The Digital Revolution in Lab Technology

Things certainly have changed in the 45 years that I have been a dental technician. I think our industry has never been more exciting than it is right now. Digital laboratory technology is rapidly evolving and this has completely changed the way we design and fabricate dental restorations.

Although most of the impressions we receive are still made with PVS materials and poured up with stone, much of the workflow beyond that point is now digital. The stone model is digitally scanned, the restoration is digitally designed and digitally milled. Milling gives us the ability to adjust the occlusal and proximal contacts to within .01 mm. We have adjustment settings for every client we work with and we fine-tune those settings as we get feedback from you.

To be sure, there is still a lot of human skill involved in finishing, layering, staining and glazing your restorations, but much of the workflow is now digital. With the advent of digital impressioning systems, we will be able to eliminate the inaccuracies inherent in traditional impressioning and poured models. Digital impressioning also makes it easier to create diagnostic wax-ups and allows us to digitally layer the wax-up over the preparation model to duplicate the wax-up in the final restoration design.

Digital technology has also enabled revolutionary changes in dental restorative materials. Ten years ago, dental laboratories were primarily producing porcelain fused to metal and full cast crowns and bridges. Today, we are producing very few of these metal-based restorations…Doctors are instead prescribing highly esthetic lithium disilicate (eMax) and zirconia restorations. These monolithic options are not only better looking, but also stronger than PFMs. For very esthetically demanding situations, our expert technicians can layer porcelain onto these new materials for the ultimate in natural esthetics.

We have been advising you over the last few years to allocate your money where it is needed by primarily prescribing monolithic crowns and prescribing layered anteriors only when needed. A word to the wise about preparation technique for these newer materials: Shoulder preparations are no longer necessary. In fact, they are contraindicated. The new standard is an exaggerated chamfer approximately 1mm wide. This preparation gives the best combination of esthetics and strength and marginal accuracy for these new materials.

For more information, call us at 651-407-0491.

Randy Renstrom, CDT
CEO Renstrom Dental Studio, Inc

Renstrom is NDA member.

Using Social Intelligence To Keep Employees Engaged

Author: Amy Sargent

You hear a lot about emotional intelligence these days, but what do you know about social intelligence? Social intelligence is the ability to be aware of how others are feeling, in the moment, and manage your behavior in a way that nourishes the relationship. Social intelligence is two-fold: 1-social awareness and 2-relationship management.

Social awareness comes in the form of empathy, situational insight, and having a heart to serve others, all qualities within ourselves we can develop with the help of assessments to establish self-awareness, good coaching, and old fashioned practice-makes-perfect. Learning to put yourself in other’s shoes, picking up on social cues, and doing kind things for others–like buying that box of doughnuts on National Doughnut Day–are skills you can push yourself to embrace and improve upon. Managing relationships can be a little tougher. Whenever people are involved, it’s suddenly no longer just about us (the part we have jurisdiction over).

As much as we’d like to, we just can’t control what others do. But what we can do is focus on our behavior that can help elicit a desirable response from others.

Learning others–who they are, what they are motivated by, where they’ve come from, where they want to go–is a skill that gives us insight into how to manage our relationships toward positive connections. It’s especially important in leadership as we aspire to steer and guide our teams. In order to motivate and inspire employees to reach company objectives and goals, we have to know what makes them ‘tick’. And it’s not a one-size-fits-all formula.

While doughnuts may do the trick for some, others want you to show an interest in their personal life, remembering their birthday and their kids’ names, while others are simply motivated by a raise. Each person comes with their own unique set of history, schema, personality, and skill sets, and discovering what those are with each team member can take a lot of effort — and time.

Posted by NDA Member, Gayle Christensen


By Rick Epple, CFP®, CeFT®

Are you thinking I have been working as a dentist for a number of years and while I make a good income, I have no idea if I am on track for retirement.  How do I take control of my future?  The following process can be used to start you on your way.

Step 1:  Dentists, determine where you are at…

Gather all your investment statements, checking account statements, 2016 tax returns, insurance documents, business documents including your P&L, loan documents, spending history, and current estate documents.

These documents can be used to look at where you are today and make projections for the future.  A Dentist can use one of the following tools to create a financial snapshot:, Quicken Personal Finance or there are a number of apps ( ).

