Should You Buy Or Lease Your First Dental Practice?

June 15, 2021

When starting your first dental practice, you may consider one of two choices. Buying a dental practice or leasing one. For some, buying seems like a more financially-sensible solution, but for risk-averse dentists, leasing can be much safer. There’s no one-size-fits-all solution, but these facts may make it easier to make the best decision.

Buying A Dental Practice


  • Location- if you buy a dental practice with an excellent location, you will have a permanent advantage. If you lease the dental practice, you will lose the location advantage when the lease period ends.
  • Complete Control- when you own the dental practice, you have complete control and there are no restrictions. You can decide what will happen to your dental practice and what changes you would make. If you want to make drastic changes, no one can stop you.
  • Maximum Financial Gain- by buying a dental practice UK, you claim the entire financial gain. If you build substantial equity in the dental practice, it is fully yours.


  • Rising Interest Rates- if you apply for variable rate mortgages and loans, your costs could rise if interest rates go up. The cost of building ownership can be unexpectedly more expensive. It is important that you get a dental practice valuation before buying a dental practice.

Leasing A Dental Practice


  • Less Responsibility- when leasing, there is no responsibility and no problems associated with ownership. You can focus more on providing top-notch service to your patients.
  • More Flexibility- if you choose to lease, it’s easier to expand or downsize your dental practice. You may decide to lease a bigger or smaller building depending on business requirements.


  • Limited Equity- if you lease a dental practice, any equity you accumulate will benefit the landlord.
  • Lack of Stability- due to certain considerations, the landlord may stop renewing your lease. This means that you will need to find a new building to lease and inform your patients about the change of location. It’s possible to lose regular patients if you relocate to an unfavourable location.

Contact Pluto Partners

To learn more reasons why dentists might want to get a dental practice valuation and sell their practices, contact Pluto Partners today and speak with a Healthcare Business Advisor who can answer any questions you might have.

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