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First of all, the practice may be selling for $800,000 and that is reasonable number for most purchasers to consider when starting out in practice...
Practice equity is a measurement of the net value of your dental practice, which is always based on a percentage of the annual gross collections of your practice.
Sell now or build to sell? Sell for present value or sell for future value? Commit now, but defer the actual sale until later? Take cash or fund your pension plan with the value of your practice? These are just a few important considerations for a dentist who is thinking and planning for the future.
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