Does your dental practice need help managing its working capital?Published on 22nd May 2019 2019-05-22T11:00:00+00:00 - Last update on 31st March 2020 2020-03-31T13:25:55+00:00
As a dental practitioner, your practice must abide by and live up to the highest industry standards. Your patients demand a quality service led by qualified practitioners within a safe working environment featuring the latest and most advanced equipment available. However, ensuring that your day-to-day operations consistently meet these demands without fail isn’t easy and can be expensive to maintain. If you are having trouble managing your operating costs, it’s vital that action is taken sooner rather than later, both for your patients and your practice. That’s why Working Capital Finance could prove invaluable in such situations, granting you access to a number of business finance solutions and enabling you to continue offering services that are safe and reliable.
Why is your working capital so important?
Working Ccpital helps you understand what your practice can safely spend, invest or how much you can take as an income. It’s a measurement that takes into account your Total Current Liabilities (business tax, utility bills, staff wages, insurance premiums, short-term debt, purchasing inventory, etc. ) and Total Current Assets (revenue, prepaid expenses, account receivables, current inventory, etc), and whatever remains is your working capital.
Naturally, you’ll want your practice to have positive working capital, but there are a number of factors that can push you into negative territory. Even severe weather conditions or an increase in the cost of basic dental necessities can be damaging. But if your practice does have negative working capital, it could affect your ability to maintain a successful operation and provide the levels of care your patients expect. Left unresolved and your practice could face becoming insolvent in the near future.
How can Working Capital Finance support the growth of your practice?
When it comes to growing your dental practice, your mind might turn towards projects such as equipment, improving facilities or refurbishing your dental practice's client-facing areas. But you also need to consider investing in skilled staff, training opportunities, technology and even marketing. So, with the aid of Working Capital Finance, you could receive access to the funds you need to maintain, support and enhance your day-to-day operations. Plus, by investing in ever more successful operations, you’ll be satisfying patient expectations. This will, in turn, help you to draw more clients, raising your bottom line.
How can you provide emergency support your business with Working Capital Finance?
When running a business in the UK it always pays to hope for the best, but plan for the worst. Yet no matter how well you plan, your practice could still fall victim to an unforeseen emergency, such as flash flooding, vandalism, payment demands or a change in regulations requiring you to make urgent adjustments to your premises. Of course, for some emergencies, you could file a claim with your insurer. However, it can take up 90 days for a claim to be processed. That’s 3 months without the funds you need to get your practice on its feet and providing treatment. Can you really afford to wait that long? With Working Capital Finance, some products could be agreed in as little as 48 hours, with the requested funds following soon after. Therefore, it acts as a buffer that helps prevent an emergency situation developing into something much worse, allowing you to restore your practice equilibrium in less time than you might think.
Are you looking to apply for Working Capital Finance for your practice?
Like any UK businesses, keeping up with operating costs can be a frustrating and time-consuming endeavour. Nevertheless, it’s a vital responsibility that you need to constantly manage. However, your practice could face any number of challenges which may impact your ability to operate and maintain high standards of care. So as soon as you’re aware of any issues, and the root cause of the problem, you need to act fast. That’s where Working Capital Finance could help. Rather than waiting around for your insurer to deal with your request, you could acquire the funds you need to support your practice sooner than you’d expect through applying for finance. All you need to do source an appropriate finance solution for your business. But how?
At Rangewell, we’re an Access to Finance specialist working with over 350 lenders, including ones specialising in the dental sector - from refurbishing a dental practice to getting help with tax - to offer you an overview of more than 23,000 business finance products. Our services are free to use and we’ll also guide through the application process - from start to finish. We’re with you every step of the way. So if your dental practice needs help supporting its operating expenses, apply for Working Capital Finance today or find out more with Rangewell.
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