Ignoring Cash Flow Issues Amidst Rising Costs 

Dentists and The Peril of Financial Avoidance

In the realm of dentistry, where precision, care, and attention to detail reign supreme, a parallel demand for financial diligence is often overlooked or evaded. Dentists, while dedicated to their craft, can sometimes find themselves navigating turbulent financial waters, especially when faced with challenges like escalating interest rates and mounting operational costs. However, the tendency to overlook or disregard cash flow issues could be likened to the age-old idiom of ‘burying one’s head in the sand,’ ultimately exacerbating problems rather than resolving them. 

In recent times, the dental industry, like many others, has encountered the impact of higher interest rates. The ramifications of increased borrowing costs can significantly impede the financial stability of dental practices. Whether financing new equipment, expanding the clinic, or managing existing debts, the dentistry profession, like any small business, is vulnerable to the ebb and flow of interest rates. With each uptick, the strain on cash flow intensifies, making it crucial for dentists to proactively address these challenges. 

Check out our article Have the interest rate peaked at 4?

Furthermore, operational expenses for dental practices continue to surge. From the cost of state-of-the-art equipment to escalating overheads and staffing expenses, dentists are facing an uphill battle to maintain profitability. The convergence of these factors requires a pragmatic and strategic approach to financial management, yet it’s not uncommon for some practitioners to avoid addressing these issues head-on. 

The analogy of ‘burying one’s head in the sand’ encapsulates the perilous consequence of ignoring financial challenges. Instead of confronting the root causes of cash flow constraints, some dentists might adopt a passive stance, hoping the issues will resolve themselves. This approach, however, often leads to a snowball effect, exacerbating financial distress and limiting the ability to invest in the practice’s growth and development. 

Check out our article on how should a dental practice organize its finances.

To mitigate these challenges, dentists must prioritize financial literacy and prudent fiscal planning. Implementing a comprehensive cash flow management strategy becomes imperative. This may involve reevaluating expenditures, renegotiating terms with suppliers, exploring alternative financing options, or seeking professional financial guidance tailored to the unique needs of a dental practice. 

Moreover, embracing technological advancements and leveraging digital solutions can streamline administrative tasks, optimize operations, and potentially reduce costs. Embracing innovation not only enhances efficiency but also positions the practice for long-term sustainability in an evolving landscape. 

Collaboration within the dental community can also be a valuable resource. Engaging in forums, networking events, or professional associations can provide insights, shared experiences, and innovative solutions to navigate financial challenges collectively. 

Ultimately, acknowledging and actively addressing cash flow issues, particularly amidst rising interest rates and mounting costs, is pivotal for the financial health and longevity of dental practices. Evading or neglecting these challenges can lead to a deeper financial quagmire, hindering the ability to provide quality care and stifling the potential for growth and innovation within the profession. 

In conclusion, dentists must resist the temptation to ignore cash flow issues and higher costs resulting from increased interest rates. By confronting these challenges head-on through prudent financial management, proactive strategies, and a willingness to adapt, dental practitioners can fortify their practices, ensuring sustained success amidst a dynamic and challenging economic environment.

Check out our article on 5 quick tips when buying a dental practice

If you have concerns contact us at Samera and let us review your position and examine what can be done to assist. 

Unlocking Success: The Samera Boot Camps for Start-Up Dental Practices

Establishing a successful dental practice involves more than just clinical expertise; it requires a comprehensive understanding of business management, financial strategies, and effective marketing. Recognizing this need, Samera, a leading firm specializing in healthcare business consulting, has been organizing highly successful boot camps tailored specifically for start-up dental practices. These boot camps have garnered a reputation for being transformative, equipping budding dental entrepreneurs with the tools and knowledge needed to thrive in the competitive healthcare industry. 

A Holistic Approach to Dental Practice Management: 

Samera’s boot camps stand out due to their holistic approach. They cover a wide spectrum of crucial aspects essential for the success of a dental practice. From navigating complex financial landscapes to implementing effective marketing strategies and ensuring compliance with regulations, participants gain a comprehensive understanding of the multifaceted nature of dental practice management.

Expert-Led Sessions: 

One of the key features of the Samera Boot Camps is the involvement of industry experts who bring their wealth of knowledge and experience to the table. These sessions are led by professionals well-versed in dentistry, finance, marketing, legalities, and technology. Participants have the invaluable opportunity to learn from these experts, gaining insights and practical advice that can be directly applied to their practices. 

Practical Insights and Case Studies:

The boot camps not only offer theoretical knowledge but also delve into real-world scenarios through case studies. Practical insights shared during these sessions empower attendees to understand challenges, strategize solutions, and implement best practices effectively.

Networking and Collaboration:

Apart from the structured sessions, the boot camps facilitate networking opportunities among participants. This environment fosters collaboration, allowing attendees to learn from each other’s experiences, share insights, and build a network of like-minded professionals. The collaborative spirit nurtured during these events often extends beyond the boot camp, creating ongoing support systems among attendees.

Success Stories:

Over the years, the Samera Boot Camps have witnessed numerous success stories. Many participants have implemented the strategies learned during the boot camps, resulting in thriving dental practices. These success stories are a testament to the effectiveness and impact of the knowledge imparted during the sessions.

Conclusion:

Samera’s commitment to empowering start-up dental practices through these highly successful boot camps has significantly contributed to the success of numerous dental entrepreneurs. By offering a comprehensive understanding of business management, financial strategies, and effective marketing within the dental industry, these boot camps have become an invaluable resource for those embarking on their entrepreneurial journey in dentistry. 

For aspiring dental professionals seeking to establish their practices on a strong foundation of business acumen and industry expertise, the Samera Boot Camps stand as a beacon of guidance and success, fostering the growth and prosperity of start-up dental practices across the industry. 

Running a Dental Practice in an Inflationary Environment

Is the current model of running a dental practice flawed in an inflationary environment?

Running a dental practice is a costly business. 

High capital costs, high staffing costs, high premises costs, high marketing costs….the list goes on, so how can you build a profitable dental practice or group?

Firstly, if there is scope to reduce some element of cost in a dental practice, it’s so important to try and do this.

However, if this is executed poorly it impacts delivery and service standards, which ultimately has a detrimental impact on the business.

But high costs means high private prices just to make a decent return, hence why we see the huge queues of people lining up for an NHS dentist in certain parts of the country.

Despite this, more and more UK dentists are opening private practices from Land’s End to John O’Groats.

Some will succeed and some will fly, but I am sure others will falter too.

This begs the question, is the current financial model for operating a dental practice fundamentally flawed?

Last week I had an interesting conversation with a rather fine dentist in Europe. Despite the impression that everyone in his country can afford anything, he made a really valid point – that not everyone can afford to pay for private care. In fact, around 1/3 of the population cannot afford to pay for private care (the market is mainly private in this country).

This means they adapted their business model for delivering dentistry using technology, dental hygienists and only utilising the dentist’s time for key dental aspects. 

They have built a dental network that is specialised and capital investment is focused on prevention/maintenance and conservative treatment to cover the most significant part of the demand of their target segment (price sensitive patients, who appreciate regular prophylaxis and checkups).

At all their branches, X-rays and intra-oral scans are carried out by hygienists in local primary prevention and screening centres. This information is then relayed back to a central diagnosis hub, where the information is reviewed by a dental team.

All diagnosis is legally required to be done by a dentist only. All x-rays and intra-oral scans are taken under the recommendation of a dentist.

Now after the diagnosis, the diagnosis hub is able to deliver high-quality, personalised teleconsultations, from hygiene coaching to immediate triage and management of dental emergencies (immediate instructions and medical prescriptions are provided as needed and appointments for the specific issue are scheduled in the first available spot), thus improving accessibility, timeliness and appropriateness of treatment in a very much cost-effective way.

So if a dentist is required in a certain location, they can move the dentists between sites, ensuring that there is minimised idle capacity, which allows them to keep their prices lower as they have optimised their whole workflow.

A very interesting business model, and one that could work as the costs get higher, and patients’ ability to pay higher prices reduces.

One to watch, and adapt to other markets including the UK.

Should you buy a BUPA dental practice?

Bupa revealed today they are either divesting or merging approximately 85 dental practices across the UK. That’s almost 20% of their practices.

It was only around 10 years back they were acquiring (including our Neem Tree Canary Wharf practice was one of their earlier purchases in 2013), and now with the challenges many of the groups are facing they are planning to off load a whole bunch of dental practices across the UK.

Having looked at the list, I know some of the practices they are selling, as I brokered the sale to them from the original seller!!!

Now the world is changing, and BUPA is citing resourcing and the challenges in NHS dentistry as the reason for the significant changes.

Now the question must be asked, should you consider buying a BUPA practice if it comes on the market?

As I understand further details will be released in the next few days.

Three questions to ask yourself before you consider a purchase:

  1. If Bupa could not do it, could you? A corporate is a difficult beast to navigate, with many slow-moving parts, if you have the hunger and entrepreneurial drive, you could pick up a practice for a song.
  2. What about staffing the practice? Well BUPA have cited that they were struggling to find suitable dentists and team members to provide a certain level of care. I believe if an owner gets involved and gets their hands dirty, 8 times out of 10 the practice will develop and grow. But it’s essential that the practice is purchased at the right price.
  3. Can you get the funding for the practice purchase? The easy answer is, it depends. There are numerous factors at play including what is being sold and for what price, and it’s so important not to get dragged into a competition for buying a practice, work out the numbers and then make a suitable offer.

Getting the right practice at the right price will be the most important thing if you are considering a purchase, and as we all know they are keen to offload, so you are already in a stronger position of negotiation.

If you need help with assessing, financing and carrying out the due diligence of one of the planned BUPA sales, get in touch with our experienced independent team as we have the expertise to assist.

Our finance team are extremely experienced and ready to help you make the right purchase at the right price.

Make sure you seek independent professional advice in making any such purchase.

A list of BUPA dental practices under change can be found here.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on YouTube, Facebook, LinkedIn and Instagram.

Back to Work Budget Update

Well, Jeremy Hunt has announced the UK Budget for 2023 and here are the main takeaways you need to be aware of:

  • The main rate of corporation tax, paid by businesses on taxable profits over £250,000, confirmed to increase from 19% to 25%
  • Companies able to deduct investment in new machinery and technology to lower their taxable profits
  • Tax breaks and other benefits for 12 new Investment Zones across the UK, funded by £80m each over the next five years
  • The cap on the amount workers can accumulate in pensions savings over their lifetime before having to pay extra tax – currently £1.07m – will be abolished
  • The tax-free yearly allowance for pension pots is to rise from £40,000 to £60,000 – having been frozen for nine years
  • Government subsidies limiting typical household energy bills to £2,500 a year will be extended for three months, until the end of June
  • Energy charges for prepayment meters will be brought into line with prices for customers paying by direct debit
  • Office for Budget Responsibility predicts the UK will avoid recession in 2023, but the economy will shrink by 0.2%
  • Growth of 1.8% predicted for next year, with 2.5% in 2025 and 2.1% in 2026
  • UK’s inflation rate predicted to fall to 2.9% by the end of this year, down from 10.7% in the last three months of 2022
  • Underlying debt forecast to be 92.4% of GDP this year, rising to 93.7% in 2024

One of the more noteworthy points is the changes to capital allowances for SMEs. These changes will take over from the current 130% super deduction:

  • From April 2023 until the end of March 2026, companies can claim 100% capital allowances on qualifying plant and machinery investments.
  • Full expensing allows companies to write off the cost of investment in one go.
  • Under full expensing, for every pound a company invests, their taxes are cut by up to 25p.

This budget is being referred to as the Back to Work Budget, and it’s easy to see why. The intention appears to be to encourage the UK to work more, work longer and to invest in their businesses. We’ll see how it plays out! 

Have Interest Rates Peaked at 4%?

The Bank of England has increased interest rates by half a percentage point to a 15-year high of 4 per cent but suggested that rates may have peaked.


They are now anticipating a milder recession this year than previously thought and said further rises would only be needed if there were new signs that inflation was going to stay too high for too long.

This is good news, as they were previously expecting rates to peak at 4.5% to control inflation but now hopefully, they may have reached their peak at 4%.

What does this mean for you?

So, if you are seeking to borrow or refinance for your business, our panel of lenders are very active and willing to lend.

Large or small, our expert healthcare finance experts are available to help you navigate raising finance on the best terms available.

Click here to read our article on How to finance a healthcare business.

Commercial Loans for Healthcare Businesses

We’ve been helping to fund the future of British healthcare businesses for over 20 years and our team are made up of former bankers with decades of experience in the UK’s healthcare lending sector.

You can find out more about working with Samera and the financial services we offer by booking a free consultation with one of the Samera team at a time that suits you (including evenings) or by reading more about our financial services at the links below.

For more information on raising finance for your healthcare business, including more articles, videos and webinars check out our Learning Centre here, full of articles and webinars like our How to Guide on Financing a Dental Practice.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Rising energy costs: What we can save you.

With energy costs rising at record levels and looming PSTN & ISDN switch-off, it’s more important than ever for dental practices to save as much money as possible on their utility bills. 

There is no price cap on commercial energy supplies, which means businesses like yours will see an even bigger increase than domestic households for gas and electric. In fact, the domestic market is going up 54% from April 1st 2022, and some commercial suppliers are charging nearly £1 per kWh.

Our partners save businesses an average of 34% on their utility bills. Even if you already have energy supply contracts, we can help make sure you’re getting the best deal on the market. 

Another price increase facing businesses is BT’s 9.3% increase from 1st April. Even for non-BT customers, other providers will typical follow suit and increase their prices alongside BT.

These changes will impact many businesses and it’s important to make sure your telecommunications are future proofed. Again, our partners can help make sure you’re getting the best terms on the market. 

You do not have to change supplier or be out of contract to save money.

To find out more about how we can help your dental practice save money on an increasing utility bill, book a free call with us!  

How to finance a healthcare business

Healthcare providers have a specific set of funding needs and often benefit from tailored solutions. There are so many ways to raise funding for your healthcare business beyond dipping into your savings. In order to fully understand the best course of action in financing your healthcare practice, we have compiled a list of the criteria you will need to navigate yourself around the process from start to finish. 

What is healthcare funding?

Healthcare funding is any type of finance arrangement taken out by businesses in the healthcare sector to fund a specific need to their business / industry: 

Borrows include:

  • Pharmacies
  • Private hospitals
  • Dental surgeries GP surgeries
  • Day care services
  • Special needs schools
  • Opticians
  • Veterinary surgeries

What does a healthcare business need to fund? 

The healthcare industry is a huge industry in the UK including private clinics, the ongoing NHS system, paediatric care facilities, edlery care and pharmacies. The healthcare industry has immense investment potential due to the importance of it in everyone’s lives especially in the current climate. 

Healthcare businesses are becoming more and more important as there is now more space within the healthcare sector for your business to grow. Businesses can now avail of this funding to push themselves further into the mainstream healthcare market. 

As healthcare is a very diverse sector covering a wide range of businesses, funding needs are equally varied. You need finances to fund:

  • Any mergers and acquisitions
  • Purchase new surgeries and clinics
  • Assist with cash flow, growth and cost savings
  • Acquire medical drugs and products 
  • Expand or convert an existing property

The following are things your healthcare practice will need to fund: 

  • Property (buy/rent)
  • Equipment/stock (PPE, drugs etc)
  • Large medical assets (surgery chairs, scanners etc)
  • Staff
  • Working capital
  • Marketing
  • Associated costs (legal, accounting, hr etc)

How to apply for finance for a healthcare business

When you apply for finance, lenders will need to see various documents including your business plans and other documents relating to your cash flow and business prospects. You will need to show:

  • Business asset and liabilities statement 
  • Three years business accounts (if applicable)
  • Business management figures
  • Six months of business bank statements
  • Complete details of NHS contract and performance indicators. 
  • director/ partner payslips for the last three months of your latest p60 with six months of personal bank statements if you are a contractor 

Creating a Business Plan

A business plan is more than a documented plan. It is a very important guide that helps you outline and achieve your goals. It is also an important management tool that allows you to analyse results, make strategic decisions and showcase potential lenders how your business will operate as well as grow and profit. 

Essentially, writing a business plan will improve your businesses chances of securing necessary funding and becoming successful. 

Your business plan should be at the forefront of everything you do when approaching lenders and considering any type of loan / financing options. This business plan needs to be in depth and attached to any application you submit. 

Your business plan should be the first thing you complete, it is a great start for you before you tackle the rest of your application as should be done to a great standard if you hope to be given any funding. 

What funding is available for healthcare businesses?

Secured vs unsecured loans

There are two main types of loans which are either secured or unsecured. 

Secured loans refer to businesses that borrow money and use an asset as security to pay back that loan. If  the repayments are unable to be made, the lender is able to sell the asset in order to get their money back. 

Unsecured loans are when your business borrows money without using any of its assets as security. 

Essentially, the less you borrow, the quicker you are expected to pay it back. If the amount you borrow is a significantly larger amount, you are able to pay it over a longer period of time. 

It is important to note that not all business loans are the same and you need to ensure that the terms of your particular loan is right for your situation. Whether you are a start-up or a small business, you can get a loan that is suitable and specifically designed for you. 

Asset Finance

Asset finance is a cost effective, low risk way of acquiring new premises or high value equipment. Whether you are a start-up or you are looking to expand. Asset finance helps you optimise cash flow while you prepare for growth and gives you access to all the latest medical technology.  

Your asset finance payments cover the value of any equipment you need including interest and any additional fees charged by the lender. 

Eligible Assets

You can take out asset finance for a wide range of medical equipment, as well as non medical assets used to support your healthcare business for example: 

  • Automation systems 
  • Operating theatres
  • Corrective laser eye therapy machines
  • Dental chairs and surgical equipment 
  • Diagnostic scanners e.g. MRI, CT and X-ray machines

Asset Refinance 

A good way to increase liquidity is by using a medical asset you already own as collateral for a cash loan worth the resale value of the asset. This is a great form of bridging finance when waiting for a commercial mortgage or a longer term loan or as an alternative to invoice finance.  

Hire purchase or leasing 

One of the biggest attractions of using asset finance is that there is no need for capital outlay or any security needed. Instead the new asset is either hired or leased from a leasing company. 

Leasing means the asset needs to be returned to the leasing company after the contracted period has ended or exchanged for a newer version of the asset, in which case the lease continues on similar terms. 

Hire purchase agreements are a bit different as you acquire full ownership of the asset at the end of the payment term. 

Acquisition Finance

Acquisition finance is the capital that is usually obtained for the purpose of buying another business. By acquiring another company, a smaller company can increase the size of its operations and benefit from the economies achieved through the purchase. Throughout the numerous changes over the last couple of pandemic years there are now various new lenders for acquisition finance accompanied by new deal structures and new lending criteria. 

Acquisition financing will allow you to gain capital specifically for the purpose of buying your new premises or equipment for your business. We can guide you through the best cost effective ways to do this and mentor you through how it will affect you and your business. 

Commercial Mortgages

Commercial mortgages are similar to regular mortgages in many ways but there are a few features that make them slightly different. These differences include the interest rate being slightly higher than regular residential mortgages as these types of mortgages are of a higher risk to lenders. Due to this risk, you usually would need to provide an asset such as a property as collateral which will allow your lender to give you a better interest rate. Your interest rate will also be dependent on how much your loan is worth and how long you plan to pay it back, amongst many other factors your lender will later decide on. 

Deposits for commercial loans or mortgages can often be quite hefty so, before you apply for your commercial loan you need to ensure that you will be able to pay both the deposit and your monthly instalments back comfortably and assure your lender of this. 

Tax Loans

A lot of business owners are not aware of the options that are available to them when they do not have enough to pay the necessary tax bills.tax loans are incredibly helpful and convenient to help you pay your tax bill on time. 

VAT funding can be very useful when quarterly VAT payments are due and there is limited cash flow available to secure paying the bill. VAT funding enables businesses to pay your quarterly tax payments over the course of an agreed term (usually 12 months). This will usually be paid back over a series of monthly payments. Unlike many other loans, detailed business plans and security assets are not necessary for this type of loan. Many processes are quick and flexible with great affordability and transparency. 

Commercial Loans for Healthcare Businesses

We’ve been helping to fund the future of British healthcare businesses for over 20 years and our team are made up of former bankers with decades of experience in the UK’s healthcare lending sector.

You can find out more about working with Samera and the financial services we offer by booking a free consultation with one of the Samera team at a time that suits you (including evenings) or by reading more about our financial services at the links below.

For more information on raising finance for your healthcare business, including more articles, videos and webinars check out our Learning Centre here, full of articles and webinars like our How to Guide on Financing a Dental Practice.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

4 Tools to create a scalable business in 2022

Building a business is difficult and there are a plethora of tools that claim to make your life easier. Some do, others make it more complicated.

But when you want to scale your business, things get even harder, and invariably issues arise. I have highlighted, not in any particular order, 4 business tools that made a significantly positive difference to our businesses in 2021. I feel these tools are just as, or even more, important in 2022. Some are free, and others are paid, but check them out.

Website page speed

Ignore this at your peril! Whilst your website is the shop window to your business, it’s so essential that it provides the user experience that a website visitor will desire.

Therefore, the speed of website loading has to be at the top of your list to attract patients and customers. If it’s slow the bounce rate will rise and your potential new patient may go somewhere else.

So how do you know the speed of a website? Google have a free tool which will basically tell you the speed of a page – and then breaks it down what your web development team will need to do.

Click here to check the speed or your website.

If your score is highlighted red, tell your development team, and if they can’t change it, you need a new team!

Content is king for SEO

We all know content is king already, but none more so than in the written form. For the last 2 years we have had a content writer full time in our team, writing about all aspects of the various services we provide.

Google likes this, and coupled with a fast page speed (see above) your well-written, relevant content will greatly help your SEO and get you the customers you desire.

As for tools to use, https://ahrefs.com/ will help you figure what keywords you should be trying to rank for and then what your position is. 

Again, we have been using this tool a couple of years and is a no brainer tool if you want to dominate your SEO in your markets. 

Automating payroll with Brightpay

Payroll has been one of those services we have provided to clients and to be honest struggled getting it slick and fast for many years. The software has been cumbersome until we started using and rolling out Brightpay.

It’s fast, very easy to use for both employees and employers and has a clear audit trail. If you are thinking about changing how you do your payroll, whether you do it in-house, or outsource it to the Samera payroll bureau team, you won’t be going wrong with Brightpay.

Xero and Hubdoc for book-keeping

Ok, as a firm of accountants, we may be biassed, but the Xero and Hubdoc combination makes life easier for any business, if it is integrated well into a business. It saves time, helps you become paperless and can provide you the management information you require. We have been using this for a lot longer than one year, but it’s still a cracking piece of software.

As with any tool, especially with book-keeping, it’s only as good as the users who are using it. It can go wrong if not organised, but if set up from day one, it can really be a game changer in your business.

Get in touch if you are seeking to implement Xero into your business.

Grow Your Dental Practice with Samera

Join the Samera Alliance buying group today for free to save money on your consumables and assets, increase your profits and grow your dental practice.

