What’s Really Driving DSO Valuations in Today’s Market?
Episode 63
Key Revelations:
Buyers are looking beyond EBITDA—they want to see organic growth, strong operators, clinical excellence, and sustainable performance.
Doctor retention and patient retention are becoming critical indicators of a group's long-term value.
Deal structures are becoming more complex, with retention bonuses, growth hurdles, and other incentives designed to create deeper alignment.
Founders who can make themselves less essential to the business can significantly de-risk the organization and strengthen its valuation.
The New DSO Growth Formula
Ben Hernandez, CEO and Managing Director of Skytale Group, breaks down what’s really happening in the DSO consolidation market—and why the days of simply “getting bigger” may be over. From changing buyer expectations and more complex deal structures to the growing importance of operational excellence, doctor retention, and patient retention, Ben reveals what today’s buyers are actually looking for when evaluating a dental group.
“What is a debt schedule, and why does my DSO need one?”
💡 The “Ask Ken” Question:
Ken explains why financial statements alone don't always tell the full story when a DSO is carrying multiple types of debt. A detailed debt schedule gives owners visibility into every loan, interest expense, payments, and loan covenants—helping them understand how efficiently they're deploying debt and identify potential covenant issues before they become problems.
AVAILABLE ON
(E.60) Operational Excellence: You Can’t Scale What You Can’t Replicate - Mike Huffaker, Planet DDS
(E.6) Are Dentists Selling Out Their Entire Industry? - Mike Baird, Accelerate Dental
(E.38) Roll the Equity or Take the Cash and Walk Away? - Mark Haddad, Specialty1 Partners | ScoutIQ
Top 3 Episodes Of The Dental Truth Project. Listen Now!
For DSO owners considering an exit, the biggest question may no longer be “What multiple can I get?” but “How valuable and transferable is the business I’ve built?”
'Roll the Equity - How Smart Dental Founders Sell Their DSO'
Learn how sophisticated dental founders navigate a DSO sale
Selling your DSO is one of the most consequential decisions of your career. Roll the Equity: How Smart Dental Founders Sell Their DSOs is the playbook for founders who want to approach private equity transactions with clarity — not guesswork.
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