By Hani Al-Dajane
Acquiring a dental practice is a major milestone. However, while the closing date marks the official transfer of ownership, there are important steps to complete after the closing date. Following these post-closing steps can ensure a smooth takeover that complies with applicable laws and regulations.
With a committed legal team, dental practice purchasers can successfully navigate a range of legal, operational, and administrative tasks in the days and weeks following the acquisition.
Below is a non-exhaustive post-closing checklist that dentists should consider when purchasing a practice in Ontario.
(1) Immediate Operational and Legal Setup
Apply for a Facility Permit
Submit your application to the Royal College of Dental Surgeons of Ontario (RCDSO) so that your purchased dental practice is legally permitted to operate under your name.
Business Name Registration
Confirm that your business name is properly registered with the province.
X-Ray Equipment Registration
Register all radiographic equipment with XRIS to remain compliant with safety regulations.
Payroll Account Transfer
Consult your accountant to transition the practice’s payroll system under your ownership, including remittance accounts.
(2) Security and Access
Re-Keying the Office
Change the locks on all external doors to ensure security. Be sure to have a lawyer review your lease agreement to confirm whether this is permitted by your landlord.
(3) Digital Presence & Online Tools
Update Login Credentials and Ownership Info
Gain administrative access and update the practice’s ownership for website hosting, Google Business Profile, and email accounts.
Practice Management Software
Change passwords, update user profiles, and set a defined “cut-off date” to clearly separate records and responsibilities between former and new owners.
(4) Billing & Payments
CDAnet Integration
Request that the seller invites you as a new owner on CDAnet and ensure your provider code is added to the system.
Merchant Services
Install your own credit/debit terminals and disconnect the seller’s terminals. Schedule a technician if needed to facilitate the switch.
(5) Utilities & Service Accounts
Ensure all essential services are transferred to your name or dentistry professional corporation. These services include the following:
- Internet and phone/fax lines;
- Security/alarm systems;
- Janitorial and maintenance services; and
- Financial Management.
(6) Financial Management and Accounts Receivable
At closing, generate a full report of outstanding accounts receivable. You may be responsible for collecting payments on behalf of the former owner for a designated transition period (commonly 90–120 days).
(7) Staff
Have your lawyer prepare new employment contracts for all existing staff. To ensure enforceability, include a signing bonus or other form of “fresh consideration.”
(8) Patient Communication
Letter of Introduction
Reach out to patients with a personalized letter introducing yourself and assuring them of continued high-quality care.
Formal Patient Notifications
In some jurisdictions, legal notification to patients regarding the ownership change may be required. Ensure you meet the obligations provided by regulatory bodies such as the RCDSO.
(9) Marketing & Community Engagement
Host an Open House
Welcome patients, referring professionals, and local businesses to a casual meet-and-greet at your new dental practice.
Strengthen Local Relationships
Take this opportunity to build your visibility and presence in the community.
(10) Other Post-Closing Items
In addition to the above, some other important post-closing tasks include the following:
- Notifying suppliers and vendors of the ownership change;
- Updating insurance providers with your new ownership details; and
- Setting up new supplier accounts as needed.
Taking over a dental practice is both exciting and complex. By following a thorough post-closing checklist, you not only ensure compliance and operational continuity but also set a strong foundation for long-term success.
If you’re navigating a transition or considering a practice purchase, the team at Emerge Law can guide you through every step—from due diligence to post-closing execution.
Thank you to Ephraim Barrera for his contribution to this article. The contents of this article are not to be construed as legal advice. Contact Emerge Law’s lawyers for legal assistance.