Orthodontics & Ownership: Building Wealth Beyond the Chair

Welcome to the Hey Docs! Podcast with your host, Jill Allen. Today, I have a special guest, Charles Loretto, from Cain Watters & Associates, joining me on the show. I know that financial planning can be a bit of an undertaking for us all, so Charles is here to break it down. From where you should start to market trends and the best pieces of advice, there is a lot to learn! Pull out your notebooks. Let’s get into it! Summary Charles Loretto, a financial planner specializing in dentistry, shares his journey and passion for orthodontics. He emphasizes the importance of owning a business and provides insights into the financial aspects of starting and growing an orthodontic practice. Charles discusses the different stages of financial planning, from basic accounting to tax planning and wealth building. He also highlights current trends in the industry, such as lower down payments and the impact of private equity on practice valuations. In this conversation, Charles Loretto and Jill discuss the value of dental practices, trends in practice transitions, the role of technology in orthodontics, and the availability of practices for sale. They also touch on private equity and the financial planning considerations for young doctors.  https://www.cainwatters.com/https://www.facebook.com/CainWatters/https://www.linkedin.com/company/cain-watters-&-associates/?trk=top_nav_home https://www.youtube.com/channel/UCCu1ZtPhTapsGg_-MPSxRng Takeaways Owning a business offers financial benefits, including increased income, equity building, and tax planning opportunities.Financial planning should be tailored to the unique needs of orthodontic practices, including specific accounting practices and projections.As practices grow, it is important to graduate to more comprehensive financial planning services that address complex issues like pension planning and investments.Trends in the industry include lower down payments for treatment and the continued influence of private equity on practice valuations. Understanding the value of a dental practice is crucial when considering a sale or transition.Outsourcing and lean practices are becoming more common in the dental industry.Customized treatment plans and the use of technology are shaping the future of orthodontics.Private practice sales and private equity investments are impacting the industry.Financial planning and surrounding oneself with the right professionals are key for young doctors.Connect With Our AdvertisersKaleidoscope - Orthodontic Digital Marketing GreyFinch - Web Based Practice Management SoftwareSmileSuite - Customizable Presentation Software and Post-Consultation Follow-Up Chapters 00:00 Introduction and Background03:20 Passion for Orthodontics09:58 Financial Planning at Different Stages27:50 Trends in Financial Planning33:08 Understanding the Value of a Dental Practice34:02 Trends in Practice Transitions 35:35 Outsourcing and Lean Practices36:27 Customized Treatment Plans 38:22 The Role of Technology in Orthodontics39:25 Managing Team Costs and Lab Bills40:22 Private Practice Sales and Private Equity41:47 The Availability of Practices for Sale43:10 Evaluating Practices from a Private Equity Perspective45:39 Valuing Higher-End Practices 47:53 Taking the Money Off the Table48:18 Financial Planning for Young Doctors49:29 Three Pieces of Advice for Young Doctors55:21 Speed Round Are you ready to start a practice of your own? Do you need a fresh set of eyes or some advice in your existing practice? Reach out to me- www.practiceresults.com.    If you like what we are doing here on Hey Docs! and want to hear more of this awesome content, give us a 5-star Rating on your preferred listening platform and subscribe to our show so you never miss an episode.   New episodes drop every Thursday!   Episode Credits:Hosted by Jill AllenProduced by Jordann KillionAudio Engineering by Johnny Mitchell