Podcast Episode #572: An Argument For DSOs – Compliance, Consolidation & the Future of Dental Practice – Brian Colao
Episode #572: Dentist Freedom Blueprint Podcast
An Argument For DSOs – Compliance, Consolidation & the Future of Dental Practice – Brian Colao
Selling your practice can look like a financial win—and still feel like a personal loss if you choose the wrong partner. In this episode, David Phelps sits down with Brian Colao, one of the earliest architects of the DSO legal framework, to unpack what most dentists misunderstand about consolidation, private equity, and the true risks hiding behind “fair value” offers. With nearly three decades advising DSOs and representing more than 780 dental organizations, Brian brings rare clarity to a space filled with noise, fear, and half-truths.
This conversation goes far beyond multiples and EBITDA. Brian explains why fit matters more than price, how the current economic environment has changed leverage, and why many dentists end up unhappy even after a “successful” sale. Whether you’re a young doctor with debt, a mid-career owner feeling burned out, or a seasoned practitioner exploring an exit, this episode offers a grounded, practical framework to help you evaluate your options with eyes wide open—and avoid mistakes that are hard to undo.
Minute Markers:
00:00 – Intro
01:19 – Brian Colao’s role in shaping the modern DSO landscape
04:30 – How early DSO litigation defined compliance and guardrails
09:57 – How much consolidation is really coming—and over what timeline
12:57 – Why today’s cost pressures favor the DSO model
17:37 – Which dentists are best suited for DSOs—and which are not
21:32 – How DSOs remove non-clinical burdens and restore enjoyment
27:30 – Choosing the right DSO partner and avoiding costly misfits
30:50 – Why the highest offer is often not the best deal
36:10 – The missing standard in valuations and EBITDA confusion
44:57 – What every dentist must do before considering an exit
Featured on the Show:
Brian Colao: Website | LinkedIn
Dykema DSO Conference
Private Facebook Group: The Exit-Ready Dentist
Download the Exit Strategy Playbook
Schedule your Freedom Founders discovery call
P.S. Whenever you’re ready, here are some other ways I can help fast track you to your Freedom goal (you’re closer than you think) :
In this episode, we finish up the second part of my interview with Rob Swanson and his eight rules of investing. (If you haven’t listened to part 1, be sure to go back and give that a listen before jumping into this one.) Today, we pick up where we left off, covering rules four through eight and talking about everything from decision-making to cash flow and risk reduction.
Listen in as Rob shares his incredible insight and experience in real estate and investing to give us a few rules that help make our decisions and investments more solid. You will hear about the importance of looking at margins before buying and what boxes need to be checked when it comes to predicting a solid income stream. Rob also discusses how to define and mitigate the different risks involved so that you can come out on top.
Alastair MacDonald is a private advisor to established entrepreneurs, investors, and business owners, as well as a TEDx speaker who lectures on economic, social, and financial forecasts. Join me today to hear part two of our conversation at the Freedom Founders Mastermind, where we dive into the concept of certainty, how to hedge against a volatile economy, and why the abdication model is no longer one that works.
Listen in to learn the reasons why Alastair is not worried about consumer price inflation (and what he’s really worried about instead) and why the 401(k) is not always the investment that it is made out to be. You’ll learn why he is most concerned about the issue of division and polarity in the Western world, why your business is your best asset in a volatile economy, and how you can maintain its viability to weather the most intense economic storm.
1. Get Your Free Retirement Scorecard:
Benchmark your retirement and wealth-building against hundreds of other practice professionals, and get personalized feedback on your biggest opportunities and leverage points. Go to www.FreedomFounders.com/Scorecard to take the 3 minute assessment and get your scorecard.
2. Attend A Workshop:
If you’re committed to Freedom, but still building a practice, paying down school debt, or growing investment capital, our hands-on Freedom Blueprint Workshops are your entrance ramp onto the fast track! Visit www.freedomfounders.com/workshop to claim your seat!
3. Apply To Visit The Mastermind:
If you’d like to join dozens of dentists, docs, and practice professionals on the fast track to Freedom (5-7 years max), visit www.freedomfounders.com/step-1 to apply for a seat.
4. Want to Work Directly with Me?
If you’d like to work directly with me and a small group of my closest investment colleagues, with direct access to the dealmakers and asset classes that I invest in, just send a message to my Executive Assistant (Lindsey@FreedomFounders.com), and put “Fast Access” in the subject line. Or, call (972) 203-6960 Ext 144 and leave a brief voicemail for Lindsey. Let her know you’re interested in the Fast Access program – we’ll set up a time with you to talk, find out about your goals, and see if there is a fit.