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144a Bond Fund

144a-bond-fund-linkWhat is a 144a Bond Fund and How Can It Finance Your Next Project?

Background and establishment of Rule 144a

Under the Securities Act of 1933 aka "The Securities Act", Rule 144a was created originally in 1990 by the SEC (Securities Exchange Commission) to encourage foreign companies to sell securities in the US Capital Markets.  Although it was originally established for this purpose, it has become a very popular way to fund major projects in many industries while reducing the regulatory restrictions to trade the securities backing these projects between the institutions that are qualified to trade (buy and sell) them.

A Tale of 2 Dentists

2-dentistsLife never goes exactly as planned.  Over time, everything changes.  Sometimes the changes have to be much more dramatic than others in order to maintain personal sanity, re-focus our lives on what really matters, and make sure we are living our best life.
 
Please allow me to tell a story about a couple that met in dental school.  Bother were very driven, career-minded dentists. Dr. Mark was a very driven oral surgeon that loved his patients and did great quality work.  Dr. Laura was  a very driven pediatric dentist. Both started their practices from scratch and had built practices generating over a million dollars in revenue a year.
 
Over the years, they experienced incredible success.  Within 12 years of practice for the pediatric office and 8 years of oral surgery, both were able to create retirement plans with over a million dollars each, no debt, a half paid-for mansion, and 4 paid-for cars.  The couple even had been able to purchase a really nice 4 bedroom condo on the beach that was almost paid off.
 
The children were ages 10 and 8.  Both were attending a very prestigious private school and doing well.

Obama Care and Dentistry

obamacare-dentistryLike it or not, Obamacare (AKA The Affordable Care Act) is the law of the land for now.  The law has some very important changes for the dental business model.  Some practices will be able to quickly adapt, and others will not be able to change their business model to remain profitable enough for it to make sense to continue to operate with the same business plan.  Obamacare requires all persons under the age of 21 to have dental coverage, is modeled after medicaid, and will eliminate the middle class dental treatment model.
 
A person could not state that they have followed the healthcare law changes and not be  aware that millions of individuals and families have had their healthcare coverage canceled due to Obamacare.  An important fact related to this for dental professionals is that one of the most common reasons for a person to have his or her healthcare insurance plan cancelled is that it does not contain a dental plan that is subcontracted for all people below 21 years of age.  Yes, lack of dental coverage is the reason so many of the old policies have been canceled.

What is the Personality of Your Dental Practice?

dental-practice-personalityWhat is the Personality of Your Dental Practice?
 
Happiness and Success Through the Incorporation of a Dentists’ Unique Personality into Their Practice.
 
A dental career will undoubtedly be full of excitement, personal rewards, humbling moments, as well as providing a great way to be a productive member of the community. Dentistry is truly a great career that can lead to an incredible quality of life. While being a dental employee or associate does have some advantages, practice ownership allows a dentist to fully incorporate his or her unique personalities into the business so he or she can attract patients whose company they truly enjoy as well as create an environment that is very comfortable for practicing dentistry. While dentistry is a relatively low risk and high profit margin business, it will absolutely take a period of 10 to 25 years of active practicing to accumulate enough money for a dentist to feel truly wealthy.

The 2 to 5 Year Window for Dental Practice Owners

sell dental practice 2 to 5 yearsThe 2 to 5 Year Window for Dental Practice Owners
 
Even The Most Independently Minded Dentists Will Dramatically Benefit From Discussing Transitioning Their Dental Practice Two to Five Years Before They Are Ready To Pull The Trigger And Sell
 
Although this is admittedly a blanket statement, individuals that are attracted to the  dental profession tend to be extremely intelligent, independent, and strong-willed. They go into dentistry because they want to own their own businesses and practice on their own terms. Very few people go into the dental profession because they want to work for a large group or corporation and be managed so they have their practice parameters dictated to them. Being in a small office for many years teaches a dental professional self-reliance, self-preservation, and incredible business and emotional endurance. 
 
