Importance of Hiring Accounting and Bookkeeping Services for Your Dental Practice
You spent years getting your education and work experience to be able to open your dental practice. And if you pursued the conventional way of obtaining your qualifications and schooling, you likely did not acquire skills in bookkeeping, or accounting for that matter.
When you began your dental practice, you focused on the areas related to your expertise and training. These included patient care and patient relations, office administration, payroll and maybe some basic marketing. As your practice has evolved, you’ve no doubt had to expand your repertoire.
What has probably not received as much focus over the years is bookkeeping and accounting.
Instead of attempting to master the financial aspects of your business, why not hire a dental accounting/bookkeeping service?
Let’s look at the clear and compelling advantages of contracting out for your accounting and bookkeeping services.
Benefits of Hiring for Accounting & Bookkeeping Services
While your primary focus is on patients, your dental practice is ultimately a business. Ignoring or inadvertently giving short shrift to the financial side of your operation can actually serve to undermine patient care. And while delving into areas such as revenue, margins, and reconciliation could leave a bad taste in your mouth, giving attention to these critical areas is necessary to keep your patients’ mouths healthy.
Why Hire a Professional for Accounting and Bookkeeping Services?
As competent as you are at running your dental practice, you likely don’t have the required skills and expertise to manage your books as effectively and accurately as a professional agency providing expert bookkeeping and accounting services.
And just as bookkeepers and accountants do not perform their own dental care, you are better off not managing the bookkeeping and accounting responsibilities for your business.
Here are just some of the financial aspects of your practice bookkeeping services manage:
- Company Bank Accounts
- Medical Insurance Billing
- Accounts Payable
- Accounts Receivable
- Cash Flow
Benefits of Outsourcing Dental Practice Bookkeeping
- Time currently devoted to bookkeeping can be put toward enhancing tending to patient needs.
- The dental practice will only pay for what it needs and, as a result, saves money by reducing operational expenses. This strategy could mean being able to free more funds to provide annual staff raises.
- As the dentist and owner of your practice, you can be confident in the accuracy of the bookkeeping services being provided, enabling you to manage the office more effectively and efficiently because the books are being handled by professionals.
- You and your staff can place much more focus on patient care, instead of having your time and efforts drained attempting to handle the finances. The result is greater patient satisfaction as you improve patients’ overall experience.
- Instead of you and your administrative staff being responsible for the practice’s bookkeeping – which can lead to uncertainty and potential mistakes – you will have access to a team of bookkeeping experts.This approach allows you to enjoy consistency with your bookkeeping best practices and have much more time allocated toward financial strategy, which puts you in a pro-active position when managing your finances.
- Your dental practice will also be able to utilize premier bookkeeping programs. These programs will backup and save your data for years to come, making it easy to maintain your financial records in an orderly and reliable fashion.
Advantages of Professional Accounting Services for Dental Practices
It is important for dental practice managers to ensure they have an experienced accountant working with them. An accountant is responsible for developing high-level strategies dedicated to improving your dental practice’s financial future.
A professional accountant will provide your dental practice with the following services:
1) Preparation of Financial Statements
2) Analysis of Operational Costs
3) Preparation of Tax Returns
4) Consulting on Financial Decisions
The duties of an accountant include forecasting financial needs and milestones. They also involve advising your dental business on financial best practices, especially as it pertains to taxes and business expenses.
A CPA is a Powerful Asset to Your Dental Practice
To begin with, a dental specialized Certified Public Accountant has expansive knowledge of the dental industry. Other ways CPAs are an indispensable asset to your dental business include:
Specialized tax accounting: Dental CPAs are highly skilled in the dental field. This perspective puts them in a position to save you money on taxes every year. Your CPA is well versed in changes to the tax code and tax rules so they can ensure your taxes are compliant with new laws.
Industry Benchmarking: Your hired CPA knows the industry standards to compare your practice against. They can offer helpful critiques and suggest operational improvements so your practice runs more smoothly and effectively.
Advice on Equipment Purchases: Dental CPAs are knowledgeable on the equipment and technology being utilized by the dental industry. This knowledge allows them to look at your financial snapshot and offer recommendations on what equipment will give your dental practice a return on investment.
Expanding Your Dental Practice: If you plan to purchase property to expand your dental business, a specialized CPA can put you in touch with banks or loan officers who serve the dental industry.A dental CPA will support you through the process to ensure you receive favorable terms.
Planning for Retirement: Often, dental practitioners are self-employed and will plan their own retirement. A competent CPA specialized in the dental industry will help you design the most appropriate retirement plan, keeping in mind your resources and ambitions for your post-work years.
Choose Drilldown Solution for Your Dental CPA Needs!
At Drill Down Solution, we are your one-stop shop for all financial management and business consulting for your dental practice. When you partner with Drill Down Solution, you gain access to the exceptional accountants and CPAs whose responsibility it is to help you manage your practice effectively and efficiently.
Drilldown Solution offers a full suite of financial services that includes bookkeeping, accounting, and tax preparation. We have the expert team in place to help any dental practice thrive, even under the current COVID-19 pandemic circumstances. We accomplish this with a three-part system comprised of patient-experience excellence, financial focused operations, and accountability.
Our goal at Drilldown Solution is to put your dental practice in the best financial position possible, utilizing proactive processes and personal care!