If you think about your dental practice, I’m sure you’ll find you have a daily rhythm to things. Most of us would say we have personal daily rhythms as well.
We tend to rise and start our day very much the same from day to day. The rhythms of our life provide an unwritten structure that actually then perpetuates the rhythm to continue.
The same is true of your business, your dental practice. When implementing a pattern of behavior in a rhythmic cycle, we are much more likely to continue to take action. Taking action is where the magic happens with Profit First.
A weekly rhythm of allocations and transfers seems to work best for a dental practice. Income flows into the practice daily and then once a week, it’s time to allocate by percentage and transfer money to the additional bank accounts set up for a specific purpose. Those accounts are for Profit, Owner’s Compensation, Taxes, and Operating Expenses.
As money flows into each account, it is used for the purpose stated. The Profit Account will begin to accumulate money. At the end of each quarter, the Profit Account will release money to the owner. This is the Quarterly Rhythm of Profit First. It’s celebration time!
Think about it. These simple action steps taken once a week and once a quarter can change the entire profitability of your business. It’s the structure and the rhythm that work together with your own mindset and belief about money. Once you see the Profit Account grow, you begin to see what’s possible.
And really anything is possible!