Questions to Ask Before Buying a Dental Office

The questions you ask during practice evaluation often reveal more than the answers themselves. Dentists who ask thorough, probing questions uncover information that shapes their acquisition decision. Dentists who don’t ask the right questions sometimes miss red flags that become expensive problems post-closing. Over 30 years of dental consulting and practice acquisitions, I’ve developed a comprehensive question framework that helps buyers evaluate practices systematically. This guide provides the complete question list you should ask before committing to a purchase.

The best questions are open-ended, specific, and follow up on unclear answers. You’re looking for consistency between what you’re being told, what you observe, and what financial records show. Inconsistencies warrant deeper questioning.

Financial Questions to Ask

Financial questions are the foundation of practice evaluation. These questions establish whether the numbers you’ve been given are accurate and whether profitability is sustainable.

Revenue and Production Questions

Ask the seller directly about revenue:

What was gross annual revenue for the past three years?
What percentage of revenue comes from hygiene services?
What percentage comes from restorative services, surgical services, cosmetic services, and other services?
How much of the revenue comes from the departing dentist’s services versus other providers?
What percentage of patients are new patients acquired this year versus existing patients?
Where do new patients come from (referrals, insurance networks, advertising, etc.)?
Has revenue grown, stagnated, or declined over the past three years?
If revenue changed significantly in any year, what caused the change?
What does monthly revenue look like? Are there seasonal variations?
What percentage of revenue comes from each major insurance plan?
What percentage of patients are uninsured or on membership plans?

Collection and Accounts Receivable Questions

Ask about collection performance:

What percentage of production actually gets collected?
How much accounts receivable is currently outstanding?
How is the accounts receivable aging (how much is 30, 60, 90+ days old)?
What’s causing the oldest outstanding receivables?
Are any large balances uncollectable?
Do you have any uncollectable write-offs each year?
How many months of receivables are you typically carrying?
What’s your collection rate for insurance claims?
Are there any insurance payers that pay slowly or have frequent claim denials?
How long does it typically take to collect from insurance companies?

Expense and Profitability Questions

Ask about costs and profitability:

What are your total annual operating expenses by category?
What is your profitability (net income as a percentage of revenue)?
What’s your overhead percentage?
What are your payroll costs as a percentage of revenue?
How many full-time and part-time staff do you have?
What is each position’s compensation?
Are there any non-standard compensations, bonuses, or retirement contributions?
What is your rent or lease payment?
Do you have any equipment leases? What are the terms?
What are your supply costs as a percentage of revenue?
What are your lab fees as a percentage of revenue?
Are there any unusual expenses I should know about?
What do you spend on marketing or patient acquisition?
What are your professional fees (accounting, legal, etc.)?
Do you carry malpractice insurance? What’s the cost and coverage?

Financial Document Questions

Ask about documentation:

Can I review three to five years of tax returns?
Can I review monthly profit and loss statements for the past 12 months?
Can I review bank statements for the past 12 months?
Can I review accounts receivable aging reports?
Are there any adjustments to reported income that I should know about?
Has your accountant done a write-up or review of your financial statements?
Are there any pending tax issues or IRS inquiries?
Do you have any debt besides practice loans?
Can I review all loan documents and current payoff amounts?

Patient Base and Clinical Questions

Patient questions help you understand the sustainability of the patient base and whether patients are likely to stay.

Patient Base Questions

Ask about patients:

How many active patients do you have (seen in the past 12 months)?
What’s your patient retention rate year over year?
What percentage of patients are in each age group?
What percentage are children, adults, and seniors?
Are you seeing families or individual patients?
What’s your new patient acquisition rate?
Where are most of your patients geographically?
Do you have a strong patient referral network?
What’s your patient no-show or cancellation rate?
What’s your treatment acceptance rate when you present treatment plans?
What’s your recall compliance rate?