Step 2:  Dentist Financial Goal Setting

The next step for dentists is to determine how much extra savings is needed to achieve your retirement and financial independence goals. There are a number of calculators available on the web that can help identify the target savings number.  Just be aware that the assumptions used in the calculators can have a big impact on the results.  Another way to look at determining a target number is to use a 4% “safe” withdrawal rate in retirement.

The 4% rule in my opinion is a pretty good indicator of preparedness for financial independence.  Example:  A dentist’s $3 million dollar investment portfolio can create roughly $120,000 income stream (before taxes).  At this rate, a properly diversified portfolio should last 30 years or longer without running out of money.  Besides the retirement goal, other goals need to be included and can increase the amount that is required.  Examples of other goals include paying for college for children or grand children, extensive traveling, charitable intentions, vacation properties, etc.  A good book to read to begin the process of evaluating what retirement might look like is “The New Retirementality” by Mitch Anthony.

Step 3:  Dentists, determine what your “gap” is…

After determining the gap between the expected income in retirement and the projected expenses, a plan to fill in the gaps is necessary.

Step 4:  Dentists, maximize your savings!  

Dentists have a number of vehicles to help build savings!

  • Maximize contributions to your 401k  plan.  Up to $54,000 ($60,000 if over age 50) can be contributed for 2017 as an employee and employer.
  • Explore the possible use of a cash balance pension plan.  This type of plan allows for higher contributions to make up ground for retirement savings if needed.  The downside is that it can be very complicated to setup and administer.
  • Contribute to Roth IRA, Back door Roth IRA, Spousal IRA, or Non-Deductible IRAs as allowed depending on income and rules.
  • Other possibilities – Use Health Savings Accounts (HSA) accounts, 529 college savings accounts, and/or build a taxable savings account.

Step 5:  Dentists, review the insurance element…

Conduct a thorough review of your insurance program.  In my experience, dentists typically have huge gaps in their personal and/or business insurance programs.

  • Meet with insurance agents to have a risk assessment and evaluation of your insurance program.
  • Determine needs for life insurance, disability insurance, long term care insurance, business insurances, property & casualty insurance, etc.
  • Shop around to verify that you are receiving good value for the premium dollars you are spending.
  • Implement appropriate and recommended coverage.

Step 6:  Dentists, do some basic business planning

  • Run your dental practice like a business.  First, develop a business plan and marketing plan.
  • Determine measures to benchmark the practice and monitor progress to the plans.  Measures include profit, patient satisfaction, employee satisfaction, new patients, expenses, etc.
  • Areas to look at:
    • Do you want to focus a niche for your practice and then develop it?
    • Do you need help with Dental Marketing?
    • Do you have the systems and procedures in place to manage the practice?  Think “E-Myth Revisited” by Michael E Gerber.
    • Does dental patient retention need to be improved?
    • Review insurance to improve value for the premium dollars spent and to protect the practice.
    • Most dentists/employers don’t realize the costs of maintaining their retirement plans.  Costs can have a significant impact on account growth.  If you don’t know the costs, investigate to determine you have a plan with the features you want and are paying a fair fee(s).  Also with recent rule changes, business owners have a legal/fiduciary duty that they have a plan that is in the best interests of their employees.
    • Do you have a place where the people you work with enjoy coming to work?  A good working dental team.
    • Are you utilizing outsourcing as a tool to improve profitability?
    • Maximize all deductions available to the business.
    • Consider owning the building your dental practice is in instead of paying rent.
    • Do you have contingency plans in place should you or a key employee becomes disabled or dies?
    • Do you have an exit strategy for your business?  Buy/sell agreement or plans to bring in a future buyer of your practice?
  • The bottom line is that you want to maximize the amount you take out of the practice while providing the necessary investment back into the business to achieve your goals.

Step 7:  Dentists here are other areas of your plan to consider…

  • Determine personal cash flow and income needs.  Planning cash flow can be very difficult.  However, having an accurate picture of expenses now and in retirement can ensure a successful retirement.
  • Implementing a pay yourself first philosophy can help jump start retirement savings if needed.
  • Manage debt – Review all personal and business debt.  This is often an overlooked aspect for dentists.  Appropriate strategies can help increase net worth in the long run.  Having consumer debt in retirement can also make it very difficult.
  • Determine if your investment strategies include balancing risk, maximizing return and preserving capital
  • Conduct a tax planning review to verify all available opportunities are being taken advantage of.
  • Do you have a plan in place to pay for your children’s college education?
  • Review that appropriate estate planning documents are in place.

