By Ayat Huseen
Excess and used dental equipment and supplies can cost a practice thousands of dollars each year. Did you know there’s a strong market for preowned equipment, such as handpieces, cavitrons, sensors, and more? Much of this equipment, whether functioning or not, can be used for parts and refurbishing. The equipment can be sold by practices to recoup business costs, which helps them manage expenses and reclaim valuable office space. Simply storing and ignoring used dental equipment has many disadvantages, including depreciation, storage costs, and administrative frustration.
However, how to sell dental equipment can pose issues; there are many problems involved with offices handling their own used, idle, or excess equipment. These include getting costly inspections, pricing items, sourcing customers, and handling buyer issues. This can be a stressful process and adds to the practice’s many other commitments. There may be no other solution but to store, or worse, dispose of the used equipment. Storing perfectly functioning equipment can lead to more problems, such as further depreciation and damage from improper storage, and then there’s little chance of recouping costs. Strict regulations for disposal and recycling of equipment can lead to possible fines and even damage to a practice’s reputation.
Dental equipment loses more than 10% of its value every six months after initial depreciation from retail. With storage costs and space, it serves more as a liability than an asset. The sooner a practice can sell their unused equipment through a hassle-free process, the quicker the practice will receive top secondary market payout.
A successful system for dealing with equipment that no longer serves a purpose can save your practice money and time. Having your staff handle sales themselves has proven to be messy and often unsuccessful. A company for practices that are looking for an efficient method to deal with their preowned dental equipment may be an effective solution. Working with a reputable company to ship unwanted dental equipment and receive payment will help dentists avoid possible scams and liabilities.
Here are tips to help you find the right dental equipment company for selling your used equipment and supplies:
How does the company arrange payment? Do they ask you to blindly send in your equipment, only to make an offer later? This is important to consider so you won’t be disappointed in the offer if it’s less than expected, and also to maintain transparency. Payment timeout is also important. Asking the company about its estimated time on payment can help you avoid the frustration of waiting months after equipment has been shipped for payment. Gaining clarity on the company’s terms and conditions may help you avoid any issues during the process. The last thing you want is a company to notify you that their offer has decreased after they receive your equipment.
Knowledge of the used market
Consider whether the equipment company has knowledge about the used market and is able to offer fair prices. Generally, companies offer about 30% to 40% of the used market value. If they are knowledgeable about the current trending prices, then you’re more likely to receive top pay for your equipment. Usually, if the company is qualified to provide appraisals, then they have solid knowledge on offering top payout. Attaining a market appraisal for your used equipment can help you gauge a fair asking price if you sell the equipment yourself.
When shipping your equipment, it is important to clarify whether you or the buying company will pay for shipping. This will ensure that all overhead is covered by the company you use, without shipping costs eating into your profit, especially with heavy items. Asking questions such as, “What is your shipping process?” will determine whether you have an easy or hassle-filled experience. Dealing with a company that covers costs upon shipment will help you get reimbursed sooner. Another factor to consider with freight items such as chairs, panos, and more is whether the company has a reliable method to transport fragile items. It’s important to make sure that you’re free of liability in the case of damage.
In short, there is a market for unwanted dental equipment. Finding the right company that will purchase it, and that has clear guidelines and procedures, will help determine a pleasant sale experience. The tips I shared will apply also if you’re selling your own used equipment. Gaining clarity on these processes is a great starting point to a smooth sale!
This originally appeared in the Dental Economics Weekend newsletter. To subscribe visit dentistryiq.com/subscribe.
Ayat Huseen assists dental professionals with attaining the most return on assets while reclaiming their space. As a purchasing manager, she appraises, consults, and purchases excess or unwanted dental equipment around the world. She assists practices and dental service organization by appraising, giving quotes, and leading them through the entire sale of their idle equipment. Huseen is the purchasing manager at TacomaQuickSale LLC, a service for selling preowned dental equipment in the US and Canada.