Bankers Healthcare Group (read the DSO News interview with their Chief Credit Officer) recently conducted a nationwide survey of more than 400 dental professionals – encompassing both owners and associates – to ascertain their financial decision-making and how these professionals are investing to maintain, as well as grow their practices.
- 76% of respondents play an active role in decision making in the practice, regardless of their title. For practice owners, 60% make financial decisions on their own, with 27% making them jointly. The remaining leave all financial decision-making to others. Interestingly, those over the age of 35 are more likely to make these decisions solely, while those under 35 prefer to leave such decisions to others.
- Surveyed practice owners pegged payroll and benefits as their largest expense. 47% said they spend $100,000-$299,999 per year on payroll and benefits and 22% responded that they spend $300,000-$499,999 per year on payroll and benefits.
- A quarter of respondents replied that they hire new office staff every two to three years, while 22% hire annually.
- Investing in new equipment yearly is a priority for 20% of respondents.
- 32% of respondents reported spending more than $30,000 per year on dental supplies.
- 39% of respondents reported spending more than $30,000 per year on their office’s rent or mortgage.
- 29% of respondents reported spending more than $30,000 per year on lab fees.
- Interestingly, 43% of respondents reported spending less than $3,000 per year on marketing, which is much less than the average DSO affiliated practice spends.
- 44% of respondents have invested in their practice by taking out a commercial loan and 40% have taken out a personal loan. For this lending, 50% of it was to start or open a practice, 41% utilized it as working capital, and 32% used the funds to finance an expansion or equipment.
DSO News is presently conducting its first annual State of the Dental Industry survey. We invite you to click here to participate.
