Do You Have the Strategy You Need to Create Financial Freedom?
A dental career can be the path to fulfillment, a great impact on your patients’ lives, and a comfortable retirement... or it can become a trap that forces you to keep working for the rest of your life.
It all depends on your business plan.
Whether you’re an older dentist who’s transitioning out of your practice, or a younger one who’s transitioning in, it’s important that your plans include a path to financial freedom.
True financial freedom means you have enough savings to last the rest of your life, income that keeps coming in even if you take a vacation or retire, or both.
Without it, you might be forced to keep working long after you wanted to retire, and end up hating the work you used to love.
We take the struggle and mystery out of creating financial freedom for dentists.
Liberty Group collaborates with groups of transitioning dentists, and with teams of highly qualified professionals in the areas of dentistry, healthcare, legal and finance, as well as business and real estate brokerage, and more, to help each dentist achieve financial freedom.
We start with the Liberty Financial Freedom Formula:
Financial Freedom = Ownership of your Business, Real estate & Bank.
Let’s start with the business.
If you own only one dental office, you don't have a business or a path to financial freedom.
If it can’t operate without you, it isn’t a business - it’s a professional practice. It won’t keep making money when you aren’t working, and it will not bring you financial freedom while you’re in it or when you sell it.
When you sell a one-office professional practice, you'll be lucky to get one times annual earnings.
But when you have two or more offices, and they can serve patients even when you aren’t there, then you probably have a business that profits from centralizing non-clinical services, and you might be able to sell for five to ten times annual earnings or more!
This type of business, which centralizes the management of non-clinical functions for a group of dental practices and enables each dental office to be more profitable, is often known as a Dental Support Organization, or DSO.
The bad news is, just because a DSO is involved, that doesn’t automatically mean you’re on the path to financial freedom.
In fact, selling to the wrong DSO can actually DESTROY your path to freedom!
How the wrong DSO keeps dentists from achieving financial freedom:
DSOs have developed a bad reputation because many of them focus on profits for investors as opposed to the well-being of the dentists, staff and patients.
This approach, which has become known as the CORPORATE practice of dentistry, often creates problems such as:
1. Buying the practice for less money than the dentist could have made, so the dentist doesn’t have enough to retire on and often ends up working as an employee of the practice they used to own.
2. Pressuring the dentist to prioritize profit over patient care - for example, by recommending expensive and unnecessary procedures.
3. Driving off staff members who want nothing to do with the DSO’s corporate management practices.
4. Moving the office to a rented space, so the dentist no longer owns the real estate and cannot build equity in it.
On top of all of that, the wrong DSO doesn’t help dentists to own their own bank. So when the dentist needs to borrow money, they pay high interest rates to a student lender or commercial bank, instead of paying interest to their own bank.
The former borrowing strategy can cost you thousands of dollars in avoidable interest payments, while the latter can increase your net worth quickly and dramatically.
This is especially important to the recent dental school graduate, who is likely in debt for $100,000-$300,000, sometimes much more!
As you can see, when you sell to the wrong DSO, you can lose your Business, Real estate and Bank, the three things you need to achieve Financial Freedom.
Sadly, this trend is only growing.
On March 6, 2017, the ADA Health Policy Institute unveiled new data showing that 7.4 percent of all practicing U.S. dentists were affiliated with dental service organizations. But for new dentists ages 21-34, that number more than doubled to 16.3 percent.
Many of these dentists joined DSOs as employees with no path to financial freedom.
We hope you won’t be one of them.
The solution to these problems: the Total Smile Protection Un-DSO
Our Un-DSO system was designed to address the objections dentists and their staff members often raise about typical DSOs.
We focus on helping all of our affiliated dentists to create financial freedom and the lifestyle they desire, while protecting the interests and well-being of their patients and staff.
This approach helps both the dentist who’s transitioning into the practice, and the one who’s selling or exiting it.
If you’d like to learn exactly how we help new dentists to transition into a practice and create a path to financial freedom, while enabling the selling dentist to transition out at their own pace, get a higher selling price, and secure the future of their practice and legacy, read about our unique process here.
And if you’d like to discuss your goals with one of our specialists, our Un-DSO transition and financial freedom experts will be happy to help you! Just click the button below to access our scheduler and book your free consultation.
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