If you’re one of many dentists out there who are looking forward to retiring within the next 3-5 years, CONGRATULATIONS!!! After a career of working to provide the best oral care for patients in your community, it’s about time you took time away from working and enjoyed the fruits of your labor. You’ve likely already started looking into options for transitioning into retirement, so we wanted to remind you of a few things that you should be sure to consider when that time comes.
Have you done all that you can to maximize the value of the business you’ve spent so many years building?
These quick tips focus specifically on things you should consider as you work to maximize return on the business investment you’ve built over the years.
1.Are you up-to-date on the latest technology and equipment? It’s easy to say “I’m not investing in a bunch of new equipment because I’m retiring in a few years,” but you may be opening yourself up to low-ball offers if your operatories are using outdated equipment or if your clinical areas rely on older technology.
2. How easily accessible / transferrable are your patient records? If they’re still on paper, consider investing in a simple practice management system to step into the electronic age. The investment will pay-off in the end when potential buyers see that you already have basic business systems in-place.
3. Are your billing systems easily accessible for pulling ad-hoc reports for financial requests that are bound to come your way with a potential sale? You may think your paper systems for managing scheduling, billing, accounts receivable, payroll and claims are working just fine, but, think of how much easier it could be with a little forethought and investment. When it comes time to demonstrate your practice’s growth potential, easily accessible reports for production, A/R, fee schedules, collections, attachments, etc. show that you’re on top of not only your clinical game, but also your financial game and that’s a winning proposition for investors.
By doing a little work and updating your systems in advance of a sale, you set yourself up to reap the greatest rewards and isn’t that what retirement is all about?