Patient Satisfaction and Relationships Questions

Ask about satisfaction:

Do you survey patient satisfaction?
Are there any recurring patient complaints?
Have you had any malpractice claims?
Do patients seem satisfied when I observe the practice?
How do patients typically find out about your practice?
Are there any specific patient populations you focus on?
Do patients require translation services?
Are there any insurance plans you won’t accept? Why?

Clinical Philosophy and Care Questions

Ask about clinical approach:

What’s your clinical philosophy or approach?
How do you handle complex cases or cases outside your comfort zone?
What percentage of patients receive cosmetic dentistry?
What percentage receive implants or oral surgery?
What procedures do you refer out?
Are there any services you want to add or remove?
How do you approach case presentation and patient communication?
What clinical outcome expectations do you have?

Team and Staff Questions

Your team is critical to success. These questions help you understand team stability and culture.

Team Structure and Compensation Questions

Ask about staff:

How many dentists practice here? Are they full-time or part-time?
How many hygienists do you have?
How many dental assistants do you have?
How many front office staff do you have?
Who is the office manager?
How long has each team member been here?
What are the compensation and benefits for each position?
Do you have any retirement or pension obligations?
Do any staff members have employment agreements?
Are there any non-compete agreements with staff?

Team Stability and Culture Questions

Ask about culture:

Has your team been stable, or is there turnover?
Why did any team members leave?
Do you plan to retain your current team post-closing?
Would the team stay if someone else became the owner?
What do team members like about working here?
What frustrates them about working here?
How would you describe your management style?
How are team conflicts resolved?
Do you have team meetings?
How is training handled?
What’s the work environment like?

Exit Plans and Staff Continuity Questions

Ask directly:

Are there staff members who will definitely leave?
Is the hygienist planning to stay?
What’s the office manager’s plan?
Have any staff members indicated plans to leave if you take over?
Will you work part-time during a transition period to help with continuity?

Facility and Equipment Questions

Facility and equipment questions help you understand capital requirements post-closing.

Lease and Facility Questions

Ask about the location:

What is your lease agreement? (Get a copy)
How long is your lease?
What’s your annual lease payment?
Are there renewal options?
Can the lease be assigned to the new owner?
What are the landlord’s responsibilities?
What’s the condition of the facility?
Have you had maintenance issues?
Does the facility comply with ADA requirements?
What’s the parking situation?
Is the location convenient and visible?
How is the neighborhood and nearby competition?

Equipment Questions

Ask about equipment:

What equipment is included in the sale?
What equipment is leased versus owned?
For leased equipment, what are the lease terms?
Can leases be transferred to the new owner?
What’s the age of major equipment?
Are there any equipment maintenance issues?
What equipment maintenance contracts are in place?
What equipment will need replacement soon?
What’s the condition of the operatory setup?
Is equipment well-maintained and up-to-date?

Legal, Regulatory, and Compliance Questions

These questions help you understand legal risks and compliance status.

Board and License Questions

Ask directly:

Have you ever had any board complaints?
Are there any ongoing board investigations?
Have you ever had restrictions on your license?
Have you completed all required continuing education?
Are you current on all licensing requirements?
Have you ever been denied malpractice insurance?
Have you had any malpractice claims?

Regulatory Compliance Questions

Ask about compliance:

Have you had OSHA inspections?
Are you compliant with current OSHA standards?
How do you handle infection control?
Have you had any citations or violations?
Are you compliant with patient privacy laws (HIPAA)?
Do you have written policies for compliance?
Have you had any regulatory complaints?
Are you compliant with local building codes?

Insurance and Liability Questions

Ask about coverage:

What insurance do you carry (malpractice, general liability, property)?
What’s your coverage and deductible?
What’s your insurance premium?
Do you have any claims history?
Will your current insurance carrier insure the new owner?
What are the tail insurance costs if coverage ends?

Operational Systems Questions

These questions help you understand what systems are in place and what you’ll need to implement or change.

