Dentistry is an expensive profession. The cost of dental school and the investment required to open or purchase a practice often result in significant debt. Most dentists I work with are still paying off their debts, and these monthly payments can quickly become a burden. Combined with personal debt, the pressure to generate income can feel overwhelming.

With the Profit First model, debt reduction can be part of your profitability strategy. Here’s how: a portion of the Profit Account distributions can be allocated toward additional debt reduction if that’s your goal. You can establish a plan to eliminate debt more quickly.

Start by assessing all your debts. What are your monthly payments? What percentage of your collections goes towards these payments? Identify any bad debt, such as credit card debt that you’re unable to pay off each month.

Managing your spending is crucial. Using a credit card without the ability to pay it off monthly indicates a cash flow problem. If your debt payments are too high, consider talking to your banker about consolidating some loans. This should be a last resort since it might extend the loan term, though a lower interest rate could be beneficial if available.

Most importantly, don’t be too hard on yourself! There are ways to manage and reduce debt, restore cash flow, and lighten your debt load. Seek out the best advice to help you review your situation and create a plan. Profit First offers a straightforward, easy-to-follow roadmap.

Don’t wait to start increasing your profits and decreasing your debt!

I assist dentists in achieving this freedom through the Profit First system. If you’re curious to learn more about balancing profit and growth, visit www.profitfirstdentist.com and tap the 'Free Resources' tab to download the first two chapters of my book for FREE! Let’s explore how you can grow your practice!

USA:

-Barb Stackhouse, RDH, M.ED.

Mastery Profit First Professional

"I’m Barb Stackhouse, author of Profit First for Dentists. You might recognize me as the professional behind the Profit First approach for dental practices. I’m passionate about helping dentists implement this effective cash flow system, which is why I wrote the book. My goal is for more dentists to read it and integrate this system into their practices because it genuinely works." 

Canada:

-April Stroink, BComm, RHU, EPC, PFP

Advanced Profit First Professional

With over 25 years of financial expertise, April Stroink helps in transforming the financial health of dental practices across Canada. As an experienced Profit First coach, April is committed to helping you increase your profits, optimize your cash flow, and achieve financial peace. She believes that your business should enrich your life—enabling you to create the life and business of your dreams without compromise.