Laws Of Profit And Loss In Dentistry
In this article we will discuss the business aspect of dentistry and why it’s essential to maintain it in a profitable manner. This article is collected from the experiences of many successful dentists who are running dental practices valued at millions.
A career in Professional Dentistry – is dynamic in nature. Just like the evolution of technology, there is also an evolution in Dentistry. It’s not only in dental science but also in the business of dentistry.
Many will frown at the thought that
“Dentistry is akin to managing a Business”
But in the real sense of things – there is nothing wrong with it.
Business is not a bad word. But the key word here is a business with ethics and care. You are in the business of reducing people’s dental problems, improving their smiles, and making their lives better.
But in order to keep providing and upgrading your services to the people and at the same time keep running your house, you need your practice to be profitable.
Remember, if the pipe is consistently leaking, the tank can never store water.
What’s the Analogy between a Dentist and a BusinessMan?
The job of a dentist and a businessman has many things in common:
- There are the reliability and repute of their respective businesses.
- Just like entrepreneurs, dentists also have to ensure that there is a steady and regular flow of income.
- This can be achieved by adopting the latest dental techniques and keeping abreast of the latest developments in the field of dentistry or business.
Be in no doubt that running in Dentistry is Just like Running an Enterprise.
The Law of Profit & Loss
- Just like in any business, in dentistry also, you will have monthly – quarterly – yearly profits and losses. So the day you assess the finances of your clinic, there will either be a profit or a loss. That’s the bottom. You are investing money and money has to come in also. Remember, you will never like to see a net loss of money at the end of the month. Without profit, you will lose interest in your practice. In fact, getting making a profit is one of the most powerful driving factors you will have.
- For any Business to be healthy there has to be a profit. Similarly, without regular profit, your dental practice can never flourish.
How Can Dentists Reach Great Heights in their Professional Practice?
- Dentists can surely rise to great heights in their dental practice by setting goals. They need to chart out the right plans and adopt the right techniques.
- Many dentists are specialized in specific dental practices like surgical dentistry, pediatric dentistry, and orthodontics. It is important for dentists to establish clarity in their field of expertise prior to adopting any particular field.
- If you are comfortable with tooth whitening and processes related to this, you may want to enter the cosmetic dentistry field.
- If you want your dental practice to reach heights, then you need to analyze and understand the age group of people living in and around your locality.
- If there are people in and around the age of forty to fifty, then you may want to try out cosmetic dentistry. This age bracket will surely go in for teeth whitening and cosmetic procedures and it will set your business in full swing. Similarly, also ensure that you have the latest dentistry solutions related to tooth whitening to veneers.
Your dental practice will flourish if your clinic is located in metropolitan areas. A dentist is sure to be successful and do well in his practice if he invests in a good and sophisticated clinic. Care should be given when designing the clinic and attention should be paid to the aesthetics, irrespective of whether the clinic is situated in a commercial area or a residential.
The above statement was entirely true for many years. That is why there was and also today a lot of rush to establish a dental practice in a city. However, over the years it has also led to the over-concentration of dentists in the urban areas, increasing the competition. And in the same duration, newer setups have been opened in the semi-urban and rural areas as well – which are not only rendering great services but also generating good business/revenue. This has resulted in increased dental health awareness and economics – which is great for both dentists and the general public.
In fact, we covered in an article, how to expand your dental practice into rural and semi-urban areas.
Where to Set Up Your Dental Practice – Urban Areas vs Small Towns?
But the main point is to adapt to whichever place your practice is set in.
Points To Pay Attention as a Dentist
- Dentists should also pay attention to the needs and requirements of the residential people. Many of the patients visiting the dental clinic may want to go for dental extractions. People visiting the dentist in a commercial area may want to try out cosmetic cleanups and tooth whitening.
- Once you are through with setting up your dental clinic, the next step is to promote the clinic. The right form of advertising is very important. Stick posters of smiling people and refrain from putting up tooth anatomies as it is generally not a pleasing sight. Stay away from posting pictures of people suffering from gingivitis or oral cancer as they are a ghastly sight.
- Dental practice online is also gaining popularity nowadays, thanks to the internet. For this, you need to make your website attractive and the website should also have a competitive edge. You may want to hire professional web designers for the project. Though it may be slightly expensive, it is worth the investment.