You’ll get access to exclusive discounts on the consumables, products and equipment you need to build and grow your dental practice. You’ll also get exclusive discounts from our Alliance Partners, covering everything from HR, IT and legal services to utilities, compliance and dental technology.

Join for free. Save money. Grow your dental practice.

More on Growing a Dental Practice

For more information on growing a dental practice, check out the articles and webinars in our Learning Centre, like our guide on How to Grow a Dental Practice.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram

Looking Back on 2021 and Forward to 2022

2021: Looking back

2021 was one of those years that we had to just get through. But as we come to the close of the year, it’s evident how tough things are out there in all sectors and businesses.

People are struggling, clients are struggling, businesses are struggling, so what does 2022 hold?

Well, we all have a choice in life, we can either accept the problems and challenges ahead and let them get us down, or we can embrace them, and tackle them head on.

With every challenge, comes opportunity, with every mistake, comes promise, and with every failure comes success.

I can promise you the economic environment in 2022 will not be rosy, in fact, I am pretty sure it will be even tougher as COVID variants evolve and further challenges arise.

But we all have a choice, either get beaten, or get stronger.

There’s only one choice in my view and it’s certainly not getting beaten.

2022: Looking forward

Yet despite the media gloom, we have so much to be grateful for. Yes, it may be exhausting, you may be in unchartered territories and feeling quite uncertain about what will happen next, but that is the daily experience of life. 

Change is certainly a constant in life and nowhere is this more evident than in running a growing business. Some people stay for a while, whilst others are just temporary visitors on our evolving journey, but that’s what makes things interesting.

All too often, we focus on the outcome and forget about the journey on the way to the outcome, after it is too late. 

I urge you in 2022, take a step back and actually learn to enjoy the journey, as that’s usually where you truly find satisfaction.

Life is uncertain, and it always will be. But life is also what you make of it too.

But always remember it’s the journey that matters, not the destination.

And finally, I would personally like to say a big thank you to my wonderful team, clients and friends for their ongoing support. 

The rollercoaster of life continues unabated, so make 2022 your most fulfilling year yet. Change, adapt, evolve and I wholeheartedly encourage you to go for it – whatever that may entail!

Merry Xmas and a Happy New Year to you and your loved ones. 

Arun

The Return of Bootcamp Live

Last week saw the return of the live, in-person Setting up in Practice Bootcamp in London and it was a great success! 

We have been running Bootcamp online over the last couple of years and we were thrilled to be able to welcome attendees back in person and really engage with them and answer their questions in detail. 

Being back in a nice hotel with delicious refreshments and London’s best restaurants around every corner may have been our favourite part, but it’s so hard to choose! 

Over the course of the 2 days, the Samera team and some great guest speakers gave a series of talks on everything from finding a location and raising the funds, to compliance and digital marketing. 

In fact, the second day was mostly digital marketing and we covered everything a dentist needs to know to start their marketing strategy and get patients through the door. Keep an eye out for more digital marketing courses in the future if this interests you!

We would like to say a massive thank you to all of our speakers, guest speakers and especially to everyone who attended the course. We really hope you learned a lot and that it helped to kickstart your journey as a dental practice owner. 

We will be hosting more live Bootcamps next year (restrictions permitting!), so watch this space to find out the next dates if you want to start a dental practice yourself in 2022. 

Sign up for one of our business training events

Sign up now for any of our live events or webinars, designed to teach healthcare providers how to build a better business.

We run a mixture free and paid online webinars covering everything from compliance and marketing to accounts, tax and raising finance, as well as live events like our start-up bootcamps or finance workshops.

Check out our events calendar to see which of our webinars, courses or bootcamps is right for you.

Chancellor delivers Budget to lay foundation for a strong economy

Chancellor Rishi Sunak yesterday delivered a Budget to ensure the UK economy bounces back following the coronavirus (Covid-19) pandemic.

There is considerable news detailing his plans for the next 12 months and beyond.

In this webinar from 27th October 2021, Arun discusses the impact of the budget on UK Dentists.

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

Samera Shortlisted for the Dental Industry Awards

We are (again) delighted to announce that we have been nominated for awards recognising excellence in the dental industry – this time in 4 categories! 

The Dental Industry Awards have shortlisted Samera in 4 categories, out of a record-breaking number of entries. 

Samera have been shortlisted to win awards for: 

  • Website of Year 
  • Dental Industry Event of the Year (Setting up in Practice Bootcamp)
  • Event of the Year (Setting up in Practice Bootcamp)
  • COVID-19 Response

We are immensely proud that our hard work over the last 1 or 2 has been recognised in the industry and we think this reflects the effort we have put in and all that we have accomplished for and with our clients. 

If you want to find out what makes Samera worthy of being award-nominated then contact us today or book a call with our team at a time that suits you. 

Samera at the Dentistry Show London

We were delighted to attend the Dentistry Show London this year. As key players in the dentistry game, the DSL event highlighted the changes that have occurred in the industry post-pandemic. Our team of industry experts attended to share their extensive knowledge and experience of finance solutions for the dental profession. 

Dentistry is bouncing back

What we noticed from the event is the dental industry is bouncing back with a vengeance. There is an enormous demand for practices to start up again. However, at the same time, there is a lot of uncertainty regarding issues such as suppliers and inflation (to name a few). 

To our surprise, this year’s show has been the busiest show in London to date. The turnout this year helped all those in the dental community come together and discuss the exciting future of what is to come for the dental industry. 

Samera’s own client’s relations manager, Jyoti Randhawa, hosted her own talk during the event about how to start your dental practice, starting your practice right now and the many special and specific ways Samera can help your vision for your dental practice come to life. 

Samera’s Dental Buying Group

If you weren’t there you may have missed the wider launch of Samera’s ever-so-popular ‘Buying Group’. This group was created by Samera to allow smaller, independent practices to band together and benefit from the buying power and negotiating leverage of a large dental group and gain access to exclusive discounts on dental equipment. 

We also want to make sure that all the money saving tips and tricks we have picked up over the years are shared with all our clients. This group has ensured that all the years we have had in the dental industry are put to good use, by actively saving our clients money and allowing smaller dental practices to actively compete against larger corporations. Sign up to see how much the Buying Group can save you today. 

Time to switch from NHS to private?

Other popular sessions included Les Jones’ lecture on why right now might be the perfect time to transition from NHS to private dentistry. He made a very compelling argument and offered many attending delegates a lot of useful advice on how to make the change as successful as possible. 

After the pandemic this was a great first event back in the game. There was a great mix of exhibits and talks and Samera is very grateful to have been part of it. A few of our team were also a bit too grateful for the freebies being given out. Heads up, the Bellini’s were great! 

Trust dental experts to put on a great event paired with great water bottles for the gym, immeasurable (and maybe slightly hypocritical) amounts of chocolates, and an open bar! 

What to take away from the event

What we have learnt from the events that have occured over the past few years is that life is about being happy and healthy, but it has become increasingly evident that a lot of dentists are not happy. Dentistry is still a great profession and a very rewarding industry to be a part of, however, it is undoubtedly stressful and dentists need to be able to manage their stress better. That is where Samera comes in.

Our trained in-house experts ensure that whether you are looking for an accountant, looking for a practice, finding financing or even looking to extend a current practice, the process is carried out as smoothly and stress-free as possible. 

The dental industry is definitely bouncing back from the effects of Covid-19. The demand for dental services is increasing a lot, which means this is a great time to start your own practice. Don’t let the continuing unprecedented times derail your plans. With the right experts by your side, we can assure that this will be the best decision you will make. 

If you need help with any aspect of your dental practice, Samera has 20 years of experience in the industry. With a wealth of knowledge and a plethora of the right contacts at their fingertips, our team can help you with anything you need today. 

We look forward to seeing you all again next year. 

Sign up for one of our business training events

Sign up now for any of our live events or webinars, designed to teach healthcare providers how to build a better business.

We run a mixture free and paid online webinars covering everything from compliance and marketing to accounts, tax and raising finance, as well as live events like our start-up bootcamps or finance workshops.

Check out our events calendar to see which of our webinars, courses or bootcamps is right for you.

Samera Nominated for Broker of the Year 2021

We are thrilled to announce that Samera Finance has been nominated for Commercial Mortgage Broker of the Year 2021 by NACFB.

The Commercial Broker Awards recognise excellence in the intermediary community.

The winners will be announced and presented with trophies at an awards ceremony on Wednesday 29th September at Edgbaston Cricket Ground – the day before Commercial Finance Expo 2021 (CFE 2021).

Whether or not we are lucky enough to win, we are honoured by the nomination, which reflects everything we’ve managed to help our clients with this year.

If you’d like to find out what makes Samera award nominee-worthy, contact us or book a free virtual consultation with our finance team at a time that suits you.

Business Loans for Dentists

We’ve been helping to fund the future of the UK’s dentists for 20 years and our team are made up of former bankers with decades of experience and contacts in the UK’s healthcare lending sector.

You can find out more about working with Samera Finance and the financial services we offer by booking a free consultation with one of the Samera team at a time that suits you (including evenings) or by reading more about our financial services at the links below.

Dental Practice Finance: Further Information

For more information on raising finance for your dental practice, including more articles, videos and webinars check out our Learning Centre here, full of articles an webinars like our How to Guide on Financing a Dental Practice.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Our Experience Makes Your Experience Better

Most of us have an area of expertise. That expertise has been gained from years of experience working in various industries and professional environments.

When you are talking through a proposal do you ever ask the person you are talking to what their experience of the situation is? I am sure that they ask you for details of your experience!

Check Them Out on LinkedIn

LinkedIn can be used to see how long someone has worked in an industry – what their experience is in that role and other roles.

We are constantly hearing from clients that they have been told they can achieve a loan of this term or an interest rate of that, contrary to what we are telling them.

When that happens, check out the person’s knowledge.

Make sure they are not selling you an image of what can be achieved. If it’s too good to be true, it probably is. Quite often that image turns out to be false, but by then it’s too late.

You have signed up and are committed to working with them and in the end you only achieve what can be realistically achieved.

We have 200 Years’ Experience

The finance team at Samera Finance have 200 years of banking experience between the five of us, and of that some 65-70 years of experience in healthcare.

If you want to build a healthcare business, buy a dental practice, invest in a GP practice or buy a Pharmacy then we can assist.

Independent of any one lender, we will approach several lenders to obtain finance over a reasonable term and at a rate that will enable you to make your business a success.

Use our experience to make your experience better.

Business Loans for Dentists

We’ve been helping to fund the future of the UK’s dentists for 20 years and our team are made up of former bankers with decades of experience and contacts in the UK’s healthcare lending sector.

You can find out more about working with Samera Finance and the financial services we offer by booking a free consultation with one of the Samera team at a time that suits you (including evenings) or by reading more about our financial services at the links below.

Dental Practice Finance: Further Information

For more information on raising finance for your dental practice, including more articles, videos and webinars check out our Learning Centre here, full of articles an webinars like our How to Guide on Financing a Dental Practice.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

What does your dental practice look like?

Most people don’t actually realise this, but you don’t have to go old-school or traditional with how your dental practice looks. Most dental practice owners, especially new ones, need to realise that traditional doesn’t necessarily mean successful anymore.

What do you want your dental practice to look like? What do you want your dental practice to feel like?

Most people stick with the plain, white, ‘surgical’ look that they have seen in dental offices their whole lives. Some prefer for their dental offices to look as professional as can be which to some people means, plain white walls and simple decor.

However, when the cost is marginally different, you can go with a whole different look. You can go differently with the type of design you pick depending on what you are trying to do. Are you trying to make more money? Are you stressed out because the current design is inefficient? Are you growing and booked out so far that you can’t see patients fast enough?

Sure, many dental offices look the same. That means you look exactly like them, it means you’re just another normal old dental practice ‘just like the rest’ in competition with one another. What worked 20 years ago, does not necessarily work today.

If you are trying to make your patients choose you instead of the dentist down the road, if you are trying to stand out in an industry that is already quite crowded, let your work speak for itself and design your practice differently!

What used to work is now seen as ‘mainstream’, sticking with what works isn’t a bad thing, but trying to switch things up may work a lot more in your favour in the long run. 

If you’re looking for a sign to redesign your practice without crisp white walls with the hospital blue accents, this is your sign!

Since your business is in the healthcare sector, you need to ensure that your dental office designers are all conscious of patient well-being throughout the entire design process.

Most people do not enjoy visiting the dentist, in fact it is often the most daunting idea for many people. So how do you slip out of this awful cliche? Maybe try something new with the design.

The planning and design of your practice must reflect intense attention to the little details that will help create a sense of comfort, trust and even style to your practice as well as offering patient privacy.

Lighting and ceiling design as well as colour selection and material finishes amongst many other design factors are all, in their own right, keys to achieving an inviting and appealing environment. 

Being different is good, but a good designer will be able to marry the idea of keeping the dental office classy and clean with hints of your ideas. Since dentistry has become increasingly competitive, dental professionals should ideally make their practices distinctly different from their competitors down the road. 

The main differences will lie in the services offered and the quality of them and how they are delivered; however, your dental practice needs to attract the clients to begin with. 

Starting a Dental Practice: Get Started

We’ve been helping the UK’s dentists start their own practices for nearly 20 years and we know exactly what it takes to make your practice a success!

Our Dental Practice Start-up Programme is a hands-on consultancy service designed to take you through your whole journey to becoming a dental practice owner. Book a free, no-obligation consultation with one of our team at a time that suits you (including evenings). We’ll call you back and have a chat about how we can help start your dream practice.

Contact us today for all the advice, support and expertise you’ll ever need to start a dental practice.

Learn More: Starting a Dental Practice

For more information please check out the articles and webinars in the start a dental practice section of our Learning Centre, like our guide on How to Start a Dental Practice in 13 Steps.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Are EBITDA multiples in the UK Dental Market going to grow over the next few years?

I was recently asked this question by a group practice owner, so I thought I would throw my thoughts into the ring.

Over the last few years a lot of the growth in Dental practice values and hence EBITDA multiples has been as a result of increasing amounts of Private Equity (PE) money entering the market.

They have investors cash and want to deploy this to buy and build a dental group, as they have seen some successful exits previously. 

But surely there has to come a point when this will stop or pause at least?

Many of the large UK dental corporates are PE backed and as far as I can remember many of the larger groups have always been discussing a flotation, but none have successfully pulled this off. Failing that, PE investors restructure their holdings and then sell their shareholdings to other PE houses usually making a profit on their original investment. The new owners, then hope they can grow it further and then get this to flotation, but realising this is not going to happen with a suitably sized financial sponsor to get it listed, so they either end up holding their investment or try to -rejig to make it attractive to another PE investor.

Click here to read our article on Dentist and Dental Associate Expenses Guide

In my opinion, if a successful float can happen, then perhaps the value multiples will rise as more PE will enter the market and then believe that dentistry is the holy grail to growing their investments.

Here in the UK, most of the groups have a large NHS bias, but the question has to be will the NHS change the contract and if it does how will it impact such large groups? With Covid, if I were a betting man, I think the contract will change, but I think many dentists are praying this won’t happen – but who knows?

There is no doubt a shortage of quality dental practices to buy in the main cities across the UK, hence values remain strong, as many younger dentists have entered the profession with a view to owning their own dental practice, but not being able to buy one (either through lack of availability or insufficient funds). So now we are seeing unprecedented demand for people to start their own private dental squat.

It’s an interesting time in UK dentistry currently, and whilst a group could yield more than 10x EBITDA if selling, sometimes the individual parts could be worth more than the whole – so you could sell individual sites to single operators at a stronger premium as they have money saved to get on the ladder (perhaps with the help of their mum and dad).

As long as we don’t have any further major global pandemics, I do think values will remain resilient as demand does currently outstrip supply for quality practices in urban locations.

As for the EBITDA multiple rising higher over the next years than it is currently, I wouldn’t bet against it, but I think we need to see a successful flotation to see multiples move to a much higher level.

Watch this space!

Click here to read our articles on Samera Learning Centre.

Dental Accounts & Tax Specialists

As dental practice owners ourselves, we know what makes a clinic tick. We have been working with dentists for over 20 years to help manage their accounts and tax.

Whether you’re a dental associate, run your own practice or own a dental group and are looking to save time, money and effort on your accounts and tax then we want to hear from you. Our digital platform takes the hassle and the paperwork out of accounts.

To find out more about how you can save time, money and effort on your accounts and tax when you automate your finances with Samera, book a free consultation with one of our accounting team today.

Dental Accounts & Tax: Further Information

For more articles, webinars and blogs on dental accounts check out the dental accountancy section of our Learning Centre and follow us on YouTube, Facebook, LinkedIn and Instagram.

The Game Changer in your Practice Accounts

Make one payment to all your 30+ suppliers each month and save hours!

Ok, I maybe sounding like a nerdy accountant, and think this is exciting for accounting, but to be honest it will save you a lot of time and money, if you commit and get your affairs streamlined onto Xero.

For the last 12 months, we have been testing using Xero WITH Wise (formerly known as Transferwise), in order to make payments to suppliers.

Click here to watch our webinar on Navigating Your Dental Practice Finance Future.

Now, I only need to make one payment per month to all our 30+ suppliers, this takes a few minutes, rather than having to make individual payments to each supplier which can take hours.

The key is to be using Hubdoc for scanning all your invoices, then this is processed by our book-keeping team into Xero, with all accounts reconciled and then payments are made via WISE who manage the whole payment process.

Click here to read our blog on How to finance a dental practice.

And yes, I just make one payment each month to all our 30+ suppliers.

This saves me many hours each month, streamlines the whole process and allows us to focus our efforts on aspects of the business that require greater focus and time.

Click here to read our articles Samera.

Further Information

For further information this watch the video on the following page:

Dental Accounts & Tax Specialists

As dental practice owners ourselves, we know what makes a clinic tick. We have been working with dentists for over 20 years to help manage their accounts and tax.

Whether you’re a dental associate, run your own practice or own a dental group and are looking to save time, money and effort on your accounts and tax then we want to hear from you. Our digital platform takes the hassle and the paperwork out of accounts.

To find out more about how you can save time, money and effort on your accounts and tax when you automate your finances with Samera, book a free consultation with one of our accounting team today.

Dental Accounts & Tax: Further Information

For more articles, webinars and blogs on dental accounts check out the dental accountancy section of our Learning Centre and follow us on YouTube, Facebook, LinkedIn and Instagram.

5 Tax Tips for Dentists and Doctors in May 2021

As we are moving further into the 2021-22 tax year we are starting to see the light at the end of the pandemic tunnel, which means now is the best time for you to review and refresh your financial affairs. Now is the time for business owners like yourself to maximise the tax benefits available to you for further capital investment and innovation, and right here is the perfect place for you to start. Here are Samera’s Tax Top Tips for Dentists and Doctors. Our tips offer valuable insight and inspiration for you and your business to grow. 

1. Stamp Duty Holiday 

The stamp duty holiday extension has been confirmed and will apply to all residential property buyers. This means that you will not have to pay stamp duty on the first £500,000 of your property if you complete the transfer legally before 30 June 2021. From 1 July 2021 to 30 September 2021 the nil band will be £250,000. The nil rate band will then return on 1 October 2021 to the standard amount of £125,000.

If you are in the midst of transferring or acquiring a residential property, or even considering it, due to this stamp duty holiday you may want to accelerate matters before the stamp duty returns and your potential savings wither away. Accelerating your purchases or transfers will enable you to achieve the most stamp duty savings. Get in touch with our advisors for further information.

2. Super deduction and the SR Allowance

The super deductions and special rate first year allowance (SR allowance) temporarily increases reliefs for companies within any sector on qualifying expenditure on plant or machinery from 1 April 2021 to 31 March 2023. The super deduction introduced in 2021 was the biggest business tax cut in modern British history. This recent capital allowance and the SR allowance gives companies up to 130% tax relief on the qualifying cost of the capital investment.  These allowances are only available for companies, not for any self-employed businesses or partnerships.

Both these enhanced capital allowances are in addition to the existing ongoing Annual Investment Allowance which already gives relief for costs of qualifying plant and machinery up to £1M in the tax year of purchase. 

It is important to note that certain assets do not qualify for relief such as cars or second-hand equipment but the majority of brand-new plant machinery and equipment for use in your trade is likely to qualify. These are reliefs where the date of expenditure is important for the assets to qualify so businesses will need to maintain records of dates of acquisition especially for larger projects that span between the allotted dates (1 April 2021-1 April 2023).

Click here to find out more about the superdeduction.

3. Capital Taxes Planning

Although many rumours have been floating around leading up to the March Budget, no changes have been made. However, it is the view amongst many of our tax professionals that the increase of tax with Capital Gains Tax (CGT) is hanging in the balance and is only a matter of time before it will be increased. 

If you are currently considering whether to transfer or sell any assets, it may be a good idea for you to get ahead and start to accelerate such sales and transfers in light of potential CGT changes that are imminently forthcoming.

4. Use of a Family Trust

This tip is particularly useful if you are looking to undertake asset protection or Inheritance Tax Planning (IHT) – otherwise, at the event of your death, HMRC could be entitled to IHT at the rate of 40% of your assets. Inheritance tax alone raised a record of £4.9bn in the last financial year.

You can control a family trust by yourself and it can hold assets for any of your family members including your children with distributions purely made at your discretion. Doing this can remove the value out of your IHT estate therefore, reducing your estate to a more manageable value. Your estate includes everything you own and the trust can help you keep a lump sum outside of your survivor’s estate to ensure it is not subject to IHT. The use of a trust could also protect your family legacy in various ways. 

Certain assets are able to qualify for 100% relief from IHT upon transfer into trust. If you have a very large and complicated estate, the sooner you start planning, the better. An efficient IHT plan involves gifting assets during your lifetime instead of one large trust at the end. Each person can generally transfer upto £325,000 into trust without incurring any tax charges upon entry. 

5. Research and Development 

The Research and Development tax credit scheme is one that countless companies are still not making use of. This scheme is the main source of government support in the UK for innovative companies. If you can demonstrate that your expenditures went towards research and development costs (by definition by HMRC of what expenditure you can claim), then you will be able to claim on it. Many eligible businesses can claim benefit from additional tax relief of up to £24.70 for every £100 of qualifying expenditure. There is now no minimum expenditure on qualifying for R&D required to make a claim for tax credit. 

If you have used any sort of science or technology or used a particular service for a project or a problem in your business that needed specialist help to fix, you may have a potential claim. If you are unsure whether your project might qualify for this valuable relief, get in touch with one of our professional advisors. 

Click here to read our article on Dentist and Dental Associate Expenses Guide

Book a Consultation

To find out more about your tax options and what Samera can do to help you, book a virtual consultation with one of the Samera Finance team.

Dental Accounts & Tax Specialists

As dental practice owners ourselves, we know what makes a clinic tick. We have been working with dentists for over 20 years to help manage their accounts and tax.

Whether you’re a dental associate, run your own practice or own a dental group and are looking to save time, money and effort on your accounts and tax then we want to hear from you. Our digital platform takes the hassle and the paperwork out of accounts.

To find out more about how you can save time, money and effort on your accounts and tax when you automate your finances with Samera, book a free consultation with one of our accounting team today.