There really aren’t any short cuts and you will need to invest time in determining where you are at and then implementing a plan to help achieve your goals in line with your values.  If you do so, you can take control.

Proper planning can provide dentists and their families with Peace of Mind.  While I work with many types of clients, my dentist clients have found my services especially helpful. Give me a call and I can help make your practice of dentistry a foundation for a great retirement!


Rick Epple, CFP®, is the founder and president of Aurochs Financial Group (AFG).  We at AFG work in our client’s (including dentists) best interest to understand their unique issues and create a flexible but clear and direct road map to achieve your goals.  This consists of a comprehensive and integrated wealth management plan and corresponding unbiased custom solution.  Our plan will continue to guide and protect our clients in the years ahead, regardless of the changing market and economic condition.

Aurochs Financial Group

15600 Wayzata Blvd., Suite 100 • Wayzata, MN   55391

Phone: 952-470-5049 • Email:



Rick is a member Northern Dental Alliance.

All Dentists are the Same! What??  All Contractors are the Same! What??

Both statements could not be more FALSE!

Both statements could lead you to a painful and expensive experience.

How we can help:

Experience.  As a part of your team, Heritage Construction can help guide you through the initial property selection by offering budgetary advice based on countless dental specific projects. This means you can make the most educated property selection for your practice.

  1. Dedication. Heritage Construction knows the value of working within your timeline. We know it is crucial that your practice has minimal downtime. This means less disruption to your clients.
  2. Save you money by doing it right the first time. Heritage Construction takes TEAM seriously. We form alliances with the design team, dental equipment suppliers, and sub-contractors to enhance quality and productivity on your project. This means a more cost effective project to you.
  3. Communication. Heritage Construction maintains a high level of communication to you and the team to include scheduled walk through if desired. Since we value your opinion we listen to your concerns and questions. This means you keep on schedule and as part of your team we help you achieve your desired clinic.

Patricia Oseland, Associate Project Manager 763-333-6815 

Richard Etshokin, Sr. Project Manager 763-486-3086            

Please browse our website to view recently completed projects.

Our mission is to protect and serve our clients with unmatched business professionalism and honesty. We strive to create work environments that are based on respect, and that are rewarding and fun. We will form alliances with our subcontractors and suppliers to enhance job site safety, productivity and cost effectiveness.

Most important, we will be honorable.

Heritage is a NDA Member.

Your Profesional Resource Advisors.

Helping dentists achieve success!


Email Version/NDA July Newsletter

Renewing Your Lease: Important Things To Know

By Tyler Van Eps
CARR Healthcare Realty

Leases and lease renewals are not typically conducted on a level playing field. After all, the landlord is in the real estate business and most doctors are not. By planning ahead and having professional representation, it is possible to negotiate a lower lease rate and receive a substantial tenant improvement allowance and free rent.

How does the lease renewal process work?

An important clause found in a standard lease is the renewal option. This allows you to extend your lease for a predetermined amount of time (often three, five or ten years) by giving your landlord advance written notice. Renewal options include terms for specific lease rates, concessions such as free rent and tenant improvement allowance, and whether a new base year for operating expenses will be granted. Whether or not a renewal clause exists in the original lease, all of these terms are negotiable and play a large role in the financial structure of a lease renewal.
Renewal negotiations are most effective when conducted in the proper timeframe, by having multiple viable relocation options, and creating a strong posture to maintain the upper hand.

When should the process begin?

As a rule of thumb, you should begin to consider the renewal process 12 – 18 months in advance of your lease’s expiration. This is recommended so that you can compare all relocation options in the market before your current lease options expire. Tenants who miss their lease options incur more risk. Landlords view this as an opportunity to push rents higher as the window of opportunity to relocate closes. If tenants holdover (stay in the space after the lease expires), they often see penalties of 150 – 200% of their last month’s rent and can also incur damages if they holdover without permission. The bottom line is that if there is not ample time to relocate if necessary, the landlord has a strong upper hand.

