Dental Consultant FAQs?

The success of your dental practice is typically determined by several key components, including implementing efficient systems and procedures, focusing on ways to attract new patients, and creating exceptional patient experiences. We assist in implementing SOPs, systems, and tracking KPIs that promote a great team culture, enabling you and your team to provide the best possible patient experience and maintain high team morale, making the workday more pleasant for everyone.

We encourage you to be diligent in addressing team conflict resolution or miscommunication within your practice. Our partnership fosters a positive and productive atmosphere that’s inviting and fun, inspiring patients to return and adhere to their treatment plans. Your team is encouraged to deliver a level of service that patients want and expect, keeping your existing patients engaged while our consultants attract new ones through targeted marketing strategies and effective referrals.

Starting a dental practice is a very popular way to become a practice owner. One significant benefit of starting a practice is that you can build your dream practice while instilling foundational principles that align with your goals and core values from the beginning.

To start a dental practice, good credit and cash flow are essential, as doctors typically acquire a loan of $600k to $700k or more to build a brand-new practice. Partnering with our expert startup coaches reduces stress throughout the process and on the day of opening by helping you stay on budget during the build-out phase and ensuring you have the necessary funds for opening day, while also attracting patients to your practice.

Reputable buyer’s representatives from 2740 Consultants collaborate with doctors to independently and fairly assess the value of dental practices. In addition to assessing a practice’s revenue, overhead, and operational expenses, there are factors that practice brokers often overlook when valuing a practice. Our experts consider various factors, including details of the practice’s patient base, demand for dentistry in the area, competition analysis, online presence, Google reviews, and the practice’s age, when determining a fair valuation.

To begin the process of purchasing a dental practice, you’ll need to find a dental practice for sale that suits your personal and professional needs, for example, selecting a practice in an area that you want to live in and the community in which you want to practice dentistry. Additionally, evaluating your competition in the surrounding area helps to understand what other practices you will be competing against.

Once you find a practice you are interested in buying, and you have been pre-approved for a “dental practice” loan, you’ll submit an LOI (Letter of Intent) to a practice broker, which establishes some preliminary terms of agreement and an “intent to purchase.” The value of the practice can then be established by acquiring an independent valuation in addition to the broker’s assessment.

We then assist you through the due diligence process. This process allows you to inspect the office’s inner workings and see in detail what’s going on within the practice you are planning to purchase. From the due diligence process, you will have a clear understanding of what the practice you are planning to purchase is worth. After you’ve determined the practice’s true profit margin and its condition, negotiations can begin to take shape, and the “Purchase Sale Agreement” is negotiated and written up by lawyers. Finally, both parties agree and sign the agreement, and you become the proud owner of a dental practice.

Depending on various factors, some practices produce over 1 million, while others produce 500k or less. The sale price of a dental practice depends on the practice’s historical revenue. This calculation is a generalized valuation method based on the anticipated cash flow for the next year, averaging the cash flow from the last few years. On average, practices sell for roughly 70% -100% of their annual collections. When buying a dental practice, you can get the most accurate appraisal and valuation by working with a buyer’s representative from 2740 Consultants. We serve as advocates for the buyer, helping doctors purchasing a practice get the best deal possible when approaching practice brokers.

Factors such as team wages, rent or mortgage, utilities, supplies, equipment, marketing, insurance, and the types of procedures performed in the office determine how much a doctor can take home. Practice owners typically take home roughly 30-40% of the revenue produced, which means a dentist who owns their own practice can earn anywhere from $200,000 to $400,000 annually. As a practice owner, you attain additional long-term value based on the asset your practice grows into, and you get to take advantage of business tax incentives. Additionally, hiring a hygienist or an associate can generate additional revenue within the practice while giving you freedom to practice the dentistry you want, flexibility in your schedule, the ability to hire your dream team, and ultimately seeing the patients you want to treat.

The average revenue of a dental practice varies widely on a national level. Several factors contribute to a dental practice’s revenue, including its location, longevity, level of competition, and the number of providers within the practice. The most important factors to consider are the number of patients visiting the practice and the procedures being performed. 2740 Consultants provide you with proprietary information designed to increase revenue in your dental practice. Our coaches work with practice owners nationwide to boost revenue while also lowering expenses by advising doctors on systems and operations.

Dental assistants have varying skill sets, and the types of procedures they can perform differ from state to state, which can affect the industry averages. For the most part, the number of dental assistants depends on the number of patient visits per dentist. A sole practitioner encounters approximately 3,616 visits annually, according to current averages. Today’s recommended industry ratio is 1 to 1.5 dental assistants per 10 to 14 patient visits per day. However, the number of dental assistants needed per dentist depends heavily on  the types of procedures that dental assistants are capable of performing. At 2740 Consultants, we specialize in helping practices with team design to enhance patient care while also improving your team’s skill sets and efficiency.