Dental Accounts & Tax: Further Information

For more articles, webinars and blogs on dental accounts check out the dental accountancy section of our Learning Centre and follow us on YouTube, Facebook, LinkedIn and Instagram.

Help India Breathe

As I am sure most of you are aware, India is in the midst of a medical crisis. Hospitals are overwhelmed, oxygen is running out and the death toll is climbing rapidly.  

After speaking to many of my relatives in India on Whatsapp, I strongly felt that we had to do whatever we could to help.  

That is why we have set up a GoFundMe page for Help India Breathe. 

By donating whatever amount you can spare, you will be helping to fund medical equipment, food and other vital supplies for a country in crisis. 

As many of our clients have family and friends in India, I know this will be close to many people’s hearts and we are hoping to be able to raise enough to make a real difference and prevent as many needless deaths as possible. 

We have strong connections in India to ensure that the funds are managed appropriately and where they will make the most difference. 

Help us send oxygen to India 

All funds raised in the UK will be used to purchase equipment such as Oxygen and related equipment in the UK. No money is being sent to India, the equipment is shipped direct to the NGO’s in India. 

We are identifying small local charities and NGO’s that are requiring oxygen equipment – NOT large organisations and charities which have layers of admin and bureaucracy. 

Donate now to Help India Breathe 

All of this means that no funds leave the UK and also ensures that the people who need the oxygen equipment get it as quickly as possible. 

Much of the news has been focused on the main cities of Delhi and Mumbai, but as my cousin in Mumbai told me, it’s the smaller towns and villages with little infrastructure that really need help. 

Sadly, this is just the beginning, and is a crisis that won’t disappear quickly. India cannot be isolated, and they need our help.

Please donate and help where you can – Thank you!

You have raised over £20,000!

14th May 2021

We have hit £20000

Thanks to your fantastic donations we have managed to raise over £20,000 for Help India Breathe. We are excited to announce that the first batch of oxygen concentrators have arrived in India and are going towards helping the people who truly need it.

We want to sincerely thank you all again for your support and donations, we have been truly humbled by all of the support this initiative has received.

15 Oxygen Concentrators Have Arrived in India

11th May 2021

Your donations have gone towards the purchase of 15 oxygen concentrators, which have arrived safely in India and are currently being distributed to those who need it most.

We want to say an enormous ‘thank you!’ to everyone who has supported us to make this possible.

Boxes

You have raised over £10,000! 

30th April 2021

We have hit £10000

We want to say a massive ‘Thank you!’ to everyone who has donated so far – you have helped us raise over £10,000 already! That money has already gone towards 15 Philips Oxygen Concentrators, we are currently liaising with our partners in India to send these out as soon as possible. We will be providing updates as soon as they have been shipped and arrived.

If you haven’t already, please Help India Breathe by donating whatever you can to help an entire nation in crisis.  We still have a long way to go to reach our goal of £100,000!

Can You Swap Shares Without Any Tax Charges?

Share for share exchanges are very common and are used for various commercial reorganisations. These exchanges often occur when forming new holding companies in order to transfer assets out of the original company.

In order to ensure the transaction is tax neutral and does not succumb to any capital gains tax, stamp duty or income tax, these exchanges need serious consideration and thought, you will often need experienced professionals like Samera to help you through the process. 

Share For Share Exchange 

A share for share exchange is when a company transfers shares to someone in exchange for shares in another company. These exchanges often occur when forming new holding companies in order to transfer assets out of the original company. New shareholders can be introduced or the shareholders can be the same in the new and old companies.

How Our Qualified Experts Can Help You

  • We specialise in helping private companies, private practices, directors and shareholders. 
  • Not only can we advise you what to do but we have also seen many before you make countless mistakes that you can avoid.
  • We handle new company holdings and de-merges.
  • We also deal with shareholder resolutions and we can draft the agreements necessary to obtain the HMRC tax clearances, working alongside specialist solicitors

What You Need for a Share for Share Exchange 

There are a few things that are mandatory for a successful exchange, including an exact time frame, a qualified tax advisor as well as the following:

Shareholder Approval 

It is mandatory for you to get the approval for the transaction from your shareholder for this exchange to proceed. This does not have to be done by you completely, the team here at Samera will be able manage any compliance issues including board approval and shareholder resolutions. 

Shareholder Considerations

Although the shareholders do not receive any cash, HMRC will look to subject the share transfer to tax. Regardless of this, there are a number of legitimate tax legislation reliefs which legally enable shareholders to minimise any liability to tax or defer any tax until a physical sale of the shares occurs. 

Documentation

There is a lot of documentation that is accompanied with these types of exchanges that can put people off but thankfully we can sort a lot of that out for you, leaving you to focus on the things that really matter.

We handle a variety of aspects of the exchange including:

  • The revised articles or shareholders’ agreement.
  • The clearance application required from HMRC.
  • Shareholder resolutions.
  • Stamping documentation.
  • Dealing with HMRC, including reporting and payment of any taxes 
  • The consultation with any employees affected as a result of the reorganisation. 

Execution of Share for Share Exchanges 

The uses of share for share exchanges are extensive enough to cover various situations. If this is the path you decided is best for you and your business, we have compiled a set of necessary background considerations. 

Share for Share Commercial Exchanges 

In our extensive experience here are the most common scenarios of share for share exchanges we have come across:

  • Creating distributable reserves.
  • Restructuring and streamlining ownerships.
  • Managing the planning of succession.
  • Mediating and settling shareholder disputes.
  • Ring fencing liabilities.
    (This scenario is particularly popular within the tech industry)

Approaching Share for Share Exchanges 

If this service looks like something that would interest you, your shareholders or will benefit your business, get in touch with our in house experts here at Samera. The team will happily guide you and offer you expert advice and tips that aid this process. This does not have to be stressful and expensive, the structure of share for share exchanges can be very flexible. The approach and structure for your exchange will be heavily dependent on the circumstances. 

Scheme of Arrangement

A scheme of arrangement involves the process of a court cancelling an existing company’s entire issued ordinary share capital. Due to the court process, schemes of arrangement are not very common. 

Share for Share Exchange FAQ’s

These questions are very common and need answering before implementing the share for share exchange. 

Is Business Assets Disposal Relief Preserved?

During a share for share exchange, you may lose Business Assets Disposal Relief / entrepreneurs’ relief if there is a future disposal of the holding company’s shares. However, we have compiled a few ways that you can preserve your entrepreneurs’ relief.

Your can preserve your Business Assets Disposal Relief if:

– The company is a holding company of a trading company.

– The shares before the exchange have been held for at least 12 months and represent 5% of the new holding company’s issued share capital.

What is the Position for Option Holders?

Share plan documentation and plan rules are absolutely vital when addressing what happens to share rights of option holders. Without this being concrete before the exchange, the scheme of arrangement or share for share exchange may unintentionally trigger the early vesting or exercise of rights.

You need to review employee share option plans before beginning to implement the share for share exchange to eradicate any implications that may arise.

Is Stamp Duty Payable?

Stamp duty exemption on a qualifying share for share exchange only applies in certain cases, otherwise stamp duty is payable by the new holding company at a 0.5% rate. 

Usually HMRC offer a stamp duty relief for the new holding company when: 

  • The new holding company acquired all, not just some, of the existing company’s issued share capital.
  • The consideration to the existing shareholders is the granting of shares in the new holding company.
  • The shareholders of the existing company acquire the same percentage and class of shares in the new holding company following completion of the exchange.
  • The share for share exchange is for commercial reasons and not for tax avoidance.

Should the shareholders complete a hold over elections?

Depending on your personal circumstance, we may recommend the use of hold over elections.

A hold over election defers a charge to capital gains tax which may arise as part of the share for share exchange until the shares are completely disposed of and proceeds are received. 

Hold over elections also need to be reported to HMRC in order to be as effective and binding as possible.

Impact for SEIS and EIS investors under the share for share exchange

In most share for share exchanges, EIS shareholders lose their tax reliefs on disposal within three years of their acquisition. When shareholders swap shares, the shares end up holding in a completely different company, which is why share for share is considered as a disposal. However, HMRC will not consider the shares ‘disposed’ after they are transferred, which may preserve income tax reliefs in certain situations.

These situations include:

You obtain HMRC clearance in advance.

The new holding company acquires all, not just some, of the existing company’s issued share capital under the scheme of arrangement or on a share for share exchange.
The only issued shares in the new holding company are owned by the subscribers.

Can a clearance as to tax neutrality be obtained from HMRC?

You can apply to HMRC for a tax clearance as there are no capital gains tax arising when shareholders swap shares in one company to another company. The clearance will also be able to confirm that there is no income tax liability that your company will have to pay. 

Contact us for more information 

If you are looking for someone to help your share for share exchange proceed as smoothly as possible, then please get in touch with our experts here at Samera Business advisors. Our team will happily guide you through the process, take care of the due diligence and HMRC communication and can make the process of your share exchange as seamless as possible. 

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

What Does the Super-Deduction Mean for Dentists?

From 1 April 2021 until 31 March 2023, any businesses investing in qualifying new plant and machinery assets will be able to claim:

  • a 130% super-deduction capital allowance on qualifying assets and machinery investments
  • a 50% first-year allowance for qualifying special rate assets

The biggest business tax cut in modern British History

This super-deduction allows companies to cut their tax bill by up to 25p for every £1 they invest. With this scheme in place, companies are expected to benefit to the tune of £25 billion over the next two years. As the pandemic has released many economic shocks throughout the UK accompanied by much uncertainty, this super-deduction tax relief will encourage many businesses to spur investments that will help them grow and get back on track. However, the deduction will only apply to “companies investing in qualifying new plant and machinery assets” rather than intangible assets.

The super-deduction allows any limited business to deduct the full value of qualifying assets from profits before tax. Rather than over several years, the full tax relief is received the same year the assets are purchased, therefore reducing your tax liability. This scheme will provide significantly faster tax relief for investments up to £1 million, further helping businesses expand, invest and grow. 

Corporation tax is a tax on profits only, not turnover. Therefore, it is only a tax on businesses that are thriving. Although many businesses have struggled during the rise of COVID-19, many businesses have also had a lot of support from the government over the last year, as the government’s relief measures have meant that companies haven’t had to draw from their own reserves. and there will be more businesses statistically thriving than a lot of people may realise. 

The super-deduction will end in 2023, which means companies have two years to take advantage of this scheme before the super-deduction window of opportunity slams shut. After march 2023, corporation tax will rise to 25%, so the government can begin to earn back some of the money that was spent during the height of the pandemic. Rishi Sunak explained how the increase of corporation tax is “fair and necessary” in order for businesses to contribute to the UK’s recovery due to how much support they received throughout the pandemic. 

Click here to read our articles on Samera Learning centre.

Example Super-Deduction

Below you can find an example of how this super-deduction can benefit your dental practice. In this example, we take a look at the difference in tax savings when a sample dental practice invest in inventory on or before 31st March 2021 compared to on or after 1st April 2021.

Date of Purchase31st March 20211st April 2021
Cost£2.5mil£2.5mil
Inventory allowances:
£1mil at 100%£1mil
£1.5mil at 18%£270K
£2.5mil at 130%£3.25mil
Total allowances available£1.27mil£3.25mil
Corporation tax benefit at 19%£241.3K£617.5K
Tax saving£376.2K

Contact Our Asset Finance Team

Before this amazing tax opportunity ends, we urge businesses, especially dental practices to increase your investments while you get the 130% tax relief. Two years will fly by quicker than you know. By then the tax relief door will be slammed shut and corporation tax will increase. The benefits to your business will be endless. If you are interested in investing in assets for your business with the 130% tax relief, get in touch with our in house experts that can help you with the asset finance you may need. The team here will happily guide you through the process and offer advice and tips that will be integral for your business to thrive during this opportune moment. 

Click here to find out more about our Asset Finance services.

Commercial Loans for Healthcare Businesses

We’ve been helping to fund the future of British healthcare businesses for over 20 years and our team are made up of former bankers with decades of experience in the UK’s healthcare lending sector.

You can find out more about working with Samera and the financial services we offer by booking a free consultation with one of the Samera team at a time that suits you (including evenings) or by reading more about our financial services at the links below.

For more information on raising finance for your healthcare business, including more articles, videos and webinars check out our Learning Centre here, full of articles and webinars like our How to Guide on Financing a Dental Practice.

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2021 Year End Tax Planning – Can you become an ISA Millionaire?

It’s that time of year again when one needs to consider all their tax saving options.

In truth, there are maybe two major things you need to be considering, ISA and pension contributions.

If you have not contributed to either of these, then it’s definitely worth considering. My personal favourites are ISA’s as you can still have an instant access to the cash, yet income and capital growth is tax free.

If you invest wisely, it’s possible to build a very large ISA holding which you have not paid any tax on at all – on the income or the capital growth. Your goal should be to build a large ISA holding and if you start early in your career, it’s pretty likely you can become an ISA millionaire!

Don’t forget about Junior ISA’s too

In addition, if you have children, make sure you are using their junior ISA allowances too. Currently, you can invest up to £9000 tax free into a junior ISA – again a no-brainer if you are thinking of saving for their futures.

Of course, pensions have the benefit of providing tax relief but you cannot access the funds until 55.

Both offer excellent options to be tax efficient, so if you have not used your allowances this year and have cash to invest, start with either (or both) of these two options!

Summary of details below:

ISA v pensions-
Benefits at a glance
ISAPension
Can I have instance access?

Yes
No access before age 55 unless due to severe ill health or protected retirement age
How much can I pay in?

£20,000 each tax year£3,600 gross or 100% of net relevant earnings (whichever is higher) subject to annual allowance limits
(currently £40,000 but can be lower for high earners)
What is the tax treatment in the fund?

Tax-efficient growth Tax-efficient growth
What tax relief is available on your contributions?

NoneImmediate 20% available

Higher/additional rate taxpayers can claim further relief via self-assessment
What happens on death?Full value is included in your estate for Inheritance Tax (IHT) purposesPension funds not currently included included in estate for IHT purposes

Death benefits are tax free if paid before deceased’s 75th birthday, but subject to beneficiary’s marginal rate of tax if deceased was over 75 at date of death

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

2021’s Budget Impact on UK Dentists

We have reviewed yesterday’s budget and have provides some further detail, along with our own viewpoints on the announcement and its impact on the UK’s dentists.

There are some significant changes which will play out over the coming months and years. In addition, it does look like things have been made more complex by the new introduction of both some old and new concepts into the tax system.

We’re here to help, so get in touch!

Corporate Tax Announcements from the Budget

Increase in Corporation Tax rates

  • The Chancellor in his Budget recognised that business has benefited from unprecedented support during the Coronavirus. In the spirit of fairness, it therefore recognises the role that business have in repaying the historical borrowing costs, by raising the level of corporation tax from 19% to 25% from 1 April 2023.
  • This higher rate will apply where company profits are in excess of £250,000, with the low rate of 19% being retained for those with profits under £50,000. For those companies with profits between £50,000 and £250,000, there will be marginal relief applying to bridge the gap between the lower and upper limits.
  • These limits will be divided by the number of associated companies; in other words, where one company controls another or both are under the same control. This associated company definition is also going to replace the 51% group company test previously used to identify which companies are required to pay tax by quarterly instalment. This may well increase the number of companies being required to pay tax by instalment and the cash flow impact of this will need to be considered.

Samera’s Viewpoint

This is a return to the days of pre-2014, when multiple rates of corporation tax was last in use. However, the level at which the higher rates apply is much lower (£250,000) compared with £1,500,000 back in 2014. 

This means that more companies will be drawn into paying the higher rate of corporation tax, than in 2014. This will make it increasingly difficult to predict future corporation taxes.

Temporary extension to carry back of trading losses for Corporation Tax

  • This is a welcomed cash-flow benefit for all companies and unincorporated businesses that may now be able carry back losses, that have arisen recently due to reduced demand for their goods and services, to earlier years. The current rules are restricted to only offsetting losses to the previous 12 months profits.
  • The measure applies to companies with accounting periods ending in the period 1 April 2020 to 31 March 2022, and for tax years 2020/21 and 2021/22 for unincorporated businesses. 
  • The effect of the measure will to be extend the period for which the trading loss can be carried back against earlier profits and will be extended from the current one year element to a period of three years, with losses being carried back against later years first.
  • Although there are no restrictions on the amount of the loss to be carried back to the previous year, there will be restrictions on the amount of losses to be carried back to the earlier two years, where a £2m cap will apply for each of the two year periods to 31 March 2022. The £2m cap will apply to groups, where the limit will be shared, and this will need to considered in detail and the submission of a formal allocation statement. There are also measures introduced to allow certain loss carry backs to be claimed outside the company tax return.

Samera’s Viewpoint

This is a welcome cash boost to taxpayers whose profits may have been fundamentally impacted by the COVID-19, which could provide an immediate cash-flow injection. 

However, the measure also introduced more complexity to SME’s in managing their tax affairs with the interaction of the cash-flow boost, impact on R&D claims they may have made and the fact that there is now a small company corporation tax rate.

Super-deduction for companies investing in new plant and machinery

  • The Chancellor has announced a new tax deduction aimed to stimulate investment by UK companies.
  • Between 1 April 2021 and 31 March 2023, companies will be able to claim a corporation tax deduction at 130% of qualifying expenditure. This has not been extended to unincorporated businesses, or other structures such as LLPs.
  • This measure only applies to main rate pool assets, but 50% deduction also announced for expenditure on most new assets that would ordinarily qualify for 6% special rate pool.
  • Although this is a welcome announcement, , the complexity is in the small print. This measure, in particular, is a super-complex super-deduction. 
  • Further complexities arise where assets are sold having previously benefitted from the super-deduction.
  • Timing for expenditure is going to be key. Whilst we would encourage companies to delay expenditure until April, contracts entered into before 3 March will not benefit from the super deduction even if the date of the expenditure is delayed.
  • Whilst the rate of super deduction does not appear to be affected if expenditure is incurred in accounting periods which straddle 1 April 2021, the rate of deduction is reduced for periods straddling 1 April 2023. It may be worth considering changes to accounting periods to mitigate a loss in the deduction if expenditure is planned to be significant in late 2022 or early 2023.
  • Additional conditions will be imposed on expenditure on assets acquired under hire purchase or similar contracts.

Samera’s Viewpoint

From a cash flow perspective the benefit of the enhanced deduction, whilst welcome, will not be felt until the company is due to pay its corporation tax liability. This again introduces increased complexity to the tax system which will make it harder for SME’s to plan.

Temporary increase in Annual Investment Allowance

  • There was confirmation that the Annual Investment Allowance will increase from £200,000 to £1m from 1 January 2021, for expenditure on plant and machinery incurred during the year ended 31 December 2021.
  • This is another boost for businesses who will be able to obtain a 100% tax deduct when they invest in plant and machinery. 

This temporary increase together with the announcement of the super deduction, could play an important factor to help kick-start business investment, and may also attract foreign companies to invest in the UK.

Personal Tax and Private Client Announcements from the Budget

Self-employed grants for the newly self-employed in 2019/20

  • This group of individuals missed grant funding when COVID-19 hit, as they had no proof with HMRC that they were self-employed.
  • Provided their self-assessment returns for 2019/20 have now been filed, these individuals can now claim the 4th and 5th grants. 
  • 4th grant covers period from February until April, available from late April and 5th grant covers May until September, to be claimed from late July.
  • 4th grant available will be 80% of three months’ average profits, capped at £7,500 paid out in a single payment. 
  • Final grant will be based on a turnover test, so more targeted. Those whose turnover has dropped by at least 30% will be eligible to claim up to 80% of a three month average trading profit, but those whose turnover has not dropped as much will only be eligible to claim 30%, capped at £2,850.   
  • It has been confirmed that grants are taxable in the year in which they are received.
  • As this is taxable income, possible knock-on effects are that it should be pensionable income, but could also impact on things like the clawback of child benefit.
  • Finally some support for a group of people who fell into no man’s land from March last year. 

Temporary extension to carry back of trading losses for Income Tax

  • Trading losses made by unincorporated business in tax years 2020/21 and 2021/22 will be eligible for loss carry back relief.
  • The losses can be carried back against the profits of the same trade for a period of three years instead of the usual one year period.
  • A £2m cap will apply to the extended carry back of losses for each tax year.
  • With temporary closure of businesses during the national lockdowns, this measure could prove to be an additional lifeline for some unincorporated businesses to obtain tax repayments from prior years to ease cash flow.

Capital Gains Tax (CGT) – Annual Exempt Amount will remain at current level to April 2026

  • There will be no increase or reduction in the tax-free amount for Capital Gains Tax from the current level until April 2026. There was considerable speculation this may change but this has not occurred as yet.
  • This annual tax-free amount will therefore remain at £12,300 for individuals, personal representatives and some Trusts and £6,150 for all other Trusts.
  • Private clients are now in a position to carefully consider their assets in the round to make decisions when selling their assets or passing their wealth on to the wider family.

Stamp Duty Land Tax (SDLT) – extension to the temporary SDLT holiday

  • Up to the end of June 2021 there will be no SDLT on the first £500,000 for purchases of homes in England and Northern Ireland, where this is the purchaser’s sole residence. The 3% surcharge will remain in place if this will not be the purchaser’s only residential property or if the purchaser is a company.
  • From 1 July to the end of September 2021 the holiday amount reduces to £250,000.
  • Importantly both the new dates of the end of June and September are ‘cliff edges’ so a purchase must be completed to take advantage of the SDLT holiday.
  • This is not only a great boost for those people seeking to get onto the property ladder, especially in conjunction with the news that 95% LTV mortgages will soon be available again, but also good news for those looking to move.
  • In addition to this, for those people with a personally held rental property portfolio it extends the timeframe to consider whether incorporating their property business is worthwhile whilst there is not a punitive upfront SDLT charge to doing so.      

Inheritance tax – nil rate band frozen

  • The Chancellor did not announce any changes for IHT other than to freeze the nil rate band of £325,000 and residence nil rate band of £175,000 until April 2026. The nil rate band has now been frozen at the same level since 6 April 2009, resulting in increasing numbers of estates being brought within IHT, particularly in London and the South East. This measure is expected to raise £985m and highlights the need to take timely advice.
  • We may see further announcements as part of “Tax Day” on 23 March 2021, particularly regarding simplification of lifetime gifts and the interaction of IHT with Capital Gains Tax.

Employment Tax announcements from the Budget

Extension of furlough arrangements

  • Scheme extended to 30 September 2021.
  • Currently employer claims 80% of reference pay.
  • Employer will be required to contribute 10% from 1 July 2021, and 20% for August 2021 and September 2021 (with the employees still receiving 80%).

Samera’s Viewpoint

This measure will ensure employees are no worse off than currently but will increase the cost burden for the business as the scheme winds down to 30 September 2021. 

National Living Wage changes

  • From April 2021, NLW will increase by 2.2% to £8.91 per hour.
  • This was previously for workers aged 25 and over, but now it will apply to workers aged 23 and over.
  • This will add to employer costs which may inadvertently impact jobs.

Samera’s Viewpoint

Again this is an extension to bring further employees within scope in the 23-25 age range.

