January 28, 2021
Who Makes Up an Advisory Team for Your Dental Practice Transition
The first and possibly the most important step for every buyer, especially first-time buyers, is to build your advisory team. It is important not to choose the first person you meet in each category; talk to a few to determine what each company or individual can offer. Decide with whom you feel most comfortable, not necessarily who offers the lowest price for their services. We offer a list of advisors to help get the process of your dental practice transition started.
There are several types of banks to work with; therefore, do your research and determine which bank is right for you.
- Regional/national banks
- Dental-specific banks
Small Business Association (SBA)
- Equipment loans
Certified public accountant (CPA)/chartered financial analyst (CFA)/attorney/insurance agents
All of these individuals are necessary members of your advisory team. It is recommended to choose people who are dental specific as it will raise your rate of success. It is also advised to use specialists from each industry normally, not from the same firm.
It is also advised to work with a full-service marketing agency so you only have one single point of contact as they take full responsibility for the success of the project. A full-service agency will be able to offer service bundles that include website development, social media management, digital and print advertising, TV and radio exposure, logo and collateral development, signage, brand analysis, demographic and audience targeting. Of course, while it is possible to find an expert for each job, we only recommend finding a firm that can handle all responsibilities for your convenience.
Equipment representatives and supply companies
There are multiple options when it comes to supplies and equipment; therefore, it is advised to interview and receive testimonials from current customers to ensure you are making the right decision. Most suppliers’ reps cannot sell every brand of equipment. This interview process will allow you to see the various products each offers.
It is important to note supply reps will be a long-term relationship for you within your career; therefore, make sure they can bring more value than only the supplies you order.
Should you consider an expansion or a new build, equipment reps can streamline the process as well as save you money as most equipment companies have in-house design teams.
Commercial real estate broker
It is important your commercial real estate broker has at least seven years of dental and medical experience. This will not only ensure they are familiar with standard industry needs, but also they are well versed in the area, knows the landlords and can define your value proposition by your location.
Make sure your broker is with a reputable firm — local, regional or national. A good agent will walk you through all your options and discuss what is right for you, be it buying, leasing, expanding, developing or investing.
Above all, it is crucial to find someone who will be your advocate and have your best interest at heart. By having someone on board who has all these traits, you will not only save money, but also time so you can focus on your passion.
It is smart to hire an architect and/or contractor that has dental office experience, especially the architect, since hiring an inexperienced one can cost you thousands of dollars. Many choose to go with a team that works together (contractor, architect and engineer) and knows the ins and outs of the real estate market. Be sure to review their portfolio, receive references from their previous clients, confirm they are familiar with local building code and regulations, and have a good construction team they’ve worked with prior to ensure a smooth process throughout.
Of course, as with most people in the industry, review local business journals and their Better Business Bureau (BBB) rating to read more about them.
There are many different types of practice consultants, ranging from operational to startup specific to full-service consulting. Essentially, it all comes down to looking at your practice through someone else’s eyes. To ensure you aren’t missing anything, it is key to have a different perspective on your practice.
When you are choosing your consultant, make sure their specialty aligns with the project you need completed. To stay on track and not go outside your financial limit, it is imperative to make sure that results are trackable, and the timeline and budget are understood by everyone involved.
Make sure your technology advisor is certified with the various dental software and hardware systems you are interested in using. It is common for them to place blame elsewhere if they are not certified with the programs and equipment used. While implementation is important, it is not nearly as important as the servicing on the back end. It is always better to find someone who will implement and service, rather than using two different people.
As always, it is recommended to look at BBB ratings for any advisers you are considering.
When you are looking to hire a transition broker, it is smart to find someone who will market your abilities to the places you are looking to go. You will want to choose a group that is most knowledgeable about various opportunities available in your desired area. To ensure a smooth process, look for a broker with a good amount of resources and will hold your hand throughout the entire process.
Contact the experts at Professional Transition Strategies, a full-service broker with more than 10 years of experience working coast to coast.