As you embark on your dental career, the decisions you make now will significantly impact your future success. It’s common to seek advice from various sources—university instructors, dental suppliers, accountants, and consultants—but be cautious, as conflicting opinions can lead to confusion and indecision. Confucius wisely noted, “Man with two clocks never knows the time,” which can be applied to the situation of consulting multiple advisors; you might end up more confused than informed.

If you’re a recent dental graduate or about to graduate, you may face the dilemma of whether to buy an existing practice or start a new one from scratch. Be wary of advice from dental suppliers who benefit from your purchase of new equipment; they may downplay the value of existing practices to steer you towards a costly startup.

Starting a new practice can be financially risky, especially in competitive urban areas where initial losses are common. In contrast, purchasing an established practice often results in a more stable income from the outset, with many new practice owners earning around $100,000 to $150,000 net in their first year.

If you’re concerned about school debt, remember that working as an associate might result in lower earnings compared to owning a practice, which could delay debt repayment. Banks and lenders who specialize in dental practice financing can offer loans based on the viability of the practice you’re interested in, and seller financing can also be an option.

Ultimately, while purchasing an established practice is generally a sound choice for many new dentists, it may not be suitable for everyone immediately. Consider your financial situation and career goals carefully. If you’re unsure, working as an associate may be a temporary solution until you’re ready to explore practice ownership.