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

Rishi Sunak’s Budget Update

The Dental Business Guide Podcast Episode | 3rd March 2021
Arun Mehra

Good afternoon. It’s Arun Mehra here on the 3rd March from the Dental Business Guide and I’ll be talking to you about the budget that was announced earlier today by Rishi Sunak. Now, there was a lot of expectation around this budget, with various bits of information being leaked before the budget. But now more details have emerged today and I’m just going to give you a quick summary of the key points that I think affect the dental sector in particular.

As more information comes out, I will be sharing more information on our websites and maybe on this podcast as well. 

So firstly, in respect to the Coronavirus support that’s available from the government – certainly furlough has been extended until the end of September and the government will continue paying 80% of employees salaries for the hours they cannot work.

Employers will have to then also contribute 10% in July and 20% in August and September. So, as we expected, this is something that will help businesses generally for people who’ve got people on furlough, which will pay for them. In addition, support for self employed will also be extended until September.

Now interestingly, I think we are coming out of this pandemic, by the end of June, hopefully, when all the restrictions will be lifted. But this is going to go to the end of September as businesses will reopen. So that, I guess, is a positive sign. 

Now in terms of the state of the economy, and generally about the finances, we saw the economy shrink by about 10% in 2020. There is an expectation of it to rebound. And the Treasury’s hoping in 2021, the annual growth rate will be around 4%, which will hopefully then grow even beyond that after 2021. 

Current borrowing at the moment just out of interest is around £234 billion for the period 2021-22.

Now, the all important area of taxation. I know a lot of our clients are always interested to understand what’s the impact on them, on their personal taxes, on their personal take home pay. There’s been no changes to the rates of income tax, National Insurance, or even VAT. The personal income tax allowance has been frozen at the current rate at 12,570 from 2022 all the way to 2026.

However, that’s likely to change I guess, as we go along – that’s a long time away to happen. In addition, high-rate income tax threshold has also been frozen at 50,270 until 2026 as well.

The area that has changed (and this is a significant) area is that corporation tax will be changing. So by 2023, the highest rate of corporation tax will be 25%. Now, what does that really mean? I suppose there’s a kind of a taper here. So that the companies that are earning a lower rate of tax will still be taxed at 19%. And that’s the vast majority of companies and those companies who are earning under 50,000 pounds a year. But companies who have a high profitability, they’re tapered up to the rate of 25%. So anyone earning in excess of profits of 250,000 pounds, I believe, will be taxed at 25%.

In addition on the tax side of things, the stamp duty holiday on house purchases in England and Northern Ireland had been extended to June, which was kind of what we expected as well. And there will be no changes on inheritance tax or lifetime pension allowances, or even capital gains tax – because I know there was a lot of concern about capital gains tax changing. And an entrepreneur’s relief perhaps being removed – that has not happened thus far in this budget.

And then I suppose finally some other aspects on the business side of things is government really wants to encourage business. That’s what kind of the message I got from this, whether it will have the impact of what it desires – that’s another story. But one of the things he’s trying to do is encourage people to invest in equipment, invest in infrastructure, invest in new items.

They’re saying if for instance, you’ve invested 10,000 pounds in equipment, you’ll be able to get 130% of that, 13,000 pounds worth of that, as a deduction in your tax bill. So that’s a huge incentive. If you’ve got to kit out a dental clinic or business, you’re doing a new surgery, there’s a huge investment opportunity or a tax opportunity to reduce your tax bill as well.

In addition, there’s the other area to look at – business rates. The holiday for that continues in England until June with, 75% discount after that. 

So, I suppose in summary, we are in a pandemic, still, I think they’ve tried to minimise the impact of tax rises on income tax personal, especially individual.

Inevitably, there will have to be some tax rises, that’s going to impact the larger corporates in a couple of years time.

I guess we will see and hopefully we will grow back. One last thing I haven’t mentioned is they want to encourage and train people in more business knowledge, business acumen to help businesses grow on the digital front and also in just general management side of things as well. 

So some new incentives and new schemes that are being launched there today, which are worth looking for. And you can find out about those on gov.uk/helptogrow

So in summary, an interesting budget. I suppose there will be some deductions and benefits for businesses out there. It’s good that income tax hasn’t risen. Corporate tax will be impacting on the larger businesses in a few years time.

Hopefully, this will encourage the economy to grow and to get back on its feet post pandemic. Now if you have any questions on this or want further detail, get in touch with me via the samera.co.uk website and I look forward to hearing from you soon. Okay, and check out our next podcast soon.

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

Diversity in Dentistry in the UK

Is Dentistry as Diverse as You Think It Is?

Try to think about what your dentist looked like when you were younger, can you remember? Was your dentist a male? Was your dentist a person of colour? If I was a betting man, I definitely know what I’d bet your dentist looked like. 

Even though we are now in the 21st century and we have come a long way in our fight for equality and diversity in dentistry in particular and the wider workforce in general, this article will investigate whether that really is the case in the UK. 

Dentistry, like many other healthcare professions, has struggled with the historical legacy of being conceptualised as a profession dominated by white males. It is widely acknowledged that there are many social benefits to having a multicultural health force but dentistry is one healthcare field that even now, in the 21st century, is still lacking the diversity it needs to represent the population.

Now the question we all want to know is, has that changed now? In 2021, are we still stuck living in the stereotype that all our dentists will most probably primarily be white male?

A Diverse Dental Workforce

Ensuring a diverse dental workforce is absolutely critical to the success of the profession. When dentists are both male and females from all types of backgrounds, ethnicities and races, it makes the care the profession provides inclusive and better for both patients and staff.

Many people have been under the assumption that being in 2021, we were progressing and we’re heading towards a more diverse society promoting as many opportunities for all those from different backgrounds to succeed at any profession they may want to pursue in a fair way. What re-sparked tabloid interest in this specific subject matter and shed much needed light on the fact that we may not be progressing as much as we should be, is the Black Lives Matter protests. They reminded us all that as a society within the UK, unconscious bias and prejudices still exist throughout our workforce. So is this inequality portrayed within the world of dentistry? 

Many minority ethnic groups including black British dentists and dental care professionals are widely under-represented in the UK workforce. The cause for this itself is multifactorial which we won’t look into in great depth, the fact alone represents that dentistry in the UK is not as diverse as it may be perceived. 

So, What Does This Mean? 

The facts state that these groups are underrepresented within Dentistry, but that doesn’t mean that the industry itself is not progressing to be more diverse. 

Over the last ten years, the focus of the government has been to improve the social diversity of the medical and dental workforce. The data suggests that there is progress being made, while it may be minute, the progress is excelling. Statistics show that people of minority ethnic groups, females and all those from BAME backgrounds are slowly entering the healthcare workforce changing their representation statistics. 

Women in Dentistry 

In 1999 there were not many female dentists at all let alone any ethnic diversity to exist within the industry. The change over the last two decades has shown immense progression within the entire dental industry.

The age of women not being able to find quality jobs has come a very long way over the years. While employment has improved, the wage gap between men and women still very actively exists. The surge in women-owned businesses in 2018 has proven to be driven by a combination of both necessity and the increased opportunity available.

The increasing number of women pursuing careers in dentistry is shifting the demographic makeup of the dental workforce.  

While the number of women working in NHS dentistry is steadily rising, there may be a reason as to why we aren’t seeing an increase in the amount of female dental practice owners. This is because statistics show that only 45% of female dental associates intend to leave the NHS while 66% of their male counterparts do intend to leave the NHS and go into a private dental practice.

A similar trend is also portrayed with the statistics accumulated by those in the dental industry. These statistics show that the percentage of male dental associates who have aspirations of owning their own dental practice is double the number of females who have aspirations to own their own dental practice, which explains why many dental practice owners are male.

These statistics portray that maybe success in dentistry isn’t limited to gender, they simply have different aspirations and more female dental associates and practice owners are happier to work under the NHS than their male counterparts and those who are associates are less motivated to have any practice ownership aspirations. 

It is widely acknowledged that there are many social benefits to having a multicultural health force, including ensuring that there is less of a barrier around access for underrepresented BAME groups. Despite the growth over the last decade or so, certain healthcare professions, more specifically; dentistry, have struggled with changing their historical legacy of being conceptualised as a ‘white’ profession and the question or whether it is ethnically representative of the public it serves. 

It is important for dental practices to continue to diversify their teams and to remain inclusive and supportive at all times. As a dental practice owner it is your job to protect your patients and your staff through effective regulation. 

What is Your Dental Practice Responsible For?

To ensure that your practice should operate without prejudice or discrimination and should be both inclusive and supportive at all times. Staff members as well as patients should be treated fairly irrespective or any personal circumstances of background.

It is the overall responsibility of the dental care provider and manager to provide a welcoming, informative and supportive practice for both patients and employees. Every practice should operate without any prejudice or discrimination and should be inlcusive at all times. Everyone in the practice including both staff members and patients should be treated fairly irrespective of any circumstances or backgrounds.

Every employee and potential employee should have access to fair recruitment programs, the working conditions should be the same for everyone and all people should have equal employment opportunities. 

This means that all patients and all staff should be treated fairly and equally by the employer and registered manager of care. 

Going forward…

Diversity means being inclusive to all aspects of race, gender, disability or sexuality and we have to be open to the fact that although things are progressing, they could definitely be better. If we do not have a diverse leadership within the industry, we run a real risk of disengaging younger colleagues who will then feel like they do not fit. If you cannot see it, you can’t be it, if women aren’t women or those of ethnic minorities, will these aspiring dental practice owners even be able to believe that it is achievable? If they cannot see it, they will not believe it’s possible. 

The increasing number of women and many ethnic minorities pursuing careers in dentistry is shifting the demographic makeup of the dental workforce. It allows for many opportunities for growth and innovation within the industry consisting of varying backgrounds and perspectives. 

Starting a Dental Practice: Get Started

We’ve been helping the UK’s dentists start their own practices for nearly 20 years and we know exactly what it takes to make your practice a success!

Our Dental Practice Start-up Programme is a hands-on consultancy service designed to take you through your whole journey to becoming a dental practice owner. Book a free, no-obligation consultation with one of our team at a time that suits you (including evenings). We’ll call you back and have a chat about how we can help start your dream practice.

Contact us today for all the advice, support and expertise you’ll ever need to start a dental practice.

Learn More: Starting a Dental Practice

For more information please check out the articles and webinars in the start a dental practice section of our Learning Centre, like our guide on How to Start a Dental Practice in 13 Steps.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

How lenders want you to manage and develop a start up

In order for a lender to approve an application for finance for the purchase of premises for a squat, build work or equipment, they require a mandatory background check on you as well as the plans for your business, but they have certain internal guidelines that they want you to adhere to when formulating your plans.

The Current Lending Market

During the rise of the pandemic, many lenders have withdrawn from this market as they see the startup proposition as too risky. There is no doubt that they will return to the market in the next few months however, in the meantime other avenues of finance have to be utilised.

With the bad also comes some good as sourcing a site has become a little easier recently with the changes to the planning designations as, in many cases, has now removed the need to obtain a change of use for the property in turn, saving you a lot of time.

What lenders are looking for

They will be looking for you to only set up one surgery in its entirety at the outset as generally for most squat practices the number of clients will be minimal initially and this will grow over time. The logic of this is clear in that there is little point in setting up 2-3 surgeries with all the necessary equipment as the expenses of this are then wasted when they are not used.

They will be happy however to allow you to divide the property during the refurbishment and install the correct fire doors, flooring, water, and electricity supply to the additional surgeries. This means that as the practice grows it is possible to expand by fitting an additional surgery quickly.

They will want you to obtain 2-3 build quotes and would prefer that you use an experienced dental builder who has a good history of work in the dental sector and may be known to the lender. They will also want the build to be sensible keeping costs as low as you can without compromising the quality and finish that is required. 

You need to look carefully to ensure that all fire requirements and ventilation levels meet new requirements to deal with Covid-19. These should be reviewed carefully with regard to air filtering to reduce down times and ensure that all the various standards set by CQC are achieved. It is also important to look carefully at the cost aspects of your dental practice such as waiting room interior, reception desks and any other decoration and ensure it is of a good standard within your budget.

The same applies to equipment costs, you should shop around first to compare different prices to ensure you opt for the best price for the equipment you need. If it can be deferred to a later date do so to ensure that you keep your fixed costs at the outset as low as possible.

Financial Projections

The financial projections that lenders require must be in a well laid out format showing both profit and loss and cash flow for a three-year period which will identify the way the business will move forward for both parties involved. With limited income and plenty of fixed costs on the day of opening, losses will probably be incurred in the first few months until income grows to a level sufficient enough to break even and then make profit. This turnround to profit usually happens around 6-8 months of the practice opening. 

Tips to reassure a lender

So, how can you reassure the lender this will be a success:

  • Try and negotiate a rent-free period of leasing to enable you to complete the work and open.
  • Seek an interest only period from the lender if possible.
  • Keep staff costs down at the outset and employ a nurse and receptionist only.
  • Maintain an associate role elsewhere – you may only be at the new practice 1-2 days in the first few months – working elsewhere for the rest of the week will bring in income to cover household expenses if necessary and provide funds to inject into the business to cover initial losses.
  • Have spare funds available to cover any losses, these can be put into the business at the outset.
  • Robust plans for marketing and branding your business. Start marketing once the build begins.
  • Plan to use professionals – Dental builders / solicitors / accountants / brokers.
  • If bringing clients or extra income into the business at the outset – set out who they are and why they are coming – check your associates contract to ensure no conflicts of interest.
  • If more than one dentist is involved, then this assists income / work share. 

Utilise the skills and knowledge of others to assist you in this venture, they have seen the challenges before, and they have dealt with them and know what the lenders want from you and the plans.

Work with people or firms who have experience of start-ups. Attending courses will help prepare you for the challenges you may face. 

If you ensure that you control costs and carry out the proper investigation of competition, location and use professionals with experience of the sector and you obtain accurate and realistic projections, you will provide yourself with the best chance of obtaining finance and of starting a successful dental practice.

Starting a Dental Practice: Get Started

We’ve been helping the UK’s dentists start their own practices for nearly 20 years and we know exactly what it takes to make your practice a success!

Our Dental Practice Start-up Programme is a hands-on consultancy service designed to take you through your whole journey to becoming a dental practice owner. Book a free, no-obligation consultation with one of our team at a time that suits you (including evenings). We’ll call you back and have a chat about how we can help start your dream practice.

Contact us today for all the advice, support and expertise you’ll ever need to start a dental practice.

Learn More: Starting a Dental Practice

For more information please check out the articles and webinars in the start a dental practice section of our Learning Centre, like our guide on How to Start a Dental Practice in 13 Steps.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Free Resources

The most excitement I seem to get these days is going to Tesco’s New Malden. Currently, I am living where I grew up, and going to Tesco reminds me of my school days, as my old school, Raynes Park High School, is right next to Tesco’s.

During those school days, most lunchtimes, we would head there looking for a deal or two on cheap cakes or pastries. Nowadays, I am excited just with the prospect of walking around the aisles.

So, in the vein of getting a good deal, I thought I would list in this blog a whole host of free stuff you can access from us.

I am privileged to have a fab team that enables us to provide a lot of this free content, so do access it and read/watch – it’s there for you to use and benefit from.

It’s 20 years of experience and advice distilled into digestable bits.

Free Stuff

Most of the stuff is on either of our two main websites

Samera.co.uk – Our UK centric site

Samera.co.uk/events/ – Our webinar membership and events site.

The Dental Business Guide Podcast – Our brand-new free podcast, hosted by the Samera team and designed to teach dentists for to build a better business.

The Samera Learning Centre – a whole host of articles and videos for dentists on finance, business and marketing at whatever stage of career you maybe at. We have visitors from across the globe using this content.

Free Virtual Calls – As we are all locked down, we have found having virtual calls a real saviour. Whatever your issue you can book a free call with us to discuss your business needs! We do offer evening calls too!

Social Media Channels

We are active across all channels but the ones I would stress you look at and join/subscribe/follow are the three below – we do get a lot of valuable positive feedback on this content:

Dental Business Growth Facebook Group – This has almost 800 members from around the world and we are growing this and sharing ideas and thoughts here regularly. Please do join, we are happy to share and engage on here! Ask your questions, we will help!

Samera Youtube Channel – All our video recordings, with yours truly head lining it.

Samera Instagram Channel – Luckily this is managed by my team, so again some good stuff is shared here!

Overall, there is a lot of experience across all these channels, we hope you find these free resources useful, and whilst it may not be as sexy as a Netflix series, it will certainly help you financially and with your career!

Making a Business Interruption Insurance Claim

As a result of the recent Supreme Court announcement that small businesses can make a business interruption claim, this is good news for our Dental clients and other SME’s.

We have detailed the steps you need to consider when making a Business Interruption Claim.

But now the time has come that you need to file an insurance claim and you’re wondering, ‘how do I go about a business interruption insurance claim?’ Let’s look at the best tips that can help you during this process. 

1.Make a Plan 

A successful insurance claim takes preparation. It is best to plan ahead of time in case the worst does happen and you have to file an insurance claim. Preparation is key, this means keeping receipts, prior to anything happening, for all things that are insured and keeping your policy documents safe.

If you have insurance on valuable objects, it is a good idea to take photographs showing their condition. The more you are prepared, the easier your claim will be. 

2.Gather Evidence

Always document the damage! After your business experiences something unfortunate that requires an insurance claim, be sure to collect as much evidence as possible to pass on to the insurance company.

Make sure that you take photos and videos of everything, the more evidence the better. Your priority should be to ensure that you get an accurate idea of everything that has gone wrong. Having provisions in place such as installing surveillance equipment will allow you to record the damage.

Taking pictures after the fact is always as useful as before. ‘Before and after’ photographic or video evidence will help you a lot during your entire claim. Not only to show damage but to also compare with the repairs afterwards. You should also make a note of any people who were present to witness the event.  

3. Report and State the Facts

If you are claiming for something that has been stolen or vandalised, a report of the incident should be filed with the police first. There are often two main people you will need to report an incident to; the police if a crime has occurred on your business’s property, and your insurance company.

Remember, with most claims, the process is easier if you know the entire story factually with no missing details and you know as many specific details as possible. It is often best to write these details down such as: times and dates, exactly what happened, what you are claiming for and details of everyone involved (if anyone). 

4.The Importance of Accounting in a Business Interruption Insurance Claim

It is essential that you present your accounting information in a way that will be able to maximise the possibility of the best pay out for you. Hiring an accountant to help you properly file the documentation for your business insurance claim may be helpful to you. In many cases, an accountant can accurately help you evaluate the losses and highlight what the insurance company should cover, helping ease the process of the insurance claim. 

This is especially the case in respect of a Business Interruption claim and essential if you are serious about claiming what you are due.

Every claim is different, and quite often the level of the payout is down to how the financial impact has been documented by your accountants, therefore its essential an accountant understands your loss and then paints the full financial story of how your business has been impacted.

Samera will be able to help you if you need assistance with your insurance claim, contact us today or book a consultation to find out more.

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

How Samera Makes Dental Accounts Simple

Covid-19 revolutionised the way many businesses operate overnight, forcing many into the digital world. Accountancy was no exception to this.

Like many office occupations, accounting is one of those that is heavily dependent on the use of paper. Heavy into social contact and very heavy into how many hours are spent in the office.

But instead of wasting time trying to react to the change, here at Samera Dental Accountants, we believe in getting ahead of the changes that are occurring and embrace them by creating a more proactive mindset and approach.

Everything Changed in 2020

2020 was the year that the world had to transition all its processes virtually, in almost all its operations. The pandemic has accelerated the need for companies to digitally transform their business in order to be successful in 2021.

Whilst the accountancy world was already adopting a more streamlined workflow using technology, COVID-19 helped speed up the process.

Whether it is new processes or new regulations, this time is pivotal for many businesses, including accountants, to transform all their processes to digital.

Business Have 2 Choices

With this being said, many businesses have two options at their doorstep right now. Either to deploy stop-gap measures, hoping for a return to some sort of normalcy in the near future to carry on how we once did before the pandemic, or they can dive in and embrace what is becoming the future for accounting.

The latter is far more likely, considering our current economic climate. Our current environment is likely to stay for a long time and is the impetus for rapid digital change in the world of accounting.

Go Digital With Your Dental Accounts

The days of sending in paper records is well and truly over. We do not accept paper records and now request clients to send all documents electronically, using hubdoc.

All this important information can be stored confidentially, and is then used by our accountants and processed quickly, using Xero. There was already a shift towards being future-ready as we have accepted that the future of automation is not just coming, it is already here and will only increase and evolve rapidly. 

As dental accountants, we have been able to minimise office spaces, reduce costs and empower our entire team by establishing security policies for all our remote workers, acquiring specialist technology, changing processes and providing ongoing technical training.

COVID-19 has exponentially increased the need for organisations to respond, recover and overcome these changes in order to succeed or even to simply stay above water during these uncertain times. Marking a major turning point in the world of accounting and bringing fresh operations and processes for the new normal in the coming years.

Bring Dental Accounts into the Digital Age

Everything is book-keeped in Xero, with clients having 24/7 access to their information. In today’s fast changing world, having access to this information to make quick, fast decisions is key for any business to actually be able to survive, let alone thrive. 

Cash flow management is essential, so if you need to plan your cash, or need additional cash, lenders will want to see this information too – not out of date accounts. Real time accounts are now possible, and are now demanded by businesses and lenders, so it is essential to keep your financial records organised and up to date.

Although numerous changes are already impacting various industries, there is no current end in sight to the global economic and health crisis we are experiencing. This evidently means, there are more changes to come.

Click here to read our article on Dentist and Dental Associate Expenses Guide

Dental Accounts & Tax Specialists

As dental practice owners ourselves, we know what makes a clinic tick. We have been working with dentists for over 20 years to help manage their accounts and tax.

Whether you’re a dental associate, run your own practice or own a dental group and are looking to save time, money and effort on your accounts and tax then we want to hear from you. Our digital platform takes the hassle and the paperwork out of accounts.

To find out more about how you can save time, money and effort on your accounts and tax when you automate your finances with Samera, book a free consultation with one of our accounting team today.

Dental Accounts & Tax: Further Information

For more articles, webinars and blogs on dental accounts check out the dental accountancy section of our Learning Centre and follow us on YouTube, Facebook, LinkedIn and Instagram.

Self employment grant – Round 3

For those of you that managed to secure a government grant for being self employed earlier in the year, make sure you claim your third tranche now.

The government portal is now open, and you can make your claim for the SEISS grant – round 3.

It’s all quite self explanatory and if you have done this before, you should know what you are doing.

All the details on the following link:

https://www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme

We know for some, every penny currently matters, so make sure you don’t miss out on this, if you qualified previously.

If you were not eligible previously, unfortunately, you will not be able to claim this grant this time around either.

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

Why Now May be the Best Time to Refinance

In these uncertain times that we are currently experiencing, of furloughs, lockdowns and COVID-19, we have seen extra pressure on business finances.  

Having spoken to several clients, it’s our view that this may be a good opportunity to review your current financial arrangements, such as your existing business loans.

Please click here to find out more about refinancing with Samera.

Why Would You Want to Refinance Your Existing Loan Facility?

Why would you want to refinance your existing business loan? You may find that you can now achieve a better rate or term than you originally received on your existing facility.