What type of cost savings can be achieved through a successful renewal?

If properly negotiated, you can achieve significant rent savings, a build out allowance, free rent and other concessions. It is very common to start a lease renewal term at a lower lease rate than what you are currently paying. In many markets, landlords are offering aggressive concessions and more attractive lease terms to good tenants to keep their buildings leased and avoid vacancies. The amount of overall savings will depend on the availability of competitive vacancies, the efficiencies of the buildings, and your market knowledge and ability to negotiate business points.

What are some common mistakes practices make during the process?

One of the most common mistakes practices make is negotiating without the help of a commercial real estate professional, specifically one who specializes in representing healthcare providers. Some believe they can save money by not using an agent; but to benefit in real estate, leverage is the key to posture. Landlords are in the real estate business and negotiate with professional guidance. Selecting an expert to represent you provides the leverage needed to receive the best possible lease terms. Further, landlords are typically responsible for paying commissions so professional representation is available to you at no out of pocket cost.

Another mistake practices make when entering into a lease renewal negotiation is not being familiar with their current lease terms and risk exposure. Prior to contacting the landlord about a lease renewal, you should be well aware of your current lease terms including every option and deadline. Most leases contain options that must be exercised within a specific time period, typically six to twelve months prior to the lease’s expiration. If you allow this period to pass, you risk losing all rights outlined in the option, which can cause the negotiations to begin at a disadvantage.

Knowing what you are already paying per square foot is especially important if you are thinking about renewing your lease. What you are paying now versus what buildings are leasing for in your immediate area can be vastly different, especially if your lease has had automatic escalations in the rate over the term of the lease. The way to calculate your price per square foot is to multiply your monthly rent by 12 months and divide it by your square footage. Keep in mind that NNN or CAM charges (operating expenses for the property) are also calculated the same manner.


Successfully negotiating a lease renewal is more than bartering, bluffing, or asking for a good deal. Landlords and their professional representatives are in the full-time business of maximizing their profits, even if it means taking advantage of uninformed tenants. You can level the playing field by engaging your own professional representation, gaining competitive market knowledge, and by having multiple options for your office space. When done properly, a well-negotiated lease renewal can have a dramatic impact on your practice’s profitability.

Carr Healthcare Realty is the nation’s leading provider of commercial real estate services for healthcare tenants and buyers. Every year, hundreds of medical, dental, veterinary, and other healthcare practices trust Carr Healthcare Realty to help them achieve the most favorable terms on their lease and purchase negotiations. By not representing landlords or sellers, Carr Healthcare Realty is able to strongly advocate for healthcare providers and avoid conflicts of interest while saving their clients hundreds of thousands of dollars. Carr Healthcare Realty’s team of experts can assist with all types of real estate transactions, including lease renewals, expansions, relocations, startup offices, purchases, and practice transitions.


June Newsletter link.

Case Study: Implant Supported Custom Milled Bar With…

…Horizontally Screw Retained PFM Fixed Partial Denture 

By Jeff Benson, DDS 

A 65 year old male lost teeth #’s 8 and 9 many years ago and waxed bridge from #6-11 was placed. The #6-11 bridge eventually failed, likely due to a combination of a deep overbite and bruxism. In the pretreatment photo (figure 1), note the gum line fractures of #’s 6, 7, 10 & 11, palatal contact of the lower anterior teeth and loss of bony ridge both vertically and facially. With minimal tooth structure remaining, and with the failure of the previous bridge in mind, it was agreed that an implant supported prosthesis would o er the best outcome for the patient. Implants were placed in #6, 7, 10 and 11 positions.

In order to accommodate both the ridge form and the deep overbite, the lateral implants needed to be angled farther to the facial than ideal, resulting in screw holes which would have exited through the facial surfaces of those restorations. After extensive consultation with the patient and the dental laboratory, an implant supported, CAD/CAM generated, titanium bar mesostructure with a porcelain fused to metal superstructure were chosen to address the overbite, bruxism and screw exit issues. It was anticipated that the parent’s bruxing habit might lead to porcelain damage in the future, so horizontal set screws were employed to make the PFM superstructure easily retrievable for porcelain repairs.

