finance
NINE
WAYS YOU CAN
GROW
YOUR BOTTOM LINE IN 2021
When I first ask practice owners how they could increase their bottom line ( take-home pay / what they make from their business ), the first reaction is often to cut expenses . While that does make a big difference in some areas – say taxes , the end result may not be that big in other areas . It could actually be that spending a little more working with strategic partners will increase collections coming in much more than trying to cut out some expenses .
How can you figure out what makes the most difference to your specific practice ? This article will show you some specific actions to help quantify which changes can improve your bottom line the most . Let ’ s review these “ profit drivers ” now , and then we ’ ll look at how to rank them .
by Jeramy Smith , CPA
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Increase new patient conversion rate for new leads .
Reduce the number of patients who leave your practice .
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Increase the number of new leads you are getting .
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Maximize average collections per new patient .
9 Profit Drivers for Dental Practices
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Bring wage expenses as a percentage of collections in line .
Bring dental supply expenses as a percentage of collections in line .
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Reduce other unnecessary or underutilized expenses .
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1
Increase average collections per existing patient .
Reduce taxes .
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