Many lenders base their lending criteria on the length of time your business has been operational and the business profits. As your business matures and becomes more profitable, you will likely be eligible for better interest rates and terms.

By reducing the interest rate or changing the length of your repayment term via refinancing, this could help free up working capital for your business, as well as save you money over the term of your loan.

Review Your Costs

Review your costs and see if any of your financial obligations can be extended to ease the pressure today.

Look at the assets you may have bought in the last six months. Did you buy these from your cash flow? If so, they could be financed over a longer period, reducing your monthly outgoings.

Asset purchase covers a multitude of items. From cars to equipment, many of these items can be financed over 5 – 7 years if they were purchased recently.

So, go through your recent asset purchases and figure out which of them can be refinanced to ease your current expenses.

How do you Refinance Your Existing Business Loan?

This is the area where we can help!  We have a panel of lenders that would be able to assist you with refinancing your existing business loans. 

By refinancing to the correct lender, you can achieve your goal of reducing the overall loan payments that you are currently making on your business facility. 

What information will the lenders need to take forward your application: 

Personal Profile Forms

This gives lenders an understanding of an individual’s financial background, it sets out what current liabilities they have and breaks down personal assets. 

Personal & Business bank statements

These help to verify your personal & business monthly income and expenditure. A good bank account conduct is a huge positive for lenders when assessing any application. 

Three years of financial accounts

These are used to demonstrate the business profitability, the bank must verify that the lending will be serviceable. Displaying a strong financial performance by the business over a period helps assist with a positive lending decision.  

Existing loan details

Such as; reason for the original loan, existing balance, monthly payment, Interest rate, remaining term, and early prepayment penalties (if any).

You may also be interested in consolidating multiple business loans and refinancing them into one facility, this would allow you to benefit from better terms on all your business lending.

Some clients have purchased business assets from their working capital instead of using finance. This can put pressure on a business’s cash flow.  You could, instead, explore this area and re-finance recently purchased assets onto a finance agreement, meaning that the items can be funded over a longer term. 

Now is the Time to Refinance

Review your main costs now and look at your loan payments for the purchase of your business and/or property.

This is the time to review those costs.

  • Is the interest rate too high?
  • Can it be renegotiated?
  • Could the repayment period be extended?
  • Could you ask for a period of interest-only?

Doing any of these will reduce your monthly costs during the current challenges.

Up-to-date accounts and management information are crucial when you are looking to help your cashflow, as lenders will need to see the present position and understand how your trading will look in the future.

Click here to read our blog on How to finance a healthcare business.

Commercial Loans for Healthcare Businesses

We’ve been helping to fund the future of British healthcare businesses for over 20 years and our team are made up of former bankers with decades of experience in the UK’s healthcare lending sector.

You can find out more about working with Samera and the financial services we offer by booking a free consultation with one of the Samera team at a time that suits you (including evenings) or by reading more about our financial services at the links below.

For more information on raising finance for your healthcare business, including more articles, videos and webinars check out our Learning Centre here, full of articles and webinars like our How to Guide on Financing a Dental Practice.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

The Table – 18 Years On

This is the table I started the Samera business on 18 years back. Its teak, from John Lewis and bought in the 1970’s by my parents. It’s still standing strong, and so are we.

Strong foundations in life and business make a huge difference.

In those eighteen years we have experienced many highs and lows, from Bootcamps to new clients to retiring clients to new team members to old team members.

But in truth Samera never would have really got off the ground if it was not for my father, Ajja. He is 90 years of age and still standing strong despite the chaos around us.

Currently, as we have renovation work done at our house, I am back at my original family home in Raynes Park, South West London with my whole family – the table is still here. It feels a little odd being back, seeing some of my neighbours who remember me as a small child holding my mother’s hand. She’s long gone, watching from above.

But my dad, Ajja, is still my biggest fan and critic – Aren’t all parents?

As many, I worked hard through school and university (my dad was a single parent) and I managed to get my dream job in the City. The dream job proved to be a nightmare and this was the impetus to start Samera.

Ajja was dead against me starting a business and turning away a highly financially lucrative career as an Investment Banker, to starting my own business from his dining table.

As they say the rest is history, we may not be the biggest of businesses, but it has been one heck of a ride and we are stronger than ever.

My children (aged 12 and 16 )have grown up knowing nothing else but entrepreneurship in our household (they think their mum has more natural instincts and I tend to agree) but I would whole heartedly encourage anyone seeking to take the bold move into their business to just do it.

It won’t be easy, you will get ripped off, you will lose money and you will wonder many times why are you doing it, but truth be told it has been an amazing 18 years.

There are too many people to thank, so I won’t write an endless list, just a massive thanks to Ajja who was my harshest critic but also biggest supporter to this day.

I am truly so excited about the next 18 years to see what this brings, despite the uncertainty, there are considerable opportunities out there – you just need to hunt them down!

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Trying to save UK jobs

Today, Rishi Sunak announced his latest endeavour to try and stave off a major calamity over the winter months by trying to minimise job losses over these difficult times.

Whilst some may be hopeful about this initiative and that it will help many, others maybe thinking that this is just delaying the inevitable.

Nevertheless, whatever your viewpoint the key points are:

  • Under the scheme, the government will subsidise the pay of employees who are working fewer than normal hours due to lower demand
  • Workers must do at least a third of their normal hours
  • Employers will pay staff for the hours they work
  • The government and the employer will pay a third each for the hours they can’t work
  • It means someone working a third of their hours would receive 77% of their pay
  • The grant will be capped at £697.92 per month
  • All small and medium sized businesses will be eligible for the scheme
  • Larger business will be eligible if their turnover has fallen during the crisis
  • It will be open to employers across the UK even if they have not previously used the furlough scheme
  • The scheme will run for six months starting in November and replaces the “furlough” scheme
  • It means the government will pay a maximum of 22% of someone’s wages, down from 80% at the start of the furlough policy

Bounce back loans

In addition, the chancellor also announced changes to loans taken out by any businesses. Instead of having 6 years to pay back loans, these can now be paid back over a 10 year period.

Helpful for cash flow for many struggling businesses.

The government continues its generosity.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Where is UK Dentistry heading Post Covid 19 – A contrarian view.

It’s pretty clear that UK dentistry is changing. I sit in a unique position in dentistry, owning private dental clinics with my wife, (The Neem Tree) as well owning and running Samera Business Advisors for the last 17 years – advising many NHS and Private dental practices across the UK.

I have made a short video on my view, but also detailed some of my thoughts below:

This is how I see the market will play out.

  1. We all know Dentists were treated abysmally during the lockdown – Misinformation, and poor interpretation of advice
  2. NHS Practices – Personally, I think NHS practices will be in a tougher position going forward. Whilst they have been sent a lifeline of funding for the next 12 months, it’s unlikely, going forward beyond 12 months, the government will treat dentists better than before. Simply put, I think this pandemic could be the final nail in the coffin for NHS dentistry. I believe a core service will be offered by the NHS – but everything else will move private. This is a great opportunity for the government to say no thanks to NHS dentistry, and blame COVID 19, and to paint dentists as the usual greedy profession they always do. You have been warned.
  3. Private practices – Many have experienced a tough time, with misinformation during the pandemic, and many struggling to cash flow their businesses. But assuming there is no further lockdown, in speaking to many private clients, they appear to be busier than ever. Many unhappy ex NHS patients are leaving their NHS practices to find flexible, affordable private practices.

My money is firmly on private practice actually growing post COVID 19. It will certainly mean stepping away from the normal ways of dentistry and will take bold leadership but for those that break away from the remaining shackles of NHS dentistry will be handsomely rewarded if they are bold enough to take necessary steps required. Whilst it maybe tough going as the economy struggles those that adopt a much more commercial approach to their practices have an exciting opportunity ahead of them.

I know it may feel scary, but staying put in NHS dentistry is a much bigger risk in my humble opinion.

Comments always welcomed!

No discount on beer!

Further news from the Treasury today highlighted that the government is trying to paint a picture of hope in the coming months despite the potential fear of job losses. In such a difficult economic environment, sadly there will be many that won’t be helped.

However, the key announcements include:

  • A new job retention bonus for employers who bring back furloughed staff.  The offer includes a £1000 bonus for every furloughed employee they keep on until the end of January, and pay at least £520 per month. The idea of any extended furlough scheme appear to be clearly dead and buried for now.
  • A £2 billion scheme to create thousands of job placements for young people all via apprenticeships. The government will fund 6-month job placements for 18-24 year olds, who are viewed at risk as being at most risk of suffering the long term consequences of unemployment during the crisis. The government will cover 100% of the national minimum wage for each young employee, for 25 hours a week.
  • Stamp duty reduction for houses up to £500,000 until 31 March 2021. The aim is to revive the flagging housing market and applies also the anyone seeking to purchase an investment property but they will still will need to pay the surcharge of 3% on the entire price.
  • A 50% discount on restaurant/pub meals on Monday to Wednesday during August, at a maximum of £10 per head. Sadly this does not cover beer. So many pubs who don’t really serve food will not be able to benefit from this announcement.
  • A temporary cut to VAT on food, accommodation and attractions. Down from 20% to 5%.
  • A £2 billion green homes grant to help homes become more energy efficient whilst creating further jobs.

Of course, there is more that can be done, but this level of government spending is totally off the scale, so holding some back for when we may need more in the future is probably a prudent approach to take.

Difficult economic times ahead, but a drive to helping the young and some of those businesses most heavily effected by COVID 19 is in my opinion not a bad result.

But the question has to be asked how will all of this be paid for? Tax rises may be on the horizon sooner than we think!

Interview with Arun Mehra in Good Money Guide

Providing business finance to the healthcare sector

Why did you decide to set up Samera, and what’s been the best part so far?

I started Samera from my dad’s dining table back in 2002. Initially, we started as a firm of Chartered Accountants for the Healthcare sector. Since those early days we have evolved significantly, now offering a full raising finance solution for clients too.

The journey has been extremely enjoyable allowing us as a privately-owned business to implement new ideas rapidly and successfully without any intervention from third parties whilst building a loyal team and following in the sectors we work across.

Please click here to read the full interview on Good Money Guide.

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

The whole is worth more than the sum of the parts

From Zero to Hero

Dentistry in 2020: The year of collaboration

On the 17th March, 2020, my wife Smita closed her private dental practices, like many, due to COVID 19. Just before she left her Wandsworth practice, the telephone rang, and it was somebody wanting to buy her successful private dental practices.

Metaphorically, the paint had not even dried, yet someone had the gall to say “I know dental practices are struggling right now, would you like to sell yours?” – Unbelievable.

Smita being Smita, was shrewd enough to find out who the buyers were and understand their cunning plan, and once she had gathered enough information, she let rip.

It’s safe to say they won’t be calling soon again.

Since then, I have heard from other clients experiencing similar stories too.

Why?

Well there are well financed investors, sitting on cash, ready to invest into dentistry, during COVID 19. They are seeking fearful scared dentists wanting to make a rushed exit during these troubled times.

Some of you may be tempted, but before you do, hold fire.

If your practice was struggling, or you were planning to retire soon pre COVID 19, fair enough, it may be an opportunity to exit, but if your practice was growing and flourishing it’s pretty likely you will be taken to the cleaners.

Post COVID 19

The very recent survey carried out by the BDA highlights the concerns of dentists of the financial viability of their dental practices post COVID 19. Many feel they may not be financially viable by the time the lockdown has ended.

In contrast, in the last few years, investors have been piling into the Dental market (globally) and its pretty likely this will continue, even in a new era of dentistry.

No doubt, infection control procedures will change, and funding will be required to make the necessary changes, but once the lockdown ends, I expect it’s going to be busy in dental practice. People still need dentists, not cruise holidays, so whilst the type of dentistry you may be doing will differ, there will be a need and expect demand to be strong.

So why would you sell a successful business, just because of a 3-6 month sabbatical? You wouldn’t unless you were getting top dollar.

I would urge you to resist the temptation to sell at a discounted price, just to get out of dentistry. The vultures are out to try and obtain a deal, but it’s important you hold your ground, and come back strong once you re-open, as you will re-open.

Working Together

As someone who has been entrenched in dentistry for almost 20 years, as an advisor, but also co-owner of clinics, the goal for me has been to help dentists improve their businesses through offering a better patient experience. 

Whilst selling your successful practice maybe a short-term fix, I propose an alternative arrangement whereby independent dentists work in collaboration to overcome the challenges they face.

You don’t need to sell the practice you have worked at for many years, just because this temporary though significant break in business has occurred. 

You can maintain your autonomy, brand, team culture while collaborating with others and outsource the parts of your dental practice that would benefit from scaling. 

For example, a dental collaborative could be formed whereby all the owners retain ownership of their practice and they outsource certain services for a fee including:

  • Supplies at reduced rates due to economies of scale
  • Accountancy and payroll services at reduced rates due to economies of scale
  • Marketing support (including websites) at reduced rates due to economies of scale
  • Continuing education

Then in the future, when it does come to selling your practice, if all of  the owners have opted in to a collaborative sale , the exit multiple they achieve on sale would be considerably higher than if they sold now, or alone in the future.

Such an approach ensures dentists retain control of their own businesses, develop them the way you want to, and ensure the team culture is protected and the level of patient care you have created is maintained – all very valuable. We want you to retain your autonomy and stay in the driving seat.  Right now, it might seem like an easy option to just sell and drive off into the sunset . But at what price ?

Collaboration

Today’s changing Dental landscape requires independent practice owners to evolve. By working together, not in competition, in such a scenario outlined, allows such practices to offer the services they desire, whilst creating real value in their business.

Now is NOT the time to exit, now is the time to come together.

The Numbers ALWAYS tell the story – Safety in Numbers

An alternative way to look at this is through the numbers. In the current market, an opportunistic buyer may offer a low-ball price, say 3x EBITDA (cash profit), whilst prior to the crisis this may have been nearer 5-6x.

Translated into hard numbers, for example. A dental practice with an EBITDA of £200,000 may now be achieving a price of say £600,000 (3x EBITDA), but if they can ride out this period of uncertainty and rebuild, the value can go higher maybe up to nearer £1.2m (6x EBITDA).

However, by collaborating in such an arrangement I have detailed above, prior to COVID 19 a group of dental practices would routinely sell for multiples in excess of 10X EBITDA (£2m for a £200,000 EBITDA practice), so the question has to be, do you sell yourself short now, or ride out the wave and build your business to achieve a much higher multiple in the future? Groups of practices will always attract a much higher multiple!

The larger the collaboration (the number of practices), the higher the value. 

Further Information

If you are interested in how you can actually thrive and not just survive POST COVID 19 in a new way of operating, please get in touch with us as we are in a unique position to help bring independent practice owners together.

Together, you have options, access to capital and the opportunity to build a better patient experience whilst creating real value for you, your team and your families.

If the above is of interest to you, please email me on [email protected].

Surviving a Financial Crisis

Our healthcare business consultants are experts at helping medical health providers and their businesses survive a financial crisis. We can help with cash flow management, raising finance and optimising your accounts and tax structure.

Book a free, no-obligation consultation with one of our team to find out more about how we can help you and your business.

For more information financial crises and your business, including more articles, videos and webinars check out our Learning Centre here.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Cash Flow Management in a Crisis Blog Page

Last Updated: 13th May 2020 at 17.15

This blog will be updated regularly for anyone seeking help and assistance on managing their business and cash flow during this crisis. Please bookmark and share this page as we are updating this regularly.

Keep Safe. Keep Healthy. Keep Positive.

Arun and the whole Samera Team

Blog Content:

Day 58 – Financial Tactics During COVID-19

Financial Tactics During COVID-19

With the Coronavirus pandemic causing lock downs across the world, businesses in almost all industries are struggling to stay afloat. It is more important than ever that businesses are pro-actively working to save money and protect themselves financially.

With many businesses unable to to open their doors and trade, it can feel like there is very little to be done except wait for lock downs to lift.

Now is not the time to to wait, now is the time for action.

In this webinar, we’re taking a look at some of the financial tactics and strategies that businesses need to be considering at the moment to survive lock down.

Download the presentation slides here.

More Financial Tactics During COVID-19

11 Top Tips to Manage your Cash Flow During COVID-19

It is essential that you properly plan and manage your cash flow to be able to pay your bills and grow your business. Use these tips to help manage and mitigate any cash flow issues you may be experiencing.

Read the blog.

How to Apply for the Bounce Back Loan Scheme

The UK Government recently launched the Bounce Back Loan Scheme (BBLS) as an attempt to make it easier for small to medium enterprises to access the emergency finance they need to survive COVID-19.

Read the blog.

Financial Templates

We have tried to make raising finance for your business as easy as possible for you. With that in mind, please feel free to download these templates for vital financial documents that you will need to raise and manage finance in your business.

Download the templates.

Finance Calculator

Use this financial calculator to help you decide how much money you will need to raise for your business.. Simply input the amount you wish to borrow, along with the interest rate and loan term and you’ll see a breakdown including how much you will expect to a pay a month and an amortisation schedule.

Use the calculator

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 50a – Bounce Back Loans are Live

Bounce Back Loans are Live

The Bounce Back Loans are NOW Live.

I have made my application for my business and if you think you will need a loan on good terms to help you in this crazy period make sure you apply ASAP!

Rather than there being an HMRC link to apply at you will need to go to your bank’s website and apply.

I had to search for it on Google but it came up!

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 50 – Self Employment Income Support Scheme

Self Employment Income Support Scheme

For anyone self employed hoping to receive a grant from HMRC during COVID 19 its important to get organised. If you have not already, make sure you check if you qualify for a grant on the following link:

https://www.tax.service.gov.uk/self-employment-support/enter-unique-taxpayer-reference

Government Gateway ID

You will need a government gateway ID and your accountant will not be able to do this for you as you need to apply as an individual. Visit the following link to see if you qualify, it’s all quite self explanatory.

https://www.tax.service.gov.uk/self-employment-support/enter-unique-taxpayer-reference

Once you have done this and assessed if you qualify, you can then apply for the grant on the 13th May 2020.

“Keep safe, keep healthy, and most importantly keep positive, don’t let fear dominate your life and your mindset”

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 42a – Webinar recording – Dental Valuations 2.0

Dental Valuations 2.0

In this insightful webinar Arun discusses the valuation of UK dental practices and how believes they have fallen by up to 40% due to the current COVID 19 crisis.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 42 – New Micro Loans on Offer

New Government Backed Micro Loans on offer

Today Chancellor Rishi Sunak announced a new scheme starting next week whereby firms can apply for a loan up to £50,000.

The scheme requires completing a 2 page self certification form.

In fact, the loan terms mean that no capital or interest payments will be due for one year – instead the government will pay the interest for the first 12 months!

This is in our opinion is a lifeline for many businesses, hopefully it will help many to re-start their rebuild over the coming weeks and months!

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 30 – The Whole Is Worth More Than The Sum Of The Parts

From Zero to Hero

Dentistry In 2020: The Year Of Collaboration

On the 17th March, 2020, my wife Smita closed her private dental practices, like many, due to COVID 19. Just before she left her Wandsworth practice, the telephone rang, and it was somebody wanting to buy her successful private dental practices.

Metaphorically, the paint had not even dried, yet someone had the gall to say “I know dental practices are struggling right now, would you like to sell yours?” – Unbelievable.

Smita being Smita, was shrewd enough to find out who the buyers were and understand their cunning plan, and once she had gathered enough information, she let rip.

It’s safe to say they won’t be calling soon again.

Since then, I have heard from other clients experiencing similar stories too.

Why?

Well there are well financed investors, sitting on cash, ready to invest into dentistry, during COVID 19. They are seeking fearful scared dentists wanting to make a rushed exit during these troubled times.

Some of you may be tempted, but before you do, hold fire.

If your practice was struggling, or you were planning to retire soon pre COVID 19, fair enough, it may be an opportunity to exit, but if your practice was growing and flourishing it’s pretty likely you will be taken to the cleaners.

Post COVID 19

The very recent survey carried out by the BDA highlights the concerns of dentists of the financial viability of their dental practices post COVID 19. Many feel they may not be financially viable by the time the lockdown has ended.

In contrast, in the last few years, investors have been piling into the Dental market (globally) and its pretty likely this will continue, even in a new era of dentistry.

No doubt, infection control procedures will change, and funding will be required to make the necessary changes, but once the lockdown ends, I expect it’s going to be busy in dental practice. People still need dentists, not cruise holidays, so whilst the type of dentistry you may be doing will differ, there will be a need and expect demand to be strong.

So why would you sell a successful business, just because of a 3-6 month sabbatical? You wouldn’t unless you were getting top dollar.

I would urge you to resist the temptation to sell at a discounted price, just to get out of dentistry. The vultures are out to try and obtain a deal, but it’s important you hold your ground, and come back strong once you re-open, as you will re-open.

Working Together

As someone who has been entrenched in dentistry for almost 20 years, as an advisor, but also co-owner of clinics, the goal for me has been to help dentists improve their businesses through offering a better patient experience. 

Whilst selling your successful practice maybe a short-term fix, I propose an alternative arrangement whereby independent dentists work in collaboration to overcome the challenges they face.

You don’t need to sell the practice you have worked at for many years, just because this temporary though significant break in business has occurred. 

You can maintain your autonomy, brand, team culture while collaborating with others and outsource the parts of your dental practice that would benefit from scaling. 

For example, a dental collaborative could be formed whereby all the owners retain ownership of their practice and they outsource certain services for a fee including:

  • Supplies at reduced rates due to economies of scale
  • Accountancy and payroll services at reduced rates due to economies of scale
  • Marketing support (including websites) at reduced rates due to economies of scale
  • Continuing education

Then in the future, when it does come to selling your practice, if all of  the owners have opted in to a collaborative sale , the exit multiple they achieve on sale would be considerably higher than if they sold now, or alone in the future.

Such an approach ensures dentists retain control of their own businesses, develop them the way you want to, and ensure the team culture is protected and the level of patient care you have created is maintained – all very valuable. We want you to retain your autonomy and stay in the driving seat.  Right now, it might seem like an easy option to just sell and drive off into the sunset . But at what price ?

Collaboration

Today’s changing Dental landscape requires independent practice owners to evolve. By working together, not in competition, in such a scenario outlined, allows such practices to offer the services they desire, whilst creating real value in their business.

Now is NOT the time to exit, now is the time to come together.

The Numbers ALWAYS Tell The Story – Safety In Numbers

An alternative way to look at this is through the numbers. In the current market, an opportunistic buyer may offer a low-ball price, say 3x EBITDA (cash profit), whilst prior to the crisis this may have been nearer 5-6x.

Translated into hard numbers, for example. A dental practice with an EBITDA of £200,000 may now be achieving a price of say £600,000 (3x EBITDA), but if they can ride out this period of uncertainty and rebuild, the value can go higher maybe up to nearer £1.2m (6x EBITDA).

However, by collaborating in such an arrangement I have detailed above, prior to COVID 19 a group of dental practices would routinely sell for multiples in excess of 10X EBITDA (£2m for a £200,000 EBITDA practice), so the question has to be, do you sell yourself short now, or ride out the wave and build your business to achieve a much higher multiple in the future? Groups of practices will always attract a much higher multiple!

