How DentalDex arrives at its valuation ranges
Every figure on this site is a market range assembled from publicly reported DSO transactions, dental M&A advisory commentary, lender underwriting guidelines, and conversations with buyers and sellers, then reviewed quarterly. The ranges describe where most deals land. Any individual practice can fall outside them.
What the numbers represent
| Figure used on this site | What it is | Basis |
|---|---|---|
| DSO multiples of 4.0x – 9.0x adjusted EBITDA | Enterprise value divided by trailing-twelve-month adjusted EBITDA, by practice profile | Reported 2025–2026 DSO and private-equity dental transactions; advisory market reports |
| Private-buyer range of 2.5x – 3.5x EBITDA | Equivalent EBITDA multiple implied by dentist-to-dentist sales priced at 60% – 85% of collections | Practice lender underwriting norms and broker-reported sale data |
| Post-sale doctor compensation of 28% – 35% of collections | Typical associate compensation offered to selling dentists in DSO employment agreements | Published DSO employment terms and seller-reported offers |
| Cash at closing of 60% – 80% of enterprise value | Share of headline price paid in cash, with the balance in rollover equity, earn-out, and holdback | Reported LOI structures and advisory commentary |
| EBITDA normalization moving value 10% – 25% | Typical difference between a stated margin and adjusted EBITDA computed from actual financials | DentalDex review experience; varies widely by practice |
| Multiple adjustments in the calculators | Directional adjustments for scale, specialty, capacity, provider dependence, and transition | DentalDex model; described on each tool page |
What the calculators do and do not do
The Price My Practice calculator applies the ranges above to a stated collections figure and EBITDA margin. It does not see your financials, so it cannot normalize EBITDA, verify collections, assess your lease, or evaluate hygiene retention and payer mix. Those factors routinely move a real offer outside the calculator's range. The DSO Compatibility Index and Provider Dependency Risk Estimator are directional scoring models built on the same market assumptions.
How the ranges will improve
As practices are listed and offers are received through DentalDex, the ranges on this site will be updated to reflect actual offer data, reported in aggregate and never identifying a practice or buyer. Until then, treat every figure here as a benchmark for a conversation, not a price.
Corrections
If you believe a figure is out of date or wrong, email hello@dentaldex.co with the source and we will review it.