PRACTICE MANAGEMENT COURSE PDNT 501 RCE Cat hintens November 24, 2015 RIAN A. CHO1, EXECUTIVE SUMARY 2. BUSINESS DESCRIPTION NC AERC Ror Niro LEM molar wirel | ay Nola aXe Dime tattoo ctor (Ohite sn rity) Staffing Responsibilit enya Cyne: eofite: m MUL Cer we cl] 9 MU ae Uns ne ol cent Se Wee CT Reon ord RUSS ar Weta SPU mol: B ont PEPeCUD Salo TC urlo ey cyte 3 MENU OF SERVICES ee VaR LT PEL ha NEU M cele Mrol] cena 5 of C Psalter cl EINE aThe purpose of this business plan is to outline the request for ‘$500,000 in five-year bank loan to purchase equipment and supplies for the operation of MR. & MRS. DENTIST of Chat- tanoogs. The practice will be co-owned by Casey Cho, DDS and Rian Cho, DDS and willbe operated in a space located in the Aspen Grove Medical Plaza at 2599 State Highway 304, Ten Mile, TN 37880. Unlike other dental offices in Chatta- nooga, MR. & MRS. DENTIST of Chattanooga will be Tennes- see's first eco-friendly, integrative dental office. Our goal is to bring an innovative approach to our dental practice that is both sustainable, meaning that we work to minimize our car- bon footprint, and integrative, in that we are focused on car- ing for our patients’ oral health by paying careful attention to their whole body health. To be sure, what we are proposing in this business plan is a concept and a practice that is unlike anything else in our market. In this business proposel, you will find an outline of the practice goals, professional agree- ment, office design, practice management, office systems, marketing strategies, recare systems, and target populations for MR. & MRS. DENTIST. The practice is dedicated to the wellness of our patients. (Our patients’ teeth will feel good and look amazing. We will provide quality dental care and preventive care education at affordable prices with convenient hours for residents of Chat- tanooga. Based on the analysis presented in this plan, MR & MRS. DENTIST will be successful. We anticipate that our Practice will be firmly established within two years, and be- cause of our reputation for quality service, friendly and pro- fessional staff, focus on integrative dentistry, and our family approach, will become a hometown favorite and have a dis- tinctive competitive edge. The owner, Drs. Casey and Rian Cho are graduates of Me- harry Medical College School of Dentistry. Dr. Casey Cho ‘acquired her Bachelor of Science degree from Houston Uni- versity, Taxas and graduated with Suma Cum Laude. She graduated dental schoo! in top ten percent of her class and ‘was invited into Omicron Kappa Upsilion Dental Honor Soc ety. She furthered her training in General Practice Residency EXECUTIVE as a co-chief resident at Meharry medical College. Dr. Rian Cho graduated with Honors and Cum Laude from Andrews University, Michigan. He was in the U.S. Air Force for six years and was honorably discharged with a rank of Captain before starting dental school. He received numerous aca- demic ewagds while in dental school and wes appointed as a Studeatimbsssacor by White House Initiative on Historical colleges and Universities under President Obama's der. Both Drs. Casey and Rian Cho participated ch programs and they & MRS. DEMITIST wil mark the next chapter jmprove fl x2! heath of their community Ig the eafhmunity’s awareness of 4 ‘ rous community outrBUSINESS DESCRI Imagine entering a dental environment like no other: well- ness massage chairs designed for your comfort and the an ecorfriendly dental office in the state of Tennessee. Imag- ine receiving @ hesling full-body massage and listening to meditative music while your teeth are lovingly cleaned. Imagine seeing your smile miraculously transformed with state-of-the-art techniques, biocompatible materials, and custom-made restorations. MR. & MRS. DENTIST of Chattanooga will be the sterting practice for Drs. Casey and Rian Cho in a space located at 2599 State Highway 304, Ten Mile, TN 37880. The estimated ‘opening date is July 1, 2017. MR. & MRS. DENTIST will provide dental services to the growing Chattanooga area ‘of Meigs County and will introduce to our community, an. integrative. approach to dentistry. Integrative dentistry is tthe basic ides that the dentist is concemed with her pa- tients! entire wellbeing: Instead of focusing only on your plaque or toothache or gums, an integrative dentist pays attention to the big picture: What other health issues might relate to the state of your mouth? What chemicals are you absorbing while your teeth are being repaired? How's your mental state while you're sitting in the dental chair? Modeled after the nation’s fest eco-tlendy dental office inthe ration, Transcendentst n Berkely Catforia, MR & MRS. DENTIST of Chattanooga will transform a patient's contol eaggonce: Medison sna Mls wil axe pa: Hissin! ‘ow. Donal iieralillitecuailisad in the office will harm the earth and patients as litle as pos- soy cider, cur agree apo gacea personalizing patient treatment so that feels _as though s1 he is at he Fes ae business that treats our patients with all of the care and re peel ie aie (sooo fora eee turn become more conscious of their oral health, replacing their fear and apprehension with calmness and ease. ene nee eee eeWhile the dental spa idea is not a novel idea, what MR. & MRS. DENTIST of Chattanooga adds to this niche is @ fo- cus on empowering patients to prioritize their whole body health. Massages and meditation will not only be intro: duce to patients to easy their fears in the dental chair, but, we help the techniques will extend to their lives outside of our office; therefore, the stress that can lead to their hypertension might be eased by our techniques. By taking the time to care for their teeth and gums with a thorough yet gentle cleaning on a daily basis, perhaps, patients will take the time to focus on their well-being. In this way, our office is committed to the total health and wellbeing of our pationts, MR. & MRS. DENTIST of Chattanooga will be successful because Ur business plan is based on our understands Bith the latest in techéjogi to eco-friendly principlgg Ag any harm to our environment. Our practice be located in the most desirable business communities Middle Tennessee and have access to the most affluent pat tient and he easily accessible to the low income patient as Gents practice thet offers dental well. Drs. Casey and Rian Cho will own the practice as @ sole proprietorship. While Drs. Casey and Rian Cho will be the sole dentists in the office, MR. & MRS. DENTIST of Chattanooga will actually be a family practice. From the front of the office to the back and in various capacities in betwee, MR. & MRS, DENTIST of Chattanooga will embody the century long roots that Dr. Cho's family has in Meigs County see the discussion of business operations/practice management)The population of Middle Tennessee continues to grow, and with it, the need for quality dental care continues._ In Meigs County alone, from 1990-2010, there was 2 47.3% increase in the population—from 7,979 to 11,753. Accord- ing to the CLR Search Team, the projected population for 2017 is 12,043. With this growth, there is @ cleer need for dentists. The target population for MR. & MRS. DEN- TIST of Chattanooga is: residents five and over (95.2%). ‘The potential for patients within this demographics great. However, the patient base expands once one considers the surrounding areas. Part of the attraction of opening our office in Chattanoo- 492 is this easy accessibility. Patients will be able to easily reach our office. Our office would be minutes from Inter- state 75, an easy drive from areas