“What’s New In Dentistry Business in 2024 and Beyond.” with Stephen Parker

In this episode of The Ultimate Dental Podcast, Dr. David Moffet interviews Stephen Parker, owner and founder of the Profitable Dentist magazine, a magazine and online publication dedicated to thew ongoing success of privately owned dental offices.

In this interview Stephen Parker discusses the changing landscape of dentistry and the challenges faced by dentists in today's market.

He highlights the rise of DSOs (Dental Service Organizations) and the impact they have on private practice owners.

In this interview, Parker emphasizes the importance of dentists focusing on their strengths and finding unique ways to differentiate themselves from corporate dentistry. He also discusses the options available for retiring dentists, including selling to a DSO or joining a doctor-owned DSO.

Also in this conversation, Parker and Dr. David Moffet discuss the impact of insurance on dental practices and the benefits of transitioning away from insurance-based models.

They also explore the role of AI in dentistry and how it can improve efficiency and standardization.

Parker also shares insights on building a profitable dental practice and the importance of finding a business model that aligns with personal preferences. They also touch on the value of personal connections in dentistry.

If you want your practice to be at the forefront of dentistry in 2024 and beyond, don’t miss this episode!

What you will learn:

[01:20] Introduction and Background

[07:53] Challenges Faced by Dentists in Private Practice

[13:04] Differentiating from Corporate Dentistry

[15:42] Options for Retiring Dentists

[22:51] The Impact of Changing Demographics on the Dental Market

[28:46] Valuing Dental Practices Based on EBITDA

[34:49] The Financial Challenges of Retirement in Dentistry

[45:27] The Role of AI in Dentistry: Efficiency and Standardization

[50:08] Finding the Right Business Model for Long-Term Success

[58:58] The Value of Personal Connections in Dentistry

Takeaways:-

The dental industry has seen significant changes in recent years,with the rise of DSOs and increased competition for private practice owners.

Dentists need to focus on their strengths and find ways to differentiate themselves from corporate dentistry.

Retiring dentists have the option to sell to a DSO or join a doctor- owned DSO.

Valuing a dental practice is now based on EBITDA (earnings before interest, taxes, depreciation, and amortization), which has led to higher valuations.

Many dentists are unable to retire comfortably due to a lack of financial planning and saving throughout their careers.

Transitioning away from insurance-based models can lead to increased profitability and increased patient satisfaction.

AI has the potential to improve efficiency and standardisation in dental practices.

Finding a business model that aligns with personal preferences is key to long-term success.

Personal connections and individual expertise are still essential in dentistry.

Sound Bites

"Dentistry used to be a mom and pop industry, but that has changed with the rise of DSOs and increased competition."

"Private practice owners should focus on what they can do that DSOs can't such as personalised patient care and specialised treatments."

"The retirement options for dentists now includes selling to a DSO or joining a doctor-owned DSO."

"She was making $200,000 more profit annually." "If you're losing, you're just making bigger losses."

"You won't lose 100% of your patients when you stop taking insurance."