Funding for associates buying their first practice, existing owners expanding or refinancing, and groups acquiring additional sites.
What we arrange for dental practices
- Practice purchase funding, covering goodwill as well as freehold
- Commercial mortgages on freehold practice premises
- Squat and start-up practice finance for building from scratch
- Equipment finance: chairs, CBCT and imaging, CAD/CAM, decontamination
- Expansion funding for additional surgeries or a second site
- Refinancing to restructure existing practice debt
How dental lending actually works
Most of what you are buying when you acquire a dental practice is not bricks. It is goodwill, the value of an established patient base, staff and cash flow. Lenders in this sector are comfortable with that, and lend against the practice’s goodwill and equipment rather than requiring security over your home.
Appetite is strong. Lenders continue to view dentistry as a resilient, essential service with predictable income, and for well-structured purchases high loan-to-value funding is often available against both goodwill and freehold. The assessment turns on whether the target practice’s profitability comfortably services the borrowing.
Goodwill and freehold are usually funded on different terms within the same transaction, goodwill over a shorter period than the property element. That structure is worth understanding before you agree a purchase price, because it drives your monthly cost far more than the headline rate.
What lenders will actually do
- Practice purchase: high loan-to-value funding against both goodwill and freehold is available on well-structured cases from specialist healthcare desks.
- Structure: goodwill is funded over a shorter term than the property element, which typically runs to around 25 years. That split drives your monthly cost more than the headline rate.
- Unsecured alternative: professions lending specifically naming dentists is now available from £30,000 to £500,000, with growth facilities up to £2m, at rates from around 8%, with no property or asset security.
- Equipment: chairs, CBCT, imaging and CAD/CAM are funded by both small-ticket specialists and larger asset finance banks, with credit decisions often inside a working day.
- Security: lenders in this sector will commonly lend against goodwill and equipment rather than requiring a charge over your home.
Deposits and cash contribution
Deposit requirements vary considerably between lenders, and a cash deposit is not always the only route. Equity in a property you already own can sometimes contribute towards the overall stake a lender wants to see. Keeping more of your own cash back at completion is often worth more to you than a marginally better rate, because it funds the improvements that grow the practice.
Buying your first practice
If you are an associate moving to ownership for the first time, the finance is usually more achievable than people expect, but the case has to be presented properly. Lenders want to see that you understand the practice you are buying: its income mix, its dependency on the departing principal, and your plan for the first two years. We prepare that case with you.
Squat practices
Building from scratch is a different proposition, because there is no existing goodwill or trading history to lend against. It is fundable, but the case rests on your own track record, the local market and a credible financial model. Expect a higher personal contribution than for an established practice purchase.
Common questions
How much deposit do I need to buy a dental practice?
It varies significantly between lenders, and some will consider a lower cash contribution where you have other assets to bring into the calculation. Because the range is wide, this is exactly the question a whole-of-market approach answers better than going to your own bank.
Over what term is goodwill funded?
Goodwill is typically funded over a shorter term than a commercial property loan, with the freehold element running considerably longer. Both can often be adjusted to suit serviceability, and we will model the combinations for you.
Will I need life cover?
Loans to buy a dental practice frequently require life assurance as part of the security package. We will flag it early so it does not delay completion.
All figures are indicative and subject to lender assessment, your circumstances, valuation and prevailing market conditions. Commercial mortgages and unregulated bridging loans are not regulated by the Financial Conduct Authority. Property offered as security may be at risk if you do not keep up repayments.
This page was last reviewed in September 2026 and is next scheduled for review in March 2027. Lending criteria change frequently, so contact us for current terms rather than relying on published figures.