Securing Competitive Terms for a Multi-Practice Acquisition
An experienced Principal Dentist expanding to six practices saved over £90,000 in interest and fees. Through comprehensive planning and creating competition between lenders, we secured a lower margin, reduced fees and flexible structures that supported acquisitions while protecting cashflow. The client reinvested savings into refurbishments and new equipment.
Client Profile
An experienced Principal Dentist with two successful practices in the Midlands approached us for support in acquiring four additional dental practices as part of their expansion strategy.
The client had an established relationship with their current bank and had already received an indicative funding proposal directly. However, they wanted to ensure they were securing the most competitive terms for such a significant multi-practice investment.
Our Approach
We carried out a full financial and strategic review of the client’s portfolio, the proposed acquisitions and future growth projections. Our process included:
• Preparing a comprehensive business plan covering all six practices and future cashflow modelling
• Benchmarking multiple lenders’ terms and appetite to create competitive tension
• Stress-testing the financials to ensure sustainable repayment terms and cashflow resilience
The Outcome
By leveraging our sector expertise and lender relationships, we were able to secure far superior terms than the client’s existing bank had offered directly, including:
• Significantly lower margin over Base compared to their bank’s direct offer
• Reduced fees: Saving over £25,000 in lender arrangement fees across the facilities
• Flexible structure: Staggered drawdowns aligned with completion schedules, reducing interest costs during the acquisition phase
These terms translated into over £90,000 in interest savings over the first five-year commitment period, funds that the client has reinvested into refurbishments, new equipment across the group.
Client Feedback
“I thought my existing lender’s offer was as good as it would get until Dental Funding stepped in. The savings they secured have been game-changing for my group, and the advice throughout the process was exceptional. I simply couldn’t have achieved this result without their support.”
– Principal Dentist, Midlands
Key Takeaways
• Even if you have a strong relationship with a lender, going direct doesn’t always mean the best deal.
• Specialist dental finance expertise and lender relationships create opportunities for better rates, reduced fees and more flexible structures.
• The right finance partner ensures expansion plans are strategically supported and financially sustainable.
