You provide high-quality care to your patients. Your dental practice’s business operations should meet a similar standard of excellence.
Building a Stronger Dental Practice
Business growth and financial planning are challenging aspects of running a dental practice.
Smart business owners know which areas require some outside expert assistance.
A certified public accountant with dental industry expertise can make an enormous difference in ensuring your practice’s profitability and sustainability.
How can a dental practice benefit from working with a CPA? Here are the key advantages your business will enjoy when you bring in a CPA team that specializes in your industry.
Find New Ways to Reduce Costs
For starters, partnering with an outsourced CPA is less expensive than hiring an in-house finance manager. At a reduced cost, you’ll receive expert guidance on money matters.
A CPA examines your practice’s entire financial portfolio. They’ll help you identify parts of your business where you can cut costs. Funds can then be directed towards maximum investment into the most important aspects of your business.
No Stress at Tax Time
Doing your own tax planning for a small business isn’t easy. With a CPA on your side, the pressure is lifted.
All accountants are tax-savvy. However, working with a CPA team that specializes in your industry is ideal. Your CPA can help you take advantage of all the savings and write-offs that are available for a dental practice.
Growing Your Practice
Are you considered one of the following expansions?
- Opening an additional office
- Merging with another practice
- Acquiring another practice
A CPA can help you navigate the financial and regulatory complexities involved in these transactions.
Selling or Closing a Practice
Similar to an expansion transaction, selling or closing a medical practice involves a lot of moving pieces.
A CPA with dental industry experience can advise you on determining the proper sale price for your practice. You’ll also receive guidance on closing your practice in a manner that complies with applicable laws and regulations.
Forecasting Practice Revenue
CPAs are experts at examining complex sets of data and translating them into tangible insights. This includes forecasting financial trends based on recent and historical data.
Working with a CPA can help your practice determine its expected revenue for the coming year. This is useful during tax prep and when considering growth opportunities or large purchases.
Business Consulting for Dentists
Dentists open practices so they can provide excellent care to patients. However, any medical practice also requires an ongoing series of business management decisions. Sometimes this aspect of the job feels like a necessary evil.
You want to spend your time on the core operations of your business. Focusing on secondary management obligations may feel like a distraction or a chore.
CPAs apply their extensive business knowledge to your practice, moving some of the management burdens off of your shoulders. The perspective provided by a CPA helps you run an establishment that’s primed to efficiently manage people, assets, and revenue.
Estate and Retirement Planning
Do you have a retirement plan that’s worthy of the career you’re building?
Retirement planning involves concrete steps and figures regarding:
- The retirement process
- Selling or closing your practice
- What happens to your estate after you die
A CPA that understands the dental industry can help you make a financial plan for your later years. Informed planning helps you confidently prepare for the retirement you deserve when you’re ready to transition to your post-career life.
Budgeting for Debt
Operating a business often involves accruing debt from various sources at the different stages in your practice’s lifespan.
When you’re managing multiple debts, paying them all off can feel overwhelming. Payment plans must be balanced against the need to maintain liquid funds for immediate expenses like office leases, utilities, payroll, and equipment costs.
A CPA can help you create a budget that addresses debt and financial obligations. An effective budget finds the sweet spot that balances your practice’s short-term needs against long-term prosperity.
Accurately Determining Compensation for Employees
What pay rates are appropriate for your staff? How much should you— as the business owner— pay yourself?
A dental industry CPA can help you calculate compensation rates based on industry trends. You’ll develop a compensation structure that’s fair for your team members and yourself while ensuring that your practice stays financially sound.
Get Help Managing Your Practice from Dental CPA Experts
Duckett Ladd is a business consultancy dedicated to serving dental practices.
Our CPA and advisor team leverages extensive financial experience to help dentists maximize their practices’ financial potential.
Contact Duckett Ladd to learn more about how we can help your practice scale and thrive.