MTD 2026, Practice Growth & Leadership: Key Moves for Dental Practice Owners

With Making Tax Digital (MTD) coming into effect from April 2026, many practice owners will need to rethink how they manage their financial records and reporting. Getting this in place now will not only ensure compliance but also give you clearer, real-time visibility over your numbers.

We’re also sharing insights on expanding your practice portfolio from DPS and an opportunity to strengthen your leadership team through the BDA Business Essentials course.

What is Making Tax Digital?

Making Tax Digital (MTD) is a UK government initiative that requires sole traders and landlords to keep digital records and submit tax information using approved software. It aims to cut errors, improve efficiency, and replace paper processes with digital tools.

Key dates

• April 2026: MTD for Income Tax begins for sole traders/landlords earning £50,000+.
• April 2027: Extended to those earning £30,000+.
• April 2028: Extended to those earning £20,000+.

What this means for you

If you earned over £50,000 in 2024/25, you’ll need to follow MTD rules from April 2026. You must keep digital records and send quarterly updates to HMRC via compliant software. This helps you stay on top of cash flow and tax throughout the year.

How we can help

We recommend Xero to make MTD simple. We can support you with:

• Full MTD setup in Xero
• Easy digital record-keeping with live bank feeds
• Quarterly submissions done by your accountant
• Training and ongoing support

If you'd like help getting ready for MTD or want a Xero demo, get in touch with your Business Analyst.

Considerations when thinking of expanding your practice portfolio

An article by Dental Practice Sale

Conduct thorough research

Before diving into the purchasing process, it's essential to conduct extensive research to ensure you're making an informed decision. This includes evaluating your own financial situation and understanding the current market landscape.

• Be clear on your motivations (financial, lifestyle, or both)
• Think about your long-term exit plan
• Focus on sectors that match your skills and goals
• Set clear criteria for your ideal practice
• Consider location, local economy, and demographics

Set your maximum budget

It's critical to determine your maximum purchase price (and what you can afford). Being transparent with potential sellers and their representatives will enhance the credibility of your offer. Consult with us and Spot On, we can assist you in setting your price ceiling based on available equity and current lending standards. This will help you avoid wasting time on businesses that are either beyond your financial reach or won’t generate the income you need.

Freehold vs leasehold

Decide what works best for you:

• Leasehold: Lower upfront cost, but ongoing rent and restrictions
• Freehold: Higher initial investment, but more control and long-term value

Consider your timing

How long is the business acquisition process likely to take? It’s important to plan ahead and be aware of the typical duration of transactions in your target sector to align with your personal timeline. Finding a suitable business could take six months, followed by another six to nine months to finalise the purchase. If your funds are tied up in long-term savings or other investments, ensure you account for this when determining any commitment dates.

Want to find out more? Email Louise Matkin of Dental Practice Sale (louise@dentalpracticesale.co.uk) or head over to our website: https://www.dentalpracticesale.co.uk/contact

Invest in your leadership team – BDA Business Essentials Course (May & June 2026)

Date: Friday 8 May 2026 — Friday 26 Jun

Time: 09:00 to 17:00

CPD hours: 13.5

Location: 7 Mansfield Street, London, W1G 9NQ

Your practice will only grow as far as your leadership team can take it. When the leadership team intrinsically understands what and how the numbers are influences, and which ones are most important and why, better decisions are made, time is allocated more effectively and performance improves.

That’s exactly what the BDA Business Essentials course, delivered by Andy McDougall and Anne-Marie Houston, is designed to do. It equips your leadership team with practical business knowledge that translates directly into better results. This two-day intensive course is imperative to getting the most from your investment with us.

If you or your practice manager missed the September course, this is your next opportunity to build the commercial skills that directly impact profitability, control, and long-term value.

Who this course is for

• Practice principals who want clearer financial control
• Practice managers ready to take more ownership of business performance
• Leadership teams who want fewer guesswork decisions and better results

What attendees gain

• A clear understanding of the numbers that actually drive performance
• The confidence to make informed business decisions
• Practical tools to improve profitability and efficiency
• A shared financial and strategic language across the leadership team

We consistently see the biggest results when both the principal and manager attend. If you’ve already completed the course yourself, sending your manager is one of the highest-return investments you can make in your practice.

Places are limited – book early to secure your place: https://www.bda.org/learning/courses-and-events/business-essentials-may-and-june-2026/

Stay connected with SOBP on social media

Did you know we’re active on social media? Our channels are the perfect way to stay updated, inspired, and informed about the latest developments in dentistry, industry trends, and expert advice tailored just for you.

By following us, you’ll get access to:

• Tips and insights to help grow and optimise your practice.
• Webinar and event updates, so you never miss out on valuable learning opportunities.
• Success stories and testimonials from clients just like you.

Follow us on LinkedIn, Facebook, Instagram and YouTube.

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