Practice Management and Documentation Questions

Ask about systems:

What practice management software do you use?
Are you happy with your software?
Could the new owner transition to different software?
How are patient records organized?
Are records digital or paper?
How are treatment plans documented and presented?
How do you handle patient communication?
What appointment reminder system do you use?
How do you track patient recall?
Is there a scheduling protocol?

Billing and Insurance Questions

Ask about billing:

How are insurance claims submitted?
Who handles billing and collections?
How often do you follow up on outstanding claims?
What’s your claims submission process?
Are claims tracked to completion?
What patient financial information is captured at intake?
How do you handle patient financial arrangements?
Do you offer payment plans?
How do you handle insurance pre-approvals?

Administrative and Operational Questions

Ask about operations:

How are supply orders handled?
Who orders supplies?
How often do you order supplies?
What supply systems are in place?
How are lab cases sent out and tracked?
What lab vendors do you use?
Are there vendor contracts?
How is scheduling handled?
Are there scheduling protocols or templates?
How is sterilization managed?
What sterilization processes are in place?

Market and Competition Questions

These questions help you understand the competitive environment and market position.

Ask about market position:

How would you describe the competitive environment?
Are there other practices nearby?
How would you characterize the market (growing, stagnant, declining)?
What’s your market niche or positioning?
Are there untapped opportunities you see?
What insurance panels are you participating in?
Are there insurance panels you’d like to participate in but can’t?
What market challenges do you see?
Are there economic factors affecting patient demand?
What percentage of the market do you think you have?

Transition and Seller Support Questions

Understanding the seller’s plans for transition helps you plan post-closing.

Ask about transition:

How long will you be available after closing?
Will you work part-time during transition?
Are you available for patient introductions?
Will you introduce patients to the new owner?
Are you available to train staff if needed?
What timeline would you prefer for your departure?
Will you commit to staying away from the market after closing?
Are you open to a non-compete agreement?
Would you be available for consulting questions post-closing?
What’s your vision for the practice after you leave?

Questions to Ask Staff

Ask team members directly:

How long have you worked here?
What do you like most about working here?
What would you like to see change?
Are you planning to stay after new ownership?
What concerns do you have about new ownership?
What does the current owner do well?
What could be improved?
What’s the work environment like?
Do you feel valued?
What would cause you to leave?

Questions to Ask Current Patient Sample

If you get a chance to talk to patients:

How long have you been a patient here?
Are you satisfied with the care?
Would you continue seeing this practice with new ownership?
What do you like about this practice?
Are there things you’d want to see change?
How did you find out about this practice?
Do you refer friends and family?

Red Flag Questions

If you notice something concerning, ask direct follow-up questions:

If revenue is declining: “Why do you think revenue has declined? What’s your plan to reverse the trend?”
If staff turnover is high: “Why do you think you have difficulty retaining staff?”
If receivables are high: “Why are these claims still outstanding? Are they collectible?”
If you notice financial discrepancies: “Can you explain the difference between this number and that number?”
If something doesn’t make sense: “Help me understand this. It seems inconsistent with…”

Using Your Question List

Create a written question list before visiting the practice. Bring it with you. Ask questions during your visit, during follow-up calls, and during professional meetings with the seller’s advisors.

Document answers to each question. When you find inconsistencies, ask follow-up questions. When something doesn’t add up, keep asking until it makes sense.

The dentists who acquire practices successfully are those who asked thorough questions, listened carefully to answers, followed up on inconsistencies, and verified answers through professional review and financial analysis.

Professional Review of Answers

Have your accountant, attorney, and practice consultant review your question list and answers. They might have follow-up questions or might spot inconsistencies you missed.

Contact JoAnne to discuss your practice acquisition and the questions you’re asking about a specific practice. With 30+ years of dental consulting and acquisition experience, JoAnne helps dentists develop comprehensive evaluation frameworks and ensures they ask the right questions to make informed acquisition decisions.

Questions to Ask Before Buying a Dental Office: The Complete Question List