What goes in a practice inventory for sale?

Key facts

The checklist

1. Clinical equipment (one row per item)

• Chairs, delivery units, operatory lights, stools
• Intraoral x-ray units, sensors, phosphor plate scanner
• Panoramic or CBCT unit
• Intraoral cameras, scanners, curing lights, handpieces
• Sterilizers, ultrasonic cleaners, washers
• Compressor, vacuum, amalgam separator
• Lab equipment

For each: make, model, serial number, room, install date, original cost, condition, service history, and owned/leased/financed status (Jaffe Law). See how to appraise dental equipment.

2. Technology

• Workstations, server, monitors, printers
• Firewall, switches, Wi-Fi, phone system, cameras
• Practice management and imaging software, with license status
• Cloud services and subscriptions
• Operating system and support status for each computer

Jaffe's list asks for practice software licensing status and IT infrastructure and cybersecurity status (Jaffe Law). For deeper review, see the technology audit before buying a practice.

3. Furniture, fixtures and office equipment

• Reception and business office furniture
• Cabinetry that isn't built in
• Break room appliances, signage, decor

4. Leasehold improvements

• Build-out cost and date by category (plumbing, electrical, cabinetry, finishes)
• Who owns them at lease end (check the lease)

Baker Tilly's asset method includes leasehold improvements (Baker Tilly); see valuing leasehold improvements.

5. Supplies

• Dental and office supplies on hand

SVA describes valuing supplies at one or two months of the prior year's supply expense rather than counting every box (SVA). Controlled substances are handled separately under DEA rules.

6. Leases, financing and liens

• Equipment leases and financing agreements, with payoff amounts
• All debt documents
• Liens, judgments or encumbrances

All three are on Jaffe's buyer list (Jaffe Law). An item with a lien or lease isn't free to sell until it's paid off or the transfer is approved.

7. Service contracts and warranties

• Service contracts in place (equipment, IT, alarm, HVAC)
• Manufacturer warranties with start dates
• Recent repair history and costs

8. Licenses, registrations and compliance filings

• X-ray registrations and inspection reports (state rules vary)
• DEA registration: it can't be assigned or transferred without written DEA consent (21 CFR 1301.52); the buyer usually needs their own
• Amalgam separator records: after a transfer of ownership, the new owner of an existing source has 90 days to file a One-Time Compliance Report (40 CFR 441.50)
• Sterilizer spore-test logs

9. Logins and digital ownership

• Admin credentials for software, firewall, Wi-Fi, phones, cameras, domain and email
• Who holds them (practice or IT vendor)
• Domain registrar account in the practice's name

A buyer who can't get admin access can't run the office on day one.

10. Items not included

• Personal items, art, retired equipment
• Retired computers: record the decommissioning and keep certificates of destruction for any drive with patient data (HHS 405(d) HICP)

Is an inventory for an appraisal different from one for a sale?

The list is the same; the purpose changes what gets emphasized. An appraiser needs enough detail to apply a standard of value, such as fair market value in continued use or orderly liquidation value, as of a specific date (ASA). So the appraiser cares most about make, model, age, condition and original cost. A buyer cares about the same items plus anything that could cost money after closing: liens, leases that don't transfer, service contracts, software licenses, and equipment near the end of its support life (Jaffe Law).

In an asset sale, the inventory also feeds the purchase-price allocation. Furniture, fixtures and equipment are generally IRS Class V assets, and no asset can be allocated more than its fair market value (IRS Form 8594 instructions). Build the list once with every field, and both the appraiser and the buyer's team can work from it. See equipment due diligence for buyers.

How should I format the list?

One spreadsheet, one row per item, with the same columns throughout. Group by room so a buyer or appraiser can walk the office with it. Attach photos of serial plates and a folder of invoices. HHS notes a well-designed spreadsheet is enough for an IT asset inventory in a small practice (HHS 405(d) HICP). Start with the equipment inventory template.

When should I start?

Before you call a broker. Inventory gaps found in due diligence slow the deal or invite a price cut, and Jaffe's guidance notes outdated or failing equipment means the buyer will need to invest beyond the purchase price (Jaffe Law).

Which free tools help with this?

The equipment inventory & appraisal report (free tool, coming soon) is planned to turn your equipment list into an appraisal-ready report. The free equipment inventory CSV (coming soon) will give you the columns to start the list in a spreadsheet. The credential ownership checklist (free tool, coming soon) is planned to list every login, license and account the practice should own, with a "password hostage" letter template. FloorStack Studio (live, free plan) places every device on your floor plan and gives you a device schedule with rooms, ports and cable lengths (FloorStack FAQ).

How FloorStack helps

FloorStack is a dental build-out platform that keeps the inventory current long before a sale. The free Equipment inventory & appraisal prep tool (coming soon) will turn your list into an appraiser- and buyer-ready report. The free Credential ownership checklist (coming soon) covers section 9. Floor Stack ($39/mo, billed yearly) keeps live inventory with specs, serials and warranty dates; Shared Stack ($79/mo, billed yearly) adds a credential vault per device with an audit log (FloorStack). Start today with the inventory template (CSV). See the Dental Practice Appraisal hub. Also use FloorStack Studio (live, free plan).

Free tools for this step

• Equipment inventory & appraisal prep tool: buyer-ready inventory (free tool, coming soon).
• Dental equipment inventory template (CSV) (free download, coming soon): sections 1–3 in one sheet.
• Credential ownership checklist: logins to hand over (free tool, coming soon).
• Studio (live, free plan): map every device and drop on your floor plan.