Free calculator · UK 2026/27 rates
Practice Purchase Affordability Calculator
Enter the normalised EBITDA of the practice you want to buy, choose its mix and region, then add your deposit and financing assumptions. The calculator returns an indicative value range and checks whether the practice profit comfortably covers the repayments.
Practice Purchase Affordability Calculator
Enter the normalised EBITDA of the practice you want to buy, choose its mix and region, then add your deposit and financing assumptions. The calculator returns an indicative value range and checks whether the practice profit comfortably covers the repayments.
EBITDA after removing principal salary to market rate, personal expenses and one-off items.
Your own assumption. Dental acquisition loans vary by lender, practice size and buyer profile.
Indicative valuation only. EBITDA multiples reflect 2025/26 UK dental market ranges; actual multiples vary significantly by buyer type, NHS contract security, CQC position, and local competition. Interest rate and loan term are your own assumptions. The 1.2x cover ratio is a rule of thumb, not a lending requirement. Tangible assets are added at book value; a surveyor or equipment valuer may give a different figure. Not advice; take specialist financial and legal advice before committing to an acquisition.
Sense-check your figure with a specialist dental accountant
Calculators give you a solid starting point, but the final number depends on your NHS Pension status, prior-year reliefs, and how different taxes interact in your specific structure. A short conversation with a dental-specialist accountant puts a firm figure on it, with no obligation.
Get the full Buying a dental practice model and guide
Get the practice purchase model
An indicative value range from EBITDA, then a deposit, borrowing and profit-cover sense-check. Can the practice pay for itself?
| A | B | C | D | E | F | G | H | I | J | K | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Your figures (edit the blue cells) | ||||||||||
| 2 | Normalised EBITDA | £200,000 | |||||||||
| 3 | Practice mix | Mixed | |||||||||
| 4 | Region | Midlands | |||||||||
| 5 | Indicative value | ||||||||||
| 6 | Goodwill range | £170,000 to £230,000 | |||||||||
| 7 | Total value range | £230,000 to £290,000 | |||||||||
| 8 | Deposit (20%) · loan | £52,000 · £208,000 | |||||||||
| 9 | Indicative total value £260,000, goodwill 0.85x to 1.15x EBITDA | ||||||||||
| 10 | |||||||||||
| 11 | |||||||||||
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How the calculation works
The valuation range applies EBITDA multiples drawn from 2025/26 UK dental market data, adjusted for practice mix (NHS-heavy practices trade at lower multiples than private-heavy ones, reflecting NHS contract risk and commissioner consent requirements on a transfer), region, and the local buyer demand environment. Goodwill is the multiple applied to normalised EBITDA; tangible assets are added at your stated book value to give the total value range.
The affordability sense-check uses the mid-point of the indicative total value range as the default purchase price, applies your deposit percentage to split the price into equity and borrowing, then runs a standard amortising loan calculation at your stated interest rate and term. The annual repayment is compared to the normalised EBITDA: a ratio above 1.2x means the practice generates at least 20% more cash than the annual debt service, which is a commonly used minimum threshold for dental practice acquisition lending.
This is an indicative tool. Actual loan terms, lender coverage ratios, NHS contract transfer conditions and professional fee costs all affect whether a deal is financeable and on what terms. Always take specialist legal, financial and dental accountancy advice before proceeding.
Worked example: David is buying a mixed NHS and private practice in the Midlands with normalised EBITDA of £200,000 and £60,000 of tangible assets. The indicative valuation range is £230,000 to £290,000 (0.85x to 1.15x EBITDA plus tangibles), giving a mid-point of £260,000. With a 20% deposit (£52,000), David borrows £208,000 at 8% over 15 years. The amortising annual repayment is approximately £23,853, giving an EBITDA cover ratio of 8.38x, well above the 1.2x rule-of-thumb minimum, confirming the deal is comfortably serviceable on paper at these assumptions.
Get the full picture
Every figure here is modelled on standard 2026/27 thresholds. Your actual position depends on your NHS Pension status, prior-year usage, other income, and how decisions interact. Take the free practice health check to get a personalised view.