An efficient dental office naturally increases production and makes an office more profitable. There are many ways 2740 Consultants increase practice efficiency, which begins with analyzing your practice’s current systems and operations. Practice management analytics enable you to clearly identify areas for improvement, such as tracking KPIs on an ongoing basis to evaluate efficiency within your practice. We know it’s essential to remain curious when examining your practice’s current operational processes and to focus on how systems are currently operating within your practice before addressing individual team members’ performance. Our consultants can assist in training teams on new systems, particularly when implementing new operational practices or standard operating procedures. We’ll demonstrate step-by-step methods for implementing and establishing more efficient systems in your office, as well as how to monitor and track progress to create a more optimized and efficient practice.

The industry rule of thumb is 20 to 40 new patients per month per doctor to maintain a healthy and active patient base of 1,300 to 1,500 patients for a single practitioner. Our proven strategies and marketing programs will continue to attract new patients, while coaches help you track the health of your patient base and provide strategies to continually grow your practice’s patient base.

There are several ways to attract new patients to your dental practice. Our coaches at 2740 Consultants employ various strategies to attract new patients. Successful marketing strategies include targeted mailers, organic social media, paid ads, Google My Business Profile (GMB) optimization, community involvement, and utilizing the highest-rated marketing programs to ensure that new patients find your office first.

Educating and serving your patients’ needs is significantly valuable in your hygiene department.  By partnering with 2740 Consultants to train and coach your hygiene team, you’ll boost production and revenue in your practice. Hygiene providers typically schedule one patient per hour, which is the generalized industry standard. Accelerated hygiene programs are often introduced to boost productivity, along with offering beneficial periodontal treatments and other services, such as debridement, scaling, sealants, and whitening.

Growing a dental practice involves many things working together simultaneously. Fortunately, 2740 Consultants specializes in practice growth. We’ll analyze your practice to observe current operations, including how your team supports your current patient base, how you’re actively tracking the practice’s performance, and in which areas your team and office space are capable of handling and growing your practice. Our coaches encourage your team to engage with and support new patients and services, maximize your schedule, offer flexible payment options, and ask for referrals. We also partner with your hygiene department to boost diagnosis and the presentation of new treatments. Schedule your consult to see how we can grow your practice!

On the day you sign a proposal with 2740 Consultants, we are excited and ready to jump in, roll up our sleeves, and work alongside you and your team. Our coaches work diligently to educate practice owners and team members on the necessary actions to enhance your practice. We provide tools, resources, processes, and systems that can significantly impact your practice and accelerate your return on investment. However, hiring a dental consultant is heavily dependent on the actions taken within a practice, rather than the advice given. Dental consultants are an invaluable partner and resource, but as the owner, it’s up to the doctor to ensure the implementation of agreed-upon best practices and hold their teams accountable. Doctors who are serious about partnering with someone to help them, who are honest with themselves, and willing to implement necessary changes, will notice a substantial return on investment.

Dental consultants can work with practices from the startup phase through growth, continuing into eventual exit planning and transitioning to a new owner. 2740 Consultants take a customized approach to coaching by focusing on helping you manage and grow your practice in a way that aligns with your values and vision. Although we tailor our services and recommendations to your specific goals and opportunities, many of our clients find it most beneficial to establish long-term partnerships with our team and develop a lasting practice relationship.

Like most businesses, production figures among dental offices vary from one practice to another. Individual components, such as the types of services offered, your insurance network mix, the number of providers, the demographics of the practice area, and the types of procedures performed, are all important factors that affect production. Collaborations with 2740 Dental Consultants enhance your production averages by establishing a strategic plan that achieves profitable levels of production, while maintaining business operations and planning for financial success and personal wellness. Each year, our practices experience an average annual growth rate of 15-20%, thanks to our expertise. This expertise enables us to calculate overhead and adjustment averages, which are used to forecast your practice’s financial goals. By doing so, we secure a future for growth, expansion, and retirement.

2740 Dental Consultants are passionate about discovering what makes practices profitable. Seasoned dental consultants provide impartial insights and expert knowledge to enhance productivity and efficiency within your practice. Our team of experts partners closely with dentists and their team members on administrative and clinical tasks, including marketing strategies, patient case acceptance, treatment planning, insurance oversight, and billing.  We collaborate to streamline and optimize practice operations by offering support in team leadership, financial planning, and administration, with a focus on team dynamics, leadership development, and enhancing all clinical and operational productivity.

Maintaining a healthy and thriving work-life balance while running a successful business can pose challenges for owners. Partnering with a 2740 Dental Consultant offers you the opportunity to collaborate and explore ideas with another experienced professional in the dental industry, which boosts confidence and security. Similarly, when a doctor focuses on creating a future of financial freedom and independence or chooses to plan new endeavors, they find support in consultants who provide the extra accountability and support needed to achieve their goals.

Not only do our specialists provide an invaluable outlet for discussing stressors and brainstorming, but our coaches also consider all factors related to the success of your dental practice and provide you with objective and pragmatic solutions to address individual practice challenges. Practice owners team up with experienced coaches to enhance and support a healthy, productive team and environment, working together to achieve the best possible outcomes within your dental practice while always keeping your best interests at the forefront.