Building a more profitable practice...
Posted on 11th January 2021 at 13:38
Due to the COVID 19 pandemic, it is now more important than ever to preserve your cash flow and differentiate your practice.
2020 was particularly tough for the dental sector following the implementation of lockdowns, a lack of business rate relief and additional safety precautions.
2021 will be about re-invigorating and revitalising your practice to maximise the business opportunities and ensuring the year ahead provides both clinical and financial excellence.
At Performance Finance, we are dedicated to helping dental practitioners find the right funding packages for their investments and ensuring practices maximise return on investment.
We achieve this with the combination of marrying competitive funds, the most suitable tax breaks and where the equipment allows, a return-on-investment tool that demonstrates how best to price and manage new technology in practice.
There has been a huge increase in the level of technology within a dental practice; CAD/CAM, Intraoral Scanners and CBCT.
CAD/CAM procedures become faster, more efficient and restorations can be completed between 2 to 5 days as opposed to 2-3 weeks in a conventional setting.
Intra-oral scanner prices ranging from £15k-£25k, in terms of a finance facility, that equates to £300 - £500 per month dependant on the make and model.
Revenue opportunities with CBCT...
With just 3 patients a week requiring a CBCT you can invest in a quality unit, improve your profits by around £17,000 pa and improve both patient and clinician experience.
• CBCT cost Circa £40,000
• Finance Repayment £940 per month (5-year term)
• 2 px per week (£200 each) £1,600 per month
• Annual profit of £7,920
• 3 px per week (£200 each) £2,400 per month
• Annual profit of £17,520
• Break-Even 5 patients per month
Making the most of tax breaks...
Investment in dental equipment can be used to mitigate tax liabilities, the timing of major investments is crucial to ensuring you maximise tax relief.
Additionally, the annual investment allowance (AIA) usually allows you to claim 100% tax relief when investing in any capital equipment.
Financing the acquisition over 3-5 years will allow you to spread the cost and maximise the return on your investment.
This equipment provides an immediate revenue stream (sometimes a new one) and yet the cost is deferred over time.
Developing your practice...
Setting up and continuing to develop your practice with the right equipment and look can be one of the biggest drains on your cash reserves, however, it is essential to ensuring success.
Refurbishment and development projects can be costly but financing the project can enable you to reap the benefits sooner and allow the practice itself to pay for the investment and provide an immediate return.
Practice loans with Performance Finance are competitive, easy to arrange, flexible and fixed-rate, making accurate budgeting simpler and more reliable – regardless of changes to the interest rate.
Similarly, selecting the right equipment and the correct facility to pay for it can undoubtedly improve the profitability of your practice. In many cases, it can also reduce your tax liability.
We can help make your money work harder for you...
There is significant choice in the intra-oral scanner market with prices ranging from £15k-£25k. In terms of a finance facility, that equates to £300 - £500 per month dependant on the make and model.
Looking to introduce digital dentistry to your practice? We can help…
We aim to meet that challenge head-on. We do so by encouraging investment, promoting highly effective funding packages, and helping practitioners reap the rewards of proactive, forward-thinking behaviours.
These all help increase our accuracy and our speed of delivery, while vastly improving our customers' experience.
Our clients will enjoy a personal service with our friendly account managers who are highly experienced and have a detailed understanding of the dental industry, tax, and the ever-changing dental equipment market.
We are extremely proud of our Trust Pilot rating.
We would be delighted to support your next business venture, simply give us a call on 01536 529 696 or email dental@perfin.co.uk
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