The Professional Advisory

  1. Is it Time to Move?
  2. Staging A Dental Practice
  3. The High Cost of Dying
  4. Deal-Busters
  5. Patients - Attract and Retain
  6. Should I Stay or Should I Go?
  7. Is There a Buyer for Every Practice?
  8. Good, Better, Best - The Market has Spoken
  9. Smooth-Sale-ing
  10. Buying Time
  11. Patients, Patience, Patients
  12. A Real Patient
  13. Why Do a Practice Valuation? I'm not Selling
  14. Irrational Exuberance or The New Normal?
  15. Do dental equipment and dental technology affect a practice value?
  16. Finding and Being a Mentor
  17. Bigger is Better
  18. Dave's Top Ten List for Buyers (Vendors should read this too!)
  19. How Well Do You Know Your Practice?
  20. Dave's Top Ten List for Vendors
  21. What will happen to dental practice Values in the next 10 years?
  22. Your Premises Lease is an Important Asset
  23. What are Associates Thinking?
  24. There is Life Outside the GTA
  25. When Is the Right Time to Sell My Dental Practice?
  26. Mergers are a Viable Option
  27. Is Your Associate an Asset or a Liability?
  28. Has your Practice Facility Kept Up With Your Billings?
  29. The 100 per cent of Gross Myth
  30. The Past, The Present and The Future
  31. Caveat Emptor
  32. Overpaid Long Term Staff
  33. Selling your Practice in Stages
  34. A Potential Pitfall of Selling Shares
  35. Value in Your Practice Through Balance
  36. Only Trusted Staff Can Defraud You
  37. To Own or Not to Own Practice Real Estate? That is the Question.
  38. Coping With A Large Patient Base
  39. Successful Dental Practice Transitions
  40. Taking Care of Business
  41. The Investing Dentist Phenomenon
  42. Two areas to focus upon that could negatively impact the value of your practice
  43. Organize your Debt in Order to Sell your Practice
  44. Having a Better Team
  45. How Do I Prepare My Practice For Sale
  46. How Do I Prepare My Practice For Sale? Part 3
  47. How Do I Prepare My Practice For Sale? Part 2
  48. How Do I Prepare My Practice For Sale? Part 1
  49. Advice to My Son or Daughter Graduating from Dental School
  50. Transition - What to Expect
  51. Discussion on Digital X-Rays
  52. Partnerships and Shotguns
  53. Strategic Planning - How to Get Started
  54. Calling All Vendors - Practices have Gone Up in Value
  55. Purchasers: Expect to Pay More for a Practice because of Lower Professional Corporation Tax Rates
  56. Matrimonial Practice Valuations
  57. Purchaser's Guide to Affording a Practice
  58. Location Improvements Throughout Your Career
  59. Small Practice Valuations
  60. Partnerships – The Best and The Worst
  61. Changing Location When the Opportunity Comes Along
  62. Visual Presentation of Your Practice
  63. Presentation of Charts
  64. Your Premises Lease Can Be Your Worst Enemy
  65. How to Select an Appraiser for Your Practice
  66. How Are Your Billing Ratios?
  67. It Pays to Invest in Your Tangible Assets
  68. The Importance of Separate Financial Statements
  69. Five Time Frame Levels to Sell a Practice
  70. 12 Suggestions to Safeguard Computer Data
  71. How to Buy a Visible Practice
  72. Why is there a shortage of good practices today?
  73. The Importance of Equipment in the Purchase of a Practice
  74. The Balanced Practice
  75. Will My Practice Be Saleable in The Future?
  76. Buyer Be Aware
  77. Excess Profit - The Second Key
  78. Patients and Profits are the Keys
  79. Plan Ahead

Volume 27: Strategic Planning - How to Get Started

Download the PDF version now!

I recently attended a Strategic Planning meeting that a dentist organized for himself. He invited his wife, his accountant, his investment/retirement consultant, his insurance specialist and myself as a valuation/sales broker. The accountant brought to the table the dentist’s current financial situation and tax position. The investment/retirement consultant was a long time business advisor and confident. The insurance broker was familiar with his insurance needs including practice insurance. I was invited as I had valued his practice in the past and understood the strong and weak points of his practice management as well as establishing the value of his practice for retirement purposes.

The meeting included a review of his debts, his income, his future cash requirements (i.e., children’s wedding costs). The big question was: What should he do today to reach his objectives in the future? Future objectives included:

  1. Total debt elimination in five years
  2. Maximize RRSPs for both himself and his wife
  3. Balance the retirement savings for both himself and his wife
  4. Minimize future taxes.

We discussed practice management techniques to improve his bottom line. The overhead in the practice was higher than it should have been. The decision was made that he should start up a hygiene/management company owned by his wife. The expectation was that excess income could be accumulated in the hygiene corporation and transferred to an investment company. This would keep the current taxes as low as possible on the excess income until drawn out for personal use. It was felt that the excess income would not require the dentist to form a Canadian Controlled Private Corporation (CCPC) to shelter excess income at this time. A laboratory corporation was discussed but was considered too complex for the time he had available and other projects would make better use of his time.

At the end of the meeting, which took three hours, there was a consensus to establish priorities for the each member of the group in order to achieve the dentist’s short and long term objectives. It was good from the aspect that everyone knew where they were headed with a time frame to achieve objectives. There was a five year plan, a ten year plan and a fifteen year plan. It was arranged that the group would meet annually after we have completed his comprehensive valuation for the previous year.

If you do not know where you are going how will you know when you have arrive.