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Dental practices refer to the practice of dentistry, as per the legal requirement.
In the United States, the practice of dentistry is done by numerous agencies, including the Commission on Dental Accreditation, and the American Dental Association.
The country has nearly Commission on Dental Accreditation.
The notable thing about the U.S. dental practice industry is that it is highly fragmented, encompassing around 154,000 practices in the U.S. in 2011.
The US dental practice industry includes medical practitioners with Doctor of Dental Medicine (DMD) or Doctor of Dental Science (DDSc) degrees.
They are primarily engaged in the independent practice of specialized dentistry or dental surgery.
These industry operators have their own offices (clinics) for operating groups or private practices, or they operate in the facilities provided by hospitals or HMO medical centers.
As per the US industry statistics, the market size of dentists in the country is $156bn in 2021. It is expected to jump by 7.5% in 2021.
The number of employment in the industry is 1,082,222. The US dentists industry’s market size has grown bigger than the Healthcare and Social Assistance sector overall.
Since the industry has a high degree of fragmentation, it is moderately competitive, thereby compelling dental practitioners to go for something affording a sustainable competitive advantage, like reducing overhead, and cornering a niche with the help of new-age technology.
What will trigger the growth of the industry depends on a number of factors, including an increasing number of elderly Americans requiring dental implants and other types of cosmetic dental procedures.
Dental services are diversified into different sectors, such as diagnosis, prevention, and treatment of different types of oral and dental problems.
Dentists who provide these types of services usually operate at their own clinics or at hospitals.
In a report related to dental services in America, it was predicted that the market size of this industry would reach US$ 698.8 billion by 2030 and is growing at a CAGR (compound annual growth rate) of 6.4% from 2021 to 2030.
The region that leads in dental services in the U.S. is North America because of the growing geriatric population in the country which is higher compared to any other developed nation in the world.
The market growth of dental services in the United States has witnessed growth due to some key factors, including a growing number of people aware of dentistry, innovations in dentistry due to technological developments, and growing demand for cosmetic and laser dentistry.
The onset of the Covid-19 pandemic inflicted serious damage to the dental care economy due to restrictions and other COVID-induced measures, including strict social distancing norms.
The pandemic has affected 42% of the finances of the dental practice, not to mention how it forced people to shift their investment priorities.
Nearly 8% of practice leaders are likely to choose to shut down their clinics in 2021, while 3% may consider merging with another practice, as a result of the pandemic.
In addition, 1% of practice leaders may consider choosing a local hospital or health system affiliation.
Almost 198,000 active dentists and dental specialists in the United States have lost their business to the coronavirus disease 2019.
The report by the American Dental Association has pointed out a moderate impact of the pandemic to the dental profession in the United States, saying very few dentists or dental practice employees suffered from the pandemic.
However, it doesn’t belie the fact that the Covid-19 delivered a devastating financial impact to the industry which is said to continue till 2021.
Despite the problematic financial impact of the pandemic on the dental practice industry, more than one-third of dentists are feeling prepared to adapt and succeed with protocols that they have learned over the last year.
The viral outbreak 2019 (Covid-19) and its transition model have posed a serious challenge to the dental practice industry in the United States, as the virus targeted the patients’ mouth and throat to multiply and transfer the disease.
The pandemic prompted dentists to follow appropriate protocols, including wearing full protective equipment while attending to the patients to prevent any exposure to the virus directly.
The challenge, in this context for dentists, is how to avoid getting infected with the virus while receiving patients.
Maintaining clean and disinfected dental practices could lead to a lower number of patients, but the problem is it would cause the doctors to face issues like lower income and higher expenses.
The Covid-19 pandemic delivered a serious financial impact to the dental practice industry in the United States.
For medical and dental care students under higher student loan debt, the challenge to overcome the debt and open private practices could cause decades of financial stress.
They are left with options, like finding work alternatives to manage to pay off their debt, along with managing to save some money to open their own private practice.
One of the major challenges faced by the dental practice industry in the United States is finding new patients, given building a steady client base and attracting new patients regularly is extremely a difficult chore, especially if the practice is new and work quality is not up to the mark.
Even though dentists are excellent in providing quality dental services, this alone is not enough to attract new patients.
Under such circumstances, the dentists have to rely on marketing agencies to make their brand noticeable to prospective clients and attract a maximum number of people looking for standard and affordable dental care.
However, finding new patients through marketing requires additional costs that could spell great financial stress for the dentists.
Most of the dentists in the country face the challenge of managing time effectively and providing effective dental care to their clients.
