Buying a dental clinic requires careful planning and your decision must be careful and well informed. Today you need to pay attention to corporate governance and patient care and be ready to make some important management decisions.
With a variety of accounting packages and software available today, anyone with a dental practice should be able to prepare most of the following items for review:
With tax returns for the past three or four years, you can see how the practice has worked in the past, monitor trends, and analyze business stability. You can also purchase dental practice in Framingham with proper guidance via ashdentalcpa.com/.
The cash flow model is an indicator of whether the practice you are considering is really a viable option and provides a financial forecast for at least the next five years after the practice is purchased. The model should include factors such as fixed and variable operating costs and contain growth rates.
Refer to the practice claims record to learn how effective the billing policy is. You will need a complete list of interns, their current salaries, and the benefits they receive. As a potential buyer, you need to understand the role of each employee and find out who is left after the sale.
Once you have got at least most of this information, you and your accountant can get a complete picture of the dental practice that interests you. If you feel you do not have the financial knowledge and management skills to perform a complete financial analysis, you should seek appropriate professional advice.