Timing and planning – By planning in advance (at least 2 years ahead, preferably), you will be able to maximize your after tax proceeds from the sale. Also, consider boosting your revenue; this increases the value of your practice
100% or less – Are you selling 100% of your practice or a small percentage at a time? Consider the tax consequences and benefits of being paid by purchaser over a number of years. If you are to sell a portion only, also consider the possible problems arising from same.
Valuation – Your dental practice might be your biggest asset. Have it valued by a professional. You have worked so hard over the years to build up the value of your practice; get your full return on investment.  How should the value be allocated between your professional and hygiene/technical services corporation, if you are selling shares? Or how should the value be allocated among the assets to minimize your taxes if you are selling assets? What is your tax exposure if the tax department disagrees with the allocation? Are you willing to take that risk?
Marketing strategy and broker assistance – Consider a broker who will smooth the selling process.
Sale of Assets vs. Shares – With the lifetime capital gains exemption increased to $750,000 (from $500,000) for sale after March 19, 2007, you might be more inclined to sell shares if you have not utilized any or all of the exemption. On the other hand, purchaser is more inclined to buy assets; you might end up sharing some of your tax benefits with the purchaser. Don’t forget to multiply the exemption amount! Work with your accountant to ensure your eligibility for the exemption.
Incorporation – Do you have to wait for two years after your incorporation to sell shares? What is your tax exposure if you incorporate immediately prior to the closing? Consider introducing your family members to the corporation in order to multiply the capital gains exemption?
Negotiations – You know your reasons for selling. However, you also need to consider the buyer’s motivations for purchasing your practice.  You will be in a better position to defend the value of your practice if you have a well-thought out selling strategy. Be sure to consult your advisors in this process.
Due Diligence – After locating a buyer, both sides are free to perform their own investigations to decide if they will proceed further. It’s best to disclose any potential issues, so that they can be addressed.
Sale terms – Be sure you thoroughly understand the implications and agree with all the terms of the offer, including the fine print. Involve your legal and tax advisors throughout the negotiation process.
Equipment Lease Agreement – If you have an existing equipment lease agreement it is important to have your lawyer review the repayment terms of the lease. There may be restrictions/penalties with an early repayment.
Retiring Allowance – Any employees including spouse, etc. who have worked at your office prior to 1996 might qualify for a retiring allowance. The allowance amount is tax deductible while the employees/recipient might pay no tax on the income.
Associate Agreement – Negotiate your associate agreement if you intend to continue working with the new owner. The agreement should specify the weekly schedule and the associate fees (percentage). Consult your lawyer as for as non-competition/solicitation is concerned.
Building – If you or any related person owns the dental building, be sure to secure a lease agreement. At times, the purchaser might ask for a first right of refusal or an option to buy the building; it is your choice to grant this option. Consult your advisor to address any income tax and GST issues.
Excess Assets – If your practice/corporation owns other assets, for example, building, universal life insurance policy, individual pension plan or any other investments, you might have to remove them from your practice/corporation prior to the sale if you are selling shares.  This may trigger a tax bill. Timing of the transaction will be important.
Non Competition Clause – Is this amount taxable? There may be certain income tax elections which you need to make. Also, consult your lawyer.