What does a three-room dental practice cost to open?
Illustrative case · Owner-dentist, three-room general practice in leased second-generation dental premises; preventive care, fillings and outsourced-lab crowns; no specialist surgery or sedation · United States; California regulatory case; no specific city or site assumed
Explore this business · Startup costs
The modeled opening uses are $460,200, plus $220,000 retained as cash, for $680,200 total funding. The two largest commitments are specialized conversion works and the complete dental equipment system. These are scoped assumptions awaiting installed quotations. A refurbished chair bundle price cannot validate the whole budget, and the base operating case exhausts its reserve despite fully funding opening uses.
Price the retained premises condition
The case assumes 1,800 square feet of leased second-generation dental space, three treatment rooms, a central reprocessing area and reception. It assumes existing suitable dental rough-ins can be retained after inspection. The conversion allowance is $100.00 per square foot, yielding $180,000; this is an explicit hypothesis, not a California contractor estimate. Dental-specific plumbing, vacuum/air distribution, equipment utility compatibility, electrical circuits, washable finishes, accessibility and shielding need a site survey.
The inspected builder describes those scope drivers and distinguishes equipment from construction. Its non-California commentary and cited project examples do not price this unit. A-dec’s installation checklist also makes clear that functioning utilities and commissioned connections must be checked; it does not certify old equipment or site compatibility. Construction scope; Manufacturer installation boundary.
Reconcile every opening use
| Use | Amount | Scope/status |
|---|---|---|
| Dental conversion works | $180,000 | 1,800 sf × assumed scope allowance; retained rough-ins not inspected |
| Installed dental equipment budget | $131,000 | Three chairs plus utility plant, imaging, sterilization and instruments; quote outstanding |
| Design and permit budget | $12,000 | Local disciplines/fees not confirmed |
| Capital contingency, conservatively spent | $30,000 | Separate from cash reserve; no rebate assumed |
| Furniture and IT | $18,000 | Reception, computers, network; not dental casework twice |
| Lease deposit | $16,200 | Three assumed rent months; retained asset |
| Opening stock | $8,000 | Retained baseline stock, replenished in variable costs |
| Pre-opening payroll/training | $40,000 | Four-week burdened payroll comparison $39,901 |
| Launch, credentialing and legal | $15,000 | Cost budget, no purchased patient base |
| Financing/closing cost allowance | $10,000 | Expense at opening; no guaranteed fee quote |
| Opening cash reserve | $220,000 | Available cash, not construction contingency |
| Total sources required | $680,200 | Equity $200,000 + debt $480,200 |
Capital uses total $371,000. Deposit and stock remain assets; pre-opening and closing expenses reduce opening retained earnings. All uses are paid before month 1 and debt is drawn once. This conservative timing assumption must be replaced by the actual deposit, progress-payment and lender disbursement schedule; no landlord improvement allowance or equipment credit is assumed.
Specify the whole equipment package
| System | Quantity basis | Budget | Boundary |
|---|---|---|---|
| Chair, delivery, light, assistant equipment | 3 × $15,000 | $45,000 | New/selected-system allowance; vendor configuration unquoted |
| Air/vacuum plant | One shared system | $14,000 | Three-room capacity and electrical specification to confirm |
| Sterilizers | 2 × $6,500 | $13,000 | Backup/process scope, not measured cycle capacity |
| Intraoral X-ray heads | 2 × $4,500 | $9,000 | No panoramic/CBCT unit |
| Digital sensors | 2 × $5,000 | $10,000 | Software integration to confirm |
| Handpieces and small devices | One practice set | $9,000 | Curing/scaler/accessory schedule needed |
| Reusable instrument sets | One practice set | $12,000 | Quantity must suit turnaround/sterilization |
| Tax, freight and commissioning | One allowance | $19,000 | Not a stated tax rate or installed quote |
For SKU 1952, the inspected supplier detail page displays $29,985, while its category page displays $32,985. Both refer to a refurbished three-chair Cascade/Radius bundle; optional add-ons exist. The discrepancy is unresolved and requires supplier reconfirmation. Neither displayed price is used as an accepted installed quote or as a new-equipment specification. Our chair allowance remains $45,000 and the complete equipment budget remains $131,000. Observed configuration and price conflict.