to the south and north. Moreover, with people from these northern and southern areas coming to Chattanooga anyway for their work and its restaurants and shopping, one can easily expect them to either stayin the area for ther oral care or drive, Hf they (One of the unique changes in the Meigs County population includes the growth in the senior population. Whether they are returning to their homes or coming to be near th newly relocated children, the senior population is growing and with it are senior-centered living communities. In ad- dition with the number of Baby Boomers approaching their retirement, one would expect these numbers to increas With more members of this population opting to restore their teeth rather than removing them, the need for gre dentists to meet the needs of today and tomorrow's senior patients is going, and along with it, dental technology to help insure that they maintain their teeth: digital x-rays, lasor techniques for painless drilling and periodontal treat- ind ossec-integrated implants to replace bridges and other nonpermanent artificial teeth. Our office will be ‘equipped such cutting-edge technology to better meet. the needs of our patients. ‘An important aspect of our market analysis is the socio- economic makeup of our potential patients, A statistical ni eee “of Meigs CoWhile we focus on holistic and integrative approach to oral Housing Value health, we are aware that we must also consider a holis- tic approach to our patients. We must be aware of the au eee Se i Nee Coe ae social, ethnic, and economic diversity of the patients we Me a are trying to reach. In this way, we will celebrate diversity, within our office and make sure that all people fee! comfort and welcomed in our office. Everyone deserves access to ‘eco-friendly, integrative dentistry. Part 0 the reason for looking in Chattanooga is to have @ more centrally located dental office forall people, especially the low income, who. often have to drive into Nashville for their dental care. For residents in Chttanooga, our location in Chattanooga will be convenient to those who have access to the Chttanoo- {ga Trolley. While our office will not be trolley space, bbe on the main thoroughfare for the trolley to pull in and. drop off and pick up our patients. Our partnership with sas caaaiatatainniascaalmaaoeee™ Mig-Cumberland will have help to transport their cents to 2 me a awe ans as sionals. ists, MR. & ® ® ® ® . ® ® . ® ® ® . » » , » i y , » » »YA LOCATION Office space will be leased in a business buildling in Chat- tenooga. This building includes flexible floor plans, on-site maintenance, and abundant parking. MR. & MRS. DEN- TIST of Chattanooga will lease the entire building. The Space for MR. & MRS. DENTIST of Chattanooga will in- clude four operatories—two for Dr. Casey Cho and two for Dr. Rain Cho. As the business grows, more dental chairs and equipments will be added into the existing operatories with hiring hygienists. The image in the middle is the floor plan developed by Patterson Dentalv HOURS oF OPERATION MR. & MRS, DENTIST of Chattanooga will be open six days 2 week to accommodate our patients. We will be open Mondays, Wednesdays, and Fridays 8:00 am to 4:30 pm and Tuesdays and Thursdays 12:00 pm to 8:00 pm. Our office hours are designed to provide patients with options for appointments in the morning, afternoon, and evening, Depending upon the needs of our patients, especially our underserved patients, we may operate on extended hours ‘on Sundays by appointment. However, when we initially open, we will operate on Monday through Friday work : schedule, and look to expanding our Sunday services.a PRACTICE MANAG Practice Goals Imagine entering @ dental environment like no other: well- ness massage chairs designed for your comfort and the first eco-friendly dental office in Meigs County. Imagine re ceiving @ healing message and listening to meditative mu sic while your teeth are lovingly cleaned. Imagine seeing your smile miraculously transformed with state-of-the-art techniques, biocompatible materials, and custom-made restorations. As an eco-friendly office, we are committed to reduce the impact our work has on the environment. Sustainability will be our guiding principle; sustainability will permeate every aspect of our practice from biocompatible dental materials, to walls finished with paint that doesn't contain nasty volatile organic compounds (VOCs). Our office will include: wallpaper made of reclaimed paper pulp and bark, floors refurnished with water-based polyurethane, carpets made of untreated wool, furniture made of recycksth woods and covered with organic cottons, silks, arehwoblsy sisi based instrument sterilization with no harihfueiettlcaley special ftration system to allow for environmentally sound? disposal of old filings, surgicel-grade doth fo,teplace the disposable plastic and paper to wrap our igetumente: anc Yeureplaes the paper head rest covers andi bs. we will us pure cotton terry cloth, washed o Pan energy efficlontiWashet and dryer usingnatural detergents While our commitment to eco-dentistry may on the surface be too heavy of an investment to make, in the long term, these design features will add to our singular identity as the 's first ecoriandly, integrative dental office. For the high-income patients of Meigs County, our commitment to the environment will be inline with some of tha commit- ments. For our low-income patients, especially those from county's Habitat for Humanity neighbors, our environmen- tal focus may also be inline with their values, as their homes are green and sustainable. For our patients who may not, have the luxury to think about the environment, we hope that our work being eco-friendly might encourage them to do their part; for exemple, patient will have the option to go paperless end to use electronic re-care and re-call ser- Vices via websites end mobile applications. While on the surface none of these design and operational features of our practice deals directly with dentistry, we view the work of the healthcare provider to be concerned as much with ocial and civil justice as with healthcare issues. We are ‘adopting the environment as pert of our social justice com- ‘mitment, and aligning our practice with this idea.aU EIT CCP Fee TeFFTBTTeTVS In addition to being eco-friendly, MR. & MRS. DENTIST of Chattanooge will not be designed like you typical dental office. When you walk into the door of our office, the tone and feeling of our office will be more like our home th ourplace of work. Our objective in terms of interior design willbe to create an oasis and place of refuge from the hus- tle and bustle of Chattanooga, Comfortable couches and chairs will fil the waiting room, Patients will find coffee table books, current magazines, and leisure books to enjoy as they wait. Our décor wil reflect the diversity of our patients. The paintings on the wall will represent a variety of cultural backgrounds; our magazines will include topics ranging from Food, Travel, Fashion, Architecture, Business, and Science to name a few. Because we want to make our patients comfortable, we will celebrate their diversity in our office. Accommo- dating our patients is the objective of our office design. Once inside of the office, patients will find our open cus- ico area. One the front side facing the waiting ares, there will be the receptionist. On the back area, fac- ing the operatory space, one will find our office menager. I Believe this design divides the work ofthe:front office and provides a more effiant way for the patients to take care of the