It usually happens when dentists provide rushed services to the new patients by spending less time and substandard service, as they need to fit all the clients into a schedule to please them all.
The fallout?
Either the dentists have to hire new staff and dental professionals which would multiply their financial burden, or be prepared to receive fewer patients and lower-income.
Dentists have to stay ahead of the curve to keep and acquire new patients and prospective investors.
However, this is not an easy task, considering, to be popular, requires expensive funding for buying the newest equipment and technology to provide premium dental service.
Moreover, the growing expectation of patients requiring high-end and standard work from a dentist is an indication for the dentists that if their dental services are not satisfactory and consistent with the patients’ expectations, the fallout of losing clients and competitive advantage is bound to happen.
Maintaining physical and mental health issues is one of the major challenges faced by dentists.
Most dentists undergo chronic back pain, shoulder pain, and knee pains due to extended sedentary positions comprising prolonged steadiness and unnatural body placement during work.
Aside from maintaining physical health, dentists have to deal with mental health issues as well. They suffer from emotional buildup, depression, anxiety, and other mental health issues under the pressure of managing financial stability, and time to be dedicated to dental services for patients.
According to Data USA, the number of people employed in the Offices of Dentists industry is 2,74,000.
The report is demonstrative of the fact that the employment situation in the industry has gone up by 73.2% contrasting to the employment status of May 2020.
In addition, the average working hours of the employees in the Offices of the Dentists industry is 40.8 hours per week for an average annual salary of $72,598.
Employees working part-time in the industry spend 25.5 hours. They earn an average yearly salary of $45,287.
As estimated by the Bureau of Labor Statistics, the numbers of people employed in the Offices of Dentists Industry Group were 969k, in 2019.
According to the analysis of ACS, the employment growth in the industry is growing by 7.52% based on the employment cycle in 2018 (900k people were employed) and in 2019 (967k people were employed in the industry).
The beginning of dentistry in the United States coincides with the settlers of the Massachusetts Bay Colony in 1630. John Baker, an English surgeon, was the first dentist in America who settled in Boston in 1763.
Some of the immigrants who settled and started their dental practice in America were Robert Wooffendale (from England), and Jacques Gardette (from France).
The colonial America of early times had artisans practicing dental care, one of them was Isaac Greenwood who started a dental practice in 17779. He is believed to be the first American-born dentist.
Interestingly, John Greenwood happened to be the dentist of George Washington.
In 1801, Richard Cortland Skinner (an immigrant from England) wrote a book on dentistry, the first one on dentistry published in America.
The United States emerged as the world’s leading center in the field of dental developments during the first quarter of the 19th century.
The dentistry was facilitated through some breakthroughs from 1839 to 1840, such as the launching of the American Journal of Dental Science (the first dental journal) in 1839, the opening of the Baltimore College of Dental Surgery (the first dental college) in 1840, and lastly, the American Society of Dental Surgeons (the first national society of dentists) in 1840.
In 1844, an American dentist, Horace Wells discovered that nitrous oxide contained the anesthetic properties prompting him to use nitrous oxide while performing tooth extractions.
The efficacy of ether anesthesia came to public awareness by William Thomas Green Morton of Boston. The incident courted controversy over who first discovered the anesthesia, considering it was Morton who successfully demonstrated in public the efficacy of anesthesia whereas Wells’s own public demonstration rendered no success.
Eventually, Horace Wells got the credit of discovering anesthesia after two leading American health organizations, the American Dental Association and the American Medical Association had voted in his favor in 1864 and 1870, respectively.
In 1871, James Beall Morrison of Missouri introduced a foot-treadle drill that proved an efficient replacement of awkward handheld drills, helping dentists to perform complex and aesthetic restorations comfortably.
During the 20th century, the American dental practice industry experienced some new discoveries, including why the copious amount of fluoride in the drinking water accounts for the mottling of a patient’s teeth. The discovery prompted public health officials to introduce measures to add fluoride to public water supplies in communities around America.
The introduction of X-ray technology in 1896 by Charles Edmund Kells revolutionized dentistry in terms of paving the path for an accurate diagnosis of dental problems of patients. A new era of aesthetic dentistry emerged when the use of porcelain in crowns was discovered by American dentist Charles Land in 1903.
William Taggart, an American dentist, introduced a precision casting machine in 1907 that helped dentists to create gold restorations with surgical precision.
America’s National Institute of Dental and Craniofacial Research (NIDCR) carries out numerous research projects into dental ailments and their treatments.
