In this episode, Richard Low sits down with Steve Steinbrunner and Brian Carroll from Provide to demystify financing for the modern dentist. If you are preparing for dental practice ownership, navigating banks and loan requirements can feel overwhelming. However, securing the right funding is the ultimate key to unlocking sustainable dental practice growth.
Whether you are planning a startup or evaluating an acquisition, understanding how lenders view your profile is critical to dental practice ownership. Many ambitious associates make the mistake of aggressively paying down student debt instead of saving cash, inadvertently destroying their chances for competitive financing.
Here is your blueprint for mastering dental business strategies and securing capital for dental practice ownership:
- Preserve Liquidity: Banks typically want to see 7% to 10% of your total loan amount in cash.
- Check Your Credit: Maintain a minimum credit score of 680 and ensure you have a clean history without major financial blemishes.
- Leverage Gift Funds: If you lack the cash minimums, use family gift funds to bridge the gap and satisfy strict lender requirements.
- Startups vs. Acquisitions: Understand that startup loans rely heavily on personal projections and runway, while acquisition loans are driven by the target clinic's historical cash flow.
Ready to take the next step in your dental practice journey? Visit https://sharedpractices.com to learn more about our Buyer Representation and Coaching services, designed to help dentists buy, grow, and optimize profitable practices. You can also use our Free Look to evaluate dental practice opportunities with real data before making a decision. For daily Dental Moneyball insights, strategy tips, and updates, follow us across our social channels.
What is Shared Practices | Your Dental Roadmap through Practice Ownership?
Shared Practices is the go-to podcast for dental business owners who want to grow and elevate their practices. Whether you're an experienced practice owner or an aspiring entrepreneur, Shared Practices offers a wealth of resources tailored specifically to the dental industry.
Hosted by Dr. George Hariri, the podcast delivers fresh, relevant content every Monday. From practical advice and expert interviews to deep-dive discussions, Shared Practices gives dentists the insights they need to become better business owners. Whether you're scaling your practice or just getting started, you'll find valuable guidance here.
We're changing the way dentists approach practice ownership. Join us on this journey at sharedpractices.com/podcast.