Size reserve from the collection trough
Opening reserve is $220,000; it is separate from $30,000 capital contingency. Base cash becomes negative in month 8 and reaches −$136,687 at month 60. Required additional equity at unchanged debt is $136,687 to cover that modeled gap, before any safety buffer or interest on new funding. Adding that equity would fund losses, not repair the insufficient operating contribution. The lower case requires $2,052,126 beyond opening sources and is operationally unsustainable.
PPO receivables at the end of Year 1 are $33,029. Payroll, supplies and laboratory work are paid before all claims arrive. Separate working capital from a construction overrun and from a tax allowance. The model keeps baseline stock and deposit tied up; neither is treated as a spendable reserve.
Request two scope-complete quotations
For conversion, request a measured plan and trade schedule covering demolition, retained-versus-new plumbing, drainage, air/vacuum lines, electrical/data, HVAC, finishes, casework and shielding. Ask which landlord works, design, permits, sales/use tax and inspections are included. The third material opening item, pre-opening payroll, is compared with four weeks of the actual modeled roster; credentialing delay could require more paid weeks.
For equipment, request chair/delivery/light contents, utility-plant sizing, instrument turnaround, imaging/sensor/software integration, freight/offload, tax, installation, testing and warranty/service travel. Assign each scope to one budget owner. Furniture does not include dental casework again, and utility rough-ins are not the same as terminal equipment hookups. Obtain all missing prices before adopting the funding request.
List decisions that invalidate this budget
Building purchase, acquisition goodwill, specialist surgery, sedation/nitrous systems, panoramic/CBCT imaging, onsite milling and owner personal living expenses outside gross salary are excluded. California radiation-machine registration is a separate gate; the official page states registration within 30 days of acquiring a machine. The budget is not a shielding approval or operator qualification. Registration source and access limit.
Current wage/benefit offers, actual rent/NNN, payer enrollment dates, materials/lab quotations and entity tax treatment remain unresolved. Historical BLS wages are only comparisons. Unknown quotes are not zero costs; the next budget revision must replace assumptions and rerun the same statements and guides.
Validate the case inputs
Download the input and evidence register (CSV). This case export separates observed context from assumptions and leaves quotation fields blank for your project. It is an educational register, separate from the planned personalized model.
Sources and scope
- A-dec 300/400/500 installation checklist, Rev E issued 2021-05-07 · Checked 2026-10-05 · Manufacturer installation/utility scope: pressure, leaks, drainage and tubing. This checklist is not a compatibility certificate for refurbished Cascade equipment and is not a price quotation.
- BLS California May 2023 occupational wages · Checked 2026-10-05 · Historical statewide hourly medians: dental hygienists 58.00; dental assistants 23.18. Model 60/28 hourly offers remain assumptions. May 2024 endpoint unavailable during check; no claim to latest local wages.
- Illustrative planning-case methodology · Checked 2026-10-05 · Case inputs are hypotheses, not national dental averages, patient demand, hiring quotes or signed commercial terms.
- California CDPH radiation machine registration · Checked 2026-10-05 · Official page updated 2026-05-19, inspected via indexed full text: registration within 30 days of acquisition under Title 17 §30108. Later direct open timed out; site-specific shielding/operator requirements and fees remain checks.
- Dental Equipment Liquidators: A-dec Cascade Radius three-room package, SKU 1952 · Checked 2026-10-05 · Refurbished A-dec 1040 chairs ×3, 2122 delivery systems ×3, Radius assistant instrumentation ×3, 6300 lights ×3 and upholstery. Detail page displays 29,985 USD; category page displays 32,985 USD during this inspection. Inconsistent published prices require supplier reconfirmation; both are research observations, neither an accepted quote. Bare bundle, not new equipment or delivered/installed California project.
- Modern Northwest: dental construction scope · Checked 2026-10-05 · Builder scope discussion: dental utility rough-ins, sterilization, imaging, accessibility, separate equipment. Washington/Portland-market commentary and cited examples are not a California site quotation; no published generic range validates the 180,000 case allowance.
- IRS Publication 15 (2026): employer tax guide · Checked 2026-10-05 · Employer Social Security 6.2 percent up to 184,500 wages and Medicare 1.45 percent, in 2026. Case 18 percent loading includes wider benefit/insurance/UI budget; future-year rates and actual benefits are unquoted.