Anne: Hi everybody, it's Anne Duffy and Welcome to dental entrepreneur the future of dentistry's podcast I'm so happy that you're here and I've got two special guests today. Let me introduce you to the first one Mr. Thad Miller founder of DDSmatch is dental industry leader with over 30 years of experience. His nationwide network includes dentists, dental schools, manufacturers, and suppliers. A few fun facts about Thad are that he hates cold weather despite living in Indiana. And his favorite treat is chocolate covered gummy bears, something a dentist might not love that I don't know about that.
But welcome to the, podcast today. I am glad you're here. And I'm really glad to have your sidekick there, Samantha Klausner. She is the director of marketing for DDSmatch, and she's joining us today. Welcome Sam. I appreciate you being here. Samantha,
So nice to have you both here today. We were thrilled all of you that are listening to us, that DDSmatch had a group of women, that are all working for DDSmatch. It's a very cool organization and female leadership is alive and well in DDSmatch and they took the cover of DeW Life Mag, our winter edition and Samantha you, you were the brainchild behind that, article, so I'd like to, if you're listening to Dental, Entrepreneur right now, I'd like to push you over to Dental Entrepreneur Woman and take a look at that edition on our website, dew.life. Samantha what, what brought you to, actually going with that theme of we're better together?
Samantha: so we have a group of 48 professionals across the United States and DDSmatch and there is a group of 12 women. So we thought it would be fun to talk about how we are all better together as a group.
So the way our company works is we have professionals in 48 states across the country and everybody has an exclusive territory. So don't compete with each other. We actually work together. You know, We send each other clients if they're in other people's territories, but we decided That was a good theme because we work together on a daily basis.
We're always collaborating. We're working together with each other's circles of influences, whether that's different industry partners, different people within our company. But we just feel like it's best to work together and get the best outcome for a dentist across the country.
Anne: that's very DeWish, Samantha.
I love that because, in do we, lock arms and good people find good people and, that's how it works. in fact, I know that I told you this when I met you, when you, maybe you remember, I deemed you a, one of our dudes and a dude D E W D is a man that supports women in dentistry.
And so. being the founder of DDSmatch you've created this amazing group of people that are dedicated to making matches actually kind of like marriages across the country when you have a buyer and a seller and they come together and it's a little more complicated than people think. I'd love you to share as the founder, what are some of the most common challenges, the dentists face when deciding to sell their practice did the professionals in DDSmatch help them navigate those hurdles?
Thad: I think what's unique about our group is all of the people that are with DDSmatch, own their own business.
So they're very much like. a dentist when they're looking to sell their practice. So they have a vested interest. They're not employees of mine. It's a franchise. I started the business. I did the business for a period of time and then grew it into a franchise. And each of these people bought areas.
We use the same process, the same website, same methods. But I think, it's such an emotional thing. If we're switching to the dentist, it's a financial matter. It's an emotional matter. And I think that the fact that we own our own business, you know, we pay our own bills. all of the DDSmatch professionals go through all of that also, it makes us unique because, we're not just employees of a larger mega corporation.
We're invested in those communities and we're invested in our clients.
Anne: I love that. I forgot about that. I mean, I knew when we were reading the article and the, questions and answers that the, ladies, put in there. that's brilliant, actually, because you're actually walking the walk the hardest part for a young Dennis especially, is just all the enormous decisions they have to make running a business.
And when you have somebody that is actually running their own business, that is a terrific Learning ground for, you to be able to give advice to understand where they are coming from and do understand the buy and sell because everybody that think that is, building a business or has a business, the thing is to build it to sell and, you're not only helping the older doctors, I guess, or the sellers, but the new ones coming in do hold their hand through the process? How does that work?
Thad: great question. again, we can empathize with them because everybody on our team invested in DDSmatch, right? So they had to borrow money, take the risk, leave security and an employer. we only represent the seller in the transaction. But what we like to do is connect the buyer to good advisors, usually in our market That are, part of this community.
They're licensed in this state. If it's attorneys, if it's accountants, if it's bankers, you know, we're called dental practice brokers But I don't think we're qualified to be buyers representatives. I think you need somebody with their CPA that can understand cash flow projections to the nth degree to really consult us. With the buyer on next steps. So when they buy a practice, that first payroll comes around, they don't miss the first payroll. They can lose their whole staff over that decision. So we like to work in collaboration. We do what we do. We do incredibly well. And that's work the transaction, make sure the seller's prepared mentally, financially, emotionally, We do it in a highly confidential manner because I think it's important for us to articulate what's happening to the staff at the right time. Obviously, we don't want it to get out in the community that a dentist is selling because that can become an opportunity for other dentists in the area that maybe they don't want them to know that they're transitioning their practice.
