70-90% of Acquisitions Fail to Deliver Expected Value—Just look at some of the unprofitable dental groups across the UK!!

Hi everyone,   

Mergers and acquisitions (M&A) can be game changers for dental practices looking to scale, increase market share, or even secure long-term financial stability.  

But from what I’ve seen over the years—both in our own clinics and with the practices we’ve advised—it’s rarely as simple as it looks on paper. 

Did you know many of the UK Dental Groups don’t actually make profits? 

If you just take a look at the publicly available accounts of many of the UK based Dental corporates, you will see most of them are loss making groups – not the actual profitable businesses, they wish to portray! 

With some financial engineering, they try to display a sense of value, but if you scratch deeper you will find many of them suffer from a poor M&A strategy, that’s why many have slowed down their buying activity in the last few years. 

I feel too many practice owners jump into deals based on surface-level numbers, only to realize too late that they didn’t account for cash flow impact, staffing challenges, or hidden liabilities. A great deal can set you up for years of success, but the wrong one?  

It can drain resources and leave you stuck with more problems than progress. 

Just ask one of the struggling Dental corporates. 

Why M&A Is About More Than Just Buying or Selling 

Most people assume that mergers and acquisitions (M&A) are just about one business absorbing another. But in reality, it’s a strategic move that needs careful planning. 

• Will the cultures of the two practices blend well, or will there be friction among staff and patients? 

• Does the financial performance of the target practice justify the investment? 

• What liabilities—such as outstanding debts or long-term lease agreements—come with the deal? 

• What added value can I add to the purchase and what potential synergies are there? 

A Harvard Business Review study found that 70-90% of acquisitions fail to deliver expected value. That’s a huge risk, especially when your personal finances and years of hard work are on the line. 

I’ve seen practices jump into acquisitions thinking they were buying a profitable business, only to realize that the existing patient base wasn’t as loyal as expected or that overheads were higher than projected. That’s why due diligence is everything. 

The Risks of Getting It Wrong 

When an acquisition or merger isn’t properly structured, the consequences can be severe: 

• Cash flow strain – If the numbers aren’t right, an acquisition can eat into working capital, leaving the business struggling to meet day-to-day expenses. 

• Staffing issues – Merging two teams isn’t just about logistics; it’s about managing people, expectations, and potential resistance to change. 

• Integration headaches – From patient records to operational workflows, bringing two practices together requires systems that work seamlessly. 
   

Truth is, even the best-intentioned acquisitions can fall apart without a clear plan in place. That’s why having the right expertise guiding you through the process is critical. 

How to Make Mergers and Acquisitions Work for You 

Understanding the financials, aligning business cultures, and ensuring a smooth transition are all key to making an M&A deal work. 

Many practice owners focus only on the purchase price, but a deal’s true success lies in how payments are structured, how cash flow is managed post-acquisition, and whether the practice will sustain profitability.  

A proper valuation and due diligence process help uncover risks before they become problems. 

Beyond numbers, integration is often the biggest challenge. How will patients react to new ownership? Will the staff stay, or will turnover become an issue? Will patient management and financial systems merge smoothly? These details can make or break a deal. 

How We’ve Helped Others—and Ourselves 

At Samera, we don’t just advise on practice mergers and acquisitions—we’ve been through it ourselves. We know what works, what doesn’t, and how to structure a deal that actually benefits both parties. 

From valuations and financial analysis to negotiation and post-merger integration, we help ensure that every aspect of the deal is considered—so that when you make a move, it’s the right one. 

Thinking about an acquisition or merger? Let’s talk. 

Until next time, 
Arun