Dental Clinic Bankruptcies and Closures Reach Record High; Survival Efforts Include New Services Like Strength Training – TV Asahi NEWS

This news highlights the severe business environment for dental clinics, manifesting as a record number of bankruptcies and closures.

This underscores the reality that not only stagnant medical fee increases but also rising material and utility costs due to inflation, coupled with increased labor costs, are pressuring the management of particularly smaller clinics.

From the perspective of medical M&A and business succession, this "shift in the tide" emphasizes the renewed importance of early recognition and consideration of business succession.

As the news indicates, some dental clinics are seeking survival through unconventional services like strength training guidance, which can be seen as evidence that existing revenue structures are reaching their limits. In business succession, it is crucial not only to consider financial status but also to smoothly transfer intangible assets such as the patient base cultivated by the director, staff employment, and the clinic's role in the community to a new successor.

By collaborating with experts and considering options for M&A-based business transfer or succession at the first signs of management deterioration, the possibility of a more favorable transfer or liberation from personal debt guarantees increases before falling into a state of negative equity. Before resorting to closure, continuing medical services through business succession and maintaining contributions to regional healthcare will likely become a practical solution for many healthcare institution managers.