Why Your DSO Exit Strategy Is
Probably Worthless

Episode 21

Vince Dilley, founder & CEO of Platinum Dental Services (bootstrapped DSO since 2012), drops truth bombs about dentistry's ticking time bomb: succession planning through private equity-backed DSOs.
Key Revelations:
  • Doctors drive the ship, DSO provides support - not the other way around

  • Doctors fixate on upfront valuations but ignore the fine print: rolling 40% equity forward with ZERO guarantee it maintains value

  • New DSO operators often underperform original owners, destroying that rolled equity

  • Associates are the key to organic growth, yet many DSOs don't align incentives for them to become partners

The Succession Planning Crisis
AVAILABLE ON

"Is cash basis accounting actually hurting my practice or my DSO?"

Ken's answer: Absolutely yes. Cash basis only shows where money went, not what you actually produced or the value you delivered to patients. Most owners don't realize the damage until it's too late. If you're not on accrual basis, you need to fix this NOW.

The "Ask Ken" Question:

While everyone chases valuation multiples and arbitrage plays, doctors are sleepwalking into retirement disasters - discovering too late that their 40% equity rollover is now worthless, the new operators can't maintain performance, and investors expect them to keep working years beyond their planned exit.

Ask Ken

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