Where is your dental business now?
This is the vital question asked at the start of our journey by dental business mentor Andy McDougall from Spot On Business Planing.
The process with Spot On Business Planning starts by undertaking an in-depth analysis of your dental business; looking at it from every interlinked perspective. Analysis of historical and current financial trends, profitability by treatment type and clinician, analysis of the cost structure, borrowings, people, brand position, marketing, and processes. The list is long but essential because stage one analysis provides the clues to what needs fixing.
Have a clear vision of the future
Question 2: Where do we want your dental business to be?
Taking the results of our position audit above, a three-year strategic plan that underpins the realisation of doubling your net profit is determined. By financially modeling how we get from A to B, we can make mistakes on paper before committing to a strategy that feels realistic and achieves your financial objectives.
The aim is to ensure our ladder is leaning against the right wall before we run up it. There’s no point in getting to the top of the wrong mountain, so before you start climbing, be clear about your final goals.
To illustrate this all-important point, during a recent prospect meeting with a dental practice, the practice manager told me she had already determined a strategy and had no need of our input. When I asked her what profit it delivered she looked at me blankly. Her plan had no financial integrity and had it been executed, would have resulted in the deterioration of that dental business’s performance.
You must ensure your plans have financial integrity before you pursue them or you could end up in a worse position!
Double your net profit over three years
For a robust dental business plan and a strategy that not only leans against the right wall but doubles your net profit over three years, contact dental business mentor, Andy McDougall at Spot On Business Planning. Send us your last three years of financial accounts and Andy will analyse them and visit you to explain the strengths and weaknesses he reads in your numbers.
Call 01949 851723 or complete the form to arrange a free analysis.
In our next blog we will consider…
Mapping out our journey – how do we get to where we want to be?