All of our DDSmatch professionals use the same process across the country. So that helps us step by step go through for the client.
Anne: That is great. I think that it's really important to pick one or the other to work with. So often, you think that there's someone that's going to match it up, that is going to represent both.
And it really, you just have to be in one of the corners there. And that. really helps because there's a big difference between what the seller needs to do to prepare and what the buyer needs to prepare. So the focus on the seller and then how important is that? How important is you helping them preserve their legacy?
Thad: It's critical. I came up with this idea prior to this. I worked for Patterson and I was a general manager an area around Indianapolis. And really triggered me when I get a call from a dentist we'd work with for 30 years. They're like, Hey, I need to close my account. I'm like, What happened? They're like, I'm retiring. I'm like, Okay, what are you gonna do with your practice? Like, Oh, I'm just shutting the doors. I'm like, what about the 2000 patients you have? Or what about the six? People that work for you, what's next for them? And he's like, well, I just, didn't think about it and I didn't really have good options, to sell it or transition it or do anything.
16 years ago, I started this with the concept of, we're going to be that person for the seller. We're going to use technology in our favor. The website has thousands of dentists all across the country looking for opportunities. We've had about 500 buyers join our website just in the last month and a half. So that's the amount of people across the country. And that allows us to find options for our sellers, all across the country, not just in our backyard and all of our professionals work very well together. If they have somebody that wants to relocate somewhere, we get them connected and, help them on their way.
Anne: I love that because first of all, Sue comes in to say hi, cause she's on our board for Dental Entrepreneur Woman, and she thinks you're a terrific guy, she has a lot of clout with me, so I appreciate that, recommendation. I really like about that is just the fact that you, can build it in your own community, too.
Like, I like the idea that people own their franchises in different communities, because then you're actually working within the dental community, and you get to the sellers before they are so tired, they just decide to stop. And so it's a process. So you try to get in touch with them or start building those relationships.
Sooner than later and how do you do that?
Thad: our average DDSmatch professional has 23 years experience in their market. Okay. So I don't find people and put them somewhere where they don't understand. You know, a person in San Diego is from San Diego lives in San Diego and takes care of people in San Diego.
So that helps because obviously they know the dentist in their market, but they also know the people around them if it's dealer representative or if it's the. local attorney or accountant or whatever, I mean, that's a great community that are supporting Dennis and their, quest to have a successful small business themselves.
and in finding, young buyers all across the country and having a lot of options, We sold about 200 million worth of practices last year alone. 75 percent of those were a first time owners. So first time entrepreneurial dentists that were looking to buy their first practice.
There's all this language about DSOs are taking over the world and all that. I mean, We do sell DSOs. there is a portion of sellers that want to do that. We don't choose who to sell it to. We obviously work for them, find the best scenario for them. But 75 percent of our sales last year were the first time owners.
And statistically, I thought you might like this since we were in the do. cover 58 percent were male and 42 percent were female buyers.
Anne: Wow. that's important. First of all, you building trust. So you have trust already built in with your DDSmatch, colleagues in the area and knowing The area and then having that trust factor is absolutely everything because they're handing you something.
That's their baby that they built. And then if you're a buyer, you're not going to hand somebody practice that, just is toxic Because there are practices out there that they don't have what they need or you can see what they could be and then you can pick the buyer or help that buyer, marry that and have something to like grow, you know, some people like to have something that's really great already and they're going to grow it exponentially.
or something that's not that great. They like to go to good to great. And so it depends on, where you are in your career, where you are in your, skills and your strengths. And, again, knowing the community and knowing how the practices are, performing within that community, I think is just so valuable.
It's just not like guessing game. It's like, you really know what's going on behind closed doors.
