Ep. 727 - How Dental Partnership Groups Reshape Dental Practice Ownership

Are you weighing your practice transition options but hesitant to give up clinical autonomy? The emergence of Dental Partnership Groups offers a compelling alternative to traditional DSO acquisitions.Dr. Weston Spencer brings a unique perspective to this discussion as both a practicing general dentist in La Jolla, California, and Chief Dental Officer for SPP (Save Private Practice), a dental partnership group. Dr. Spencer graduated at the top of his class from Loma Linda University School of Dentistry, earning the Dean Prince Award for leadership and the Top Clinical Dentist award. He maintains active membership in the American Academy of Cosmetic Dentistry, Spear Faculty Club, California Dental Association, American Dental Academy, and Southwest Academy of Cosmetic Dentistry.This episode explores the DPG model as a hybrid approach that allows dentists to sell minority equity while maintaining majority ownership and full autonomy. Unlike DSOs that require complete practice acquisition and W-2 employment, DPGs enable practitioners to participate in corporate growth while preserving their clinical decision-making authority and practice culture. Dr. Spencer details how this relatively new model addresses the needs of dentists who want to take money off the table but aren't ready to retire.Episode Highlights:DPGs typically acquire 40% minority stakes while dentists retain 60% majority ownership, preserving clinical autonomy and business decision-making authority. This structure allows practitioners to maintain their preferred treatment protocols and practice management style without external interference.Revenue sharing operates on agreed percentages after covering practice expenses and guaranteed doctor compensation, ensuring financial stability while participating in group growth. The model protects dentist income while creating opportunities for increased profitability through group services and economies of scale.Major equipment purchases like CBCT units or laser systems don't require DPG approval since the dentist maintains majority ownership. This autonomy extends to clinical technology decisions, allowing practitioners to invest in practice growth and advanced treatment capabilities without corporate oversight.DPGs provide immediate access to group purchasing power for clinical supplies through major distributors like Henry Schein and Patterson, plus optional services like billing management at below-market rates. These cost savings often result in improved practice profitability from day one of the partnership.Exit strategies include built-in buyout options where the DPG can purchase the remaining ownership stake, eliminating the stress of finding private buyers. This provides long-term security and a clear path to full practice sale when retirement becomes the goal.Perfect for: General dentists and specialists considering practice transitions who want to maintain clinical autonomy while participating in corporate growth, particularly those with 5-10+ year practice runways.Discover how DPGs might offer the perfect balance between private practice independence and corporate partnership benefits.