A solid business plan provides a clear roadmap to running your practice. An essential tool for management, a good business plan outlines your business values and goals, your marketing plan, your financial needs and projected financials and it should be used to track, monitor, and evaluate your progress. Whether you are applying for a loan where the financial institution requires a business plan or you just use it to track your accomplishments, every practice should make a business plan and here are five secrets to doing that successfully.
A BUSINESS PLAN FOR MEDICAL PRACTICE
Rather than giving you a business plan template for your medical or dental practice (you can download that here), this article aims to get you thinking about your business before you even begin writing so that you can start formulating your business plan with the right mindset.
Essential areas that you need to think about or as we like to call it, the five secrets to successful business planning are as follows:
How do you plan to build your practice? – this might seem like an obvious question but it is important to take an appropriate amount of time to sit down and properly think about this. Where do you want your practice to be in 5 years? What steps do you plan to put in place to get there? Is it a feasible and realistic goal? What kinds of obstacles or challenges may prevent you from achieving this goal?
What culture do you want to build? – your work environment is a crucial factor in determining the success of your practice and what you become known for, so what kind of culture do you want to build? Will patient care and satisfaction be at the core of everything you do – how can you reinforce this in your daily environment? Do you want to focus on charitable giving to boost morale? Ask your employees what matters to them and think of ways that you can create a positive and productive culture that aligns with your core values.(Plan for a profitable and enjoyable year ahead!)
Is there something or someone that you are overly reliant on to generate your income? – does the majority of your income rely on your time and skills as the doctor or dentist in your practice? Do you always delegate work to the same nurse or hygienist? If you can identify someone or even an automated process that you rely on too much to generate your income, you need to factor this into your business plan and come up with alternative solutions. It might be to train and develop the skills of other staff members so that you can spread the workload or to implement better or additional software.(Need to create a budget plan for your practice?)
Have you considered your business model and changes that are coming in your industry? – if you create your business plan for medical practice with only the present day in mind, something may happen in 1 or 2 years time that could make it completely redundant. Often, if you’re up-to-date with your industry news, you will be aware of these changes ahead of time so that you can make the necessary plans, alterations and improvements to prepare for it. Always review your business model and think of industry and technology changes that could affect it. This way, you can always be sure that you’re remaining competitive and agile in your market.
Who will help you with these things? – your staff will obviously help you achieve many of your goals, but who will help you create a successful business plan? Consider seeking professional advice by hiring experienced, seasoned advisors. Your team of advisors may include a specialist accountant, attorney, banker, and insurance provider.
DON’T FORGET TO REVIEW YOUR BUSINESS PLAN REGULARLY
Just because you’ve written a business plan for your medical or dental practice, doesn’t mean it should get filed away never to be looked at again. In fact, it’s the opposite. For a business plan to be successful, you need to be actively using it to establish timelines and milestones so that you can gauge your progress against your original projections. Not only will this help you track your accomplishments but it will also allow you to modify and update the plan as you gain knowledge and experience over time.
If you didn’t at the start of the article – download your free business plan template here!
IF YOU WOULD LIKE SOME ASSISTANCE WITH YOUR PRACTICE BUSINESS PLANNING, PLEASE FEEL FREE TO CONTACT ME VIA MITCHELL@AFFLUENCECA.COM.AU