Illinois is the state where I sold mine. My practice was in Chicago, and everything on this site comes from going through an Illinois sale from valuation to close. Here’s what’s specific about selling here, and what isn’t.
The math is the same everywhere
Buyers price EBITDA, not collections, in Illinois like everywhere else. If that sentence isn’t familiar, start with how much is my dental practice worth and come back. This guide covers what’s specific to the state.
What’s different in Illinois
- A flat state income tax. Illinois taxes income at one flat rate, which makes the state side of your math simpler than in most places. The structure questions that matter here are mostly federal: what’s treated as capital gain versus ordinary income, and how equity rollover is handled.
- Chicagoland buyer density. The Chicago metro has heavy DSO and group activity, and the suburbs trade differently from the city. Downstate, the buyer pool thins out fast. Where you sit changes who shows up and what they pay for.
- Ownership rules. Illinois keeps ownership of dental practices with licensed dentists. DSOs operate through management arrangements, and the deal you sign reflects that structure. Mine did.
- Non-competes. Illinois has tightened its non-compete law in recent years, but restrictions tied to the sale of a business are treated differently from employment ones. The one in your purchase agreement deserves real attention, especially if you plan to keep practicing.
I'm a dentist, not a lawyer or CPA. Structure, tax, and contract questions deserve professional advice specific to your situation.
What I’d do first
Know your own EBITDA and know who’s actually buying in your metro before you respond to anyone. If you want a second set of eyes on your numbers from someone who sold in this state, send them through the free valuation review. I’ll reply within 48 hours with my honest read.
— Kevin