Any business should have a plan. Business plans help guide the ship that is the business and set forth concrete steps to develop and grow a thriving business set up for long-term success. A dental practice is no exception. When you are starting out your dental practice, be sure to create a comprehensive business plan that will help you and everyone else involved in the business focus on the actionable steps needed to make business dreams come true.
Creating a Business Plan for Your Dental Practice
As far as strategic business tools go, a business plan has a wide range of benefits that can be essential for a successful and sustainable dental practice’s growth. When developing a business plan, aspects of the business should be carefully considered and goals should be reflected upon thoughtfully. While starting a dental practice can be exciting and you may be anxious to dive right in, take the time to make a solid business plan first. It is too important to fall by the wayside.
There are a number of things that should be included in your dental practice business plan, including an executive summary. The executive summary can be critical when reaching out to lenders to fund the startup costs of your dental practice. This is because the executive summary should highlight the essential elements of the business plan such as its goals and central purpose. It is one of the quickest ways for a lender to gain insight into your overall vision for your dental practice.
Lenders are also likely to be interested in the financial plan that should be included in the dental practice business plan. The financial plan is not only going to be important to lenders, but will also be an important part of helping to ensure your business is properly funded to cover essential startup costs, weather times of restricted growth, and to help ensure that it is continuing to meet your financial goals. The financial plan should include details such as:
- Your personal financial statement
- The 12 to 24 month projected practice income
- How startup funds will be used and allocated
- How much your practice will require in startup funds for the first two years
- Any offered collateral
- Cash flow projections
Your business plan should also include a description of your plan for products and services to be offered by the dental practice. This information will also help when developing an analysis of any competing businesses in the area as well as establishing your marketing strategy. You will need to know about the products and services you are offering as well as your key business demographic. Who will be interested in these products and services? How will you let this demographic know about your dental practice? Your business plan should provide an analysis of your intended market and how you will engage these potential patients.
Management structure and operations will also be critical sections of your business plan. Management structure will also go hand in hand with the type of business structure you have selected for your dental practice. Make a list of management personnel that will make up the management team as well as a detailed account of their respective job responsibilities. As far as operations are concerned, the more details you can provide the better. Lay out what your office hours will be, supplies to be attained and suppliers to work with.
Dental Law Attorneys
Mahan Dental Law can help you develop a strong business plan to help set your dental practice up for success. Contact us today.
