**Dental Practice Partnerships – Profit Split** I wrote about this several years ago. Recently I’ve had a few people asking me how to financially structure a dental practice partnership so I thought I’d revisit this topic. Let me start by using a hypothetical scenario where neither partner works clinically or otherwise in the…
In this article we’ll go through the considerations for starting a second practice. Timing (Financial Considerations): Profitability and revenue of your existing practice: Your first practice SHOULD be profitable from a BUSINESS PERSPECTIVE AFTER YOU DRAW YOUR 40%. Roughly 1 million in revenue is ideal as you should have a profit percentage of…
**Dental Practice Ownership: Are you buying yourself a job?** Owning a dental practice is an investment and sufficient profits do need to be made in order to have a return on that investment. Yes, there is no doubt, as clinicians, our first duty is to serve our patients and do what’s in their best interest.…
**Service Fees and Income** This article is directed at prospective owners rather than experienced owners. Through our consulting business we often get asked why there is a difference between the income figure on the profit and loss statement vs the income (or total billings/receipts) from the practice management software. Often, prospective owners go as far…
**Profitability Update** The dental industry, like many others, is not immune to the effects of inflation. There is a need to produce more income in order to maintain profits. We’ve posted an update on one of the most important slides from our start-up and buying seminar below. It shows target profitability at different levels of…