According to the ADA®, the average private practicing Owner Dentist produced $550,000 in 2004, earning an income of $177,340. Overhead accounted for 68% of the practice production, while income was 32%. Debt repayment of $82,000 per year for the first seven years reduced the actual take-home income to $92,000 each year.
| 20 YEAR COMPARISON | |
| Private Practitioner* • Earns $2,913,000 from production • Earns $450,000 from sale of practice TOTAL: $3,363,000 |
PDS™ Owner Dentist* • Earns $4,360,000 from production • Earns $2,680,000 from profit distribution • Earns $992,500 from sale of practice TOTAL: $8,032,500 |
| The average annual income over 20 years for a PDS affiliated Owner Dentist equals $401,625 – 2.4 times more than the private practitioner. | |
| * Numbers are not adjusted for inflation, and are based on pro forma results. Numbers are for comparison only and do not represent guarantee of results for any or all practices. | |
To illustrate what this means, assume that:
That might seem like a good proposition...until you look at what PDS can offer the affiliated Owner Dentist who is a 49% partner.