There is a bevy of health and safety compliance programs for the dental practices industry implemented by federal, state, and even local regulations in the United States.
A prime federal agency known as the Occupational Safety and Health Administration (OSHA) oversees workplace health and safety standards, with a mission to prevaricate work-related injuries, illnesses, and deaths.
The regulatory body (OSHA) administers its standards as applicable, through the enforcement of monetary penalties.
Another regulatory body known as CDC (Centers for Disease Control and Prevention) is involved with health and safety matters in dentistry across America, advising health care workers in the form of recommendations than regulations. Often, the recommendations issued by CDC are referenced during litigation by other agencies and state dental boards.
Statutes & regulations related to dental compliances across the United States are enforced by states per se. From Kentucky to the Dental Board of California, dental practice regulations are in effect as per the rules of the states in America.
The onset of the world’s perhaps highly contagious infectious disease, coronavirus 2 (SARS-CoV2) has ravaged most industry sectors across the United States, including dental practice.
The dental practice industry is still under the nightmarish impact of the pandemic, given how dental procedures that typically generate blood and saliva droplets may account for contagion.
This is because of risking contagion that most of the dental clinics were closed down and those still functional take precautionary measures to evade the impact of coronavirus disease 2019 (COVID-19) on dental practice.
The risk of contracting Covid-19 is higher among dental practitioners or dental health care workers. Aside from following standard protocols more cautiously, they (healthcare workers) are reducing their work hours and limiting dental procedures to emergency treatments so that the risk of getting infected can be prevaricated.
A survey among some 20 thousand US dentists has reflected how the pandemic has dimmed the hope for growth in the dental practice industry.
For starters, the significant number of dental practices in the country has a lower volume of financial collections due to less patient flow.
In other words, nearly 9 out of 10 dental practices in the US witnessed less than a quarter of their usual patient volume, with 82% of dental practices have gone through less than a quarter of typical income and revenue.
Most dental practitioners in the US have suffered from decreasing earning and patients’ flow which consequently affected their ability to pay their employees.
In fact, 28% of the dental practitioners couldn’t pay their staff during the third week of the pandemic in March 2020, while 45% of the dentists managed partial payment.
The future of the dental practice industry under such a precarious and truly testing situation lies in how senior dentists help and save dentistry as a profession.
Dentists are required to feel confident and encouraged. They must stay innovative and optimistic in this troubled time.
The US dental practiced industry is growing and evolving in the aftermath of the Covid-19 pandemic that forced many dental practices to close.
With the American Dental Association (ADA) and the Centers for Disease Control and Prevention (CDC) having green-lit dental practitioners to reopen with the guidelines, including infection control protocols using necessary tools, the dental practices in the country are expected to pick up a pace for growth.
The dental practices in the united states have suffered major financial impacts due to pandemics, and it is also predicted that the dental spending will be reduced by 20%, however, there are some positive trends taking place in the industry.
Let’s take a look at these trends –
Healthcare services and dentistry are concentrating their focus on providing convenience and comfort to the patients unable to visit a doctor.
A general trend in the dental practice industry is to make sure that the patients experience comfort through facilitates like booking an appointment online at home, easy payment via online payment gateways, and online counseling so that patients don’t have to visit the dentist.
3D printing has become a popular tool among dentists and prosthodontists who use 3D printers for creating customer dentures, crowns and ensuring the convenience of medical procedures through pictorial observation of certain complications.
The 3D printing shows a great degree of potentiality to be used for short and long-term dental solutions for dentists.
Concierge practice is a model used by dentists to be able to deliver state-of-the-art services to patients in a relaxing environment.
It helps dentists to have more personal interaction with the patients, providing the necessary care consistent with their specific needs.
The increasing demand for laser technology has made one thing very clear that the dental laser market has a promising future, considering the predicted growth of the market by $190M during 2020-2024.
With the help of this technology, dentists can minimize the need for sutures, remove cavities through the painless procedure, eliminate the bacterial infestation in the cavity, and decelerate infection.
Maintaining proper dental hygiene is a difficult job, and following the latest product is a tricky chore. In this context, people with a penchant for natural products are in luck, considering a steady rise in the popularity of natural dental products containing no harmful ingredients but organic ones.
Now available is antibacterial toothpaste for gingivitis that won’t cause inflammation due to the natural ingredients it contains. This means protection of your mouth and easier to treat medical issues like gingivitis at home with the application of antibacterial toothpaste.
