DSO Dental: What It Means and How It Impacts Modern Practices

DSO Dental: What It Means and How It Impacts Modern Practices

Article7 min read
Running a successful dental practice requires a lot more than providing quality patient care. In today’s dental industry, good marketing and business practices are just as important as care delivery. But the reality is that you didn’t go to dental school to spend a large portion of your day on administrative tasks and operational processes....

Running a successful dental practice requires a lot more than providing quality patient care. In today’s dental industry, good marketing and business practices are just as important as care delivery. But the reality is that you didn’t go to dental school to spend a large portion of your day on administrative tasks and operational processes.

Many practices have begun turning to dental service organizations (DSOs) to handle the non-clinical aspects of running a profitable business. These entities provide business management services so dentists can focus on dental care.

Is the DSO dental model right for your practice? Learn why DSOs are becoming increasingly popular across the U.S. and how this model might work in your practice. Then explore other solutions for managing administrative tasks, such as Weave’s communication platform.

What is a dental service organization (DSO)?

A dental service organization or dental support organization is a business entity that dental practices contract with to provide administrative and operational support. Its core responsibilities may cover any of the following:

  • Human resources
  • Payroll
  • Marketing
  • Billing
  • IT support
  • Compliance

All of these processes can be incredibly time-consuming for dental professionals and steal your attention away from the heart of your practice: dental care. However, they are important to maintaining a profitable, sustainable, and compliant business.

When you partner with a dental service organization, you can pass operations management over to professionals and dedicate more time and attention to clinical responsibilities. Importantly, DSOs do not dictate patient treatment or provide any clinical services; you remain in charge of all clinical decisions as a licensed dental professional.

DSO dental structures can vary. In the traditional model, the DSO acquires 100% of the practice. The former owner transitions to a clinical employee or associate and receives a salary. The parent company manages all hiring, marketing, and HR processes and may also enact standardized processes for clinical operations. 

Another option is the “affiliated” structure, in which a practice is still technically owned by a licensed dentist but contracts with the DSO. The dentist might sell a percentage of the practice’s assets but retain a minority equity stake. The DSO is contracted to handle specific administrative tasks, such as payroll or billing.

In either case, choosing to work with a DSO is a major business decision that will alter your operations, so it is important to fully consider this model and the specific contractual obligations of the DSO you are considering partnering with.

Why DSO dental models are growing

According to the American Dental Association, approximately 16% of dentists were affiliated with a DSO as of 2024. This figure more than doubled compared to the 2015 figures. The trend is even more common among early-career dentists; as many as one in four dentists within 10 years of graduating from dental school were affiliated with a DSO in 2024.

DSO dental models are growing for a reason. Owning a private practice comes with a range of challenges, including rising costs and steep administrative burdens. The market is also becoming more competitive, meaning attention to marketing and business strategies is more important than ever.

Many dental offices simply do not have the time necessary to dedicate to successful private practice ownership, but they can’t afford to neglect operational tasks. DSOs offer stability and support services to help dentists maintain a better work-life balance while staying competitive in the market.

For younger dentists, flexibility and mentorship are often important priorities. Partnering with a DSO early in one’s career can give dentists more control over their time and provide support with processes they may not have experience with, such as financial management or marketing.

Partnering with a DSO can also be helpful for practices looking to expand into multiple locations. They can better manage the business side of running a multi-location practice with the help of a dental support organization.

Pairing the DSO model with the right practice technology can further support scalability and efficiency.

Key benefits of joining a DSO

Dentists seeking operational and administrative support may consider contracting with a DSO to manage these tasks. If you are on the fence about this move, consider the potential benefits you stand to gain.

Improved operational efficiency

DSOs help streamline day-to-day operations across dental practices. They handle tasks such as hiring new dentists and staff, managing HR claims, billing patients, and even marketing your practice. This means your front desk staff can work more productively without feeling overburdened by administrative tasks.

Many practices also turn to patient engagement platforms to further streamline day-to-day operations. This technology can automate scheduling, billing, and key aspects of patient communication.

When staff feel less overwhelmed by daily tasks, they stay with a practice longer and support a better, more consistent patient experience.

Enhanced patient experience across locations

Fostering a positive patient experience is one of the key elements of practice success. But this is a process that requires attention to a range of tasks, including digital communication, in-office communication, and patient care.

With a DSO, you can promote a standardized experience for patients. Your dental service organization can handle digital marketing, billing processes, and other administrative tasks so your front desk staff has more time to dedicate to patient communication.

Your practice can also use communication tools to streamline appointment confirmations, reminders, and follow-ups. Fast response times also support a positive patient experience.

Consistent experiences build trust and support retention, and with a DSO, your patients will come to know what to expect every time they contact your practice.

Potential challenges of DSO dental models

The DSO dental model also has certain downsides you should consider to ensure you make an informed decision.

  • Reduced autonomy for dentists: Partnering with a DSO means you no longer have total control over your practice. Your new level of ownership will vary depending on the model.
  • Limited flexibility: DSOs often implement standardized processes that dental practices must follow, limiting flexibility.
  • Potential cultural differences: Dental practices naturally adopt unique practice cultures, but DSOs seek to standardize the practice culture, which may mean a significant shift in the workplace.
  • Financial trade-offs: Partnering with a DSO often requires selling equity or offering other forms of compensation, whereas with private ownership, you maintain control over all revenue.

Maintaining quality and personalization within a DSO structure is still possible, but it may require more strategizing.

How technology supports DSO dental success

The right technology can amplify the benefits of partnering with a DSO. Many dentists have turned to practice management software to support processes like:

  • Patient communication, with features such as two-way texting and email templates
  • Scheduling new appointments, with options for online, self-service scheduling
  • Reminders, including automated appointment reminders sent via text or email
  • Payments, providing patients with multiple payment methods and automatic payment reminders
  • Reviews, alerting practices when they receive new reviews and automatically requesting reviews after appointments

This technology automates many aspects of these processes and provides clinics with real-time data and insights to support decision-making.

The role of unified communication platforms

Looking for a unified patient engagement platform offers many benefits over using disjointed tools. With an all-in-one platform, you can access essential communication features in a single interface. This makes it easier to ensure consistent messaging across your practice that supports your brand.

Is a DSO dental model right for your practice or career?

The DSO dental model may be a strong fit for your practice if:

  • You are looking to grow, eventually opening a second location
  • You need support with operational processes
  • You want to focus on patient care rather than business management
  • You prioritize a work-life balance and want to pass certain tasks over to another entity

Meanwhile, if you value autonomy and want to maintain full control over the practice, a DSO may not be the right choice.

How Weave supports DSO dental practices

Weave is a centralized communication platform with features such as:

  • Two-way texting
  • Digital scheduling
  • Automated reminders
  • Payment processing
  • Review management

Leveraging Weave within your DSO dental practice can help you maximize efficiency and patient satisfaction. Weave is easy to use and scalable for growing dental practices.

Take the next step toward a more efficient DSO dental practice

DSO dental practices benefit from centralized tools and systems that improve collaboration across multiple practice locations. If you’re ready to explore Weave’s capabilities, whether or not you have partnered with a DSO, request a demo today.

Want to see
more about
Weave?

1 System for Phones, Texting, Payments, & More

Access a full suite of patient communication tools with Weave! Texting, payments, reviews, & scheduling in one place. Get started today!

Schedule Demo

Get the best of Weave, right in your inbox.

Ready to grow your practice?

See firsthand how Weave can help you grow your practice.