Being a dental practice owner, especially if you’re just starting out, is challenging both financially and emotionally, but it’s also highly rewarding. It can provide great flexibility of lifestyle, and the autonomy to direct and influence how your practice is run. You can see the patients you want to see, and use the methods and equipment you want to use. And, of course, practice ownership can come with great financial rewards too.
So if you’re considering setting up your own dental practice or have already made the leap and are looking to grow, take a read of these six things that are important for every dental practice owner to know.
Don’t underestimate the power of networking. Regardless of whether a new practice is on the horizon or still a distant dream, it’s never too early to start weaving your network web.
Reach out to other dentists, practice owners, and specialists in the field, learning all you can. Learn from their success and their downfalls too. Building good connections and making strong relationships will equip you with a wealth of knowledge and advice. When the time comes, it’ll help spread the word about your new practice and open up possibilities of having patients referred on to you, laying down strong roots early on.
Along the way, be sure as well, to team yourself with industry-specific advisors who are both experts in their fields and knowledgeable about the dental industry too. They’ll help you make important decisions, equipping you with advice and industry insights you can trust.
For example, you’ll need a trustworthy fitout and design specialist. Seek out companies such as Dentec who have years of experience specialising in dental fitouts and working alongside dentists. Avoid choosing contractors with no experience specifically in dental fitout as this can lead to costly overruns and unnecessary complications.
Similarly, seek out a dental equipment specialist who has your best interests in mind, someone who’ll equip you with the right technology that positions you for future growth and success within your budget needs. Consider also using a lawyer with experience dealing with dental practice owners who’ll know the legalities inside and out. The same goes for a dental-specific lender, designers, accountants, and all those you’ll need behind you on this journey.
By building a strong network of mentors, experts, and people you can trust, your new business venture will be armed with support and valuable insights and advice from day one.
Setting up or expanding your dental practice is a big cost and in most cases will require a loan. Fortunately, there are plenty of options available to finance a dental practice. As dentistry is deemed a low-risk business, it’s likely you’ll be able to access a business loan from a bank. Alternatively, you can seek out a dental-specific lender such as DLL to access your loan.
If you don’t have a massive budget, talk to your fitout and equipment specialist for advice on where to invest so it will make the biggest difference. Be open about your current needs and budget as well as your long-term vision. They’ll be able to fit and design your new practice to suit your present needs but allow for future growth too. Consider strategically starting your practice as a 1-2 chair practice, and increasing in size as finance allows. This lowers the initial startup risk, helps you keep to budget, and allows for unnecessary expenses to be taken on only once cash flow is coming in.
Along with extensive start-up costs, new practice owners need to be aware that business is likely to see-saw financially over the first few years. But know that as you gain more business skills and experience, and as your practice matures and your patient base grows more secure, the peaks and dips will begin to plateau into a more consistent pattern of growth and financial stability.
Hiring the right people will not only influence the day-to-day tasks and overall culture within your dental practice but will also directly relate to the overall success of your practice. While it’s important that the hiring process is as cost-effective and time-efficient as possible, it’s important not to rush this step. Take your time and be willing to wait if the right candidate doesn’t come up right away.
Just as you can be strategic in how you grow your practice by adding chairs and upgrading equipment as finances allow, be strategic in hiring as you grow and as the right people become available. Be sure to look at their skills, experience, and salary expectations but also, their personality, and how they interact with patients and others in the team too.
Quality employees will help create a cohesive feel in the team and make the practice a more enjoyable place to be, not to mention the competitive edge you’ll gain from employing talented, top-quality staff.
Staff responsibility doesn’t stop at recruitment, however, as with practice ownership comes staff management too. Set expectations early on and be sure that a professional relationship is maintained between owner and employee. And be forward-thinking. Have plans in place should issues arise, and employees leave.
While there’s no denying word of mouth goes a long way, you need to secure a strong patient base with which to grow if you want your business to stand the test of time. It’s critical particularly in your first few years to invest in a strong, targeted marketing strategy. You’ll need to employ a variety of strategies to bring in new patients and marketing will help get your name and expertise out there to achieve a constant flow of new patients with which to grow.
Spend the time to get to know the patients who choose to use your services. In the early days, it’s worth its weight in gold to give your patients that extra time of day. Spend a little longer with them than you normally would. Talk to them, get to know them, make them feel valued, and enjoy the benefits that keeping your patients happy can bring. Chances are, they’ll come back again and refer your services to family and friends too.
You’ll learn who your ideal patient is. Get to know who they are, where they are, what their needs and wants are, and can target these patients accordingly. And over time, as your practice grows, you’ll be able to be more selective about the patients you choose.
Finally, be sure you don’t bite off more than you can chew. Be kind to yourself, you’ll make mistakes along the way and that’s okay. It might take years to see your vision come to fruition, so be sure to keep things in perspective throughout the process.
You’re not likely to begin with your ideal patients. You’re also not likely to be starting out with the latest high-tech equipment. And don’t expect to be able to charge a premium from day one. Hard work, a good reputation, and time will help your practice grow and mould into the practice you want it to be.
While you may be an expert in your field and have many years of dentistry under your belt, business ownership is a whole new kettle of fish, making the management side of practice ownership a daunting prospect for many.
Business ownership comes with extensive responsibility so spend the time researching, and networking as you embark on this journey, and remember to continue to do so even as the years go by. There’s always something new to learn and someone new to learn from. Equip yourself with the right staff, and the right experts and take the trials and tribulations in your stride along the way.