.5 trillion in PE dry powder. Dental practices are on the menu.

$2.5 trillion in PE dry powder. Dental practices are on the menu.

Private equity has $2.5 trillion sitting idle, waiting to deploy. Dental remains the #1 target for PE because the unit economics are simple: patient lifetime value, predictable reimbursement, and operators who understand practice management.

But here's what changed: valuations aren't where they were in 2022. Buyers are now demanding 35-40% EBITDA margins as entry price. If your practice isn't there, you're not attractive. If you are, you're getting calls.

The practice owner sitting at 25% margin thinks they're doing fine. They're wrong. They're leaving $750K on the table per million in revenue if the market benchmark is 35%. PE knows this. They're not interested in fixing culture or operations—they're interested in cost structure.

If you're thinking about exit in the next 24 months, tighten labor costs, reduce supplier waste, and push case acceptance now. The next 90 days will determine whether your practice is a PE asset or a practice that has to stay independent and compete harder.

The money is coming. The question is whether you'll be ready to catch it.