Thad: that is so critical. You've mentioned trust. That's the name of our process. We use a trusted transition process. And in that we tried to provide the buyer who's obviously working with someone that ideally we recommend or they can work with whomever they want. But we try and provide them as much transparent information on the practice is possible because that raises the trust that we actually have worth buying. If it's a third party business valuation that's done by a CPA firm, that's part of our process. Dental intelligence. I'm sure you're familiar with them. They do a report that we created called the clinical opportunity blueprint that shows the opportunity in the practice that a buyer could capture if they chose to do it.
we
may have a tremendous amount of oral surgery and implants, but if the buyer isn't capable to do that because they haven't had enough experience or training, that's not the right practice for them, but we're going to be able to show them through the third party. dental intelligence report that shows them where the revenue is coming from inside the practice. And obviously the third party business valuation, a separate document shows really what's going on financially. And then we actually just added a new demographics report that we have as part of our process that shows what's going on in the community. What type of patients are there? What are their income levels? What do they like to spend money on? Is it growing? decreasing? So it's critical that we show the opportunity in its true light because then that moves a smoother through the transition process. If we find the right buyer
Anne: Well, The other thing about what you just said, it's like, it's cool for the seller to actually look at those numbers that he probably hasn't looked at, or she has probably not looked at and all of a sudden saying, you know, I did a pretty darn good job here. And then they feel confident about getting what it's worth. And they probably many times would be surprised at that number. And, You know well done and then other thing about it is I just keep thinking of The trust factor within the community and that's why you have been successful all these years I didn't know it was 16 years because people keep coming back So those young buyers that you started with, you know, 16 years ago They're coming in and maybe they're either buying another practice or ready to sell their practice and maybe moving on to something else, that's residual, if you will, in nature by doing a good job the first time and then they come back.
And then that, reputation that you have, it, matters if you're living in the community, right? Because a lot of times I know with transitions, it's a one and done deal. Bye. Okay. never see you again, good luck, but this sounds like it's more of rotating door and a family of just really good people helping each other.
Samantha: Yeah, and the nice thing about it too is with having people in their local community, like, we'll take a buyer to a showing, we'll meet with them in person, things like that, so we actually create a relationship with them.
Anne: that's very noble because you're not really, winning with the buyer as much, but you're building the relationship with them just because it's the right thing to do in dentistry.
Right. Because we know how awful it is when somebody comes together and they bought a lemon and they didn't know it. And, when you're building your business within the business, each person has their own business. You can't do that. I mean, It really gives you another level of, accountability, if you will, for DDSmatch.
Not that they need that, but again, good people find good people. And I love everybody that I've met with DDSmatch. I You guys are really good people. And, that speaks a lot for the culture, that you have built. Through just these years of matching up the sellers with buyers across the country.
Thad: Yeah. Well, it's like you said, I mean, good people find good people. And that's really how been able to grow it. And we've been able to support them is, find good people and just, work with those people they know. So it's it's been a great. story.
Anne: when you think about it, 16 years in, you're just getting started.
And I got to say Samantha has been amazing. she has been on it. she's probably chasing me for answers and decisions and things like that. But I just have to shout out to you. You've done such a great job, with us as we Put that publication together. And it's one of my favorite covers.
It's so bright and everybody's so happy. And I like the fun picture on the inside. And then I liked the way you positioned it with the questions and the answers. it was really a fun read. that you'll have to write for dental entrepreneur, coming forward because you know, we go to all, older dentists. We've been around for about 20 years. So we have very huge following on that. So let's see, in your experience, I'm going to just ask this last question. What did dentists typically overlook when considering the sale of their practice and what advice would you give them to make sure?
they're fully prepared for transition.
Thad: I think it's important to have a steady, okay, it doesn't have to be going gangbusters growing 20 percent a year, be great if it did, they would get a higher value. But I think when they feel like they're at their peak, they're starting to get over the hill.
That's when they Really start the conversation with us because we can do that. clinical opportunity blueprint report and find holes that they could fill that could keep them stable or growing. We talk to our clients all the time. I have a dentist that I'm closing on her practice. In a few months, it's an orthodontist.
I've been talking to her for seven years and go to lunch, once a year, she and her husband and we would just say, hey, this is what you need to be doing. So we're always available confidentially. and we don't charge anything to consult with a seller. But I think it's important touch base, make sure that they're on a good path.
Because once you start going down, buyers are concerned. Why is it going down? Banks get concerned. Why is the revenue going down? well, If patients aren't coming back as there are reasons there's something going on here. So I'd say the most important thing is stay stable, if not increase. if You Decide to cut back to three and a half days a week.