information Bf fegistering when thoy aF@NB) jahid making their ot ee appointments as they Teave. While the space willbe open i re will be enough privecy on the Bid end fofpatients to talk with ‘our office manger abou finghcial 4 a ance concerns. insure yvacy of Inthe back, there are six operatory rooms—Drs. Casey and Rian Cho will have two rooms each and the remaining two coperatories will be extended with the necessary equip- ment with hiring of hygienists as the business grows. We will use the room design rather than the open bay design. This design is to provide the patients with privacy when being treated. In addition to the operatory rooms, there will be our equipment storage room, our sterilization room, ‘our lab/work room, a relaxation space for our staff, and offices for the dentists ‘As suggested throughout this business plan, we will select ecosfriendly equipment, but we will include state-of-the-art technology in our operatory spaces. We will have moni- tors in the room for our dentists, dental assistants, and hy- gienist to access patient charts; these monitors will also be used for our digital x-rays. Our digital imaging will provide 75 to 90% less radiation for our clients and no toxic x-ray development chemicals. With our technology, we wil have the resources to meet the need of our patients.PRACTICE MANAG Staffing Responsibilities MR. & MRS. DENTIST of Chattanooga will include two full- time dentists, three dental assistants, one office manager, and one receptionist/office manager assistant. When the business expands and hires dental hygienists, they will be on the frontlines in helping to care for our patients’ oral health. They will remove soft and hard deposits from teeth, teach patients how to practice good oral hygiene, and provide other preventive dental care to our patients. They will also examine patients’ teeth and gums end record the presence of diseases or abnormalities; take and devel- op dental x-rays and apply fluorides and pit-and-fissure sealants; and help patients develop and maintain good oral health. In addition the dental hygienists wil: ‘+ Assess dental condition and needs of patient * Review patient screening procedures, to includ ‘medical history review, dental charting, and peri- ‘odontal charting + Take patient vital signs as required * Deliver direct patient care to patients as assignes Using established dental hygienist procedures + Performs routine tregtment procedures, such 3s cleening, polishing, xrays, application of sealants and fluoride, and related procedures * Provide cheirside absistance todentists in the per- formance of special tests, pfBeedlres, and com: plex treatments Document dental histo: Records and, chief complaint inent observations and Mo dental staff, as appropriate procedures and ensures follow up in local community affairs and events jool screenings, presentations, events, ortunity to promote a positive image When MR. & MRS. DENTIST of Chattanooga opens initially, there will be no fulltime dental hygienists. As the practice grows, a part-time position will open up and then full-time hygienists will be hired. The long term plan of having den- tal hygionits is essential because part of our integrative approach will focus on oral health and the importance of reguler cleanings and oral hygiene instruction. This work will require more than one hygienists as the patient pool increases; therefore, the goal is to have multiple hygienists in the future.SS (cont.) 22 O RFT SRTPFRATESS ww ew ese ewe “upd <> \ Our dental assistants will have numerous roles in our office from assisting with everything to patient care and laboratory work to office tasks. As they work with the dentists, they will help to meke the patients comfortable during their ex- aminations, prepare them for treatments, and obtain dental records. Their roles in patient care will extend to preparing materials for making impressions and restorations, expos- ing radiographs, sterilizing and disinfecting instruments and ‘equipment, preparing tray setups for dental procedures, and processing dental xray lm. The dental assistants will need to be well-versed in not only the clinical aspects of the office but also have experience with routine office management. With three dental assistants, one will be assigned to each dentist and the third wil be floating between the two dentists and assist in the general operation of the office. She or he may ened to work in the lab pouring up impressions or working files or helping with our re-care system. Our receptionist/office manager assistant will weer two office hats. She or he will be the face and voice of MR. & MRS, DENTIST of Chattanooga greeting patients when they enter and leave the office, providing patients with re-care services, and sending information to prospective patients who are interested in our office. In addition to these basic front office activities, she or he will also assist the office manager with his or her work. Specifically, the receptionist/office manager assistant will be responsible for the following: ‘+ Maintain a clean and tidy waiting area and front desk area * Verify patient insurance eligibility prior to appoint- ment and ensure information is correct * Ensure all patient files are ready (pull fle, update patient record, verify insurance and service limits) before the patients appointment * Answer incoming ealls and direct the caller to the proper person, taking messages when necessary + Ensure our patients are receiving the dental care they need by making outbound calls to confirm patients, to reschedule patients that do not make their appointments, and to call patients that have treatment that needs to be completed + Ensure all patient records are re-fled at the end of the day + Review patient records daily for thoroughness, sig- natures and legal * Monitor dentists” © Oversee daily filing of insurance fo ing of insurance payments dae PRACTICE MANAG Staffing Respons For the general succoss of our office on a daily basis, our ‘office manager will have a critical position in keeping our work in the office moving smoothly. The office manager not only handle everything that is going on in the front office and take the lead on all issues related to patient ser- Vice. She will also manage our insurence work and oversee ‘our compliance with HIPAA. She or he will largely set the tone for what patients will expect once they meet with the dentists, dental assistants, and hygienist. She or he must be professional, detail-oriented, effic yet firm, honest, self-motivated, orga communication skill. Moreover, she or ho must be trust- worthy, as much of the practice and success of MR. & MRS. DENTIST of Chattanooga will lie in his or her hands. While she or he will see the processing of insurance claims and handle the day to day operations of the office, the receptionist will double as his or her assistant, He or she will be trained in all areas of insurance processing as the office manager. The two should complement The receptionist/office manager assistant will ‘ed to equally professional, efficient, organized, computer savvy, and intelligent. To complement the office manager ‘who has experience in banking, the office manager assis- tant will be expected to have experience in the dental of- fice and basic accounting. It is our goal to train the office managor and the receptionist wll have an almost synersist telationship, so that everything in the front office will work smoothly. 