Transition Planning: Start a Decade Before You Think You Need To
Most owners think about transition seriously about 18 months before they want to retire. By then, the levers that move valuation — production trend, hygiene strength, associate readiness, recall health, financial clarity — are largely locked in.
Phase 10 of the PPS roadmap exists because the right time to start planning is roughly a decade before the sale. Not to rush the exit, but to make sure the practice the owner leaves behind is worth what the owner deserves.
What drives valuation
Buyers and lenders look at production trend over the most recent 36 months, hygiene revenue as a share of total, active patient count, recall reappointment rate, fee structure, and the depth of the team. They also look at how dependent the production is on the owner personally — the less dependent, the higher the multiple.
Every one of those levers is something the owner can influence in the years before transition. None of them can be created in the last six months.
The conversations to have early
Owner financial readiness, associate development, real estate decisions, family or partner involvement, and the timing window all benefit from a structured conversation well before any listing is considered.
With more than 30 years of British Columbia dental practice transition experience, PPS guides owners through valuation, structure, and handover — but the most valuable work usually happens long before the deal is on the table.