The larger the collaboration (the number of practices), the higher the value. 

Further Information

If you are interested in how you can actually thrive and not just survive POST COVID 19 in a new way of operating, please get in touch with us as we are in a unique position to help bring independent practice owners together.

Together, you have options, access to capital and the opportunity to build a better patient experience whilst creating real value for you, your team and your families.

If the above is of interest to you, please email me on [email protected] or complete the form below.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 24 – Webinar Recording – COVID-19 Update

COVID-19 Business Update

Please click the link below to download the slides.

Download webinar slides.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 18b – Apart from robbing a bank how do I get cash?

Apart from robbing a bank how do I get cash?

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 18a – Update on CBILS

Update on CBILS

Reported in the BBC, the Coronavirus Business Interruption Loan (CBIL) scheme has been revamped as a result of many small businesses not being able to obtain the loan.

According to the Treasury, they has received over 130,000 applications yet fewer than 1000 had been approved. In summary, the changes include:

  • Business owners asking to borrow less than £250,000 will no longer have to offer up personal guarantees
  • The requirement for companies to have first tried to get a normal commercial loan elsewhere will be dropped
  • However, there is no cap on the interest rates bank wish to charge, whilst the banks able to borrow close to 0%.

In my humble opinion, whilst this is a positive move, it could prove too late for many businesses, and ensuring the above additional points are adopted by the banks will take time, something many businesses MAY NOT HAVE.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 18 – Clarity on NHS/Private Income claims

Clarity on NHS/Private Income Claims

It appears that those dental practices with some private income can now benefit for some of the government financial support initiatives for ONLY their private income.

NHS Contract holders can make a relevant claim in relation to the proportion of private revenue only.

Using the same methodology NHS practices claim for business rates reimbursements, mixed practice owners can avail to themselves government support for the private part of their businesses.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 17 – Tax avoidance promoters targeting returning NHS workers

Tax avoidance promoters targeting returning NHS workers

HMRC has recently released warnings to returning NHS workers regarding tax schemes currently being offered to some. 

Workers returning to the NHS to assist with the current COVID-19 crisis are, in some cases, being offered access to tax avoidance schemes, and HMRC is strongly warning against joining any such scheme.

How to tell if you have been offered a tax scam

There are several ways for you to tell if a scheme you have been offered is a tax avoidance scam. 

Contact Samera directly and we can advise on whether a tax scheme you have been offered is legitimate, or an avoidance scam. 

HMRC have guidance on their website to help you understand what these scams look like: https://www.gov.uk/guidance/tax-avoidance-promoters-targeting-returning-nhs-workers-spotlight-54

Citizens Advice also have information on their website on how to spot a scam: https://www.citizensadvice.org.uk/consumer/scams/check-if-something-might-be-a-scam/

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 16a – Webinar recording – COVID 19 Update and Essential Leadership Skills

Webinar recording – COVID 19 Update and Essential Leadership Skills

In this webinar I discuss the current situation for Dentists regarding COVID 19 plus the Essential Leadership Skills required!

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 16 – Books on Leadership!

Books on Leadership

One of the questions I am asked regularly, is what books should I read on business. In my 20+ years in business I have read A LOT of books on business.

This is a list of 13 books that spring to mind – Happy reading!

I strongly recommend you read books by Simon Sinek, very appropriate in trying to lead in these times!

https://samera.co.uk/best-books-for-business-owners/

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 14 – How to use the cash flow template tool

How to use the cash flow template tool

We have had hundreds of dentists download our cash flow template tool over the last week, but I thought I would put a short video on how to use it. It’s not rocket science but may help you with managing your cash better in your business or life!

CASH IS KING currently.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 12b – Government Grant Guidance

Government Grant Guidance

From yesterday’s webinar there appeared to be some confusion around what local authority grants are available.

There is a small business grant fund where some dentists maybe able to receive this grant. This will depend on your particular situation.

Further details on the followinglink:

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/875348/small-business-grant-fund-and-retail-guidance-v2.pdf

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 12a – The Stoic Dentist – Our Life is What our Thoughts Make it

The Stoic Dentist 

Covid-19 Through a Stoic’s Eyes

Over the last few weeks (and undoubtedly over the upcoming months as well) you must have heard a thousand and one different perspectives on the current Coronavirus situation. From medical experts to economists to politicians, every man and his dog has got a point of view. But why don’t we take a step back and ask ourselves “how would the great minds of antiquity have approached this unfolding crisis?”. 

In this time of panic-buying and sensationalist media, perhaps we would do well to consider how the Stoics would have reacted to such an event. 

What is Stoicism? 

As the modern usage of ‘stoic’ suggests, stoicism is a philosophy concerned with the mastery of one’s emotions. It is important to note that stoicism does not advocate for suppressing emotion in the way the contemporary word may imply. Stoics sought (and seek) to master their emotions; to control them, as opposed to being controlled by them.

The Stoics posited that negative emotions such as fear, envy, jealousy etc are derived largely from false judgements, as opposed to being purely uncontrolled gut reactions. Put simply, when the world throws something our way, it is up to us how we respond to it. 

If we respond in the wrong way or make an incorrect judgement about the world, we react negatively. Negative emotions are, therefore, a product of our own mistakes, our own indiscipline in governing ourselves. 

You choose how to react

Stoics saw philosophy as more than just a pastime or merely an intellectual pursuit; to them it was a way of life. 

They saw the Stoic philosophy as a practical exercise, always actively concerning themselves with the mastery of their emotions, actions and reactions. 

They called the gut reactions and immediate emotions you feel – ‘impressions’. Of course, you have no control over what impressions you feel. If something terrible comes your way (such as the current COVID-19 pandemic), you are naturally going to react in some negative way! 

Despite what some may believe, Stoicism is not the same as being unfeeling. They are not expected to become robots, just disciplined! 

You do not have a choice or control over what impressions you feel, but Stoics believe that you do have the ability to validate or agree with that emotion. They call this ‘assent’. This ability to either agree with and accept an emotion, or deny and refuse to react to (or because of) an emotion is what Stoicism is all about – discipline. 

Since we always have the power to either assent to an emotion or not, the ability to control our emotions is always within our grasp. We just have to be emotionally disciplined enough. 

Overcoming Fate

Stoics believed in causality and fate. They believed that one thing causes another and that the subsequent outcomes are in some way directed or inevitable, in other words – fate. So what room is there left for us to be free and to make real choices? 

Our freedom comes from our ability to choose how to react to what fate throws at us. If I throw an object on the floor, its shape will determine what happens when it lands – will it roll, smash or bounce? Me throwing the object is fate, what happens next depends on the object’s nature. If we imagine ourselves to be the object, what happens to us after fate plays its part depends on our nature. It depends on the kind of person we are, it depends on how we react to destiny. 

If you are the kind of person to roll with the punches, you’ll roll. If you’re the kind of person to bounce back, you will. And if you’re the kind of person to fall apart, that’s what will happen. But as we said earlier, your reaction to fate or to emotion is entirely up to you. It is your choice. Your nature is your choice. Who you are and what ultimately happens to you is firmly in your hands. Fate plays its part, but that’s only the beginning!

Planning around fate 

So, how far can we plan our lives and our businesses if we are subject to fate? Does this mean that the Stoic Dentist is concerned merely with passively reacting to whatever fate decides to hit them with? Absolutely not. The stoic believes that freedom comes from two things:

1. Planning for what you CAN control

2. Mastering your reactions to what you CANNOT control. 

Once you can do this, events outside of your control, such as a novel virus, only impact you emotionally as much as you let them. 

If I plan to host an Invisalign open day in my practice and I spend thousands of £’s advertising and setting it up, only to have a global pandemic get in the way, was I wrong to make plans? No, of course not. The virus was completely out of my control. What IS in my control is how I respond to the crisis. How quickly I act, how calmly I act, how altruistically I act. 

Problems arise when we try to plan for things outside of our control – when we try to plan what can’t be planned, to change what can’t be changed. Fate will get in the way sometimes and we need to accept this and respond to the situation accordingly. 

The Stoic is open and honest about what can be planned, mastered and accounted for. Everything else is uncontrollable, all we can do is master our reaction to it. Fear is not a choice, it is a natural gut reaction (or impression) to something fate throws our way. 

Panic, on the other hand, is a choice. Panic is ungoverned fear. Panic is emotional ill-discipline. The stoic feels fear, but they do not panic. They control their fear and make their decisions based on reason. They plan for what is within their control.

One of the most famous Stoic philosophers, Marcus Aurelius, once said that “Every nature is satisfied with itself…when it generates desires and inclinations for only those things that are in our power, and when it welcomes everything to it apportioned by nature.” 

If you can control your reactions to emotions and suppress all negative reactions you will ‘welcome everything apportioned to [you] by nature’. In other words, you’ll take every crisis as an opportunity. Every set back as a chance to spring forward. Every mistake as a chance to learn and improve. 

The Stoic Dentist

So, what does this tell us about the stoic dentist and how he would handle the COVID-19 crisis? We know that the stoic dentist would not give in to panic, whether this be in the form of making rash, irrational decisions regarding their business or even panic-buying a year’s worth of toilet paper and beans! The stoic masters their emotions. 

They do not suppress them and bottle them up – most psychologists would certainly advise against that! They control how it influences their decision making ability, they do not allow their emotions to govern their lives. They make decisions based on reason and a detached, objective viewpoint. 

The stoic dentist’s nature also plays a large part in how they respond to crises. Who they are and how they see the world will play a large part in how they choose to act. When fate throws you to the floor, will you roll? Will you bounce? Will you fall to pieces? That is entirely up to you. You need to take charge of your nature, become the person the world needs you to be. 

The stoic is also honest and open to themselves about what they can plan, what they can control. Fate throws a global pandemic your way? Plan for what you can control, master your reaction to everything else. 

You are in control, you just need to seize the initiative.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 12 – Further guidance from HMRC on The Coronavirus Job Retention Scheme

Further guidance from HMRC on The Coronavirus Job Retention Scheme

Further guidance has emerged about the Coronavirus Job Retention Scheme. You can read about it all on the following link:

https://www.gov.uk/guidance/claim-for-wage-costs-through-the-coronavirus-job-retention-scheme

There’s a lot to digest, but it’s quite clear about the government not expecting Public Sector organisations (such as an NHS dental practice) to be able to use this, assuming you receive funds to pay for staff. Whether you can furlough some employees that help generate private income, and not furlough others who work on the COVID 19 crisis is yet to be seen. I believe the BDA is trying to gain clarity around this point plus others.

Happy reading.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 11 – 7 Business Actions Every Dental Practice MUST now do in this downtime

Webinar Recording – 7 Business Actions Every Dental Practice MUST now do in this downtime

In this webinar recording, Arun discusses 7 Actions all Dental Practice Owners must now do in this downtime.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 10a – Disappointment for Self Employed Dentists

Disappointment for Self Employed Dentists

Coronavirus Self-Employment Income Support Scheme

This evening the Chancellor announced the Treasury’s plan to assist the self-employed. In summary a taxable grant will be paid to the self-employed or partnerships, worth 80% of their profits up to a cap of £2500 per month.

This will be available for three months in one lump-sum payment, and will start to be paid from the beginning of June.

To qualify:

  • More than half the claimants income needs to come from self-employment
  • Open to those with a trading profit of less than £50,000 in 2018-2019, or an average trading profit of less than £50,00 over the last 3 years.

Impact on Dentists

In my experience, many dentists who trade as self-employed will not qualify for this support as their income will be above the £50,000 threshold. This is a major blow to many dentists who will be struggling at these times whilst their income levels have dropped to zero.

The Chancellor mentioned that those not able to claim such a grant would be able to avail themselves to the other schemes they are offering, but in reality, many of these are just soundbites which many not be available for several months, whilst dentists still have to continue living their lives as normal as possible.

Extremely disappointing.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 10 – Furloughing Advice

Furloughing Advice

There is not much information out there currently on Furloughing, however, the ICAEW have released some guidance. This information is on the following link:

https://www.icaew.com/insights/viewpoints-on-the-news/2020/mar-2020/coronavirus-job-retention-scheme-furlough-guidance

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 9a – Latest NHS England Guidelines

Latest NHS England Guidelines

Better late than never I guess!

You can download them here:

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 9 – 3 Tools to help you in this Cash Flow Crisis

3 Free Tools to help you in this Cash Flow Crisis

Arun highlights three tools to download for free to help you in this cash flow crisis.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 8 – How to deal with your bank in a cash flow crisis

How to deal with your bank in a cash flow crisis

In this webinar, Nigel and I discuss how to handle your banks in a cash flow crisis and what you need to be thinking.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 7a – How your team culture will get you through COVID – 19 – 23 March 2020

How your Team will get you through COVID – 19

I refer to “The Infinite Game” by Simon Sinek which is available on Amazon.

Remember, team loyalty goes both ways.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 7 – The wheels in a bank move very slowly – 23 March 2020

The wheels in a bank move slowly

In terms of the Coronavirus Business Interruption Loan (CBIL), we have spoken to our banking contacts and it seems whilst it is a great idea from the government, the reality of actually getting funds quickly are very slim.

Banks don’t have the back offices to cope with the requirements, and they struggle already with their existing work loads, so if you are thinking about getting such a loan, I would certainly not rely on receiving the funds any time soon.

Besides, a bank appointed valuer will need to go and visit the relevant business, but if practices are shut, and people are told to stay at home, the chance of a valuation happening any time soon are even slimmer.

Governments and banks move slowly, and when they don’t have sufficient staff in their organisation, it will take even longer!

Bank and Asset Finance Provider List

We have now managed to contact most of the lenders to the Dental market and detail each of their policies regarding payment holidays and loans in the attached spreadsheet. It’s quite self explanatory.

Thank you to Dan in my team who has been calling everyone he knows!

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

If you require short term finance in these challenging times we can help.

Day 6a – Why you need to get your Tax Return in ASAP after the 5th April – 22 March 2020

Why you need to get your Tax Return in ASAP after the 5th April

It’s quite likely your earnings for this financial year will be affected, which could have an impact on your annual earnings and taxes payable.

  • As we near the end of the tax year, get your income tax return in as soon as possible after 6 April 2020, for a potential refund of part of your January 2020 tax payment. Then know the exact amount due in July. According to Government announcements, the July payment will be deferred to January 2021
  • If you make a sole trader or partnership tax loss to 5 April 2020, you can generate a tax refund by carrying the loss back to 2019.
  • If you’re a start-up sole trader or partnership, this loss can be carried back three years to generate a tax refund from your previous PAYE job or even possibly from rental income, this can help with your cash flow considerably.
  • If you’re a limited company and make a loss in your current year end, carry it back by a year to generate a tax refund.
  • If you’re working from home more than usual, claim more costs against your taxable income for your home office.

Why get your tax return in so quickly?

  • The sooner you get tax returns sent in, the sooner you can benefit from the above.
  • Getting your return in early doesn’t bring forward any tax payment dates, but it does bring forward tax refunds.
  • This will also provide an increase in Time-to-pay arrangements from HMRC, where you phone HMRC to agree a delay in paying your tax.
  • Have a realistic proposal ready that you expect to adhere to.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 6 – Asset Finance – 22 March 2020

Asset Finance Providers

We have managed to contact many of the asset finance providers that fund equipment for dentists and many are offering payment holidays, if required.

We attach a spreadsheet detailing our current findings along with details of how to go about requesting a payment holiday from them

We will update this on a regular basis.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 4a – Facebook Live Recording – 20 March 2020

Facebook Live Recording

In this Facebook live recording Arun discusses his tips to manage your business in this economic crisis. – Approx 23 minutes in duration.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 4 – Rishi’s Financial Plan

Rishi’s Financial Plan

Today Rishi Sunak revealed a massive stimulus package to try and save jobs whilst UK businesses deal with COVID 19.

Key Points:

  • The state will give a grant of up to 80% of the salary of workers, up to a total of £2500 per employee for those retained and not working – Hopefully meaning you can still employ your staff, whilst closed, and not have to lay any one off
  • No limit on funding available, interest free loans for business up to 12 months rather than previously reported 6 months, available from Monday apparently! Let’s see how easy it will be to get this finance!
  • Deferment of next quarter’s VAT payment until the end of June
  • Deferment of the next income tax payment until January 2021
  • Universal credit allowance increases by £1000

As ever, the devil is always in the detail, more to follow, once more information is released from the treasury.

I am sure it will require some tenacity to actually get the grants and the loans, lots of forms, and phone calls. Once we know more, we will let you know.

Team Samera are here to help you

We are 100% here to support you in these trying times, if you need help get in touch.

Day 3a – Dealing with your Landlord

Dealing with your Landlord

I know many dental practices will be concerned about their rent payments due to their landlords.

Naturally, every landlord will differ, but I do think it is worth asking your landlord for some leniency in payments.

For instance, rather than paying a whole quarter in advance, ask if you can pay monthly just for this uncertain period. They may say yes, they may say no, but no harm in asking.

I attach a template of an email I sent to one of our landlord’s for one of our dental practices today, and it certainly did the trick!

Just change the amounts and names.

Give it a go – you have nothing to lose!

Day 3 – The Insurance Battle Begins – Keep a close record of lost income

The Insurance Battle Begins – Keep a close record of lost income

I am sure many of you have tried to speak to your insurers about a potential business interruption claim, especially if in the event of closure based on government guidelines.

I have discussed this at length with my insurance broker and the message I am getting, is it all depends!!

It depends on so many aspects

  • Will the government force closure of dental practices or not?
  • Will dental practices remain open?
  • Do you have business interruption insurance in the first place?
  • Does your policy cover pandemics?
  • Does it cover the coronavirus?
  • Will the government support insurers or will they force the insurers to pay out, even if you don’t have the relevant cover?
  • Which insurers will be more amenable to paying out – ie will they try to protect their brand by paying claims out?

There are so many unknowns here, and none of us know how long will this whole terrible episode last?

Definitely prepare for making a claim – But don’t hold your breath!

In my opinion, I would not hold my breath about receiving a claim, but if you do get paid, that will definitely be a bonus.

So, in essence, plan your cash flow strategy around NOT receiving a pay-out. Anything you receive will just be a bonus.

Besides, you will only be able to make a claim once this whole saga is over, as you will need to prove to the insurers the income you have lost, which is never a straightforward exercise.

However, you have nothing to lose, and I would advise most definitely submit a claim when the time is right.

Keep a close record of all your lost income

I appreciate this maybe the last thing you want to consider right now, but to make your life easier down the line for when you do make a claim, the insurers will want to see recent historic accounts and trading information for when you do submit a claim. 

The more information you have ready to submit down the line, will only expedite any potential pay-out from your insurers.

Such a claim (in a very simplified format) may look like this:

Projected Income    £x

Actual Income          £y

Lost income              £x-y

Assuming your costs remain the same it will be imperative to try and prove your lost income. 

Management information extracts and historic accounts will be key for this.

In summary, use this quiet time to get your paper work organised, and be prepared for another battle with your insurers.

Day 2a – Ask your lender for a Payment Holiday – 18 March 2020

Ask your lender for a Mortgage/Loan Repayment Holiday

A quick short video below on:

  1. Making sure you approach your lenders to receive a payment holiday – Cash flow is absolutely key now, if you are concerned about your cash position over the coming weeks and months call your lenders as early as possible and ask for a payment holiday.
  2. Details of the possible loans from the government are at the British Business Bank website – https://www.british-business-bank.co.uk/ourpartners/coronavirus-business-interruption-loan-scheme-cbils/ – More details to emerge over the coming days on the key criteria to get a loan.

Working Together

We are 100% here to support you in these trying times, if you need help get in touch.

Day 2 – The Chancellors War Chest – 18 March 2020

The Chancellor’s War Chest

Last night, Rishi Sunak, The Chancellor of the Exchequer announced his war chest to help the many businesses and individuals try and deal with COVID-19.

As with all these things, the devil is always in the detail, and whether it will positively or negatively impact your business will only be known once further information is provided.

The salient points are:

  • £330 billion loan scheme to support businesses – these will be cheap loans backed by the government to help those businesses that need the funds to survive over the next few months. This is being called the Coronavirus Business Interruption Loan scheme which will make available up to £5m per business with no interest payable for 6 months.
  • A cash grant of up to £10,000 will be made available per business. This will be administered by local authorities and should be available in the next week. He advised small businesses to directly approach their local authorities.
  • All leisure, retail and hospitality companies will be exempt from business rates for 12 months
  • The Treasury will work with business groups to develop an employment support package that will help mitigate employment costs for small firms.
  • The Treasury will support those businesses that do have Business Interruption Insurance policies that do include pandemics but will have excluded COVID-19 because it is such as new virus.

From the language used, it appears this may just be the beginning, and the Treasury will be making further announcements to help businesses.

As with many of these government initiatives you will need to look out for how to take advantage of any of the above. Once we know more we will be sharing the relevant links on our blog.

Watch this space!

Working Together

We are 100% here to support you in these trying times, if you need help get in touch.

Day 1 – Cash Flow Spreadsheet Template – 17 March 2020

Cash Flow Spreadsheet Template

I attach above a very simple cash flow statement tool which I urge you to use to help you manage your cash flow over the coming months.

There are some made up numbers in there currently. Clear them all out and enter your own figures.

If you are forced to close, you will still have overheads to pay – use this tool as a starting point to plan your cash needs.

How does the tool work

  1. The light pink cells require you to enter your monthly income and expenses each month. If you close for a period of time, you may have ZERO income in those months BUT still have the expenses.
  2. Cell B34 (green colour) details your approximate current bank balance in your business.
  3. Once you have entered these key figures you will then see in row 34, your cash bank balance based on your forecast scenarios at differing time points.
  4. You may also need to take into account tax payments too, the spreadsheet can be adjusted by you for your needs.
  5. The tool will then say in row 34 your funding shortfall, if you have one, and the approximate cash you will need to raise.

Personally, I suggest you plan for the worse case scenario and work out the cash you actually require to keep your business ready for when things do turnaround – as they will at some point.

If using spreadsheets is not your strong point, let us know, we can help you, but we are dealing with these on a first come first served basis.

What Next?

Once you have worked out how much cash you think you will need to survive this unexpected downturn – either by using personal funds, or raising further funds from lenders.

If you need some short term finance, first ask your existing bank, if they cannot assist promptly, get in touch, Nigel or Dan our financing experts who may be able to assist.

Nigel Crossman

Nigel Crossman

07715 668267

Dan Fearon

Dan Fearon

07718 655245

Working Together

We are 100% here to support you in these trying times, if you need help get in touch.

Surviving a Financial Crisis

Our healthcare business consultants are experts at helping medical health providers and their businesses survive a financial crisis. We can help with cash flow management, raising finance and optimising your accounts and tax structure.

Book a free, no-obligation consultation with one of our team to find out more about how we can help you and your business.

For more information financial crises and your business, including more articles, videos and webinars check out our Learning Centre here.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

COVID-19 Business Help and Advice for Dental Practices

“Keep safe, keep healthy, and most importantly keep positive, don’t let fear dominate your life and your mindset”

COVID-19 – Free Crisis Business Support Hotline 0207 100 8788

ALL HELP AND ADVICE PROVIDED VIA OUR HOTLINE IS COMPLETELY FREE

As we continue to digest the constant news flow of COVID-19, I wanted to reach out to everyone across the Dental community to see if anyone needs any Dental Business help or assistance.