12 2 When hiring staff, we will look for professional, honest, positive, ambitious, hard-working, caring, detail-oriented and compassionate people. Our staff must be inspired; they cannot treat our office as a 9-to-5 job; instead, they must see their “work” as their purpose, brining all of their ‘energy to what they do in our office. They must possess all of the qualities that our office embodies, and together our greet team will succeed with our common sense of pur. pose, In addition to the clinical skills that the dental assis- tants and hygienist should have, all employees should have basic computer knowiedge and experience with Microsoft Office, My goal in hiring staff is to surround myself with great people who cares our common goal, and success in ‘our practice will certainly result. oP eewww yer wwe wr rr ewes essse2 8888 Employee Benefits The best way for us to support and motivate our staf is to provide them with benefits. Out fulltime staff will be pro- Vide with a benefits package that will include dental, medical, Prescription drug, and basic lfe insurance. We will oer nine paid-holidays and two weeks of paid-time off. They wil also receive regular raises based on the success of the practice and thelr performance in terms of customer service satisfac- tion and production. On the whole, the staff will be treated like family, and no short cuts will be taken in providing them with a workplace that adequately compensates them for their hard work and dedication. Just as | am working for patients for life, | also want employees for life.a6 PRACTICE MANAG Office Systems MR. & MRS. DENTIST of Chattanooga will use Patterson Eagle- Soft Software for our appointment scheduling. Because this is such userfriendly software, it will make for a convenient way to ‘manage our patient load. Enabling clinicians and the staffs tobe able to connect to our system through their mobile devices such as Phones, iPeds, and Andtoid devices to name a few s a groat advantage for the practice as it will provide real-time status of the scheduling and patient outlook forthe practice. In adcition tothis, the coud back-up service will provide an additional ayer of safety to protect the patient’ information and being able to bil appropriately in times of emnergency or unforeseen natural disaster. The EagleSoft is also liked with insurance online; t will make our work with insurance companies much easier. BY submitting electronic dims, we can track our submission and either fe through a cleeringhouse or a carrier direct; this will faciitate a smooth management of our insurance subrissions. ‘The abilty to run roports to track are progress also makes this software attractive to our office. (Our office manager in consultation with the dentists will sched ule appointments to maximize our efforts. Because Dr. Casey ‘Cho is personaly most productive in the afternoons while Dr. Rian Cho is personally mast productive in the mornings, the of fice manager will schedule procedures accordingly. Our hygien- ist will se no more then six patients per day because we want, to keep an accurate record of our patients’ oral heath progress. ‘Also one of ouf mejor efforts in the office is oral care education, Periodontal e¥sluations, gentle, thorough cleanings, hygiene coaching, and continuing care will be the trademark standards for our office.| To fulfill this goal, our hyginist, will need time to do thorough jobs of maintaining this infammatianifor our pa tients. Schedifing wil certainly bo the key #@)BUF Success. We will workin enfergencies, nd focus on adclaaipg their spedic problems but preparing them for the need Pi ments to fuly| their concerns. We innew patientd on a regular basis. 12 We wil accept all tracitionalindemnity plans, PPO, DMO, and discount plans. Becouse the goal of capitation plans is to encourage patient maintenance of orl heath and this idea is at the heart of integative dentistry, we wil also accept this dental plan. When considering a capitation plen, we must make sure that we know how many members will be assigned to the office and how many dentists inthe area re accepting new patients. We wil also negotiate with the insurance com pany to share the potential risk. We will make sure that we Understand also the compensation model. Because we want to maintain a steady flow of income, this is a crucial ques- tion for our viability, and while we make to make sure that we are accepting the types of insurance that patients in the area have, we also must keep en eye on our bottom line. \Whon selecting PPO plans, we willbe carefulto pay attention to the diagnostic and provantive services. We will make sure that the fees listed by the PPO are acceptable to our practice. Since more PPO networks provide discounts that are 20 to 30 percent off of the average fee for an ares, we will make sure thet what they pay is in accordance with our fee costs ‘We will use American Dental Association (ADA) resources to accoss the average fee data. We will also make sure that we Understand the standard plan design limitations and exclu- sions. Because of gol i to provide the best dental care to ‘our patients, we want to make sure that our patiant swil not bewnnecesseriynickeled andidimed for our services. if there ate Hirts on the number of exams and radiographs thst an insurance company wil pay for, we need to understand the cffect that this policy might have on the care of our patents. \a.will weigh all of these options.and seek questions Aicipsting provider contracts are fedrchuly review them and cally fairs, if needed. sBecause of goal is to provide the best dental care to our pa- tients, we want to make sure that our patient swill not be unnec- cessarly nickeled and dimed for our services. ifthere are limits on the number of exams and radiographs that an insurance compa- ry will pay for, we need to understand the effect that this policy might have on the care of our patients. We will waigh all of these options and seek questions to all of our questions before solect- ing 2 PPO plans. Because participating provider contracts are binding documents, we will carefully review them and call upon the ADA\s Division of Legal Affairs, fneeded, Since there are a member of corporate offices and large busi- nesses located in the Chattanooga office, we will make sure that we accept the kinds of insurance that they offer to their em- ployees to take advantage of our location near these places. We will evaluate the participation in all of the dental insurance that we accept, We will also check to see how many dentists partic- ipate in the company's provide network. ifthe area is saturated with participating providers, we will have to alter our marketing strategy realizing that the number of new patients available for ‘our practice is limited. We will make sure thatthe insurance that we accept is used by a large number of our patients and will provide them with the greatest benefit. MR. & MRS. DENTIST of Chattanooga will definitely accept Delta Dental, Blue Cross- Blue Sherief of Tennessee and MetLife in addition to other insur- ‘ance agencies out at the market. ur payment policy will be that payment is due after the ser: vice is rendered. We will accept cash, checks, credit cards, ApplePay, and GooslePay. We will encourage payment vie credit card for services not covered by insurance. With our office manager, we will also work with patients to obtain cred- it to pay for their dental work: Using the office manager's expertise in banking, our office manager will help provide their service to our patients. Where possible, we file our claims electronically, which is where our EagleSoft software becomes an asset. Our prices will be competitive with the ‘other dentists in the