Buying a dental practice
Whether you are a new entrant to the market or an experienced operator, we will work with you to ensure that your purchase runs smoothly and to your timescale. We understand that you may already be working in a dental surgery and will and try to work around your hours when communicating with you.
Experienced in the dental purchase process
Assets and Share Purchases
We advise on both asset and share purchases, tailoring our advice, documentation and costs accordingly. We know the right questions to ask the seller and how to negotiate appropriate protection into the contract. We will work closely with you, your lender and tax advisers from the outset to ensure you receive a first class service.
You may be buying a freehold, taking an existing lease or negotiating new lease terms. We will investigate the title, help satisfy the requirements of your lender and ensure any lease terms are favourable and appropriate for the particular location of the pharmacy.
Transfer of NHS Contract
Where the practice includes a GDS contract the buyer and seller will need to consider the appropriate mechanism to “transfer” the contract to the buyer. It is not possible simply to assign it so the well trodden path is to use the partnership route.
Where the sellers are already in partnership, the buyer can be added to that partnership with effect from completion. Alternatively if the seller operates as a sole trader, he or she can notify NHSE that he or she wishes to changes his or her status from that of an individual to that of a partnership. At completion, the seller “sleeping” partner(s) give up all decision making authority and are indemnified by the active “buyer” partner(s) from all financial liabilities arising from that time. At some later time, maybe after a few months, the seller(s) can retire from the partnership and the buyer partner(s) can continue.
It is of course essential to ensure that the correct CQC applications are made so that the practice holds the correct registration and can continue trading immediately after completion. The CQC will not issue its Notice of Decision until after completion but our experience is that they will still issue what is known as a “comfort letter” in advance which funders have to date been willing to rely on.
The precise arrangements will depend on a number of factors. These include the approach of the LAT concerned and whether or not the buyer(s) will continue in partnership in the longer term or whether a sole buyer is going to operate as a sole trader. The date on which a partnership was registered ie before or after 4th February 2013 also determines whether a new application needs to be made or whether it can be dealt with by way of a change of condition