The Importance of Investing in Equipment Upgrades
References to equipment hardware often make people think of computers and computer systems. However, when it comes to a dental practice, hardware has a broader meaning.
Equipment hardware for a dental practice refers to computer systems, digital and manual tools, and your technologies for patient services. It may even encompass the specialized, well-designed physical space of the practice itself, such as your operatories and in-office laboratory.
Why upgrade equipment?
Equipment, technology, and office investments are important pieces of developing a viable business. Incorporating the appropriate technology can help enhance practice growth through greater efficiency, better diagnoses, and improved patient communication. Replacing outdated equipment with state-of-the-art tools and technology helps demonstrate to patients that you care about their comfort and wellness.
Investing in new equipment also makes your practice more efficient and provides better treatment options.
- Investing in a CAD/CAM system that was previously in an offsite lab but now can be kept within your practice may save your patients time and money.
- Conebeam technology may help diagnose more patients who may need specialized treatment.
- Intraoral cameras may help with case acceptance. Rather than simply explaining their needs, you can use images to show them why they need specific procedures.
Productive new technology can help to enhance the operating processes of your practice while also helping with meaningful growth and expanded services.
Dental equipment is often purchased based on advice from a distributor who may be an excellent source for information when you have a specific need. However, you also need to consider how to systematically update your practice with advanced technology in order to maximize your level of patient care.
Expanding your space to maximize productivity
For practices that are “bursting at the seams” or booked out months in advance, an office expansion may be the necessary investment to meet your patient care goals.
Expanding your facility may allow you to bring in specialty services and state-of-the-art equipment. It may also result in a more patient-friendly environment. This can make it easier to find experienced, qualified associates and employees and a broader range of patients.
Additionally, a practice expansion may help you accommodate more patients. A well-designed practice uses innovative equipment, proper zoning for parking and foot traffic, attention to practice aesthetics, and a focus on the quality of the patient experience.
Proper planning is required to create a successful practice expansion.
You may need a contractor, architect, designer, accountant, equipment vendor, and lender to develop your plan, create your design, obtain funding, and construct your expanded office. Industry professionals may help you make your expansion dream a reality.
Working with an industry-specific lender
Your lender is crucial in making your upgrades and expansions a reality. You must understand the distinction in the different types of lenders.
- Collateral-based lenders value our personal assets – such as your home, money market accounts, and vehicles – as collateral for credit decisions.
- Cash-flow lenders base credit decisions on projected revenue and cash flow. The practice itself is collateral instead of your personal assets. Cash-flow lenders are often specialty lenders that focus on a specific business or industry.
Using a cash flow lender who specializes in dental practice financing is the level of understanding they have about your specific circumstances. They may have greater flexibility in offering favorable terms.
For example, some dental lenders may offer equipment financing options with 10-year terms, which is unique to practice lenders. A 10-year term can give you better control over your cash flow, allowing you to fund your equipment purchase or practice expansion.Industry-specific lenders may see your practice as an asset. With increased practice value, your debt declines over time and your practice gains equity. Some healthcare industry lenders like LenDRgroup Consulting may allow you to access this equity to fund additions to the practice to help it grow and thrive.
The LenDRgroup Consulting team cares about your practice’s long-term success. Whether you need practice financing or business consulting, we will customize a plan that fits the unique needs of your practice and your career.
Our lending platform consists of 300+ dental and healthcare-specific lenders. We built this network to help dentists, veterinarians, and physicians. We want you to achieve your dreams of practice ownership while eliminating practice financing obstacles.
To date, we have helped hundreds of healthcare professionals start, expand, and grow their practices. LenDRgroup Consulting recognizes and understands the needs of your business and can help you avoid costly mistakes. So, let’s get started.
Contact us today to schedule your consultation.