area; intially, to introduce ourselves to the Chattanooga area, we will offer special promotions. De- pending on their success, we may continue them. ‘As part of our effort to provide dental care to patients who for whatever reason cannot afford dental care, we will build a partnership with businesses and community leaders to set up 2 fund to support discount care. While this fund may not be fully running during our first year of operation, by our third year, it should be fully running during our first year of opera- tion, by our third year, it should be fully functionally, An ad- ditional reason for our location in Chattanooga is to use my ‘connections and the resources of our family to provide quality dental care to all residents in the area In our office management policy, documentation is our watch- ‘word. While in the short-run, it may be to be overkill itis my preference that we document telephone calls and other cor- respondence with patients concerning their care, and espe- ally, note questions that patients have. for each patient, we have a complete record of their previous visit that | and the other members of the team can review before seeing that, patient on their follow-up visit, we can be more engaged and more complete in our care of that patient. if Mrs. Kim visits ‘our office and has just been diagnosed with diabetes mellitus type Il and if in our visit, we discuss how diabetes can affect her oral health, when we meet with her again, we can have a more cohesive conversation about these issues. And if Mrs. im knows that we are concerned about her health, hopefully, she will be empowered to take greater care of her health. While | hope that our systems wil help us to operate with state- cofart precision and excellenes, in the real werld, our systems may not always be the best for our success. With our office management poly, we wal eantinualy monitor our systems Our team wil evaluate how well our systems are working or not working, and we wil adjust our procedures as needed. And, yet, we wil aways be consistent inthe way in which we operate. Intlly, we wil use this business plan to organize our offs, but with time, we wil look a what wil work best forthe success of cur office to make changes within our systems end eng 3aie MARKETING STRA To introduce ourselves to the Chattanooge area, we will have a large grand opening. We wil use the newspaper, radio, lo- cal magazines, and the resources of the Meigs County Cham- ber of Commerce to let the community know that we are in the area. In addition to these resources, we will utilize the social medial to make sure we catch the eyes of various age ‘groups. This marketing strategy via social media will continue ‘even after the grand opening. We will make presentations at the local Kiwanis, Rotary, and other civic organizations to introduce ourselves to the community. We will ask the local radio station, f they would be interested in interviewing us, for 2 radio spot. We will also send information to commu- rity groups and spread the word to the local churches and cther religious organizations. Our office manager and the assistant will closely monitor and update our Facebook page along with paid advertisement options on the Facebook to keep our page live and up-to-date to answer the questions of, cour customers in timely matter. Our goal is build upon all of, the existing social connections that we have, and target these ‘groups first and continue to expend our connections to the ‘community via social media, (Our office will have a regular and consistent marketing strat gy, but we will largely depend on our professional and quality work to spread the word for us. We hope that our relation- ship with our patients will encourage them to refer patients ‘and to let their friends and family know about our office. We will provide an incentive program to patients who refer p- tients to the office. While we are making a general appeal to ‘our target population, we will use a more focused strategy to market our office to environmental groups, wellness groups, and fitness studios. These groups will be especially interest- ed in our eco-friendly and integrative dentistry focus. 14 With our staff, we willtake care of patients. Our internal mar- keting strategy will be “care, excellence and positive.” We will focus on increasing new patients, boosting production, and achieving greater profitabilty. Our first strategy will in- clude making a great first impression. | wil utilize my previ- ‘ous experience in photography and graphic design to make ‘our Facebook page look modern and attractive. Our clean, attractive, eco-friendly office will attract patients. When our staff answers the telephone or interacts with patients, they will do so in a very courteous and professional manner. Their telephone manners wil insure that from their frst contact with the office will be a great one. Our internal marketing strat- egy will stress customer service. After surgery, patients will receive a call from the office to follow-up with their post-op- erative care. With our electronic service, we will send our birthday eards and holiday greetings to our patients. ur team will ask for referrals. When members of our team hhear a patient remark about how satisfied he or she was with their treatment, they would Immediately encourage the pa- tient to let the others know. We will provide an incentive program for posting positive comments regarding their e perience at our clinic on our Facebook page. With our office website, we will include a testimonial section, and invite our patients to share with others their experience in addition to ‘our Facebook page. At MR. & MRS. DENTIST, we believe that nothing speaks to the quality of our work than our pa- tients.secu ee Our external marketing strategy focus on connecting with our potential patients and making sure that they are aware of our services. We will operate an office website, so that patients from the comfort of home can find our about who we are and the kind of dental care that we provide. Working with family members with advertising experience, we will design @ brochure to effectively reach out to the community. The bro- chure will include al of the basic information that will be part of our websites as wel as information to help them to under- stand the extent of services and technologies offered by our clinic. Patients can read these brochures at their leisure and, share them with friendly and family. With our website and our brochures, we plan to do all that we can to spread the word about the amazing work that we are doing in our office, Ev- exyone will know about MR. & MRS. DENTIST of Chattenoo- ga and will want to learn more about our team and the clinic. We will support the local athletic teams, provide free oral screenings at the local Boys and Girls Club and Senior Citizens, groups, and involve ourselves in different community activi- ties. By participating n health screenings, wellnes fairs, and other community activities, we wil be able to establish our presence within diverse populations. By setting up a booth at, the Main Street Festival or the Cinco de Mayo celebration, we can extend our services to many different groups within our ‘community. In short, we will get involved in the community, and use our good works to market our office. It should be noted that when referring to “we,”| mean the entire staf. As mentioned above, | hope that the ste willbe invested in the success of our office and do their part to market our office and our integrative dental practice. Drawing on my experience with clinical research, wo