Ladd Dental Group

 Over the past decade, the dental industry experienced an unprecedented wave of consolidation. Private equity capital flowed into the profession, Dental Service Organizations (DSOs) expanded rapidly, and large multi-location platforms became a major force in the market. Recently, however, two major organizations— Dental Care Alliance and Affordable Care —have reportedly been taken over by their lenders following financial restructuring challenges. For many in the profession, this raises an important question: What does this mean for the future of dentistry ? The answer is nuanced, but it may signal a turning point for how dental organizations are built and financed going forward. The End of the “Growth at Any Cost” Era For many DSOs, the growth strategy of the past decade was simple: acquire as many practices as possible as quickly as possible. Low interest rates and strong investor appetite made this strategy viable. Debt financing allowed organizations to purchase pract...