Guide hub · 9 guides
Dental Equipment Appraisal and Practice Valuation
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A dental equipment appraisal in 2026 values chairs, imaging and technology at fair market value under a stated premise, such as continued use or liquidation (ASA), and current value may be below book value (Dental Economics). It feeds a practice valuation that often blends several methods (Baker Tilly). This hub links 9 guides.
What is FloorStack? FloorStack is the dental build-out platform where doctors, contractors, architects, equipment reps and IT teams plan, build and document a dental practice together in live 3D, and the doctor owns every device, password and record when the doors open.
Key facts
| Item | Figure | Source |
|---|---|---|
| Common methods | Capitalized excess earnings, asset value, annual net receipts, average annual earnings, often averaged together | Baker Tilly |
| Goodwill | Exists only where there are excess earnings after a surrogate dentist's pay | Dental Economics |
| Book vs market | Equipment's current value may be lower than book value | Dental Economics |
| Fair market value | Willing buyer and seller, no compulsion, reasonable knowledge of the facts | 26 CFR 20.2031-1 |
| Purchase-price classes | Equipment and fixtures are generally Class V; goodwill and going concern are Class VII | IRS Form 8594 instructions |
| Goodwill amortization | Section 197 intangibles are amortized over 15 years | 26 U.S.C. §197 |
| One CPA method for equipment | 12-year straight-line life, then salvage typically 10% of historic cost; appraiser for large items | SVA |
| Tax depreciation | 7-year MACRS property (half-year) is deducted over 8 tax years: 14.29% in year one, 4.46% in the last | IRS Pub 946 |
| Leasehold improvements, tax class | Qualified improvement property (interior, nonresidential, placed in service after 2017) is 15-year property | 26 U.S.C. §168(e)(3)(E), IRS Pub 946 |
| Build-out at risk | One dental law firm says $150,000–$500,000 of tenant improvements can vanish if the lease ends or isn't renewed | Cohen Law Firm |
| Liens | Secured party must send or file a termination within 20 days of an authenticated demand once the debt is paid | UCC § 9-513 |
Who this hub is for
- Sellers: start with how practices are valued, then the inventory checklist and the equipment records buyers ask for.
- Buyers: start with equipment due diligence and the technology audit before you sign a letter of intent.
- Brokers and appraisers: use the equipment appraisal, used-value and depreciation guides as client handouts.
- CPAs and attorneys: see the leasehold improvement and depreciation guides for how book, tax and market value differ.
- DSOs acquiring practices: pair the due diligence guides with the DSO de novo checklist for a consistent standard across sites.
Three kinds of value in one practice
A practice appraisal is really three valuations stacked together, and each guide in this hub covers one layer:
- Goodwill. Patient base, earnings and reputation. Goodwill exists only where there are excess earnings after paying a surrogate dentist (Dental Economics).
- Equipment and technology. Chairs, imaging, sterilization and IT, valued by inventory, age and condition. Appraisers distinguish fair market value in continued use from liquidation values (ASA).
- Leasehold improvements. The build-out itself. In the asset method these are part of the appraised tangible assets (Baker Tilly), but their value depends on the lease: a short lease with no renewal options can reduce a practice's sale value (Mostofi Law Group).
Why records move the number
Buyers and lenders discount what they cannot verify. A complete inventory with serials, purchase dates, warranties and service history supports the equipment value, and some records transfer with the practice: in Minnesota, for example, the new x-ray registrant must keep the previous owner's last performance evaluation and shielding documentation (Minnesota DOH). This hub is general information, not tax, legal or valuation advice; use a qualified appraiser and CPA for the actual valuation.
Preparing for an appraisal
Before the appraiser or broker arrives, pull together:
- An equipment inventory with make, model, serial number, purchase date and cost for each item.
- Warranty and service records, including registrations in the practice's name.
- Lease documents, including term, renewal options and any landlord rights over improvements.
- Build-out records: construction costs, drawings and permits for the leasehold improvements.
- Lien and financing information for any equipment still under a loan or lease.
- Technology records: software licenses, IT account ownership and backup arrangements.
The more of this exists in writing, the less the buyer has to guess.
Every guide in the Dental Practice Appraisal hub
This hub links all 9 guides in the Dental Practice Appraisal pillar, grouped by stage and by who uses them.
How valuation works
The methods and the parts of the practice they value.
- How Dental Practices Are Valued: Goodwill vs Tangible Assets: how appraisers value a practice: goodwill versus tangible assets.
- Valuing Leasehold Improvements in a Dental Practice: how leasehold improvements are valued, depreciated and put at risk by the lease.
Valuing equipment
What chairs, imaging and technology are worth.
- How to Appraise Dental Equipment: Inventory, Age, Condition: appraising equipment by inventory, age and condition.
- Used Dental Equipment Value Guide by Category and Age: used equipment value by category and age.
- Dental Chair Depreciation and Fair Market Value by Age: chair depreciation versus fair market value.
Records for sellers
Prepare before you list.
- Equipment Records at Practice Sale: What Buyers and Brokers Ask For: the equipment records buyers and brokers ask for at a sale.
- Dental Practice Inventory Checklist for Sale or Appraisal: an inventory checklist for a sale or appraisal.
Due diligence for buyers
Check before you sign.
