find common ground considering they are on opposite sides of the bridge, it can still be done.
Be willing to let go of some of your deal points.
I know that this may seem like a shady recommendation, but it does work. In order to negotiate a win-win deal when buying a dental practice, you have to be willing to do this. It may seem like a sacrifice at first, but it will pay off eventually.
Perhaps, you’re wondering if it’s the absolute best thing to do. My answer to that is no. But you have to know that the seller will let go of some of his deal points as well. And it is not necessarily the absolute best thing for him too. Because you have given something up, the seller will feel like giving something up in return. Your lawyer and CPA might disagree with this, but keep in mind that not giving anything does not always work.
A good negotiation isn’t about getting all that is good while the other person gets all that is bad. It is about meeting in the middle.
Make everyone feel that they are getting something.
As a dental marketing consultant, I take an approach that allows me to do right for both the seller and the buyer. When buying a dental practice, although I represent the buyer, I have to make sure that the seller does not feel like he is being taken advantage of or not getting something out of the negotiation. Otherwise, they will leave and go somewhere else. After all, it is a very rare case when you are the only buyer in town.
Naturally, everyone wants to get a great deal, but what does a good deal mean to you as a buyer? The thing is, a great deal is relative. If you consider the seller who thinks that they are selling their blood, sweat, and tears, then you are getting a fantastic deal.
Knowing What the Right Decision is
It is very common for people to expect to realize the result of their decision after the deal has been done. That’s not how it works for us.
We can give you information even before the deal happens. We will paint you a realistic picture of the future. Show you the possibilities, potential challenges, and issues, as well as the opportunities. Then we will ask you whether you’re fine with all of those things. If not, then we will walk away. But if you are good with everything we presented, we will go ahead with the deal.
It is absolutely critical for us to be clear about what they want and what they can achieve with a dental practice they want to purchase. This is why we often have many conversations about their vision whenever we start engaging with prospective buyers.
Knowing what potential buyers think the future looks like for them and understanding their vision for their own practice are crucial factors to help them get a great deal. It’s also necessary to see things as the other side sees. That way, we can identify where the commonality lies. Doing these successfully will certainly help you negotiate a winning deal when buying a dental practice for both the buyer and the seller.