Efficiency & Overhead

Is the practice efficient and if not how can it be improved? Although a number of factors affect the overhead, an efficient way of working has a very positive impact. The addition of an associate to an efficient practice with fully integrated systems/procedures will in most cases lower the overhead.

Practice
Value

The more efficient the practice is, the more valuable it is before the associate starts. This is an extremely important consideration because the agreement will often include a buy-in option. Although hiring an associate can add growth to the practice, it is the value of the practice at the time the negotiations start that will count. It is in the practice owner’s interest to maximize the practice value and properly document it.

Patient
Base

Does the practice have enough patients? How will patients be allocated to the associate? Although the senior dentist will decide how the patients will be allocated (all children will be referred to the new dentist, for example), the patients need to be kept informed throughout.

Staff
&
Calendar Planning

Staff need to be involved and informed at all stages of the process. Ensure people’s qualifications are used to their utmost. Determine which individual characteristics will be needed for the new set up. Two dentists (where there was one) can expect to maximize facility and staff utilization. Careful schedule planning is necessary throughout the year.
One of the main benefits of hiring an associate is the ability to take more time off with the knowledge that overhead is being paid for during your absence. Planning for the year ahead is therefore crucial!

Timing

Evaluate the need and the most propitious time to expand and/or renovate the facilities when/if applicable.

Marketing

Develop a marketing strategy to increase goodwill while keeping existing clients happy.

Additional Services

Will clients be offered additional services? Will the new dentist have particular interest in areas that are referred out (e.g. ortho, perio-surgery)?
If the senior dentist is able to refer some cases to the associate dentist (children, removable prostheses, for example) he/she may find time to engage in a new area of interest (say, implants), thus achieve professional fulfillment and increase the goodwill.

Associate

Once you have considered all of the above, it is time to determine the characteristics you are looking for in an associate.