Natural toothpaste is a better alternative than the average plastic toothbrush and can also mean a wise step toward cutting down on plastic usage.
The technological power of AI is unquestionable and its application in the dental practice industry is resulting in great outputs, like helping dentists at the clinic level to get rid of daily tasks such as communicating with patients, booking appointments, and sending reminders, etc.
Moreover, the AI also helps in the early detection of malignant lesions and disease by using big data and predicting patterns, thus assisting dentists to make more informed and effective clinical decisions.
The use of augmented reality is a growing trend, considering how it is benefiting dental students to learn and practice numerous clinical procedures anytime, anywhere.
When you own a dental franchise business, you get assisted by the robust business management systems of a well-established and respected brand.
For smaller independent dental practitioners, competing with the big players in the industry is very difficult, given how people have become more careful of what they tend to spend on dental work. Even though the dental practice industry is worth tens of billions of dollars, evidence shows a 13% shortfall in the amount people are ready to spend.
Moreover, the industry is also getting competitive which means, dental practitioners require larger resources, knowledge, and support to allow themselves a more successful entrance to the industry market.
A franchise, in this context, could be a safe gateway to a lucrative dental practice for dentists.
A dental franchise offers you an opportunity to tap into limitless potential through expertise, extensive resource, and scale. At the end of the day, you get the benefit of maximizing your dental practice’s growth potential, though it largely depends on how you choose a franchise opportunity that suits your business interest.
The American Academy of Cosmetic Dentistry is a visionary group of 60 dentists and was founded by Dr. Jack Kammer to form an organization dedicated to advancing excellence in the art and science of all-encompassing cosmetic dentistry. The mission of the association is to encourage superior standards of ethical behavior with a concentrated focus on providing responsible patient care.
Academy of General Dentistry came into existence in 1952 as a professional association representing the requirements and interests of general dentists. With over 40,000 members, the group offers adequate resources, support systems, and much-needed inspiration in an endeavor to advance dental care and oral health through quality education and best representation.
American Academy of Craniofacial Pain is a renowned association that offers a common ground for clinical practice and research to the dentists or dental practitioners to benefit the civilians. The mission of the association is to encourage research and study craniofacial and orofacial pain, temporomandibular joint (TMJ) disorders, and dental sleep medicine, and popularize those professionals specialized and skilled to diagnose and treat craniofacial/orofacial pain and temporomandibular joint disorders.
American Academy of Periodontology is a professional organization for periodontists offering periodontal disease treatment, and cosmetic periodontal procedures, as well as dental implant placement. With 7,500 members and recognized by the American Dental Association, the organization is reputed for providing efficient healthcare like prevention, diagnosis, and treatment of dental disorders, including treatment of oral inflammation.
American Association of Endodontists is focused on advancing the art and science of endodontics. It is a global resource for knowledge, research, and education. The endodontists who specialize in the treatment of teeth get additional training and use specialized techniques and technologies enabling them to treat root canal disease and perform diagnosis and treatment of tooth pain. The mission of the association is to promote the highest standards of patient care through the exceptional contribution of its volunteer leaders and diverse membership.
American Association of Public Health Dentistry came into being in 1937 as an association focused on fulfilling the challenges and improving oral health. The membership of the association is open to everyone interested in improving the oral health of the public. Its mission is to improve the overall health of all citizens by developing and supporting effective programs of oral health promotion and disease prevention.
American Dental Education Association is a national organization advocating dental education, with a purpose to promote and support academic dentistry, dental research, and dental health & education of the general public. It is involved in wide-ranging activities, including research, representation, meetings, and communications. It is incorporated as a District of Columbia nonprofit corporation.
Fondly known as “America’s Dentist” Dr. Bill Dorfman is a highly reputed cosmetic and general dentist who is responsible for creating smiles for many distinguished celebrities in Hollywood. A 1980 graduate from UCLA, he was a featured dentist in the blockbuster ABC series, “Extreme Makeover,”. In the series, he was shown demonstrating spectacular dental transformations on the show’s participants. Dr. Dorfman has also authored the best-selling cosmetic dentistry book, The Smile Guide, and Billion Dollar Smile. He founded Discus Dental, Inc. at the age of 30, in 1989. The company is famous worldwide as a leading manufacturer & distributor of tooth-whitening, and oral hygiene & aesthetic dental products. He is one of only 100 Fellows in the American Academy of Cosmetic Dentistry.
The cost of opening a new dental practice in the U.S. can range from $350,000 to $500,000 – depending on several factors, including location and size of the office you choose.