will ran- domly survey our patients to check their patient satisfaction We will have an online survey designed, both on our website and on our Facebook page, which patients can access and complete anonymously to provide us with feedback. While the purpose of the survey isto obtain information about a pa- tient’s experience at our office, because its online, itis alsoto remind patient's about our website. To help in their re-care, our website will provide patients with the ability to schedule appointments online and complete their office forms online. We will also integrate auto-text-messaging system into our patient management so that automated text messages re- garding their upcoming appointments and customer sati faction surveys can be sent via text messages if the patient prefers receiving text messages over emails. By making it easy for patients to take care of the mundane aspects of a dental visit, we hope to encourage patients to become more proactive in their oral health care and not to view it as a chore. We will personalize our recal/re-care system to meet the needs of our patients. They will have the option of receiving ‘an email, phone cal, text message, or mail correspondence id them oftheir visit. Using EagleSoff, we willbe able 2 running tally of patients who need to come back for their sic-month cleaning appointments, and we will auto- matically send them reminders. While we wart to encourage patients to be proactive in their oral health, we will work to help those patients who need reminders about their continu- ing dental care. However, it is our hope that patients will be s0 excited about our integrative and ecofriendly dental ap- proach that they will be proactive in their oral health. ‘One and three-year sales forecasts are presented in Table 1 together with anticipated promotional costs. Years Sales Revenue Promotion Co: One $500,000 $10,000 Three $500,000 $10,000 15Vale VISION aM All successful dental practices must create a stranger that will act as the long-term statement that makes possible a workable specific plan and methodical steps toward the stated goal. Our strategy is best articulated in our vision statement. In five years, MR. & MRS. DENTIST of Chatta- ‘nooga will be well-established in the Chattanooga area of Meigs County. Our family practice will provide the best dental care to all aspects of our community, making a spe- 16 cial effort to reach our to the underserved members of our community. In terms of our practice, our future plans are to improve dental procedures with the use of technology for painless dental services. We also want to expand our integrative dental practice to include a dental spa and to more fully focus on the wellness of our patients.FI FFFTFTFARBRARaBS De OBJECTIVE STATEMENT To realize our vision statement and strategy, our objective statement focuses on the specific actions that we wish to achieve. To reach out to underserved communities, we will build strong ties with community agencies that reach these residents. We will also partner with the health department, to provide services to county residents in need. Toimprove our dental procedures, we will purchase two technologies that will offer us painless services. We will also attend spe- cific continuing education courses to stay up-to-date with new procedures and technologies. To make our patients to feel relaxed when they come visit us for appointments, we will have couple full massage chairs. This will help our pationts to stay relaxed before the treatments for us to better focus our patient's attention on the mind-body- health relationship that we are trying to cultivate with our integrative dentistry. 17» TACTICS ‘As our initial focus is on opening our practice on July 1, workshops. When selecting continuing education courses, 2017, the tactics for our objectives will require that our | will include at least one course on new technology. In practice has made it through the critical opening period terms of meeting the needs of underserved populations, and is fully operational. For example, we have a solid pa- this will be an ongoing effort. | will be constantly network- tient basis and are profitable. Once these basic objectives ing and building connecting with locel agencies to better have been met, we will immediately begin our monthly meet the needs of our community. 18 ' DASAAHRARARAARNRARARAAAAAAAAAEde MISSION aPW Ee MR. & MRS. DENTIST of Chattanooga mission statement is presented below: We, the employees and management of MR. & MRS. DENTIST of Chattanooga, make this pledge to you, our valued patients: We pledge that we will strive for excellence in all that we do, and will provide dental services in a timely and friendly manager. We pledge that we will provide dental services and products with professional quality that me the standards of the National Dental Association (NDA), American Dental Association (ADA), Ten- nessee Dental Association (TDA), and the govern- ‘ment agencies governing the dental profession. We pledge that we will be good community citi- zens, respectful of the environment, and friendly neighbors to the surrounding businesses. We pledge that we will always present a positive public image and make our establishment one that you can visit with safety and peace of mind. We pledge that your wellbeing is our utmost eon- cer. As such, our work is dedicated to empower- ing you go be more active in your health. In this regard, we are truly an integrative dental practice.ae AUR IE OBJECTIVES MR. & MRS. DENTIST of Chattanooga will have these busi- 1. Owner draw of $200,00 by the end of Year ness objectives during its first three years of operation: 2. Cash break-even by the end of Year 1 3. Owner draw of $225,000 by the end of Year 2.aie BUSINESS OPERATIONS The operations of MR. & MRS. DENTIST of Chattanooga ment expertise, support personnel, and financial informa- will be described using the main functions of the practice: tion marketing, competitive analysis, legel structure, manage- 2777977 F9FIIIIDD oe dy 21 aNSERVICES MER. & MRS. DENTIST of Chattanooga will provide the fol- lowing services: th 2 Diagnostic Examinations—evaluating existing conditions to determine the required dental treat- ment. Examples: initial oral examination, complete digital x-ray survey, and cavity-detecting bite-wing x-rays, comprehensive dental and medical history, occlusal relationship exam, comprehensive peri- odontal exam, comprehensive tooth-by-tooth eval- vation, and dental cleaning. Preventive Care—taking care to avold or minimize the risk of serious abnormalities and diseases. Ex- amples: prophylaxis (or dental cleaning), space ‘maintainers, and topical application of fluoride. Corrective Treatments—working to ensure opti- mal dental health. Examples: composite resin fill ings, porcelain, gold restoration, and crowns. 