What really separates high-performing dental practices from the rest?
It’s not geography. It’s not your specialty. And it’s definitely not a magic marketing bullet. According to CPA Morgan Hamon, and backed by our experience consulting with practices, it’s leadership.
Whether you're a GP in a small town or a pediatric specialist in downtown San Francisco, profitability starts and ends with how you lead.
What is the link between leadership and profitability?
Profit isn’t just about revenue and expenses. There’s a third variable most P&Ls don’t show: leadership.
We’ve worked with clients in high-overhead areas like California who still maintain 55% profit margins. How? Because their doctors lead from the front.
High-profit practices share these traits:
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Strong, inspiring leadership
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Teams that trust and follow through
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Clear vision and tight operations
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Accountability, not blame
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Ownership over everything, from patient outcomes to culture
And low-profit practices? Often led by doctors who:
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Blame others for poor results
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Resist tough conversations
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Don’t trust their team
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Want outside help without self-awareness or execution
How can leadership elevate practice performance?
Here’s what we’ve found in top-tier practices:
If you’re not seeing the profits or growth you want, look in the mirror. Leadership is the multiplier for all your systems, marketing, and clinical training.
Let’s talk about taxes
Leadership shows up in your financial discipline too, especially in your approach to taxes.
According to Morgan Hamon, most high-earning dentists go through the same emotional tax journey:
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Denial – “That tax bill can’t be right.”
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Anger – “I’m firing my CPA!”
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Bargaining – “What if I buy a CEREC or a G-Wagon?”
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Depression – “I’ll never win.”
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Acceptance – “Okay, I can manage this strategically.”
Once you hit acceptance, real wealth building begins.
Simple, legal tax strategies for engaged owners
There are no secret tax hacks. Just proven strategies, but they require leadership and follow-through.
Top strategies include:
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Proper S-Corp election
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Documented board meetings
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Home office deductions
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Vehicle deductions (with mileage logs)
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Qualified retirement plans
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Office renting your home for team events
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Tax planning meetings throughout the year (not just in April!)
If you're only engaging with your CPA once a year, you're missing thousands in savings.
Need help becoming a stronger leader, tightening your systems, or reducing your tax liability? That’s exactly what The Dental A Team and EAG Dental Advisors help dentists do every single day! Schedule a call.
Don't forget to check out our podcast for more tips on overcoming patient objections.
Last updated: July 2025
Written by Jacintha Ham, Dental A Team