Build your dream practice now
What does your ideal practice look like? Do you want a steady stream of patients who come back year after year? Or do you want to specialize in a highly lucrative area? What about income and lifestyle goals now?
Establishing systems and tracking key performance indicators will help you reach those goals. A holistic view is needed. Increasing revenues but ignoring the impact of additional expenses needed to bring in that extra income can hurt your bottom line now and can decrease the value of your practice when you retire.
Work now to maximize the value later
As you build your dream practice, it’s essential to keep an eye on the future. Will you sell your practice or merge with another? Will another dentist in your practice buy out your interest? Or will you simply close the doors and sell off your equipment?
Whichever of these options you choose, you’ll reap the biggest financial reward if you pay attention to the choices you make today, even if you’re years from retirement. A dental practice with well-defined systems for doing everything can be marketed as a turn-key operation to the next owner. Such a practice will likely have the highest value.
Visualize your perfect life after retirement
Your perfect life after retirement has a price tag. Your succession plan must be designed so that you’ll have the financial resources to pay for that perfect life. To stay on track, it’s a good idea to check in periodically and calculate the estimated value of your practice. If your desired lifestyle requires a payout of $2 million, a practice worth only $800,000 today won’t get you very far.
Let’s build your vision together
I invite you to step out of your busy routine for just a few minutes today and reflect on what it is you want your vision of your perfect succession plan to include. And I invite you to share that vision with me so I can help you make it real. Let’s find that pot of gold together.
Eric Burgmaier, CPA, CVA is a Certified Valuation Analyst and can help you build a valuable and profitable practice. Call our office today at 505-492-2440 and talk to Eric about steps you can take today to put more dollars in your pocket now and throughout the life of your practice!