Healthcare property
Clinic due diligence in Dubai: the 30-point checklist
For buyers of dental clinics, polyclinics and medical centres, and for sellers who want to know what the buyer will look at. Three phases, thirty points, one scorecard.
A clinic acquisition in Dubai is checked across three tracks in around 30 days: clinical and regulatory (the DHA track, 30% of the score), financial and operational (the business track, 40%), and legal and asset (the DLD track, 30%). The checklist below is the one I use; the PDF is free with your email. Last reviewed 22 October 2026.
Phase 1: clinical and regulatory (the DHA track, 30% weight)
- DHA facility licence. Validity, category and permitted services on Sheryan. A licence for a general clinic does not cover day surgery.
- NABIDH connectivity. Active data sync with the DHA's unified medical records platform; non-compliance can trigger operational restrictions.
- Engineering drawings. The DHA-stamped layout against what was actually built. Unapproved partitions are a common finding.
- Medical director. Continuity letter, good standing, and whether they are staying.
- Staff credentialing. DataFlow reports and current DHA permits for every clinician, matching the services offered.
- Equipment calibration. Maintenance logs and calibration certificates for every device; FANR licence for any radiology.
- Insurance empanelment. Status of each payer code and the terms of each panel agreement; panels are often not transferable automatically.
- Narcotics and controlled-medicine register. Audit of logs where applicable.
- Waste management. An active medical-waste contract with a Dubai Municipality-approved provider.
- Malpractice insurance. Professional indemnity cover for all clinical staff, in force.
Phase 2: financial and operational (the business track, 40% weight)
- EBITDA quality. Three years of profit and loss reconciled to bank statements; normalise owner's pay and one-offs.
- Revenue mix. Cash versus insurance versus corporate contracts; concentration risk in any one payer.
- WPS compliance. Twelve months of clean payroll through the Wage Protection System.
- Gratuity liability. Full end-of-service accrual for every employee, certified.
- Corporate tax. FTA registration and readiness for the 9% rate above AED 375,000 of taxable profit.
- Accounts receivable. Ageing of insurance claims; rejection rates.
- Patient retention. EMR audit of active versus inactive files; recall performance.
- Vendor contracts. Consumables, laboratory and service agreements; termination terms.
- Cybersecurity and data. Patient data privacy, cloud storage, access controls, PDPL compliance.
- Marketing return. Lead cost against patient acquisition cost; dependence on paid channels.
Phase 3: legal and asset safeguards (the DLD track, 30% weight)
- Title deed. Verified on the Dubai REST app; no liens, encumbrances or undisclosed mortgage.
- Zoning and civil defence. Clinic use permitted; valid fire and safety certificates.
- Service charge NOC. Clearance from building management.
- UBO register. Ultimate beneficial owner compliance with the DET.
- Trade name and IP. Trade name rights, trademark position, domain and social accounts.
- Utility clearance. Final DEWA and chiller settlement.
- MOA review. Shareholder rights, exit clauses, any pre-emption.
- Mortgage status. The property must be clear, or the bank's NOC in hand, at closing; relevant too for any Golden Visa plan.
- Litigation search. Labour and civil court history.
- Golden Visa eligibility. Confirmation of the DLD-assessed value of the property component if the buyer intends to apply; the business component does not count.
How the scorecard works
Score each point from 0 to 10, weight the phases 30/40/30, and read the result as a discipline rather than a verdict: 9.0 to 10 supports proceeding to closing; 7.5 to 8.9 supports a conditional purchase, with price, escrow holdback or warranties adjusted for what was found; below 6.0 is a stop. Any single red flag, such as a departing medical director or an unassignable lease, overrides the arithmetic.
Download the 30-point checklist
The PDF version with the scoring columns, free with your email. Use it on any clinic, with or without me.
Questions people ask
How long does clinic due diligence take?
Around 30 days is typical for a polyclinic with audited accounts, shorter for a single-chair practice, longer if the seller's financials are management accounts only. The buyer's confirmation of receipt of DD materials closes the phase and starts the approvals. Reviewed 22 October 2026.
Who does the due diligence?
A team: the buyer's auditor for the financial track, a lawyer for the legal and asset track, a biomedical engineer for equipment, and a clinician for the clinical and regulatory track. I coordinate, read the clinical file as a dentist, and run the property side as a broker. I am not an auditor or a lawyer.
What is the scorecard?
Each of the three phases is weighted (30% clinical and regulatory, 40% financial and operational, 30% legal and asset) and each point is scored. A weighted score of 9.0 to 10 supports proceeding to closing; 7.5 to 8.9 supports a conditional purchase with price or structure adjustments; below 6.0 is a stop. It is a discipline, not a formula; a single red flag can override the score.
What are the most common red flags?
Revenue that does not reconcile to bank statements; an unrecorded gratuity liability; a medical director who is leaving; equipment without calibration certificates; a lease with under two years to run and no assignment right; open DHA findings; a title with a mortgage that will not be released at closing.
Can I do due diligence before the NDA and letter of intent?
No. Sellers release the data room only after the NDA, and the full financial and clinical file only after a letter of intent. Desk research on the licence category and the premises can be done earlier.
Figures are indicative, dated and sourced where shown; they are not advice and not a guarantee. Dubaiesque is a broker, not a tax, legal, immigration or financial adviser. Take independent advice before you commit.
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Looking at a clinic?
Send me the brief; I will tell you which points matter most for that one.