We’ve helped over 500 Medical Professionals start their private practices quickly and successfully.
It’s your turn.
We are here to help. Below is a step by step guide to the process of getting your dental clinic setup.
Understand and Clarify Your Vision
While setting up your dental clinic, you will be asking yourself many important questions on the front end that will largely determine what your professional life will look like moving forward, choose wisely.
It is important that you begin to define what you hope to achieve with your practice. Aside from basic information about your desired practice, below are a few questions to consider that will affect the best way to proceed.
Who is your target client?
One of the first questions to consider is whether you are primarily targeting Medicaid, PPO, Fee for Service, or referral clients. This will impact various aspects of your approach including the area you open your practice, your branding, office setup, and more.
What is your long term vision?
Will this be your only office, or is it the first of many locations? Do you intend to have the same number of operatories upon opening or are you hoping to have a space you can grow into over time? What staff do you idealize in the short term and long term?
What are your limitations?
Are you currently bound by a non-compete agreement that will prevent you from starting a practice within a certain timeframe or in a specific area? Have you considered what you can do financially and met with lenders to understand your budget? If you haven’t, don’t worry, we’re experts and we’ll guide you every step of the way
We’re growing like wildfire. Practice Real Estate Group made the whole process easy for me. We had an initial meeting where we discussed what I wanted to get out of the practice, and they took it from there. I have lots of friends who have thought about opening over the past two years and I always recommend Practice Real Estate Group.
Starting a Dental Clinic Checklist
The three aspects to manage while opening your dental clinic are costs, time, and risk. The largest tradeoff between these is between time and cost. We believe that the trade off here conclusively points to the viability of working with experienced dental professionals in each of the following categories. When you add risk into the equation, it becomes a no brainer. As such, our checklist recommends starting with trusted dental specialists in each of the following categories.
Because aspects of opening a practice are sequential, but not altogether linear, we have organized our checklist by the corresponding profession. When we work with clients to open practices, our role is often helping to compile and communicate directly with your team to help streamline the process. This service comes at no additional cost to the commission typically built in to the price the landlord is charging for the real estate, with exceptions to NYC and a few other select markets.
The 12 People You’ll Need to Meet to Open Your Dental Clinic Checklist:
Number 1: Lender
Prequalify for a loan early in the process both to help in your initial negotiations and to provide clarity into what you can do. Discuss with your banker whether you need to restructure student loan debt or life expenses to qualify for a loan
Number 2: Real Estate Agent
Obtain a demographics report and competition analysis to determine an ideal target area. Have your real estate agent coordinate with your contractor, space designer, and equipment representative to ensure a potential space does not have any expensive complications or limitations.
Number 3: Contractor
Determine whether your contractor has an architect on staff with experience designing dental practices or whether you need to engage an Space Planner / Architect. Once you have picked your equipment, have your equipment representative and contractor get on the same page about equipment and installation
Number 4: Equipment Representative
Ask your equipment representative if they have someone on staff who can help you build out plans for the space as you choose your equipment. Be mindful of your budget (lender) and tenant improvement allowance (RE agent) as you choose the equipment for your space. Many professionals opt to leave a few operatories unequipped to reduce costs upon startup.
Number 5: Lawyer
We strongly recommend you engage a lawyer who has experience in negotiating dental leases. These contracts are much more complicated than a standard lease, often exceeding 60 pages, and this will make a significant difference both in protecting you and streamlining discussions.
Number 6: Insurance Provider
It will be important for you to have property insurance and a general liability policy, in addition to your malpractice and life coverage.
Number 7: Site Planner / Architect
Work with your site planner / architect to review any potential properties to ensure they are viable options.
Number 8: Technology Provider
Depending on which contractor and equipment company you work with, you will likely want to hire an IT specialist to help setup your computer systems, store your patient and procedural data, and otherwise equip your office with the various technologies you will want in place. We recommend you have this conversation once you have found a location that you want to pursue.
Number 9: Accountant
We encourage you to speak to a specialized accountant who not only prepares your financials but also provides basic advisory services as they can help you protect your long term financial success and better understand how to run a successful practice.
Number 10: Credentialing Company
We recommend you engage a credentialing company both because of the pain of filling out the applications and because of the likely increase in revenue you will see both on individual reimbursements and as a result of understanding which companies to pursue. We encourage you to start this process shortly after you have signed on a space as it can take 90-180 days depending on where you live and who you are getting credentialed with.
Number 11: Marketing Firm
Consider a firm to help create a brand, logo, website, and basic marketing material. We also consider you purchase a start up marketing package and work with a specialized marketing company to help you plan your launch as this can be the difference between a full schedule week one and a full month without patients.
Number 12: Staffing Company
Consider meeting with a staffing company to help you hire an experienced team. Depending on your experience in the market and who you have chosen as a property manager, this may be more or less attractive to you.
Dental Clinic Setup Cost
As you can see from the above, there is a lot involved in opening a dental clinic. The costs vary depending on the size and location of your practice. Prices to open range between $300,000 and $600,000, with most falling in the middle. The price ranges with the number of operatories you have, how many are equipped, whether you purchase new or used equipment, and how nicely you finish out the office. The bulk of this cost will be the equipment and construction costs.