As dental professionals, we know when the tides are changing, life is changing, and the talk of selling or transitioning our dental practices starts to become a very impending reality.

You Love Practicing Dentistry but. . .

love-dentistry-but-need-to-sell-dental-practiceIs It OK To Love Being a Dentist And Not Like Owning a Dental Practice?
 
It is absolutely okay to love being a dentist and providing high quality care for your patients in a way that lowers their anxiety and makes going to the dentist a pleasant experience. It has also absolutely normal to not like owning and being involved in the day to day management of a dental practice. Many more dentists enjoy the patient care aspect of their career than the necessary business and practice management side of the business. It is absolutely normal to not enjoy dealing with staffing issues, facilities and equipment issues, and a multitude of regulation involved in managing a dental practice.
 
Whenever a group of  dentists get together and start talking about staffing issues, the conversation tends to focus on a few key points. The individuals that are hired as dental staff team members do not always have the same education and background as the dentist.

Hit the Reset Button on Your Dental Career

sell-dental-practice-resetAre you a Dentist who is ready to hit the reset button on life? 
 
Is it time for a new adventure?
 
The day-to-day operation of a dental practice can become somewhat mundane and boring over the years. The clientele is well-known so there is not as much excitement from getting the opportunity to meet  new people. The services that are performed become routine.  The practice runs very efficiently and is well-managed so there are very few emotional outbursts and dramatic moments. In summary, the dental practice runs on autopilot. A successful dentist should ask him/herself, “have you enjoyed any of the money you made last week, last month, or last year?”  If you still have much of the money that was in your bank account(s) and you are not living paycheck to paycheck anymore, the goals of the dental practice have been achieved as the owner has established a level of wealth. Some dentists become addicted to the money like a drug. Other dentists set aside an adequate amount of capital resources while re-evaluating their lives and trying to determine what will be their next adventure.  During this re-evaluation process, a serious evaluation of the dentist’s health, relationships, and his or her  ability to invest in their happiness could yield a decision to  sell or merge the dental practice in order to begin a new adventure.

Dental Practice Ownership and the American Dream

buy dental practicePurchasing and Operating a Dental Practice Makes it Possible to Realize The American Dream!
 
If  dentists were to take a few minutes and search retirement or wealth statistics on the internet, thousands of sources and documents would be identified.  Taking the time to read about 20 different search results supports several obvious conclusions.  Owners of financially successful small business, such as dental practices, have a high probability of building significant wealth, accumulating adequate investments for a comfortable retirement, and not being financially dependent on the government or relatives.
 
Multiple resources on the internet that report retirement statistics support that only 1-2% of individuals will ever accumulate true wealth.

Sell a Dental Practice at it's Peak

sell-dental-practiceSelling A Dental Practice At Its Peak Can Make Quality Retirement Possible
 
A dental practice is a great business with a proven business model for financial success.  As a dentist progresses through his or her career, close attention needs to be paid to the peak years of the business.  When a practice has operated at its peak for several years, change will happen.  The dentist may sell or merge the business, grow it further with new dentist and locations, or let it fall from its peak.  Making a decision to transition or sell a dental practice busines does not have to mean the end of a dental career, and a dentist does not have to wait until they are of age to retire.  It can mean the start of a new and exciting pathway.

Buy A Dental Practice - 5 Important Factors Associates Must Consider for 2014

buy dental practiceThe 5 Most Important Decisions An Associate Dentist Must Make In 2014 To Become An Owner And Reap The Financial Benefits Of The Dental Profession
 
After graduating from dental school, most dental graduates will complete a residency program, work in community health clinics, complete their military service term, or go into an associate position. None of these described positions allow the dentist to create any equity as owners, exercise their own autonomy as dentists, and business owners, use creative financing to eliminate their student loan debt, build a significant retirement nest egg, or beat the system financially by living well within a small business.
 
Associate dentists, whether in traditional private practice, military, public health, or academic environments, are not owners of the dental practice or their own business. Associates are paid through salaries or production and bonus pay.

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