Maybe you got to cut back on some of your expenses too But let's try and keep that revenue the same as you go just things to think about because everybody wants to buy something stable not going down
Anne: Yeah, I mean that just makes perfect sense and I think so often they don't know it just like your friend I've heard that many times like they're tired They just like I'm done I'm and you never want to sell in that position chaos. So what would you say? Like If you are say a dentist and you've been practicing for quite some time, and you know that you want to maybe sell in a couple of years. what's the magic number there? Seven years before? Because I like that. that way they know they have confidence because it's a nest egg, It really is something that they've built and they're planning on selling it for part of their retirement or whatever else they want to do.
Thad: I'd say three to five. our main process in the sale is called the trust to transition But we have a practice optimizer experience that we use.
It's a different process. It's in that three to five year range where we can help them get settled in a lot of different categories. real estate, they're leasing or if they own the building, what's their building worth? What does that look like? What could they do to update that if it's their equipment set up right now, if it's their will and, something happened to them, they got hit by a bus, what happens? Can the spouse sell the practice? A lot of that's covered in this practice optimizer experience. And that is something that if they invest with us on that, that gets credited towards a future commission when we sell their business. So it's just planning things and they actually leave with a nice binder effect, that binder back there behind me is that thick binder that they get, and we'll help them along the way, get prepared.
For that future event. I mean, it's all going to happen. There's going to be event in the future that needs to happen. Why not be proactive versus reactive. So we feel like that's a great opportunity. Also connect to go to financial advisors that they want a second opinion on where they're at financially if they are ready to sell.
So I'd say three to five years And again, it can be very informal. It could be just a cell phone call. Just touch and base and we can follow up accordingly and stay in touch
Anne: one more thing I'm going to touch on when I say good people like good people.
It's not only that you found these good people to be in your, franchises across the country, but you also know the best CPA in town or the best banker that you would work with. you know what I mean? That's. It's the referral business and I think since the pandemic and just in general, I just believe in that.
In fact, I'm looking for a new doctor, I'm asking my friends, who do you know? Who do you like? And that's how I'm finding them. and the same thing with the do community, If you can refer or connect somebody that you like, probably, my friend is going to like that person as well.
And that, that validation, that a seal of approval, that's priceless. And that's what you're giving your clients earlier, sooner than later. And I think, it's something they built and you're giving them the opportunity to, really, leave a legacy of what they built for someone else to continue that process and make it good for the town and the community.
Thad: They do a lot for the community and. They're a big part of people's lives and can't be taken for granted. I think it's important that we try and do it well and we go to, closings and we'll, bring a champagne to closing. That's one of the things we do. And some of our people, we have a Sabre you know, it's a celebration.
Not just a transaction transition. Yeah. We call it a, transition, not a transaction.
Anne: Well, That's wonderful. It sounds like a great business with a lot of family values and business expertise. So congratulations.
And I look forward to working with you guys and spreading the DDSmatch, opportunity around for people to work with you. How do they get in touch with you? Cause I know there's a lot of men and women out there that are, on both sides, but how do they get in touch?
Samantha: the best way to do it would just be to go to our website, www dot DDSmatch dot com. And just sign up so you can create a free profile. So it's free to all buyers that are looking for opportunities. It would prompt them to fill out their information. Select their desired areas of interest. And then if a seller comes to the site and fills out a sellers profile, it will send their information directly to their local DDSmatch professional, which will then prompt the professional to give them a call, go through the process of setting up some time to meet, learning about their practice, and then Once we eventually list a practice, then any buyers who have that free profile will get notified when a new opportunity goes up in their area of interest.
Anne: That is so cool because you know what? most important things you need to do when you're looking for a practice is where do I want to live? When do you get out of dental school or whenever you decide to buy? where do I want to plant my stake and raise a family?
Samantha: The cool thing is, is you can select one location, you can select 40 locations.
So it gets granular Certain states we go down to the County because we know that's important to people and they're looking. So you can get notified of as many or as few locations as you'd like.
Anne: That's cool. I love that. I'm like, can't wait to share this podcast with everybody. I just want to say, thank you so much for joining us today.
We got a duo here for DDSmatch, Thad Miller and Samantha Klausner. So you guys, thank you so much for being with me. And if you're listening, everybody remember to keep doing you thanks. And I'll see you next time. Bye, guys. Thank you.
Samantha: Thanks. Bye.
