July 20th, 2017
Finance Minister Bill Morneau announced on Tuesday July 18th that the Liberal government has released draft legislation and a consultation paper for the purpose of amending the Income Tax Act. The objective of the draft legislation is to target tax benefits enjoyed ultimately by the shareholders of private or professional corporations, as in Dentistry Professional Corporations (DPCs). The Liberal government campaigned on a platform which labeled the tax benefits given to these shareholders as…
July 11th, 2017
Dentists are consistently being provided with “new listing” emails and messages from the various dental brokerages. In today’s highly competitive sellers’ market, it conjures up visions of shark hunters chumming the waters to create a feeding frenzy. For the most part it works, creating a practice feeding frenzy and leading to multiple bidders. Unfortunately, this frenzy may not be doing either the seller or the buyer any favours; consider the listing information, as shown…
June 13th, 2017
Over the course of your career, you have likely heard someone talk about the concept of a “Win/Win deal,” which for clarification purposes, is a transaction or situation that is advantageous to all parties involved. In all likelihood, you have probably also wondered if a Win/Win deal is a deal that isn’t really good enough for at least one of the parties. This is a common query, and a great question to answer to…
May 9th, 2017
Selling your practice through the auspices of an accountant may sound like a great idea, however, it can actually cost you a lot of money and wasted time. It is true that some accountants have great access to many younger dental clients looking to buy; and it is also true that they won’t (or should I say legally can’t) charge you a commission. However, accountants like anyone else, are in business for themselves and…
April 13th, 2017
One of the questions that we get asked most often is “When should I sell my practice?” or “How will I know when it’s time to sell?”. This is an excellent question and will ultimately be a function of a number of financial, professional, tax and personal matters. Your decisions with respect to the personal and professional elements will likely be under your total control. Assuming you can afford to sell, whether or not…
March 7th, 2017
Are You Getting the Right Advice?
Most dentists rely on advice from their accountants and financial advisors when it comes to speculating the value of their practices. Under most circumstances this would seem reasonable, however, sometimes this blind faith can lead to disastrous results. Let me outline two such scenarios that we have had to deal with in the last 12 months.
Scenario #1 – The Problem with Over Generalizations
We recently had a specialist who was…
February 27th, 2017
The Dental Industry Association of Canada (DIAC) is an association of dental manufacturers, distributors, commercial dental laboratories and service providers committed to the highest standards of service to dental professionals in Canada, and Hill Kindy is a proud member of the team.
Our annual “Future of Dentistry Survey” is one of the most important sources of information and has recently been updated with questions that reflect the evolving dynamics of the Canadian dental profession. …
February 8th, 2017
Imagine you are running a 40K marathon and you slip and fall in the first 100 yards – it is possible, if you are good enough, to get up and still win the race. Now imagine that you are winning the race but you slip and fall in the last 100 yards – in this case, it is much less likely that you could get up and still win the race. The point being…
January 13th, 2017
Knowing how many active patients a practice has is a very important metric for most buyers and correspondingly should be an important metric for most sellers. Most sellers and certainly most buyers would agree, yet this is an area fraught with misunderstanding and confusion. The reason for this is pretty simple – there is no authoritative definition for an “active patient.” I have seen active patients defined as patients with a booked recall appointment,…
October 31st, 2016
During your career you are going to need to interact with a number of professionals. You will need an accountant, at some stage a couple of different lawyers, if you are smart probably a practice management consultant and, if you are really smart, a good financial planner. These professionals come in all flavours: really good, good, so-so and terrible. Picking the right flavour will contribute in a huge way to the success of your…
