Profit First for Dentists

Every dentist I speak with who owns their practice has high hopes of paying off their debts someday and then selling the practice. Paying off debt not only releases a tremendous amount of stress off their shoulders but there is also another reason for wanting to sell their practice. The sale of a practice is a boost to the retirement fund and most owner dentists depend on that money to see them through in their later years, allowing them to enjoy retirement with little to no stress! 

Unfortunately, the ADA reports that the value of dental practices has been decreasing. Coupling that with the fact that the dentist retirement age is increasing means that dentists are working into their later years. Working later in life many times also means working at a bit of a slower pace. Now, this is not an ideal situation for most who want to work hard to later enjoy their retirement.  

When the income and profits decrease, the value of the practice also decreases....

This is my new series about the business side of owning a dental practice. Each week I will be posting a new video on specific topics of business and how It relates to dentistry. I will also be sharing the challenges that I see dentists facing. After reading this week's blog, don't forget to check out my video on this topic as well.

Now, if you are like many of the dentists that I speak with, things are a bit hectic and you are never able to get everything done. There is always a lot going on in a practice. I always say that dentistry has a lot of moving parts. It makes the day fly by and at times it seems to just slip away. It may seem that you never have that extra time to manage all the administrative tasks of your practice.

My goal is to simplify the money management process in a dental practice. I do this by using the Profit First system. I help dentists to fully know where they stand in regards to their finances. I teach them how to pay themselves first, how to pay their...

Whitney started her own business in 2019 and quickly discovered that things were growing really fast. While this was exciting, she also felt like she was buried under a mountain of tasks and could not figure out how to gain control of the business amidst this growth. Whitney eventually reached out to a mentor who suggested working with Barb. After a quick consultation, they both agreed it was the right fit and the rest is history!

At the beginning, Whitney did know how to navigate the numbers side of the business and routinely felt lost. After working with Barb, Whitney has been able to make data informed decisions to benefit the business and her clients. A framework for how to ebb and flow based on these practical numbers has given Whitney a sense of control and allowed her to know exactly how to make the adjustments necessary. Eventually, Whitney was able to begin taking regular paychecks which removed an incredible amount of stress and released her from the symptoms of burn out....

What if I told you that focusing on profit would actually allow you to provide a better patient experience? While some people may fear that prioritizing profit is a selfish act that creates distance between you and your patients, it is actually a key component to creating a healthy, positive patient relationship. You are taking wonderful care of your patients when you put profit first!

While this may feel unintuitive, the reason for this is quite simple: stress is challenging to manage and can negatively impact relationship dynamics (which can not only affect your work, but also your life outside of the workplace). Relationships with patients are no exception to this! When you are feeling comfortable and confident in your cash flow and profit margins, you will be able to fully focus on providing the best care that you can for your patients. 

On the flip side, when things are tight and you are feeling financially squeezed, it is inevitable for some of these feelings to shine...