Should You Sell to a DSO? What Dentists Need to Know
What is a DSO and why are so many dentists considering a sale?
A Dental Support Organization (DSO) helps manage the business operations of dental practices, allowing clinicians to focus on patient care. With private equity backing and promises of high EBITDA multiples, DSOs often pitch dentists attractive buyout offers that include upfront cash and equity in the larger organization. But is it too good to be true?
What are the risks of selling to a DSO?
While the initial offer might seem like a financial win, many dentists are unaware of what they may be giving up:
- Loss of practice ownership and autonomy
- Changes in patient experience and team culture
- Equity in a company that might never pay out if it fails
- Possible burnout from transitioning to an employee role
Recent data suggests that up to a third of DSOs are in some form of financial receivership. If they fail, your equity could vanish, and the control you once had over your practice is already gone.
Are DSOs still worth considering?
Yes, but with caution. DSOs can be a good exit strategy if you’re close to retirement, your team is struggling, or you're no longer interested in the management side of ownership. But younger dentists should evaluate:
- What kind of lifestyle and income do I want long term?
- Am I willing to give up control for the chance of future equity gains?
- What happens if the DSO goes under or changes ownership?
Is there another path to financial freedom without selling to a DSO?
Absolutely. At the Dental A Team, we believe the real "rich life" comes from building your own dream practice with systems, profitability, and a solid exit plan on your terms. Our trusted partner, Ryan Isaac of Dentist Advisors, echoes this with his philosophy: consistent small decisions win big over time.
How can you protect your practice investment?
- Know your numbers and your EBITDA
- Work with a dental-specific financial advisor
- Evaluate all exit options: private buyers, partner buyouts, or even partial sales
- Think long-term about how the sale will impact your lifestyle, team, and patients
Selling your practice to a DSO isn't just a financial decision, it's a legacy decision. Make sure you're choosing what's best for your future, your team, and the profession.
To connect with us, schedule a call at TheDentalATeam.com.
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Last updated: June 2025
Author: Jacintha Ham, Dental A Team