The funding of this kind helps you to cover various expenses that go down into structural uplift a space needs, equipment, and inventory purchase.
In fact, a dental practice loan comes handy to bankroll all types of expenses for your small dental practice, whether it’s for a new office setup or renovating an existing one.
A good way to obtain necessary funding for your dental practice is to find lenders in the market that will not subject your loan candidacy to a stringent review of your financial and personal documentation.
When scouting for a loan best suited to your business needs, you may come across several lenders, most of which have tough eligibility criteria that they maintain for prospective borrowers. In this context, having a poor credit score could spell a painful experience for you, as most lenders don’t consider sanctioning the loan requested by borrowers with poor credit standing.
However, you have an option to go for alternative lenders. Choose one of the reputed ones offering you the most suitable loan options at flexible repayment terms, even if you have poor credit scores.
Have a solid business plan covering some of the legitimate points, like the size of space you need, would you work solo or take on associate dentists, your growth strategy, and how you plan for maintaining the cash flow of your business while covering for its various expenses, etc.
According to most lenders, a loan to the dental practice is a low-risk investment, considering the industry is immune to the recession.
This explains why some of the top traditional banks in America, like BB&T, Bank of America, and Citizens Bank have special divisions dedicated to the dentists, helping them how to obtain dental practice loans without having to wade through some lengthy paperwork.
Meaning, you will get a financing option for your dental practice business, regardless of your existing financial situation.
Traditional banking institutions can help you avail necessary finances for your dental practice, though getting loan approval from one of these institutions is typically a harrowing experience for most people, especially those with unhealthy credit scores.
Student loans are not considered a barrier to loan approval, and if your business delivers regular deposits, it would signal a positive impression of your loan candidacy to the lenders who appreciate consistency in the cash flow.
Good thing is, most banks in America work with the ADA which means experiencing reduced fees, complimentary planning tools, and professional assistance.
For example, several banks would want you to avail a conventional term loan that will help you minimize monthly repayments against your loan.
One of the best options for obtaining quality dental practice loans is SBA term loans considered the gold standard of business loans. The intermediary lenders associated with SBA will help you pick up suitable loan offers best suited to your business, say up to 90% of the loan amount.
For a dentist looking for a quality loan, SBA’s popular 7(a) loan program could be a good choice to use the funds for working capital, renovations, inventory purchase, and many more.
In this context, you will get a loan amount ranging from —$5,000 to $5 million, at the repayment terms between five to 25 years, at the initial interest rates of 6.75%.
However, these types of loans don’t come easily, considering a borrower has to submit extensive documentation that usually takes months to get processed.
Lastly, there are options for you, including equipment financing, and business lines of credit which will help you address particular business needs.
Though traditional term loans and loans administered by the SBA will benefit you in terms of fulfilling your dental practice requirements adequately, they have stringent documentation processes and so are not suitable for any business’ need requiring prompt financial assistance.
Moreover, these traditional lenders are very pedantic about credit scores and the existing financial health of a borrower.
Online lenders or alternative lenders, on the other hand, could be one of the best ways for a cash infusion of your dental practice, as these lenders don’t have a dilatory or difficult application process and provide several loan options to borrowers without healthy credit scores
As a borrower of dental practice loan, your responsibility is not to ensure that there are no loopholes in the financial projection of your business.
Make sure your application package is flawless. It will leave positive impressions on your lender, thus serving you well in the future when seeking additional funding.
When applying for a startup dental practice, make sure that your business plan is thorough.
Moreover, if you’re applying for a practice loan, choose a specialty lender familiar with the dental industry. It will serve your loan process better, considering such lenders understand your business, its pain points, and how to address them with relevant funding.
For a dental practice business to run successfully, timely financial assistance is one of the most important things to manage cash flow, cover daily operational expenses, including but limited to equipment expenses, including new equipment upgrades, maintaining older equipment, expanding the business development marketing/advertising, refinancing existing debts, payroll, etc.
This is where loan companies like Funderial come into the picture, extending a broad variety of loan options for small and medium-sized businesses, at attractive terms through in-house financing models, as well as the offer from trusted lending partners across the United States.
To help you operate your business and maintain its sustainable growth, we have a host of unique financing options at affordable rates and easy terms, with instant approval timespan, and quick turnaround funding.
We are fully aware of the dire financial need a business owner experiences. In critical times like pandemic-ravaged economy forcing small businesses to shut down their operations due to lack of funding, our well-timed funding assistance can help your dental practice business survive and thrive.
