Historically, there were times when the dentist just handled the “procedures” for the patient. In our increasingly complex society, the business aspects of dentistry have become more important for even the “survival” of certain dental practice styles.
In other words, the dental practice must be managed as a business in order to even have the ability to provide dental services to your community. By taking the time to outline what you wish to accomplish with a savings and investment strategy, you give yourself a road map to financial success (Tab.1,2). Ration between Production, meaning giving dental therapy, and Collection, meaning getting paid, should be 98%. Write everything down and calculate very day (every month) how much you “produce” and how much you “collect”. Don’t rely solely on your memory for this exercise. It is far better to take the time to establish a written record of your earnings and decision-making. Like everything else in life, your objectives will change over time. Simply be prepared to make revisions as your income increases, your family expands, you change jobs, and so on. In other word, be flexible. One of the most fascinating studies of rational and irrational behavior takes place in the financial industry
FULL ARTICLE HERE; http://asnanportal.com/index.php/reports/series/124-dental-practice/543-v-look-at-your-numbers-financial-management
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