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Who can buy into a Dental Practice?

Who can buy into a Dental Practice?

By: Ben Cook Jr., Esq.

The field of dentistry can be a lucrative medical field for those who find a passion in oral health. However, it is also a very highly regulated field of practice, which includes who can and cannot legally own or buy into a dental practice.

In Florida, the law is very clear that only licensed Florida dentists—or business entities made up entirely of licensed Florida dentists—are allowed to own or operate a dental practice. A non-dentist cannot legally buy into or own a dental practice. This prohibition is explicitly laid down by law and can carry serious criminal consequences if violated; violating this law is a third-degree felony that can lead to both professional discipline and criminal charges.

This isn’t just about having your name on the door; it also means that non-dentists are not allowed to have any say in the clinical side of the business. That includes decisions like hiring dentists, deciding how treatment is provided, managing patient records, setting prices, making staffing choices, or even controlling how the practice is marketed.

So, what can a non-dentist do?

Florida does provide legal ways for a non-dentist to be involved in the business side of a dental practice without violating the state’s strict ownership rules; this is done through a structure known as a Practice Management Agreement (PMA), which is commonly used by Dental Service Organizations (DSOs), practice management companies, and similar entities. You may hear these called “Management Service Organizations” (MSOs) and Management Service Agreements (MSAs) in other medical practices, but they essentially do the same thing.

Under a PMA, the licensed dentist remains the sole owner of the dental practice and keeps full control over all clinical decision-making. The non-dentist entity does not touch the clinical side but can provide a range of non-clinical support services. These can include office management, billing, marketing, staffing, accounting, facility logistics, and compliance work. Florida law, specifically the Florida Administrative Code 64B5-17.013(4) and Florida Statute § 466.0285(1), even defines these as “Practice Management Services.”

The key is in how the arrangement is set up. The contract must be carefully drafted to make it clear that only the dentist has authority over professional, medical judgments and clinical operations. If the language is sloppy or gives the non-dentist any real influence over the clinical side, the arrangement can cross into noncompliance.

To put it simply:

· Owning any part of the dental practice itself—even 1%—is not allowed for a non-dentist. The practice must be fully owned and controlled by licensed Florida dentists.

· Providing non-clinical services through a PMA is allowed, but only if the dentist retains full clinical control and the agreement makes that explicit.

If you or your client want to be involved financially or operationally, the safest route is to (1) have the PMA or DSO agreement drafted by an expert attorney who understands Florida dental law, (2) ensure the practice entity is owned exclusively by licensed Florida dentists, (3) state in writing that only the dentist controls all clinical matters, and (4) review the contract regularly to ensure it stays within the legal limits. This is an area where a small misstep can lead to a serious legal problem, and the attorneys at the Florida Healthcare Law Firm can help you through this difficult area of law.