4, Oral and Maxillofacial Surgery—performing tooth extraction and other oral surgery (e.g. tissue biopsy and drainage of oral infections), including preoperative and postoperative care. 5. Perlodontics—treatment of the gums 6. Endodontics—the focus on the inside of the tooth or the nerve end blood supply. Prosthodontics—constructing, replacing, or re pairing of fixed bridges, removing partial den- ‘ures, complete dentures, crowns and implant res- torations. Pedodonties—the care of children’s dental health Using technologies such as sealants and the special problems of the younger population, Cosmetic Dentistry—teeth bleaching and whiten- ing and veneers, 10. Orthodonties—development and repositioning of the teeth and jaws with Invisalign,PVT TTF TFT FFF 777 TTF FOP PTPVVVOOD Related Services In addition to the above listed services, MR. & MRS. DEN- TIST of Chattanooga will provide other related dental services: administering anesthesia, injecting therapeutic drugs, applying desensitizing medicaments, consulting and professional visits. The Nashville and Pan-Tennessee Dental Societies have identified the five most sought dental services in the mid- dle Tennessee area as the following: Corrective Treatment 60% Preventive Care 20% Oral and Maxillofacial Surgery 8% Prosthodontics 5% Endodontics 3%MR. & MRS. DENTIST of Chattanooga appointments in- dlude the following services 1. Complimentary Tea and Spring Water 2. A 10-minute full body massage (for all the patients and their quests) 3. Soothing videos of planet Earth 4. Aself-guided Green Office Tour New Cl Experiences Welcome to our practice! Meet your partners in transform= ing the dental experience, and achieving your best state of dental wellness. This is our most popular package. It includes: 1. A “getting to Know You" consultation 2. A full tour of your mouth with @ miniature vide eo-camera 3. Any necessary digital images (our technology uses 75 to 90% less radiation) 4, Oral cancer screening 5. Periodontal evaluation and a gentle, thorough leaning “Hygiene coaching and continuing care racommen- a ‘A.comprehensive exam with thejgoctor Treatment plan and consultation Peon veberodwecAroveral appoint Three ments—$400, 24 Tooth Cle: This appointment for new clients focuses on periodontal health and continuing care recommendations for prof sional hygiene. Professional oral hygiene is an important preventive health measure, given the systemic link be- tween oral health and total body wellness. In the Tooth Cleanse appointment, your hygienist will design @ person- alized program, helping you to make informed choices about the type and frequency of professional hygiene care, 1. A "Getting to Know You" consultation 2. Oral Cancer screening 3. Periodontal evaluation and a gentle, thorough teeth and gum cleaning 4. Alimited exam with the doctor 5. Hygigne coaching and continuing care recommen- dations 6. Any necessary digital images (our technology uses 75-90% less radiation) One and a half hours - Can be booked as several eppoint.. ments—$300*nce how you can “Discover your inner and natural with the latest in space whitening, ancient medita- tion modalities, and relaxation. Prepare to leave behind the worries of the day and settle into one of our chairs, made of specially designed material that molds to the con- tours of your body. Prepare to see your smile brighten ‘an average of eight shades in just one session with our Zoomi!TM in office whitening lamp and whitening gel. Pre- pare to be asked if you just returned form vacation, got younger, found inner peace. This package includes: 1. Complimentary tea and spring water Three 20-minute application of the Zoom!TM whit- ening gel and whitening lamp A 10-minute full-body massage Custom-made home whitening trays to help main- tain your new smile Two hours for $450* "Teeth must have been 30 days bi nally cleaned no more than ‘Our goals simple: to make your teeth feel good and look like nothing ever happened to them. That's why we call {lif transformations of your teeth restorations, because we Fetucn your teeth to their more natural statepand renew them®\Our approach is simple too: we honor Yur wisdom ees 9° RO ea ayo my ae ‘ Crowns are restorations that entirely cover the visible tooth. Crowns can be made out of a variety of materials, and the following factors will be considered when choosing material: biocompatibility, durability, esthetics, time the patient is willing to wait until the delivery of the crown. A relaxing 10-minute full-body massage is included with ev- ery crown, 4. All Porcelain: For the most natural look and feel, porcelain is highly biocompatible, extremely dura- ble, and indistinguishable from your natural teeth. 2. All Geld: Some find the look of gold irresistible, other don’t. Our gold contains no base metals and is highly durable. 3. Porcelain-fused-to-gold: Superior durability with the look of porcelain; consists of a gold substruc- ture (hidden from view) for strength while covered by tooth-colored porcelain for esthetic beauty. Highly recommended for some back teeth. 4, CEREC ceramic block: CEREC or Cerec (Chairside Economical Restoration of Esthetic Ceramics, or CEramic REConstruction) is a new technology that enables for dentist to deliver a same-day crown service to the patients that are limited in number of visits. There are some cases whore CERAC is not recommended, however, qualifying patients may choose to use this service. Costs ranges from $800 to $2,000 per crownXV. MENU or SERVICES Inalys and Onlays Fallin These more conservative restorations are actually hand- Certain smaller restorations can be treated with composite carved “filings” which can be used when more of the orig- resin filing materials or amalgam. Composite resin filings inal tooth structure is intact. They fit inside or on top of are hand-sculpted and fiberoptic light hardened in the the tooth much like one Lego® block snaps into another. mouth in one visit. The cost of the filling depends on how ty and Inlays and onlays are bonded to the teeth using the latest many tooth surfaces are involved, and the comple bonding resins, which can make these restorations stron- artistry required. ger than untreated teeth. A relaxing 10-minute full-body massage is included with every inlay and onlay. Cost ranges from $150 to $600 per filings. 1. Porcelain: This is the top of the line material. Por- celain is highly biocompatible, extremely durable, and indistinguishable from your natural teeth 2. Composite Ceramic: A natural tooth colored ma- terial created form BellGlassTM, or other biocom- patible materials that combines excellent esthetics with long term durability. Restorations using this ‘material are backed in an oven, and then cured un der pressure using intense light. This makes them longer lasting and stronger than ordinary compos- ite filings. Cost ranges from $1,000 to $1,500 per inlays and onlays, aeesaaSeaeenee2e2e222e02222220222226Veneers are made of thin, natural-looking porcelain that is bonded to the teeth. Veneers can magically transform a smile in just two sessions. See the space between your front teeth disappear, or watch crooked teeth be reborn as perfectly straight teeth. Our veneers are hand-made, and the dentists personally matches the color of the veneers to the other teeth in your mouth. The translucence of our veneers makes them indistinguishable from natural teeth. A relaxing 10-minute full-body massage is included with ‘every veneer appointment. Cost ranges $1,250 to $1,800 per veneer. Invisalig This ground-breaking technology straightens teeth with- cout metal braces. InvisalignTM works by using a series of invisible, removable and comfortable aligners. Call us for 2 complimentary consultation to find out if nvisalignTM is right for you. We offer @ 5% discount for full payment up front. Cost is $6,000 for both upper and lower teeth which also includes final retainer.