What Could Your Dental Practice Be Worth?
Every practice is different, and so is its value.
Our simple formula provides an indicative valuation based on a handful of key characteristics,
giving you a helpful starting point as you begin planning your next chapter.
How to estimate the value of your practice
A simple valuation guide
Many dental practice valuations begin with an estimate of EBITDA (earnings before interest, tax, depreciation and amortisation).
A simplified way to estimate this is:
Estimated EBITDA
≈ Annual Practice Revenue × 20%
Once you've estimated EBITDA, an indicative valuation range can be calculated by applying an earnings multiple.
Indicative valuation
≈ EBITDA × 5.5–7.0
Example
Annual Revenue
£1,500,000
↓
Estimated EBITDA
£300,000
↓
Indicative Valuation
£1.65m–£2.10m
This is a simplified illustration only and should not be relied upon as a formal valuation.
Five ways to increase the value of your practice
Build a strong clinical team
Practices that rely less heavily on a single individual are often viewed more favourably.
Demonstrate sustainable growth
Consistent, predictable performance is often more attractive than short-term spikes.
Invest in patient retention
Strong recall systems and loyal patients support long-term value.
Modernise systems
Technology that improves operational efficiency can strengthen future attractiveness.
Plan early
Owners who begin planning well in advance often have more options available to them.
Why is this only an indicative valuation?
The formula provides an indication based on a simple calculation and current market assumptions.
A full valuation involves a much deeper understanding of your practice, including factors that can't be captured through a simple online calculator.
These include:
- Quality and sustainability of earnings
- Key person risk
- Growth trends
- Clinical mix
- Team stability
- Local market conditions
- Future opportunities
These are the things we work through together. For that reason, your online valuation should always be viewed as a helpful starting point rather than a formal valuation.
Frequently Asked Questions
How is a dental practice valued?
Professional valuations consider financial performance, profitability, team structure, private revenue, growth potential and many other qualitative factors.
Is the valuation accurate?
The formula here provides an indicative valuation. A confidential discussion allows us to provide a much more informed assessment.
Does a higher percentage of private revenue increase value?
Private revenue can influence valuation, but it is only one of many factors buyers consider.
Do I need to be ready to sell?
Not at all. Many practice owners use the formula to simply to understand their options and begin planning for the future.
Is my information confidential?
Yes. Any information you share with Envisage is treated in the strictest confidence.
How long does a professional valuation take?
Most initial conversations take less than an hour, with a detailed valuation following once we understand your practice more fully.
“Ready for a more detailed valuation? Our online formula is a great place to start, but every practice tells a different story. If you'd like a confidential, no-obligation conversation about your practice and its potential value, we'd be delighted to help. ”
Thinking about your next chapter?
Every great partnership starts with a conversation. Whether you're planning for the future or simply exploring your options, we're here to listen.