- Joined
- Apr 14, 2008
- Messages
- 7
- Reaction score
- 0
What are your TOP 10 things to know when starting a new practice?
PROS and CONS would be great.
PROS and CONS would be great.
In no particular order
- location, location,location
- Average age/number of current practicing dentists in that area
- Average age/population trend of the area you're considering
- Reasonable cash flow analysis of a potential practice
- Availability of competent potential staff
- Average cost per sq. ft. of office space
- The names of the resp for the major dental suppliers in that area (i.e. Patterson/Sullivan Schein)
- Type/number of specialists in that area
- Your views of what you want your practice to be
- How to write an office manual/office policies for every employee before their date of hire
- Accounting firm/lawyers to use for the practice
I started a scratch practice 9 years ago, and it has been a lot of work, but I wouldn't have it any other way. I have friends that bought into practices, only to buy a lot of headaches and overhead that was out of control.
What type of insurance would you recommend us to buy ? Disability and business overhead insurance and what else ?
You're the first person I've heard say this. Isn't insuring your insurability a priority?Don't even think about...disability...at this point.
I think if you buy it out of your personal account and you become disabled then, the money is taxfree. If you're using corporate account then you're taxed on the money.
I personally think disability and office overhead insurance is too expensive so it's the least of my concern at this point. If someone is to be disabled at this starting point in their career already drowning in debts, do you think they'd be concern about cashflow and paying all bills? Maybe a couple years down the road when you have something to protect but that's just my opinion and my bias.
I disagree. I think I would be more worried about disability early in my career when I don't have any type of nest-egg built up and student loans to repay. Someone who has practiced for 25 years and gets disabled should have paid off their loans and have some retirement accrued by that point. I graduated this past week and if I were to be disabled in the next year or two, it would be devastating financially with loans to repay and no savings.
If you're in school the ADA provides a very good policy. It pays $2,000 per month for 24 mos, should you become disabled and cannot continue as a student, the best part though, is that its guaranteed convertible to a regular policy when you graduate. It costs around $75 a year as a student.