A verification jig (fig 3) was fabricated on the master cast and seated in the mouth (fig 4) to confirm the accuracy of the master cast. A diagnostic mockup (fig 5) was fabricated and tried in the mouth to determine the proper tooth positions for the restoration and to guide the design of the bar. Panthera Dental designed the bar digitally (fig 6) and, once it was milled, the bar was tried in the mouth to verify fit. A new wax mockup which clipped onto the bar was tried into the mouth, and after some minor adjustments, was approved by the patient and the clinician. Once approved, this mockup served as a guide for the fabrication of the overlying PFM framework.

A resin and wax pattern of the PFM superstructure was fabricated directly on the bar (fig 9) and cast with great care to ensure accurate fit around the horizontal set-screws which would secure the superstructure to the bar (fig 10). Once the fit of the superstructure to the bar was conformed, the mockup was used to guide the application of porcelain to create a functional and esthetic simulation of hard and soft tissues with porcelain extending into the ridge defect above #8-9 for esthetics and proper lip support (fig 11 & 12). Particular care was taken to ensure cleanse ability with dental floss and WaterPik. A maxillary night appliance was fabricated to minimize the risk of porcelain fracture due to parafunction.

The final restoration is shown in the mouth (fig 13).

Dentistry by John Keller DDS.
Implant Surgery by Bill Wilke DDS, MS Laboratory Services by Renstrom Dental Studio 

  • Pretreatment Consultation: Rick Aeziman 
  • Metalwork: Lori Johnivin, CDT. 
  • Mockups: Deanna Beckman and Lori Johnivin, CDT 
  • Porcelain: Todd Larson

>> Renstrom is a NDA Member.

Major Advantages of Using Temporary Employees

by Audra Bianca

groupMajor advantages of hiring temporary labor typically concern the cost savings that an employer might realize. To gain these advantages, an employer must compare temporary employees with the alternative of part-time and full-time regular employees. If an employer does not need regular labor, then the major advantage is scalability, conveniently being able to add or reduce the worker payroll per business needs.


Temporary employees serve different functions for the employer and offer advantages in terms of operations management. Employers use temporary workers to take the place of absent employees and to provide a temporary person for a vacancy. They also add to their staff through busy seasons such as the holiday shopping season and increase the number of workers to assist in projects of short duration. Temporary jobs also provide workers for positions scheduled to be phased out due to budget cuts or reorganization.

Cost Savings

While employers might have to provide benefits such as workers’ compensation and overtime pay to temporary workers, they can save on medical/dental benefits, vacation and sick pay, retirement and other income security benefits reserved for full-time and part-time workers. Some employers offer higher wages to temporary workers that do not receive job benefits, such as traveling nurses, which makes temporary employment attractive to highly-skilled professionals seeking flexibility.

Sourcing Talent

Some employers find it advantageous to recruit highly skilled temporary workers to determine if they’re suitable for a particular job. If an employee is a good match, a hiring manager can advertise the job and hire that person a permanent position or offer the position directly. Also, temporary positions offer a way to attract talent when an organization is waiting on funding, such as a nonprofit waiting for federal grant funds to be received.

Save Training Costs

Temporary workers who work for an employer when in need of extra income help the employer save on overtime costs. When an employee separates from the employer, she costs the employer training costs that were already invested and other costs, such as the cost of advertising the position and completing the recruiting and screening process. If a temporary employee fills the void and offers similar services, the employer has flexibility in setting a timeline for finding a new employee and training her.

Now that you know more about how recruiters can work for you, it might be time to see for yourself why Dental Staffing Services is a leader among specialized staffing agencies. Get expert help with your temporary staffing needs.

References (3) 

  • American Staffing Association; “Staffing Industry’s Positive Role in U.S. Economy”; Edward A. Lenz; March 4, 2008
  • USAJOBS: Temporary and Term Appointments
  • Univ. of Wisconsin Center for Community and Economic Development; How Much Does Your Employee Turnover Cost? William H. Pinkovitz, et al.


Posted by NDA member Kim Symthe of Dental Staffing ServicesKimdss

DYK Your Data Can Be Compromised? 

Hackers have become more sophisticated and technology has advanced resulting in an increased level of vulnerability to your network. Sunset Dental Technologies (Sunset) is committed to staying ahead of the curve, keeping your data safe, and staying compliant with the changes in the laws.

