Reasons Why Your Practice’s Overhead May Be Out of Control

If you’re having trouble with finances, you’re not the only one. As recently as 2014, it was discovered that dental practice overhead accounted for 75% of the revenue! It may be difficult, but there are ways to remedy financial problems for your practice, and one of the first steps is identifying where the problem lies.

Why Your Overhead Is Out of Control

Below are a few of the reasons you may be struggling. Once you discover the issue, it will be simpler to tackle it head-on:

• Not Paying Attention to The Right Numbers – Keeping track of the numbers won’t do you much good if you’re not paying attention to the right ones. It’s possible for a dental practice to grow and increase revenue, but still, be struggling with overhead costs. You may want to consider looking into inventory control, supply usage, and the purchasing system in place at your office.
• Employee Theft – Dental practices are not immune to embezzlement. The most common form of embezzlement in a dental office is through the theft of collections. Plan and implement new controls to help keep track of your employees and how they handle the finances in your office.
• Appointment Cancellations & No-Shows – Every time you reserve a time slot for a patient who cancels or simply doesn’t show up, the possibility of making money during that time period is gone. It may be helpful to look for ways to encourage your patients to keep their appointments.

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