Dentaltown Plus By Bill Artino,
Vice President and General Manager of Professional Solutions Financial Services

Why Leasing Is Better Than Cash
Let’s say you’re considering the addition of another chair to your practice because your staff is complaining on a daily basis about scheduling problems, patients are starting to mention they’re waiting too long and appointments are hard to schedule. The chair you’ve been pricing to alleviate these problems costs about $11,000.

You can put off getting the equipment for six months until you have the cash, or you can take out a lease/loan on the new equipment today and start generating extra income from your new chair right away.

You conservatively estimate the new chair will easily allow you to treat an average of five extra patients a day. With an average treatment cost of $100, that’s an additional $10,000 a month––an extra $60,000 revenue stream over six months.

Most financial experts would agree you’ve earned an outstanding return on your initial $2,094 investment, while bringing in an extra $60,000 to your practice.

One Easy Decision Boosts Cash Flow by $9,000
Take the $11,000 chair mentioned above. “Dr. Jones” paid cash for the chair. His staff was then able to more efficiently schedule more patient appointments. The result was an extra $10,000 a month in patient revenue. At the end of six months, “Jones Dentistry” earned $60,000 on the $11,000 chair investment.

“Dr. Smith,” on the other hand, leased the same chair over a three-year term. His practice’s cash flow also increased by $10,000 a month for an extra $60,000 in revenue. However, “Smith Dentistry” actually had MORE cash flow because “Dr. Smith” paid only $2,094 to use the chair for the same six months; increasing his practice cash flow by $9,000 which he could invest in building his practice, his retirement fund, etc.

The Bottom Line
While Dr. Smith has ongoing payments, the increased cash flow allows him to continue investing to build his practice.

Not sure what’s right for you? Visit Dentaltown.com click on the Dentaltown Plus icon and look under Financial Services or call a Dentaltown Program equipment financing expert toll free at 1-800-750-5007, ext. 7009. You’ll get straightforward advice you can trust to help you build your practice by adding new equipment without jeopardizing your financial future.

Lease payments cited above were calculated under the assumption of financing $11,000 for three years. Revenue generated by an additional chair was calculated based on treating five extra patients a day at $100 per treatment.

Bill Artino has over 20 years experience in the equipment leasing and financial services. Throughout most of his career he has specialized in medical equipment†leasing. Today, he is Vice President and General Manager of†Professional Solutions Financial Services, the company that offers Dentaltown Plus’ Equipment Financing Program.