Know What You’re Getting Into

The decision to sell your practice to a dental group is a major one, and it’s important to understand what you’re getting into before you sign on the dotted line. There are a lot of options to choose from but not all groups are created equally.

We’ve outlined 20 of the most pressing questions to ask when considering a partner, paired along with our answers. This list was carefully curated by our team of more than 700 doctor partners who have been through the process themselves. We hope these questions clear up any misconceptions and provide valuable insight into what’s involved in joining a dental group.

About MB2 Dental

Headquartered in Dallas, Texas, MB2 Dental was founded in 2007 as the first Dental Partnership Organization (DPO). MB2 is one of the fastest-growing dental groups with nearly more than 700 general and specialty affiliated practices across 40 states and counting. Doctors who partner with MB2 Dental:

• Broaden their financial portfolio and gain access to capital and exclusive investment opportunities
• Increase the profitability of their practice by accessing a wide array of industry-leading services and support
• Grow their brand by expanding within their practice and opening new locations
• Rest easy knowing they have a partner to manage the stress and administrative burdens that come with running a dental practice
• Join a community of hundreds of fellow practice owners equally committed to preserving the dental profession (and who have a lot of fun together too)

And so much more. As the clinician, you will remain the sole leader of your practice, team, and patients. MB2 Dental is committed to supporting our owners and collaborating to drive the long-term success of your practice.

The bottom line: MB2’s model offers the benefits of joining a larger group while keeping doctors in control of their practice.

1. How long has the company existed?

Consider the history of the company. MB2 Dental has a 15-year track record of success and lessons learned. Many dental groups today have only been around for a few years and haven’t had developed infrastructure to support your practice. Many groups have an overly transactional approach, which lacks a long-term investment in you and your team.

2. What type of equity am I getting?

It’s important to understand what equity you are getting in the sale of your practice. DSO’s have different classes of stock, and each class of stock will have different financial outcomes and rules. Meaning some shareholders will do better than others and the private equity investors will almost always have disproportionately better outcomes than the doctors.

MB2 Dental has one class of stock, so the doctors have the same financial benefit as the private equity investors. In MB2 Dental’s partnership model, your equity is retained ownership in your practice. You receive monthly distributions directly from your practice profits, and you control your financial outcomes.

3. Where is the capital coming from to purchase my practice?

Buyers use debt or equity capital to acquire practices. MB2 Dental uses a combination of the two. We have access to a large, recurring credit facility due to our performance and substantial equity capital from our private equity investors and our doctor partners. Additionally, our business generates surplus cash flow that we invest in new partners.