There will be business decisions and problems that you will no doubt encounter over the next few weeks and months that you have never experienced before.

It’s hard to avoid the constant barrage of fear mongering, but now is the time to stand strong and fight the fear, for you, your business, your team, your family and your communities.

So if you need ANY DENTAL BUSINESS HELP OR ADVICE, regarding your Dental Practice our team are ready and able to assist you in these fast-changing challenging times.

We have been inundated with a variety of questions on how to manage this crisis in the last week, below is my attempt to answer some of these!

FAQ’s we have faced in the last week

1.Leadership and Team Management

Firstly, you will not get through this crisis alone.

Now more than ever you will need to lead from the front, and rally your team behind you. They may be scared (you maybe scared) but together you will need to work smartly and prepare for the worst possible scenarios, such as closure.

Some difficult conversations may need to be had regarding pay, such as paying minimal contracted hours/requesting for some of your team to take unpaid leave, but this should only be as a very last resort.

By ensuring you continue to pay your team, even if you are forced to close, will ensure team loyalty like you have never known before.

Speak to your team early and often, and air your concerns and problems. You maybe surprised how accommodating and helpful they will be.

In times of need, people tend to flock together – i.e. herd community (following the UK’s herd immunity approach).

2.Cash flow

On the assumption you close for an extended period of time your cash flow will be greatly impacted. You will need to continue to pay your team (see above) and will have overheads that need paying.

Hopefully you will have a rainy day fund to assist in such situations but if you don’t, there are a few things you need to address early on, rather than burying your head in the sand.

  1. Calculate the worst case scenario and how much cash you will need if you close for a number of weeks/months. If you have the funds to cover this, great, if not speak to your bank ASAP to extend your overdraft. As an alternative, please speak to Nigel or Dan in our finance team who are experts at raising cash quickly. They have strong relationships with secondary and tertiary lenders who are able to assist promptly.
  2. Contact your suppliers early on, saying you are experiencing cash flow issues, and that you have every intention to pay them but your practice has been impacted by COVID-19. Some maybe accommodating, others won’t, but definitely do this, just to manage the situation.
  3. Speak to your accountant and see if they can assist with HMRC related payments. Ensure HMRC are made aware of the situation and that these are extraordinary circumstances beyond everyone’s control. We are helping several clients with payment plans with HMRC, so if you need assistance contact Nathan or Alex in our team.
  4. As we approach the year end for hitting your NHS UDA targets, the last thing you needed was this virus. If you think you are going to struggle to hit the targets contact your local area teams ASAP, citing the Force Majeure clauses in your contract. They may be able to assist you if you speak to them as early as possible.
  5. Speak to your insurers, and ascertain if you can activate the Force Majeure clauses in your business interruption insurance policy. They maybe able to provide cash in such situations, but all policies vary.

3.Patients

Communicate, communicate and communicate with them. Via email and social media make sure your patients know what is happening and that you are open for business and taking all the necessary precautions.

Make sure they are aware that you are following all the relevant infection control guidelines and that if they are sick to follow Public Health England’s guidance.

You don’t want a sick patient to come to your clinic as this could lead to the closure of your practice if your team become sick, so make sure you are crystal clear to your patients on what they must do and to stay away if they have the symptoms relating to COVID-19.

The BDA have provided guidance on what to do on the following link:

https://www.bda.org/advice/Coronavirus/Pages/faqs.aspx

Make sure you read this and follow this advice in detail.

Keep the communication channels open regularly with your patients and make sure they are aware that you are open. Most patients want to support their local businesses, but it’s imperative you speak to them regularly over all the necessary channels.

4.Marketing

This appears to be a recurring question I am seeing across various social media platforms – should you cut your marketing budget in this time of crisis?

That’s a difficult decision and you will need to be flexible on this.

On the one hand, if less patients are actually making a dental purchasing decision you may think its time to cut back and wait until this whole ugly episode passes. However, if more patients are at home, surfing the web and on social media, an argument could easily be justified to actually increase your marketing spend.

The more current and potential patients see your marketing, when they are ready, they are likely to come to you. In addition, whilst everyone is cutting back, you are seen more, which only helps you take any market share in the markets you operate within.

This will be greatly dictated by your cash flow (see above) and whether you are forced to close, but if you remain open, albeit it with less patients coming through, I would advise to keep your marketing going strongly, perhaps trying to optimise it where required as when we do eventually get out of this episode you will hopefully hit the road running!

How Team Samera can Help!

We have taken the decision to move the majority of our team to their home locations over this week, and our IT and phone networks are all set up to help anyone and everyone who needs help.

I appreciate business and money may well be down the pecking order for most in these unprecedented times, but the reality is businesses will need to try and keep things afloat for all concerned stakeholders.

Further available online help

We will be regularly updating the following for advice and tips during this crisis:

  1. This Blog Page
  2. Our Facebook Group Page – You can join here
  3. Our Facebook Page
  4. My personal linked in page

COVID-19 – Free Crisis Business Support Hotline 0207 100 8788

ALL HELP AND ADVICE PROVIDED VIA OUR HOTLINE IS COMPLETELY FREE

Call our free hotline if you need help or advice on any of the following areas:

  • Crisis Management Planning
  • Business Contingency Planning
  • Keeping patients informed with effective communication strategies
  • Maintaining your income streams
  • Managing cash flow
  • Paying your team
  • Paying your overheads and suppliers
  • Paying HMRC
  • Leadership and keeping your team motivated in these challenging times
  • Effective marketing of your services to keep a flow of patients coming to your dental practice
  • Dealing with insurance related claims
  • In fact, any business related issue

In a nutshell, call us if you need any business related help.

Please note this is not a money making exercise, just a genuine attempt to help those who need it. All advice we provide over the phone will be free to anyone who calls.

A problem shared, is a problem halved – period.

Finally, keep safe, keep healthy, and most importantly keep positive, don’t let fear dominate your life and your mindset.

Please share this post to anyone who may need help in these extraordinary times with their Dental Practice.

Thank you,

Arun Mehra

Don’t rely on No.11 Downing Street to Help your Dental Practice

Take charge and Market like you never have before!

It would be easy to provide commentary on today’s budget, and just re-iterate much of what has been said in the press already.

Some key points that will impact many of the dentists we deal with on a day to day basis include:

  • Firms with fewer than 250 staff will be refunded for sick pay payments for two weeks
  • Small firms will be able to access “business interruption” loans of up to £1.2m
  • Scaling up of HMRC’s “Time to Pay” service, including a new helpline so businesses and the self-employed can arrange to defer tax payments.
  • The rate of corporation tax will remain at 19% rather than falling to 17%.
  • Entrepreneurs’ Tax Relief – Business owners who sell their firms on were entitled to tax relief on profits of up to £10m over their lifetime. The tax relief has been scaled back rather than abolished, with the lifetime limit reduced to £1m.

Push Even Harder with your Marketing

Whilst some of these actions may be welcomed to help with the coronavirus issue (except for anyone selling a business for more than £1m) the businesses that will survive (or even thrive) in these interesting times will be those that don’t rely on the actions of the Treasury but actually take the bull by the horns and take on the challenge of what may be in store for the economy.

Let’s be clear, this is not a time for the faint hearted, but a time to step up and take on the many challenges that your business will face.

The public may be staying away, people maybe working from home, shops, restaurants, supermarkets and your dental practice maybe quieter. This, therefore, requires you to be present in people’s faces, now is the time to step up your marketing, not cower into insignificance.

So if you have not done this already, do the following:

  1. Rally your team together – you will not get through this on your own, but with your team. Now is the time for leadership, and your team need to be on board with you whilst you drive the business forward in these challenging times.
  2. Market your business until the cows come home – Other’s may pare back on marketing expenditure, in my humble opinion – DON’T. People still need your services, and they may be fearful, but now you need to raise your head above the parapet and be seen. Patients, who need your services will come to the practice they see most. Make sure you are the practice of choice in your area – period, now more than ever.
  3. Use all Marketing Channels Available – Email your patients, tell them you are open for business, continue your Google and Facebook marketing, keep writing your blog posts, and be out there so people see you. Whatever you have done in the past, and it worked, just do more of it.
  4. Rinse and repeat 1-3 above – Constantly strive to improving your marketing message.

It may sound scary, and you may be tempted to cut back on your marketing spend, worried about a lack of patients coming through your doors, but keep the marketing going – this should in fact be one of the last things you stop, as people still need your services whatever maybe lying ahead.

Keep going, and push hard as this will make the difference in these trying times.

Surviving a Financial Crisis

Our healthcare business consultants are experts at helping medical health providers and their businesses survive a financial crisis. We can help with cash flow management, raising finance and optimising your accounts and tax structure.

Book a free, no-obligation consultation with one of our team to find out more about how we can help you and your business.

For more information financial crises and your business, including more articles, videos and webinars check out our Learning Centre here.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Do you have concerns about UDA Clawbacks?

Are you worried about completing your NHS contract this year, could this have an impact on your businesses cash-flow position? 

We know that UDAs can be missed for a number of reasons, such as a high performing associate leaving the practice or principle being unable to work due to illness, and this can cause issues with the NHS.

If this is an area that has been worrying you and could put unwanted pressure on your business, why not look to spread the costs of the clawback over affordable monthly payments with an unsecured loan over a 2-5 years?

More on UDA Clawbacks

Samera Finance are experienced healthcare brokers with a banking background with access to many asset finance providers. It’s always best to explore the market and see what is available rather than just approaching a single lender.

Please contact us directly if you wish to explore your options.

Business Loans for Dentists

We’ve been helping to fund the future of the UK’s dentists for 20 years and our team are made up of former bankers with decades of experience and contacts in the UK’s healthcare lending sector.

You can find out more about working with Samera Finance and the financial services we offer by booking a free consultation with one of the Samera team at a time that suits you (including evenings) or by reading more about our financial services at the links below.

Dental Practice Finance: Further Information

For more information on raising finance for your dental practice, including more articles, videos and webinars check out our Learning Centre here, full of articles an webinars like our How to Guide on Financing a Dental Practice.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Annual Investment Allowance

April’s year end is fast approaching, have you used your full Annual Investment Allowance for this tax year?

The Annual investment allowance (AIA) gives businesses tax relief when purchasing assets such as plant and machinery i.e. dental chair. AIA allows you to claim back 100% tax relief on the asset purchased, which could help reduce your overall tax.

So, if you have been thinking about purchasing some new equipment for the practice such as a 3D Scanner or 3D Printer to enhance the patient experience now is the time to act. 

If you want to take advantage of AIA but don’t have the funds available, then purchasing the equipment via an Asset finance agreement could be the solution. Asset finance can be structured over 3-5 years, to assist you in managing your finances and providing you with a regular monthly payment rather than paying a large lump sum out of  your working capital and perhaps putting pressure on your bank accounts.

More on Annual Investment Allowance

Samera Finance are experienced healthcare brokers with a banking background with access to many asset finance providers. It’s always best to explore the market and see what is available rather than just approaching a single lender.

Please contact us directly if you wish to explore your options. 

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

The 13 Books You Need to Read to Succeed

One of the many questions we are asked by clients is ‘what are the best books for business owners?’.

Listed below is a selection by Arun Mehra, our CEO, which he has read and have helped him shape his thoughts and businesses. 

Awaken the Giant Within – Anthony Robbins

7 Habits of Highly Effective People – Stephen Covey

Good to Great – Jim Collins

Think and Grow Rich – Napoleon Hill

Start with Why – Simon Sinek

The Infinite Game – Simon Sinek

The Lean Start Up – Eric Ries

Emotional Intelligence – Daniel Goleman

The Art of War  – Sun Tzu

How to Win Friends and Influence People – Dale Carnegie

Business Adventures – John Brooks

Blue Ocean Strategy – W Chan Kim, Renee Maurbogne

Purple Cow – Seth Godin

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

The End of a Decade in UK Dentistry

What Happens Next in UK Dentistry?

In this video, Arun discusses dentistry in the UK over the last decade and what he thinks will happen in the next 10 years in Dentistry – Enjoy!

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Teddie Puts a Smile on all our Faces

Teddie is a regular well loved visitor to our offices always putting a smile on all our faces!

She’s transformed our lives in the last 18 months and even had a massive impact on the Samera business! She sits smiling on our team website page and in fact, was the reason two key team members joined Samera because when they saw her there they understood our business culture straightaway!

So how does your business culture differ from a sea of sameness? What makes you special? Do you have a Teddie in your business?

If you are in Surrey and need some business advice pop in and come and say hello to Teddie she gives the best welcome!

Whether you’re interested in accountancy and tax, raising finance, buying and selling a practice or growing your profits, we (and Teddie!) are here to help!

NHS Orthodontics tenders 2020 – is it too late?

NHS Orthodontics tenders are still viable, with commissioning in the North of England and Midlands and the East of England are still open.
South of England and recently London results prove it’s a mixed bag out there, from existing practices retaining contracts to large well known corporates losing massive well established contracts, new groups winning bids with new builds to small orthodontic practices winning bigger contracts outside their area.

It really is a game of Russian Roulette, everyone is playing and up for the opportunity.

Samera’s top tips for successful NHS Orthodontics tenders:

Build and enrol your team

Practice Team, Accountants, Property surveyors, collaborate with competitors, create partners, Tender writers and/or form new limited companies.

Prepare, prepare and prepare

Vital signs, BDA good practice accreditation, accounts, policies, service delivery, pricing, DDA, local needs, staffing, history of your practice, innovation, patient experience and basically your unique selling point and what you will bring to the contract.

Read

The Service Specification, ITT, Lot data sheet, clarification questions, the guide for Commissioning Dental Specialties – Orthodontics, contractual documentation for TUPE and Personal Dental Services agreement.

Understand and answer the questions

It’s like an exam question with different weightings, so make sure you consider that. Answer all questions, use benefit – led responses eg. We can offer this, this is how we will do it and this is the benefit to you. Use grammarly to punctuate your answers. Don’t use jargon, don’t presume they know you and don’t refer to another answer in another question as each section is assessed by different people. Be concise, clear and answer the question!

Time Management

Turnaround is very tight once Competition Stage begins, usually 6 weeks, however starts are being delayed so be careful about booking vacations.
Don’ leave submissions until last minute, usually midday on day of deadline not midnight, consider you may be seeing patients.

“Don’t be satisfied with stories, how things have gone with others.
Unfold your own myth.” Rumi

Get advice: we are here to support you, seize the opportunity: we are here to help you.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Business Advice for Dentists

Is there really a pot of gold at the end of the rainbow?

Sweat, stress, anxiety and sleepless nights – my business advice for dentists.

Don’t kid yourself if you think owning and running a business is your path to riches and financial freedom. For many entrepreneurs there isn’t a pot of gold waiting for them, but in fact stress and many sleepless nights.
Whilst on social media and TV it may appear that owning and running a business is easy, the truth of the matter is that most businesses fail – Why?

Because running a business is NOT easy.

Challenges come in many forms, including:

  • Building a motivated and committed team
  • Getting new customers and looking after existing ones
  • Managing cash flow
  • Trying to make a profit
  • Dealing with taxes….

Just to name a few.

But, in my opinion, running a business requires you, as an individual, to really step into the unknown.

A zone where you don’t know if you will have sufficient funds to meet payroll, or whether a client will pay you on time (or even pay you at all), or the bank will support you in your hour of need.

The uncertainty of business can be too much for many, which is completely understandable, especially if you have loved ones to support.

Yet, for those that can tolerate the pain, and the rollercoaster of building a business, the possibility of a pot of a gold waiting for them is still slim.
Good luck, fortunate timing, hard work and tenacity have a huge part to play in building a successful business, but most importantly your mind set is the thing that will determine if you reach your pot of gold.

Income vs Building Wealth

After struggling to build a business with a committed team, many individuals settle for building a business around them, where they are the monkey AND the organ grinder.

I meet many solo dentists, or business consultants, who do just this, building a decent income stream dependent on their efforts, but the problem here is that if they stop working, there is no income, and ultimately there is no value created.

The key is to build a business where it is not reliant on you being the CEO, chief financial officer, the IT manager and the Client manager, as well as the cleaner…this will not be sustainable and will ultimately create further stress for you, and not be worth anyone wanting to buy.

Remember the pot of gold waiting for you?

Business buyers want to buy a business that is not reliant on one party, they want to spread their risk, they want to buy something that will continue to grow into perpetuity, with or without you in the business.

Getting that right is downright difficult, but for those that achieve that, the pot of gold can truly become a reality.

That’s when you have built considerable wealth, which can be life changing for you and your loved ones.

So what about Mind Set?

As I highlighted earlier, your mind will ultimately be the determinant of your success.

Expect knock backs after knock backs, expect problems, expect difficult team members, difficult customers, difficult times, lack of cash flow, tough decisions, and of course hard work.

Business = Problems

Personally, I’ve had my fair share of all of these, including employment tribunals, cash flow issues, contractual issues, difficult clients, all whilst dealing with children in hospital, dealing with dementia with parents,  but truth be told, I relish nothing more than a challenge in business, I actually thrive on solving problems.

But if you can handle this, and your family can handle this (as you need support from them), then perhaps that pot of gold is waiting for you at the end of the rainbow?

It’s there for the taking, but remember, only a few will ever reach it – are you one of the few?

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Changes at Royal Bank of Scotland 2019

You will have seen many articles in the press regarding the process that the Royal bank of Scotland is to go through to reduce its customer base and pass customers to the “challenger banks”.

The banks for the switching date of 25 February have been named as:

  • Arbuthnot Latham & Co Ltd
  • Clydesdale Bank plc
  • Co-operative Bank plc
  • Hampden & Co
  • Metro Bank plc
  •  Santander UK plc
  •  Starling Bank Ltd
  •  Svenska Handelsbanken AB
  • TSB Bank plc

Expected to join later in 2019

  • Monzo bank plc
  • Nationwide Building Society

You can, of course, use this opportunity to shop around and you do not need to be limited to the provided list of possible banks.

Call us and talk through your options. We can help find out who is the best in the market for your business and what suits you the best, rather than be forced into another bank that may not be right for you.

There is no obligation or charge for the discussion that could provide you with a better lender.

Click here to rad our article on How to finance a healthcare business.

For More Information on Changes at Royal Bank of Scotland

Get in touch with our finance team today. They will be happy to answer all your questions.

[email protected]
samera.co.uk

Commercial Loans for Healthcare Businesses

We’ve been helping to fund the future of British healthcare businesses for over 20 years and our team are made up of former bankers with decades of experience in the UK’s healthcare lending sector.

You can find out more about working with Samera and the financial services we offer by booking a free consultation with one of the Samera team at a time that suits you (including evenings) or by reading more about our financial services at the links below.

For more information on raising finance for your healthcare business, including more articles, videos and webinars check out our Learning Centre here, full of articles and webinars like our How to Guide on Financing a Dental Practice.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Is Cash Flow a Bit Stretched at this Time of Year?

Your dental practice’s cash flow can be stretched at this time of year due to several things;

  • A slowdown in business over the holiday period.
  • Extra payments due, such as tax.
  • Cash flow has been used to buy equipment / cars for the business etc.

All of these can be covered with the introduction of finance for either tax/cash flow or to refinance the asset/equipment you bought earlier in the year.

Equipment or vehicles for your business can be funded and cash reintroduced if you have bought them out of the cash of the business.

Assets can be funded up to six months after they were bought, and in some cases 12 months. We can source finance for you in the UK and Eire and we make no charge to you, the client, for this.

Obtain some quotes to see how easy it is to fund assets and improve your cash flow.

Click here to read our article on How to finance a healthcare business.

For more information on your dental practice cash flow

Contact our finance team today. They will be happy to answer all your questions!

[email protected]
samera.co.uk

Commercial Loans for Healthcare Businesses

We’ve been helping to fund the future of British healthcare businesses for over 20 years and our team are made up of former bankers with decades of experience in the UK’s healthcare lending sector.

You can find out more about working with Samera and the financial services we offer by booking a free consultation with one of the Samera team at a time that suits you (including evenings) or by reading more about our financial services at the links below.

For more information on raising finance for your healthcare business, including more articles, videos and webinars check out our Learning Centre here, full of articles and webinars like our How to Guide on Financing a Dental Practice.

For all our previous webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Tax Payments for Dentists in 2019

As we start 2019, your accountants will be letting you know what taxes you must pay and the dates by which the payments are due.

If you have not put enough aside to cover the tax liability, or you have had a great year and the liability is higher than expected, you can spread the cost by taking a tax loan over 12 -24 months.

Most tax loans are provided over 12 months. However, some, such as Corporation tax, can be extended further in the right circumstances.
Short term loans are, by their very nature, more expensive. This is because any lender wishes to get a fair return on their loan even over a short period. Therefore, be prepared to pay a higher rate of interest than you are used to.

You can, of course, approach your own bank for assistance. However, mainstream banks are not usually receptive to these approaches, believing that you should have planned for this eventuality and have the funds safely put aside.

We have access to several lenders and we can obtain quotes for you. Samera Finance make no charge to the client for this service.

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

The Success of Samera Bootcamp 2018

The Setting up in Practice Bootcamp 2019 is fast approaching on January 25th in London. With 20 clients booked in, I thought it would be interesting to reflect on the Samera Bootcamp 2018, held in Manchester, when we had a similar number of attendees.

So, of the 20 attendees, what progress did clients make in buying /setting up practices?

Three clients have been successful in fulfilling their ambitions outlined at Bootcamp. Furthermore, several others have been viewing practices and sites and are still ongoing.

One client bought a practice in South west London financed through Samera Finance.

Two others have been involved in setting up practices in South / South West London. One client bought a practice that had been set up as a start-up (squat), the premises had been all fitted out with equipment etc. However, the practice had never opened due to planning issues. These issues have now been resolved and Samera Finance arranged the finance through one of the major lenders.

The second squat /start up was a practice that had been closed for two years. This needed updating in both equipment and premises, and the finance has again been arranged by Samera Finance.

Are you are thinking about buying a practice or setting up a new practice? Have a look at the Bootcamp 2019 page and see how the bootcamp could benefit you. Next year, we could be talking about the practice you have bought or set up as one of our success stories!

Sign up for one of our business training events

Sign up now for any of our live events or webinars, designed to teach healthcare providers how to build a better business.

We run a mixture free and paid online webinars covering everything from compliance and marketing to accounts, tax and raising finance, as well as live events like our start-up bootcamps or finance workshops.

Check out our events calendar to see which of our webinars, courses or bootcamps is right for you.

What 2018 Taught Me and How to Handle 2019

I felt writing a blog post that really reflected how I am feeling as we enter the dusk of 2018 and my thoughts on how to handle 2019.

For many years, I never thought I would make it to 45 years old (but I did back in February) as my mum never made it past that age – so for many years let’s say I just had a few “issues” feeling that I had to pack as much as possible into my life whilst I was alive and kicking!

And that’s what I did in 2018, and will continue to do in 2019 and beyond until the curtain calls.

