Australasian Dentist Issue 89

Category 130 AustrAlAsiAn Dentist FInanCe W e are currently living in strange and uncertain times. From the work and lifestyle challenges of snap lockdowns and practice restrictions to the strain on your own personal and mental health, we recognise the impact that COViD-19 is having on the dental community is onerous and significant. it is at times like these that you may ask yourself what your approach to investing in new equipment should be. reviewing your current business plans and strategies should be top of mind. if upgrading or purchasing new technology and equipment fits within those plans then you should still consider the investment and ensuring you have access to capital for the purchase is key. the equipment a dental practice needs to perform efficiently may vary based on your specialty and technological advancements or size and scope of the practice. Is the equipment worth the expense? Justifying the purchase of new equipment can sometimes be a challenge. Whether you’re making the purchase for the first time, or updating existing equipment, the return on investment (rOi) is one Equip yourself and your practice for success way to determine if the purchase will be worth the expense, and if patient care will actually improve as a result of it. if you already have the equipment in your practice, you’ll know whether or not it drives income so when it come to replacing or upgrading it, you need to consider whether the amazing advances to the equipment will be put to use in your practice, and whether your current space can accommodate the equipment if its dimensions have changed. if so, you’re likely to encounter additional expenses to renovate and fit it in. if you’re buying the equipment for the first time, it’s easy to get carried away with the bells and whistles top-of-the- range options. Forecasting what features of the equipment you’re likely to use is key in determining whether you need all the added extras. What financing is available? Facilities such as a chattel mortgage, lease and rental provide a range of financing options that can be tailored to best suit the needs of the business. strategies that can be considered include: u Matching loan terms to the working life of the asset u structuring payments to match cash flow including seasonal considerations u Acquiring an asset to be used for a specific work contract with options at the end of the contract to buy or hand the asset back u Having the flexibility to upgrade an asset when yours needs a change. Matching loan terms with equipment life span is important as you don’t want to owe money on gear you’ll have to replace, whether it be due to changes in technology or just aging equipment. Further, most equipment does not begin generating revenue on day one. in fact, it can take months to build the business and collect the patient payments needed to begin payback. it’s important to factor this into your life span calculations. Contact the Credabl team today to find out about your equipment and technology finance options. We can assist you in working through the numbers to ensure the new purchase is viable. u For more information, contact Credabl today on 1300 CREDABL (1300 27 33 22) or visit www.credabl.com.au – you can even live chat with us online! PracticePurchase • CommercialProperty • GoodwillLoans • OverdraftFacilities • HomeLoans • CarLoans • Equipment&FitoutFinance • SMSFLending credabl.com.au 1300 CREDABL (1300 27 33 22) The issuer and credit provider of these products and services is Credabl Pty Ltd (ACN 615 968 100) Australian Credit Licence No. (ACL) 499547. “ “ Getting more from my finance partner, means my patients get more from me. Professional and personal finance solutions, tailored for you and turned around fast. When you partner with Credabl, you can expect all that and more. With a team of experienced finance specialists, we understand the dental sector so you can look forward to finance solutions that help you get on with business and looking after your patients. You always get more with Credabl.