Outlined below is a case study involving an infection and how Sunset partnered with the dental clinic to keep their data safe and get them up and running.


Sunset was notified at approximately 8am that the clinic’s system was infected with a “Win32/TrojanDropper.Small.NMM Trojan” ransomware that Sunset had never seen or dealt with before. The virus infected a total of 16 workstations plus the server, which was the entire clinic. It was 35 minutes from the time Sunset received the notification call to the time they stepped on-site. By 9am, a plan was created with a goal to have the office fully functioning within 24 hours. The Sunset team was successful in meeting their goal.


  • First response team – formed (3 people)
  • Engineering – assigned
  • Command Center – assigned
  • Team lead – assigned


  • Loaner server deployed.
  • Engineering restored yesterday’s backup.
  • As the backup exported to a virtual machine format, the server started up in its virtual format seamlessly.


To expedite the re-imaging process, Implementations deployed an imaging server with a pre-configured Windows 7 image. This allowed the team to re-image all 16 workstations in less than 45 minutes.

Once the server was up, Sunset was able to get the computers joined to the domain and move forward with installing and configuring software. By 5pm, all computers were able to access Dentrix and Dexis. That evening, the team configured the software to restore the workstations as close to their original state, prior to the infection, as possible. 

Sunset spent the following morning at the clinic to address any questions and make any changes necessary.

Recovery Timeline

Screen Shot 2017-03-29 at 10.50.22 PM


Savings estimate:

Daily average production for clinic $10,000

Saved days (Sunset vs Conventional) 5 Days

Estimated Savings $50,000

Call Sunset at (855) 861-8833 or visit  Sunset will help you minimize your risk by providing:

  • Monitoring the health of your network
  • Qualified technicians are available 24/7 for any problems that may arise
  • Continuously monitor and manage your server and workstations to ensure minimal disturbances
  • Scheduled reviews to discuss changes in technology and security
  • Disaster recovery plan in the event of a data loss or breach
  • Insurance coverage in the event of a data breach
  • Identity restoration coverage for your patients and staff
  • And many other critical services

Have It All with Sunset Dental Technologies.


Sunset Dental Technologies is a member of Northern Dental Alliance.


Your Dental Practice Financing Team


This article provides insights into the importance of establishing a team when acquiring a dental practice. It provides detailed information on choosing a lender and points out key considerations and potential pitfalls that can lead to a less than ideal experience.usbankJennifer Maschke, Vice PresidentBusiness Banking Officer at U.S. Bank, applies 10+ years of business banking experience to provide full service relationship banking services business clients. You can count on a highly qualified team to provide personalized service and sophisticated lending experience – all delivered in a manner consistent with our approach to honoring you and your unique goals.

maschke_jennifer_usbank_banking_financing_mn_dentists_nda-copyPreparation – Building a Team

Purchasing a practice requires — at minimum — knowledge in law, accounting, human resources, banking, and business. Dentists are experts in dentistry. Successful practice owners surround themselves with experts who can serve them well — accountants and attorneys who focus on dental practices, dental brokers who can help find, evaluate, and assist with the purchase, business associates who know human resources, real estate and practice management, and lenders who have expertise in practice finance. Buyers can avoid many problems or surprises by asking the right questions at the right time and fully understanding the nature of the business relationships forged during a practice purchase. Outlined below are some of the main team members and considerations that should be addressed when preparing for practice ownership:

* Dental practice brokers/transition specialists — assist buyers and sellers through the sale process. In addition to listing and selling practices, brokers will perform practice valuations and assist with the purchase/sale agreement. Since there is not a source to consolidate listings, buyers normally need to find practices by working with multiple brokers. Word of mouth, trade journals, Web sites and dental suppliers also are sources to find a practice that is a good overall fit for the buyer.

* Dental consultants — also assist buyers with the purchase. Dental consultants who represent the seller and/or buyer can assist with the due diligence analysis of collection ratios, scheduling, fee structures, chart reviews, and computer analysis to ensure the practice details are accurately represented. If due diligence discovers a previously undisclosed issue, buyers often times have new negotiating power to reduce the price or may even decide not to move forward with the purchase. Through their analysis, dental consultants can often recommend changes that the new buyer can implement to increase profitability and grow their business.

