Cliff's Notes

The Business of Dentistry

The 4 D’s of a Business Exit Strategy!

Cliff’s Notes for February 1, 2010

Cliff Marsh, Henry Schein ……Cell: 201-321-7494……Fax: 201-262-2210…..E-mail

“In this business, by the time you realize you’re in trouble, it’s too late to save yourself”
Bill Gates

In This Week’s Issue
• Defense Wins Games – The 4 D’s of a Business Exit Strategy!
• Webinar February 9th May be the single most important thing you can do for your future!
• Kavo Introduces an LED Up-Grade for existing Multiflex users.
• Henry Schein Outlet Store Specials

Defense Wins Games – The 4 D’s of a Business Exit Plan………………………………………..
The following article was taken from “ Small Business Information by Brent Dees.” Please remember, consult with a professional transition expert before signing on the dotted line. As always, I am available if you have any questions or concerns.
“Begin with the end in mind,” says Stephen Covey in his book, “The Seven Habits of Successful Living.” Those who have created a successful business know it does not happen without planning, hard work, and a little luck. Yet most have no exit plan for leaving their business. The truth is that most business relationships do not have happy endings. To have a successful business, you must plan for all four D’s of a business exit strategy. The idea that your business will provide you with income after you are no longer there may not be a reality. You have to depend on yourself. Take the time to look at the four D’s of a business exit strategy: death, disability, divorce, and departing. To have a successful business, you must plan for all four D’s.
The Four D’s of a Business Exit
Death: The issue of the death of a small business owner should be considered during the start-up of a business. Unfortunately, during the creation of many buy/sell agreements the issue of death is only addressed at the urging of a life insurance agent. At the meeting, you arbitrarily decide how much insurance you can afford and how much your company is worth, when in fact you do not know.
Disability: Death is not as likely to end the business relationship as disability. Small business survival will often take prescient over paying a disabled partner. If the person is important to the business, the financial strain impacts the business and the family who depends on the income.
Divorce: You can imagine the torn feelings if a disability occurs, but what if the partners cannot get along? How do we split a partnership without financially ruining each other? It may be complicated by many personalities, some may not even be a part of the dispute, yet may be affected financially.
Departure: You may all be happy working together, but your partner or you may decide to leave for another opportunity or simply to take life easier. Who is going to do the work? What is owed the leaving partner? Where is the money coming from? All important considerations for your business exit strategy.
A Fair Buy/Sell Agreement
For the small business owner, each one of the four D’s has special demands on: family, income, taxes, and transfer of control of assets. An agreement, commonly called buy/sell agreements, can be used to handle the four D’s. The concern of the family or income can conflict with the business. The business exists as a separate entity. Reduce conflict by developing mutual fair agreements and the desired level of income.
Creating a Business Exit Strategy
Once you understand the four D’s, include the following actions in the creation of your business exit strategy:
• consider incorporating your small business to legally recognize yourself and your business as separate entities
• find a method of determining the value of the corporation that can be done at least annually and will qualify under IRS standards
• develop an employee benefit plan that will assist with the departure of each partner in case of death, disability, or retirement
• plan for who retains company ownership and who gets paid off
The great American dream is to: build a business of your own; bring it to life; and make it successful. How you plan your small business exit strategy will determine your financial success. Just as building a successful business takes planning, hard work, and a little luck, so does leaving it.

Webinar February 9th………………………………………………….

Subject: HS Professional Practice Transitions Webinar: “Successful Exit Strategies”

All Dental Professionals

HS Professional Practice Transitions Webinar ~ “Successful Exit Strategies”

Tuesday, February 9, 2010 at 9:00 PM Eastern (1 Hour Session)

Webinar Registration Below


Kavo’s LED Up-Grade for existing Muliflex Owners……………
Designed to make going LED easy and economical, the MULTI LED reportedly provides enough light to replace MULTIflex coupler’s existing halogen lamp. The MULTI LED offers a color temperature similar to daylight (5,500K and 25,000 LUX) at the bur tip. Simply exchange the high-pressure, quartz halogen bulb in the coupler with the LED.

Product features: Part #628-0341
• There is no downtime—clinicians can independently exchange the LED in their practice
• The LED lasts longer than halogen bulbs
• Extends the life of the couplers

Outlet Store Specials – Quantities Limited……………………………….
107-9152-N EZ Install Turbine KaVo 630/640 Push Button
Retail Price: $159.99 Special Price: $99.00
107-2322-N EZ Install Turbine KaVo 635 Push Button
Retail Price: $179.99 Special Price: $99.00
808-0201-N Star Titan-2 20k Motor
Retail Price: $712.99 Special Price: $299.00
808-6191-N Star Titan SW Plus Scaler w/o Swivel
Retail Price: $616.99 Special Price: $389.00
Quantities Limited

Curing Lights from the Outlet Store…………………………………
107-2076-D Acteon Mini LED Cordless Curing Light
Retail Price: $1209.99 Special Price: $629.00
698-9098-N Air Techniques Plasma Arc Light II
Retail Price: $2650.00 Special Price: $1599.00
358-6762-D Denlight Fusion Curing Light
Retail Price: $734.99 Special Price: $339.00
104-7463-N Henry Schein Maxima LED Curing Light
Retail Price: $794.49 Special Price: $499.00
100-5151-N Henry Schein Economy Curing Light
Retail Price: $384.99 Special Price: $229.00
LD105-N Monitex Bluelex Cordless LED Curing Light
Retail Price: $499.99 Special Price: $259.00
888-4823-N Whaledent Coltolux Colortalk Light – Red
Retail Price: $939.99 Special Price: $299.00
888-7186-N Whaledent Coltolux Colortalk Light – Gray
Retail Price: $739.99 Special Price: $299.00
888-5045-N Whaledent Coltolux Colortalk Light – Purple
Retail Price: $739.99 Special Price: $299.00
945-1088-D Ivorclar Vivadent Bluephase 16I Curing Light
Retail Price: $1459.99 Special Price: $799.00

February 1, 2010 - Posted by | 1

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