- Equipment Due Diligence for Dental Practice Buyers: equipment due diligence for practice buyers.
- Technology Audit Before Buying a Dental Practice: a technology audit before buying a practice.
Related hubs and guides
- Dental Equipment Inventory hub: the inventory and warranty records an appraisal depends on.
- Own Your Dental Passwords hub: make sure accounts and data transfer with the sale.
- Startup vs Acquisition: compare buying with building from scratch.
- Build a Dental Office hub: if you decide to build instead of buy.
- Handing Over Equipment Docs and Credentials: what should change hands at closing.
Free tools for this hub
Start with the Equipment inventory & appraisal report
The Equipment inventory & appraisal report (free tool, coming soon) is the anchor tool for this hub. It is planned to turn your equipment inventory, with ages, warranties and service history, into an appraisal-ready report you can hand to a broker, appraiser or buyer. The Free equipment inventory CSV (free download, coming soon) is the starting spreadsheet.
Other free tools for this stage
- Free equipment inventory CSV (free download, coming soon): a spreadsheet template for serials, warranties, service dates and owner-of-record.
- Device compatibility checker (free tool, coming soon): check sensors, CBCT, pano and PMS bridges before you buy.
- Credential ownership checklist (free tool, coming soon): list every admin account the practice should own, with a "password hostage" letter template.
- Build-out cost & timeline calculator (free tool, coming soon): estimate budget and schedule from your square footage, operatory count and region.
- Network & IT plan generator (free tool, coming soon): turn your floor plan into a drops, rack, Wi-Fi and VLAN plan.
- FloorStack Studio (live, free plan): a 3D IT plan of your office with every device placed.
How FloorStack helps
FloorStack is designed so the device record and the device logins stay with the practice, which means much of what an appraiser or buyer asks for already exists when the practice changes hands. As described on the FloorStack homepage, each login is kept with its device in a BAA-backed vault. FloorStack Studio is live today on a free plan. You upload a floor plan or a phone photo, and in about 10 minutes it returns an interactive view with every device placed, a device schedule with rooms, ports and cable lengths, and a rack layout; it is vendor-neutral, suggests up to 3 alternatives per device and never asks for patient data (FloorStack FAQ).
Frequently asked questions
How are dental practices valued?
Appraisers often average several methods, including capitalized excess earnings, asset value and annual net receipts (Baker Tilly). See how dental practices are valued.
How is dental equipment valued in a sale?
At fair market value under a stated premise: in continued use, removed, or in liquidation (ASA). Current value may be below book value (Dental Economics). See how to appraise dental equipment.
How fast does a dental chair depreciate?
For valuation, one CPA method uses a 12-year straight-line life with salvage typically 10% of historic cost (SVA); for taxes, 7-year MACRS property is deducted over 8 tax years (IRS Pub 946). See dental chair depreciation.
Are leasehold improvements part of a practice's value?
Yes, in the asset method (Baker Tilly), but lease terms matter; a short lease with no renewal options can reduce sale value (Mostofi Law Group). See valuing leasehold improvements.
What equipment records do buyers ask for?
Inventory with serials and ages, warranties, service history, lien status and regulatory files such as x-ray registration and shielding records (Minnesota DOH). See equipment records at practice sale.
What should a buyer check before purchasing a practice?
Equipment condition and age, imaging and software compatibility, and who owns the IT accounts. See equipment due diligence and the technology audit.
Sources
All 9 guides in Dental Practice Appraisal
- How Dental Practices Are Valued: Goodwill vs Tangible AssetsHow dental practices are valued in 2026: the four common methods, goodwill vs tangible assets, asset vs stock sales, and how IRS Form 8594 splits the price.5 min read
- How to Appraise Dental Equipment: Inventory, Age, ConditionHow to appraise dental equipment in 2026: pick the standard of value, inventory make, model, serial and age, grade condition and prepare for the appraiser.5 min read
- Used Dental Equipment Value Guide by Category and AgeWhat used dental equipment is worth in 2026: why there's no price list, how age, support and removal drive value by category, and a book-value-by-age table.5 min read
- Dental Chair Depreciation and Fair Market Value by AgeWhat a 10-year-old dental chair is worth in 2026: book value vs tax depreciation vs fair market value, the factors that move the number, and how to document it.5 min read
- Dental Practice Inventory Checklist for Sale or AppraisalA 2026 dental practice inventory checklist for a sale or appraisal: equipment, technology, supplies, leasehold improvements, leases, liens, licenses and logins.6 min read
- Equipment Due Diligence for Dental Practice BuyersThe equipment records a dental practice buyer needs in 2026: inventory, ages, service and repair history, leases and liens, x-ray and amalgam filings, logins.6 min read
- Technology Audit Before Buying a Dental PracticeHow to audit a dental practice's technology before you buy in 2026: OS and server support dates, backups, firewall, software licenses, BAAs and admin logins.6 min read
- Valuing Leasehold Improvements in a Dental PracticeHow leasehold improvements are valued in a dental practice in 2026: cost less depreciation, remaining lease term, who owns them at lease end, and tax treatment.6 min read
- Equipment Records at Practice Sale: What Buyers and Brokers Ask ForSelling a dental practice in 2026? The equipment records buyers ask for: inventory with serials, invoices and warranties, x-ray files, lien releases and logins.5 min read