I’ve been doing a lot of work with clients recently who want to get much better control of their business finances.
This coincides with the second quarter focus of my annual workshop programme, during which we take a good long look at how the money works in the business of dentistry.
There are 9 steps in this process:
- Understanding your profit and loss statement;
- Measuring Key Performance Indicators;
- Creating Budgets and Cash Flows;
- Monitoring Average Daily Production;
- Calculating Operating Cost Per Surgery Per Day;
- Measuring Associate Profitability;
- Understanding EBITDA;
- Calculating your Goodwill Value;
- Setting your prices accurately.
An outsider might wonder how any business could function without mastering these 9 steps – and yet I continually find myself starting the journey at Step 1 with established dental businesses – one recently with a turnover in excess of £1 million per annum and yet none of these systems in place.
Once the basic financial disciplines are established, it can take less than an hour a month to analyse the data and keep the business on course, avoiding wastage and ensuring that every aspect of the business becomes a profit centre.
Combine simple maths and a beginner’s understanding of spreadsheets and off you go.
To gain this level of understanding in just 2 hrs and 49 minutes (by watching 10 tutorial videos and downloading 30 learning resources including all the spreadsheets you will need) you can register as a Pay as You Go member of The Extreme Business Club and invest just £249 in The Money Course – it’s all there for you and your senior team members.
You can find The Money Course at The Extreme Business Club.