Lifetime Income Potential From Dentistry
Most doctors will practice an average of 35 years. The number of years a doctor ultimately practices, multiplied by the income he or she earns over that period, equals Lifetime Income. A doctor’s Lifetime Income will be significantly affected by career decisions that may include buying a practice, joining a practice as an associate, or for those real risk-takers, starting a new practice from scratch. But are all of these career choices equally wise? Which has the greatest impact on the doctor
Should a Recent Graduate buy a $1,000,000 Practice?
A recent dental graduate had an opportunity to purchase a large practice (over $1,000,000 of annual gross income) in his chosen area. The practice represented a once in a lifetime opportunity that would place him years ahead of all his classmates, in both practice size and income. The current owner wanted to change careers and would continue to practice two days a week for a few years while building a new and different business.
A Diamond in the Rough
Ask a recent dental graduate for a description of the practice he or she would like to purchase, and you will hear, “I want a high-quality crown and bridge practice, in the best area of town, where I can do my kind of work on my type of patients.” For that matter, it would be amazing if a purchaser ever had a different response. Vanity is usually the reason he or she wants to purchase this kind of practice, but is it the best opportunity?