* Dental-focused lawyers — review the purchase/sale agreement to ensure all language is included to protect both the buyer and seller in the transition. They also review the lease and any other agreements required for closing the transaction.

* Dental-focused CPAs — analyze, assess tax impacts, and make recommendations on the buyer’s financial options from a tax perspective. They are responsible for the overall financial analysis and tax planning for the practice and will complete the payroll and tax returns for the new buyer.

* Lenders — finance the purchase. Once a location has been identified and an offer has been made, the lender evaluates both buyer and seller information to make the final lending decision. Not all lenders offer the same financing terms and conditions, so it is important to evaluate lenders and offers prior to securing financing.

* Buyer due diligence: Often times, one or more parties to a sale will offer to make a referral and be subsequently compensated for the referral. Buyers should not only perform their own due diligence on each member of their team, but since there are no disclosure requirements, should directly ask how/if they are being compensated for the referral.

Choosing a Lender

Buyers have two main options when looking for practice financing. They can use a lender that specializes in dental practice financing or they can go to a commercial lender at their local financial institution. A third option, using a seller’s note, may be considered for all or part of the financing package.

* Using a specialist in dental practice financing: This type of lender will have a deep understanding of practice finance and will use the assets of the dental practice for collateral. Due to their experience, they can more easily identify strengths and weaknesses in a potential practice, and will usually be able to render quicker decisions and close the loan faster than a standard commercial loan. They typically are able to finance 100 percent of the purchase price, plus working capital needs that may arise.

* Obtaining a commercial Loan through a financial institution: A commercial loan financed through a local bank will use the overall practice as collateral. In addition, loans of this nature usually require money down and alternative collateral such as a personal residence or other bank assets.

* Financing with a seller’s note: A seller’s note can be used in conjunction with one of the other methods of financing to provide further security or eliminate some risk. Instances where a seller’s note can be of benefit include when the buyer feels that a practice is overpriced but still wants to purchase the practice. In this case, the seller carries a note, subordinated to the bank, for a percentage of the financing. In another example, due diligence might bring a piece of information to light that causes the buyer to have reservations about the purchase. In this case, the seller can carry a note to guarantee what they are representing. Since the buyer has no leverage after the fact, this is a way to minimize the buyer’s risk. Conclusion

Buying a dental practice can be very exciting. It can also be overwhelming. That is why it is so important not only to be educated on the process but to be surrounded by a team of experts. A lender that has the expertise, stability, and commitment to help weigh the alternatives and analyze each unique situation will help to ensure a suitable practice for the buyer now and in the future. Astute buyers know, or quickly learn, that there is more to a well-structured financing package than simply the interest rate. Thorough preparation, lender selection, and offer analysis are the critical components of a smooth buying experience and well-structured loan.

There’s a reason U.S. Bank Practice Finance is a premier lender to health care practitioners – we’re committed to helping practices manage and grow their business. Our representatives have special expertise in lending to dentists, veterinarians, optometrists and ophthalmologists, and will work with you to develop a customized solution that fits your needs and budget. Building lasting relationships with customers is our top priority. It’s why we offer a full suite of financial solutions backed by exceptional service and our experience as a leading small business lender and top financial institution in the United States.

For more information on U.S. Bank’s Practice Finance solutions, please contact Jennifer Maschke, Vice President Business Banking Officer at U.S. Bank, at (952)388-3273 or at  Jennifer is also a NDA member.

Rewarding for Dentists, Life Changing for Patients!

Dentists, you are invited to this exciting seminar detailing the causes and treatments for sleep apnea and the use of appliances.

2_back_sleepapnea_nda_march-2017 copy

  • Dr. Jeff Forslund

    • Thursday, March 9th, 2017

    • 6:30 Register & a light dinner
    • 7-9:30pm Speaker

Purchase Tickets here:
$60 ($50 if registered before February 23, 2017)

Two Fundamental CE credits, approval pending.


NEW LOCATIONimg_2273_sleep-apnea-orthodics-dental

Pattern Dental:

  • 815 Northwest Parkway, Suite 180
  • Eagan, MN 55121
  • United States






Sponsored by the Northern Dental Alliance