(MR. & MRS. DENTIST of Chattanooga will be operated, as a sole-propristorship owned by Drs. CasDr. Cho will make a contract with the North Star Resource Bank of America wil be an primary bank thet the business Group who will provide services to the practice including account of MR. & MRS. DENTIST of Chattanooge will be. legal support, insurance strategies and account services.XVIII. FINANCIAL INFO Monthly Living Expenses for Drs. Casey and Sources of Cash Rian Cho The sources of cash includes the following: Exhibit 1, Monthly Living Expenses whos the amount re- quired by the owner to pay for living expenses and com- pute the draw. 4. Personal Funds, The owner will invest the equiva- lent of six months of rent. 2. Loan Proceeds. The owner will borrow $500,000 tates Automobile Association (USAA) F revolving line of credit at 8%. Interest will be charged only on the amount actually owed. . Cash Receipts from Business. $600,000 in cash receipts net of sales is estimated. This projection involves serving on average 12 patients per day, 72 per week, 288 per month, and 3,456 per year. This, is a conservative estimate of cash receipts based ona survey of five sole-proprietor dentists. About ‘a quarter of these patients are covered under Del- ta Dental, another quarter by insurance compa- nies, and half will pay cash. One-Year C The items in Exhibit 2, One-Year Cash Flow Projection, have been arranged in a specific way: sources of cash (cash re- ceipts), cash needed to purchase assest (equipment), cash needed to pay expenses (rent), cash need to pay liabilities (payrool taxes), and owner's draw. 30 Soy a SPARAHRAARAAHRAHRAARAHAAAAAAABABAS> , , » , b MATION Exhibit 1. Monthly Cost of Li Regular Monthly Payments Tax Expenses Miscellaneous $100 7 Cellular network $150 noses tee a an a = = Food Expense 31VIL FINANCIAL INFOR Exhibit 2. One-Year Cash Flow Projection Sources of Cash [Net cath flow forthe year (sources minus 5121438 use) (1) Personal funds $28,000 2) Loan proceeds $75,000 (3) Cash Receipt from Business (net) $414,720 Total 3514720 Household expense (4) Equipmenieuppies $6222 (5) Vehicle puchase/tease 0 (6) Realestate so Fours so (8) Security deposits rent and utility) $9,000 (Signe $5,000, (10) Leasahold improvements $18,000, (11) Cost of goods sold FE (12) Telephone and utiles $8,800 13} Leaso/rant (business place) $12,000 (4) Business license foe $14,470 (5) Insurance premiums $6,189 (16) Office suppliog so (7 Legal and accounting $5,530 (8) Advertsing $9,000 (21) Payroll taxes (22) Peyroll ages excusing withholdings) $62,400, (23)Loan payments (pincpel andinterest) 19,7850 Hower aw 17000 32 al sve : eeeaeeeee2eeeeeeneeeaaaeeaaaaaaMATION (cont.) Uses of Cash 4, Equipment/Supplies. Basic start-up equipment cost is estimated to be $62,230. This expense includes: operato- ry equipment and installation, digital intraoral x-rays, sec- retarial equipment and supplies, reception chairs, lounge ‘equipment, private office equipment, etc. 5. Vehicle Purchase/Leas this dental practice. 6. Real Estate expense. No vehicle will be needed in Real estate expense is included in lease 7. Fixtures. Thare will be no fixture costs other than what are included in equipment and supplies listed above. 8. Security Deposits. Security and other deposits will in- clude $5,000 for lease-related deposits, $2,000 for utility deposits, end $2,000 for miscellaneous deposits for a total of $9,000, 9. Signs. MR. & MRS. DENTIST of Chattanooga will have extensive Meigs County approved signage on all four sides of the building. Signage and installation will cost $5,000 according to an estimate by Chttanooga Quality Sign Co, 11. Cost of Goods Sold. or sold, 12. Telephone and Utilities. Comcast will provide high speed internet, digital cable, and telephone service and ther utilities will be provided at $400,month for an annual total of $4,800. 13. Lease/Rent. Lase payments are $2,000/month $17/sq. ft.) for an annual total of $24,000. This information was provided by the commercial real estate agent representing Ritzen Group. There wil also be payments for the leasing of the dental equipment through Patterson Dental. 14. Business License Fee. The Business License fee based ‘on business revenue (3.35% of gross revenue) will be $14,470 (License and Permits Office of Chattenoogs). ae. ae ere will be no products made - 15. Insurance Premiums. North Star Resource Group es timated annual premiums at $6,189. These premiums will cover business liability, property damage, workman's com- pensation, and all other types of insurance. 16, Office Supplies. All supplies are included in equip- ment and supplies listed above. 17. Legal and Accounting. North Star Resource Group will provide basic bookkeeping, accounting, and legel services. The total estimated annual cost is $5,530. 18. Advertising and Promotion. $9,000 will be allocated to the advertising and promotion campaigns discussed in the Marketing section above. 19. Real Estate and Other Taxes. There will be no Real Estate taxes. 20. Miscellaneous Expenses. There will be no other ex- penses, 21. Payroll Taxes. It is estimated that payroll taxes will be $7,680, which is 20% of wages. 22.8 Seleries plus fringe benefits totals go $62,400. This total includes two fulltime dental assistant working for $15/hour. 23, Loan Payments (Principal and interest), All of the $500,000 loan allocation will be used during the first year of, operations. The loan will be paid by an installment schedule of $19,785 (principal and interest) per year for five years, as- ‘suming an interest rate of 10%, which totals $6,500. 24, Owner's Draw. This information was obtained from Exhibit 1 (Monthly Personal Living Expenses) where own- ‘ers need $14,167 per month or $170,000 annually. 33Ve DESIRED FUNDING Drs. Casey and Rian Cho are seeking $500,000 in first round of financing for MR. & MRS. DENTIST of Chattanooga. The capital will be used along with their personal investments in the practice for construction, furniture, and equipment. The money will be used as follows: Capital Expenditures Furniture and supple Equipment end supplies Leasehold improvements ‘otal Werking Capital Selaries and wages Reserve Total $10,000 $5,000 $175,000 $10,000 50,000 180,000 1,000 $250,000 $250,000,FIFI IF KF FPP T OF TOTP PT TTD w279" XX. SUMMARY MR. & MRS. DENTIST of Chattanooga will be successful. ‘The business plan has documented that the establishment of MR. & MRS. DENTIST of Chattanooga is feasible. There is @ need for our services in the community. We are pro- viding a unique kind of dental practice that speaks to our commitment to serving the least among us with our prac- tice and providing dental care to all in need. Our fami- Iy-oriented foundation will also serve us well, as we work to build a successful dental practice and contribute signifi. cantly to our community. All of the critical factors such as industry trends, market analysis, competitive analysis, management expertise, and financial analysis support this conclusion, (On a personal note, the vision behind MR. & MRS. DEN- TIST of Chattanooge is the combination and balance of my own personal, family, career, financial, and spiritual. To bring my interest in integrative medicine to my passion for helping others with dentistry in 2 setting that will allow me to grow personally and to provide for my family is truly the best of all worlds. In this way, the success of our office has ‘as much to do with our bottom line financial success as with building a cohesive team in our office, sharing the suc- cess with my family, and making a positive impact on the lives of our patients and within our community. While there will certainly be obstacles in selling this eco-friendly, inte- grative dental concept to our community and competing within the existing market, our vision and our plan should help us to succeed. ‘One July 1, 2017, we invite you to attend our grand open ing. We promise that you will be in awe of our office, and ‘once we have treated you, you will only want Drs. Casey and Rian Cho to take care of you and your family.