Business • Medical • Dental Turnarounds • Restructuring • Crisis Management • Brokerage • Bankruptcy Consultancy

Devon-French, LLC

Nine Steps to Successfully Restructuring a Distressed Practice

The Devon-French Company provides brokerage services  throughout Arizona, California and Nevada. Our brokerage services operate in the following manner:

Step 1. On-site Assessment: Once the client has elected to engage The Devon-French Company for the sale of their Practice (hereinafter referred to the Practice and/or Real Property, if any), an affiliated consultant of The Devon-French Company will conduct an on-site Practice Valuation of the Practice. Our consultant will visit the sellers Practice to review the physical layout, number of operatories and staff requirements, as well as conduct a random chart audit. This chart audit is conducted in compliance with HIPAA guidelines.

Step 2: Moratorium on Payment of Practice Debts: We will then contact all secured and unsecured creditors of the Practice to inform them of your decision to sell the Practice so as terminate collection phone calls to the office so as to minimize the staff’s awareness of the pending sale. Our contact informs the creditors that only certain debts will be paid in order to maintain the continuous operation (lights, water, payroll, lab fees, etc) of the practice and places a moratorium of payments to secured creditors of the Practice.

Step 3. Practice Valuation: We then prepare a formal, comprehensive, and detailed Practice and Real Property Valuation . These valuations utilize several different methods of determining value, and uses the average arithmetic value of these methods to arrive at a fair market value. A three or five-year cash flow projection is also included showing the economic benefits of the acquisition.

Step 4. Marketing The Practice and Real Property: We develop a customized marketing plan for the client in order to broker the practice and real estate, if any. All marketing is handled with the utmost confidentiality respecting the clients interests. The Devon-French Company uses a combination of journal advertising, Internet-based marketing, direct mail, and our vast network of dental professionals locally and nationwide who provide marketing assistance.

Step 5. Purchasers Screening: To protect the sellers interests, The Devon-French Company requires that all candidates looking to purchase a practice sign a Confidentiality Agreement and provide a resume. The Devon-French Company will then determine the applicants credit worthiness and ability to purchase the practice.

Step 6. Negotiation Phase: Once the purchaser has been identified, The Devon-French Company team will then work with both parties in order to orchestrate a fair and equitable buy-in or purchase. The Devon-French Company team works with the seller and purchaser’s accountant or attorney, if any.

Step 7. Agreement Phase: As part of its commission structure, The Devon-French Company will also provide the legal documents (as contract templates) that are necessary to complete the transaction. Agreements are then e-mailed to their respective attorneys, if deemed necessary, for final review and signature.

Step 8. Purchaser Financing: The Devon-French Company will assist the purchaser to obtain financing for the transaction via our vast resource network of lenders, banks and equipment dealers.

Step 9. Creditor Negotiation-Settlement Phase: Once the purchaser has been approved for the purchase of the Practice, we then commence our settlement phase with all secured creditors to facilitate the clear title to all equipment, software and real property to be transferred to the purchaser. The part of the process enables us hold off creditors, forestall foreclosure and repossession actions long enough to restructure Practice debts so that the Practice can be sold for greater value than if sold at a bankruptcy auction. As a result, the practitioner's are vindicated, patients are not abandoned, staff and management jobs are saved and the creditors are more that satisfied with the results. This  step allows the seller to sell the Practice  without having to pay any deficiency balances on the difference between the amounts owed and the sales price. All fees, costs of escrow and commissions come from the sales price thereby relieving the seller of further debt.

The Devon-French Company takes clients from start to finish…from the initial listing to the settlement table…at no cost to the seller. Ever!

 If you are interested in having a FREE Practice evaluation, please contact us or clck here.