Do you have a business idea? Maybe you want to start a new business offering general dentistry treatments. Or, you want to offer a wide range of dental products or services like lab-formulated crowns or actual crown placement. Whatever your idea may be, you are ready to start planning.
Every successful business starts with thorough planning. A business plan will outline the key elements and business structure of your dental practice, so you can secure investors and help your business grow.
Not sure what is in a business plan? Not to worry, we will outline how you can get started on your startup business plan in this blog.
Write A Business Plan
A business plan is a document that outlines your company description, business model, financial projections, marketing strategies, and much more. In short, a business plan is a high-level, executive summary of your business.
A business plan is incredibly helpful when starting your own business. A business plan can help outline the type of business you want and guide your decisions.
We recommend looking at business plan examples online to get ideas as to how to structure your plan. Some famous companies like Uber and Plum have made their business plans available online.
1. Outline Products & Services
The first decision you need to decide is whether your business will be a product or service-based business. In other words, will you be offering dental treatment to patients or selling dental products like lab-fabricated dental crowns or Invisalign?
Once you have outlined the products and services you want to offer, you can consider a pricing strategy. We recommend loo
2. Conduct Market Research
Your business success is reliant on your customers. That is why you need to carefully consider and learn about your target market while writing your business plan.
You will need to identify your target audience (your business’s ideal customers) then complete research. To get to know your target customers better, answer these questions
- How would my potential customers spend money?
- What are my target customer demographics? (i.e., age, occupation, location, yearly annual income, etc.)
- What is the competitive advantage that would make my business stand out compared to others?
3. Market Analysis
Next, you need to identify the market potential for your business.
An analysis of your market is always a good idea. You do not want to start a family dental practice in an area that already has too many general dentists but, without analysis, you may do it anyway.
Evaluate these characteristics in your analysis:
- Business location. What is the average monthly rent for a retail location or office space? Is the population growing or decreasing here? What is the local economy like?
- Competitors. Is there an existing business that offers what you do? What are your competitive advantages? Do you offer a competitive price or a more luxurious experience?
- Market trends. How much of a demand is there for your business? Are there many small businesses or large corporations?
4. Legal Structure & Requirements
Abiding by the law is incredibly important. That is why all business plans need to include information on the steps that the owners need to take to legally establish and operate their business.
A business plan should outline the licenses and permits that you need to run your business legally. Some good examples are a certification from the National Dental Examining Board of Canada (NDEB) and a municipal business license – RCDSO if you are in Ontario.
Business owners need to decide how they may want to structure their business in their company plans. There are two recommended structures: sole proprietorship and incorporation.
A sole proprietorship is when the business name falls on the owner. On the other hand, a corporation is when the business is a separate legal identity and the owners, their friends and family have shares.
While being a sole proprietor may be appealing, it is important to keep in mind that liability falls on to the owner(s). Owners also need to pay taxes for their businesses, assume complete responsibility for the liabilities, and more. If your business were to go under, you would be responsible. A corporation is a great option for those who would like a limited liability.
5. Create A Marketing Strategy
Every startup business plan template you will find online will tell you to include a marketing plan. Marketing communications is integral to promoting your small business and building customer relationships. It would be nearly impossible to grow your business without marketing.
6. Financial Strategy
Starting a business involves money; you need money to start a business, collect sales tax, and you need to earn money to keep it going. To ensure that you have an accurate depiction of your costs, we recommend you work with a professional accountant to develop your key financial strategies.
Professional accounting services can make starting a successful business easy. An accountant can estimate business expenses, profits, and revenue to make sure you know what you are getting into. An accountant can also estimate how much revenue you can expect to earn as your business grows. This will help market your business to potential investors.