Pack it in

These are 3 words that really resonate with me and I know my children are pretty much exhausted with both Smita and me and our constant seizing opportunities that life has to offer!

The true highlight of 2018 was welcoming Teddie (our 1-year-old Cavapoo) into the family, and since then it has been pretty much dog-mad in our household.

Holidays and weekends away have all involved Teddie coming with us (it’s a new phenomenon to have a dog sleep on you in a campervan – as if one can sleep in a campervan and then to have a dog sleep on top of you!!!)

Ageing parents

Whilst Teddie brought joy, sadness was very much evident too, with deaths abound and ageing struggling dads. The cycle of life can be so cruel.
Whilst it was a “tough” year, I am very grateful for all the family, friends and clients and the opportunities that came my way. Very grateful and humbling indeed.

How to Handle 2019

With the news still dominated with our divorce from Brussels, its now more important than ever to keep pushing forward, whatever the outcome may be.

The media is embracing negativity, I am personally favouring to ignore the negative news and focus on one’s own actions.

Yes, economic uncertainty appears to be unravelling as we speak, and the marketplace appears to be getting more competitive, yet buying a dental practice still is wishful thinking for many, as prices remain high.

Yet experience has taught me when confronted with a challenge, an opportunity is never far behind.

Challenges always bring another way to think about things, and how to tackle them. Don’t shy away from problems, in fact embrace them in 2019, you will surprise yourself and grow broader shoulders whilst taking on the world.

You just have to possess the right frame of mind, attitude and the ability to see through the fog that is currently around.

2019 requires us to be flexible, adaptable, and a willingness to continue taking bold steps, even when others around are fearful.

That’s when you will grow, and succeed.

On that note, I am off to France for the beginning of the ski season, wish me luck, and I do hope it won’t be a whiteout on the slopes or in 2019 for you or me.

For my ideas and views on what you need to do in 2019 in your business take a watch of the video below:

If you are liking our videos I urge you to subscribe to our channel as 2019 is all about video and sharing our experiences on video.

Christmas Opening Hours

Please note our offices are closed over the Christmas period and we will be back in the office on the 2nd January!

Finally a very Merry Christmas and a Happy New 2019 to you and your loved ones!!

See you in 2019!

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Dental Volunteering with Bridge2Aid (B2A)

Dental Volunteering with Bridge2Aid (B2A)

Almost 48 hours after leaving London Heathrow, we arrived in Chato, a 5-hour drive from Mwanza, on Lake Victoria.
Exhausted, yet excited, we had taken 3 planes (an A380 as well as a Dreamliner for the plane geeks), a ferry and enjoyed a bumpy 5-hour safari drive in our trusty Toyota Landcruiser to arrive in Chato to observe the power of good deeds, hard work and commitment from people making a difference.
Yet I was merely a visitor, a trustee of Bridge2Aid, the real hard work was being done by the volunteers who were on an 8-day assignment to train local clinical officers in emergency Dental care – no mean feat.
There were four of us visiting the amazing work being carried out by the charity volunteers.
Our touring group was lead by Shaenna Loughnane, Bridge2Aid CEO, Jeremy Bagg, Dean of Glasgow Dental School, Lucy Mander of Dental Design, and my good self, visiting in the capacity as the Treasurer trustee of Bridge2Aid.

Humbled by what we saw

I have to say it was truly humbling to see the whole operation in action in Chato.
Set up in a small concrete building in the middle of nowhere which had no electricity the clinical team from Bridge2Aid had set up a six-person surgery (using very basic equipment) plus a compliant Sterilisation room. Jeremy who is an expert in this area was most impressed considering there was no electricity.
Just imagine trying to operate a Sterilisation room without any electricity – yet it functioned almost perfectly, operated by 3 volunteer nurses from the UK and USA. 

The Visiting Dental Team of the UK and USA

The visiting dentists on the programme were a friendly yet focused group wanting to help the local clinical officers become proficient in dental extractions.
The visiting dentists ranged in age, from recently qualified all the way to retired dentists wanting to continue helping. All but one of the group were from the UK, with the other Dentist coming all the way from California.
To enhance the camaraderie and ensure things were done in good spirit Abba was played daily at each morning huddle meeting!
Patient after patient, the visiting dental volunteers supervised each and every extraction being carried out by the local clinical officers.
It was hard and exhausting for all concerned, standing on their feet all day, in very basic conditions, with mosquitoes and flies, along with very basic sanitation facilities.
But even in the hardest of conditions, the team trooped on and got on with what they were here for – helping others.
Truly inspiring. 

Sustainable work by training local clinical officers.

As far as I am aware B2A is the only Dental charity that puts sustainability at the core of its ethos.
Whilst other Dental charities may go into a country and help for a couple of weeks in treating patients, B2A’s model is all about training local clinical officers in how to extract teeth. This ensures once the volunteers have left, the local Tanzanian clinical officers can extract teeth from patients when required.
So instead of the B2A volunteers pulling teeth, their job was to train the clinical officers in how to do this.
So at the beginning of the week, the clinical officers had never actually extracted any teeth, but by the end of their training, they were extracting 30 teeth a day – each!!!!
More than most Dental students perform in their 5 years at Dental school in the UK.

Over 526 clinical officers trained and 50,000 patients treated.

By the end of the week, the clinical officers had extracted over 1000 teeth and seen over 1100 patients.
Interesting to note, since Bridge2Aid started in Tanzania, 50,000 patients have been seen and 526 clinical officers have been trained in Dental extractions greatly helping many rural communities across Tanzania.
Sustainability is at the core of this charity.
The old saying of you can feed a man a fish, or you can teach a man to fish is truly at the core of B2A and should be something that must be celebrated.
Long may it continue.
Finally, a big thank you to all the people involved in this trip, it was humbling yet inspiring, and has provided me with further energy to try and propel the excellent work the charity continues to do.
To get involved, donate or raise funds for Bridge2Aid please visit their website.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Samera Testimonial 2019: Dr Jeff Sherer from The Dental Design Studio

Samera Testimonial: Dental Accountants

Dr Jeff Sherer of The Dental Design Studio discusses how the Samera Team of Business Advisors has been helping him and his partner manage their 13 Dental sites across the UK.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Disguised Remuneration ….do you have a loan from a Trust?

In recent years we have seen many professionals become involved in various tax planning arrangements, many of which included trusts. Therefore, if you have and you don’t know what to do here is a quick update and the steps you should seriously consider taking.

Firstly, HMRC has introduced legislation that will bite upon loan balances from a Trust that remains outstanding on 05 April 2019. These fall into two categories. This is an important date, and less than one year away, so consideration of this issue must be high on your list of priorities.

Remuneration Trusts

If you are self-employed you may have set up one of these in the last 10 years. The idea was that you could borrow money back from the Trusts untaxed.

The new legislation means that if you have done this then and you haven’t repaid the loan then you will need to declare the loan balance as at 05 April 2019 on your 2018/19 Tax Return. HMRC will then seek to tax the full balance owing in this tax year. So if you had, say, 3 loans at £250,000 over a 5 year period in the past and these have not been repaid, you will be liable to tax on £750,000 all in 2018/19.

If you think that this is harsh, you are quite correct. It is legislation designed to make those affected contact HMRC with a view to settling with them and not having all the loans taxed in one year and then creating a tax charge at the very highest tax rates.

If you are in this situation, then it’s important you have a suitable course of action to ensure this does not affect you. If you need help, we have a team of experts at our disposal to help you in this situation.

Employee Benefit Trusts (EBT’s) and Employer Financed Retirement Benefit Schemes

(EFRBS)  

These arrangements are for employees and, in almost all cases, relate to the Directors of family-owned companies.

The legislation referred to above is desired to tax loans balances that remain unpaid by employees/directors when the loan has come from a Trust set up by the Company.

The loan balances are liable to PAYE and National Insurance Contributions and all details will have to be supplied to HMRC by the Employer in 2018/19.
HMRC are happy to settle matters now with a scheme that allows certain fairly generous concessions and have just extended the deadline for registration to 30 September 2018.

It is advised that you take advantage of this opportunity and if assistance is needed please contact us.

No two cases are the same and there may be facts in each case that can mitigate the final settlement figures. There are issues arising from time limits and HMRC need challenging if they are making incorrect assumptions.

It is strongly recommended that you do not leave matters until April 2019 and take advice now on finding the best resolution to what can be a very serious issue. If there are concerns regarding funding any settlement, a period of time to pay can be negotiated for you.

Contact Us for help with Disguised Remuneration

If you are in this situation or need assistance, please contact us as soon as possible.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Myth Busting the London Orthodontic Tender SQ

In this recorded webinar Farisa Siddique and Laura Graham discuss their thoughts and tips on the approach to complete the London Orthodontic Tender SQ.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

UK & European Dental Markets – Consolidation Growth On The Rise

The last 3 years have seen unprecedented change in the UK and European Dental markets.

Whilst we have seen increasing consolidation across the UK market, across Europe a similar trend is occurring.

We feel we are at the early stages of consolidation of the complete European dental industry. Investors are seeing that there are considerable efficiencies and gains to be had from scale and consolidation. However, getting this right is not easy.

In fact, we have seen in the UK and European markets some of the early investors struggle to build the large successful dental corporates they aspired to do so.

For every success story, there have been several casualties over the last few years.

A Fragmented Market

Dentistry remains heavily fragmented across Europe, yet the size of the Dental services market is substantial, and growing. This presents a prime opportunity for consolidation.

Increasing regulation, dentists reaching retirement age and a growing number of female dentists are changing the structure of how dentistry is practiced.

Strategic investors and private equity see these changes as an opportunity, offering scope to acquire, consolidate, improve efficiencies, and sell at greater multiples.

The UK Dental Market

Approximately 1,400 practices out of 11,000 dental practices across the UK belong to Dental Body Corporates. We are seeing small owner managed groups emerge, seeking to acquire further practices, and then exiting with a sale to larger dental groups.

Recent significant deals include the purchase of Southern Dental by Swiss based Private Equity firm, Jacobs Holding. Interestingly, Jacobs Holding owns a dental group in Scandinavia too.

One of the larger deals of 2016 was the purchase of Oasis Healthcare by BUPA. Again, interestingly, BUPA own Sanitas, a dental chain in Spain.
Sources suggest that MyDentist, the largest Dental Body Corporate in Europe, are currently not acquiring additional practices whilst apparently targeting operational and delivery challenges.

This presents an opportunity for a buy and build project delivered by existing and new entry investors.

In the last 12 months, the team at Samera have now begun working with a significant number of new investor groups, and we anticipate this trend to continue as investors appetite for the UK dental market grows.

The acquisitions sought by groups are highly driven by profit. Investors are always looking for individual practices or dental groups with a strong possibility of integrating easily into their existing groups.

Costs savings such as materials, labs, wages, clinical waste and other practice overheads are typically achieved in the first year post acquisition and profit improvements plans start taking place early on.

The European Dental Markets

As we have witnessed in the UK the most successful dental groups are the Groups that grew without losing touch with their locality and retained dentists and support staff post acquisition.

How to successfully build a branded dental group

Building a pan- European Group is a new and very attractive proposition and one that could work using similar principles as the successful UK Groups.

However, we feel there are a few important steps any growing dental corporate must master if they are going to succeed in building a successful branded dental group.

Centralising Head Office overheads

Through the use of a shared service centre, such groups can manage centralised costs well, but at the same time negotiate better discounts with suppliers through economies of scale. In addition, with scale comes a certain element of power, enabling larger groups to negotiate stronger lease terms in better locations, whilst offering a stronger covenant to and potential landlord.

The use of technology

Dentistry is evolving rapidly in the space of technology. Whilst many small dental practices use third party dental laboratories to provide crowns and other laboratory related work, we foresee the larger groups will acquire such laboratories so everything can be produced “in-house”, thus increasing the groups’ profit margins.

Hiring and retaining quality dentists

We feel it is imperative that such growing groups build a business that really supports their dentists and hygienists with their careers. The patient-dentist relationship is a very important relationship, and we have seen numerous cases of groups being rather heavy handed in their approach to professional team members, which has seen patients leave and goodwill destroyed very quickly. In order to build a successful branded dental group, at the heart of the business has to be its people, and keeping them happy. A failure to do so, will be the downfall for any ambitious dental group.

Building a brand

The last few years has seen Dentistry become a much more brand-oriented industry. Patients and consumers are attracted to strong brands, and we feel this will continue to grow in the Dental sector.

For further information on marketing a dental practice, check out our Learning Center here.

Recent Deals

In the last 2 years across Europe, DentalPro in Italy acquired Dentadent and Gruppo Giovanni Bona before selling to BC Partners (Bencis Capital Partners).

Elsewhere in Europe Vitaldent in Spain was acquired by JB Capital.
Jacobs Holdings from Switzerland, is rapidly growing their presence in Northern Europe via acquisitions of Colosseum Smile and Southern Dental.

What Next?

As seasoned experts of the UK and European Dental market, we feel the market possesses all the necessary ingredients for further consolidation.
The fragmented nature of the market, increasing private equity and strategic interest in the sector, and the changing fundamentals of the actual market place across Europe, highlight that the opportunity for further consolidation is considerable.

How Samera can help

Samera Practice Sales is part of Samera Business Advisors, the leading professional services group for Dentists.

Through our close contact with Dentists, Dental groups, and both buyers and sellers across the UK and Europe, we are perfectly positioned to assist.
Samera work with a number of Dental groups and growing Private Equity funded groups, so if you are seeking assistance on either the buy or sell side, we can help you.

Over the years we have grown strong connections not only in the UK and Ireland, but also in Southern Europe too.

Our main qualities are being proactive, efficient, making things happen and our multilingual and specialist team that can be your conduit to Pan- European consolidation plans.

Grow Your Dental Practice with Samera

Join the Samera Alliance buying group today for free to save money on your consumables and assets, increase your profits and grow your dental practice.

You’ll get access to exclusive discounts on the consumables, products and equipment you need to build and grow your dental practice. You’ll also get exclusive discounts from our Alliance Partners, covering everything from HR, IT and legal services to utilities, compliance and dental technology.

Join for free. Save money. Grow your dental practice.

More on Growing a Dental Practice

For more information on growing a dental practice, check out the articles and webinars in our Learning Centre, like our guide on How to Grow a Dental Practice.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram

Team Development – Berlin 2018

Team Samera Hits Berlin

Last week, six of us, Max, Nigel, Jules, Edel, Farisa and Arun hit Berlin for some team bonding.

Despite the freezing temperatures, we warmed ourselves up with plenty of currywurst, beer, wiener schnitzel, and some more currywurst!

Away from our normal routine, we had a lot of fun, but did a bit of work too!! Always good to get to know your team members away from the office – we find it helps build a stronger bond and team!

Arun wants to open a Berlin office (it’s right up his street), anyone want to get involved?    

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Dental Market Update and Essential Tips on Selling your Dental Practice

For further details on selling a dental practice please click here.

Click here to read our articles Samera Learning Centre.

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Brexit for Dentists

The Initial Reactions

Despite the mixed feelings about Brexit for dentists, we are on our way to exiting the EU.

The initial reactions were pretty considerable, and the drop in the pound value has not shown any sign of a strong recovery – yet. Dropping from a pre-brexit value of around $1.55 to around $1.31 as I write this guide.
The appointment of a new prime minister, whilst helping ease the uncertainty, is only the first of many changes we can expect to see over the next couple of years.

We expect many changes to arise as the UK exit’s the EU, some will be imposed whilst others will have to be negotiated with our European counterparts.

Almost all small businesses will be impacted by Brexit, but rather than consider Brexit as a disaster, I would urge you to look for the opportunities, as I anticipate there will be many for those shrewd and sharp enough to find and seize them.

Now more than ever, Darwin’s theory of evolution applies to those going through Brexit.

“It is not the strongest or the smartest that will survive, but those that can handle change.”

Following this section are some points to consider when trying to grow your business in this fast changing economic environment.

The Squeeze on Margins

One of the immediate effects of Brexit has been the weakness of the pound.
Overnight the cost of purchasing anything not denominated in sterling has increased by approximately 15%.

Whether it be a dental chair, materials, overseas laboratory costs, it is likely that if you are buying direct from overseas you may have seen an impact immediately. If you are buying from a UK based company who imports such items, whilst a price rise may not have occurred yet, if the pound stays at such levels, it is quite likely that prices for items you purchase which are imported in to the UK will rise.

The question you then have is, do you absorb the costs and accept a reduced margin or pass the increase onto customers. In the short term it is likely that you may be able to absorb the cost rises, however, longer term these cost rises may need to be passed on via price rises to customers.

I feel the impact on margins and profits will vary from practice to practice, so please seek advice from our team if you need to discuss a suitable strategy.

Growth

Whilst fear maybe perpetuated by the press, this is not something you, as a business owner should yield to.

You may feel it is safer to sit on your hands and not spend and wait for things to happen, but invariably your smarter competitors may see this as an opportunity.

My advice, is review your future investments, perhaps cut back on some but most definitely go forward with some gusto to keep growing your business.

For those that keep a focus on growth, I am pretty certain that they will be winners out of the changes Brexit brings to the UK economy.

Building a business made out of bricks and not hay

Brexit brings an opportunity to strengthen your business and perhaps change to the differing economic conditions. I would urge you to sit down with your advisors and think about what you need to change and focus your efforts on.

Higher value cosmetic treatments may not be the thing to market, but in fact run of the mill high quality general family dentistry. Your patients maybe feeling the pinch, so re-design your offerings so people still want to come and visit your practice, ensuring a regular stream of income in your practice.

Leaders are made not born

I am a huge advocate of taking the bull by the horns. Your patients, your team may feel worried, it is your opportunity to lead from the front and lead them to a positive future, one that is promising, exciting and one that shows you care for them.

Whilst you may feel this time of change is challenging, your leadership skills are now needed more than ever to show others the path.

In times like these, you may need to make some difficult decisions, and be decisive. This is your opportunity to shine, and take your business forward.

Planning for the changes

The press have already reported some larger businesses are already looking to move some or all of their operations to mainland Europe.

However, for most small businesses, including Dental practices, this is not a choice you have – I cannot imagine most of your patients flying to Spain to come and see you!

As a business leader in these times, you will need to continuously adapt to the many changes occurring, the changing regulation, administration and fluctuating markets – in such times you will need to be stoic, agile and most definitely demonstrate true British resilience even in the face of adversity.
Now more than ever, a stiff upper lip is needed.

Protecting your team

In the last few years, we have seen many EU and non-EU migrants enter the Dental workforce – Dentists, as well as Dental care professionals. Many of the larger Dental corporates rely heavily on EU national dentists too.
In my small team alone, I have team members from across the world, something that makes a great working and team environment.

In my opinion, this is one of the huge benefits of running a business in the UK. Without my team, my business would not be where it is today, likewise, many of our clients value their teams enormously and go out of their way to protect them and their livelihoods. I have yet to meet a business owner that does not take their responsibility lightly when it comes to ensuring their team are paid and looked after each month.

Don’t forget, people are what make a business.

Whilst it may be a little while until we know what the changes of status will be for those EU nationals living and working in the UK, I think we should refrain from any knee jerk reactions.

Economic changes

Without doubt, the UK economy has already been impacted by Brexit. The housing market has stalled with the number of transactions occurring dropping significantly, and the weakening of the pound has seen overseas companies look to buy good quality businesses in the UK on the cheap – for example Arm Holdings.

The most recent recession of 2008 is pretty clear in most business owners minds, so most owners will feel they have a pretty good idea of what they need to do in these times. Being prepared, confident and leading on the front foot will be what most business owners will need to be doing.

The Bank of England’s recent drop in interest rates to 0.25% above base rate is an unprecedented act to try and stimulate the UK economy. It’s quite likely that we may get a further cut to try and stimulate the economy further.

In addition, the Autumn statement from new chancellor will in my opinion, be less pro –enterprise, so some tax rises may well be there.

Planning an exit – Is it time to sell your business?

I have always advocated, always be ready to sell your business. Whilst some people may want to grow their business further in these times of change, it may also be an opportunity for others to seek new pastures and sell their business.

Your personal circumstances may change, or someone may come knocking at your door with an offer you cannot refuse, or the changes likely from Brexit may be an opportune time for you to think about hanging up the drill.

This maybe the perfect time to sell your dental practice. The key will be to get your house in order, and plan how you are going to maximize the sales value of your business.

If selling is something you are considering then seek advice from our Practice Sales Experts.

Your Brexit Strategy

Procrastinating and waiting for what will happen is not a strategy we advocate.

Being proactive with your team and clients is key in this environment, rather than waiting to see what happens. We have listed a few key action points we think you should consider in light of Brexit:

  • Safeguard your team members and inspire them to success

Your team are critical to your success. Helping them in these changing times will reap rewards in a massive way. Lead them in the direction you want to take and inspire them to help you achieve your business goals.

  • Manage the red tape

One of the key reason’s cited to leave the EU was the red tape. Whilst in the short term we expect this to actually rise, we would recommend you are fully in compliance with all legislation and you have a plan to manage the many changes we expect to see.

  • Put a growth plan together

Review your performance, see what has been working thus far in your business, then write down some specific goals you want to achieve, and put a simple actionable business plan of what you are going to do to achieve those goals.

  • Review all agreements and funding

This is a perfect time to review all agreements in place, and your current financing arrangements. As interest rates fall, it is quite likely you could re-negotiate better terms for financing.

  • Embrace the change

The vote has happened, and there is no turning back, so embrace the changes Brexit brings. Your emotional state and attitude play the largest part in success in business, make sure yours is strong, and ready to face the changes.

Brexit for dentists: How we can help

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

10 Tax Saving Tips for Vets

The 2017 tax year saw many new changes in tax legislation and planning ahead is more important than ever to ensure you work within the rules to not miss out on a tax saving opportunity.

In light of this, here are our top tax saving tips for vets.

Selective Capital Allowances Planning

Even though you may have spent money on capital items in a tax year, there is no requirement to claim capital allowances at all.

This matters when your circumstances in a tax year mean that if you claimed all of the capital allowances you are eligible for you would lose your personal allowance.

E.g. Vet ABC has profits of £100k and losses of £50k brought forward which can be used to reduce the taxable profits.

It also spent £50k on capital items in the year upon which capital allowances can be claimed. However, an election can be made to reduce the claim to £38.5k instead leaving £11.5k as the taxable profits. (I.e. £100k – £50k – £38.5k = £11.5k).

By restricting the amount of capital allowances claimed you can still make use of your personal allowances (Which is £11,500 in 2017/18) and carry forward the unclaimed capital allowances into the next year instead of losing them.

Dividend Allowance

With the new rates of dividends that came in on the 6th April 2016, dividend income is now taxed at 7.5%, 32.5% and 38.1%, depending on whether your total income (including the dividend itself) puts you into the basic rate, higher rate or top rate bracket.

Along with the new rates the Chancellor has now given every UK tax payer a new £5,000 tax free “dividend allowance” which means the first £5,000 of dividend income is tax-free. To minimize your tax position, it is possible to allocate some shares to a spouse who doesn’t have dividend income to make sure this dividend allowance isn’t lost. This must be done carefully and within the accepted boundaries to be acceptable to HMRC. For 2017-18 this allowance will be reduced to £2,000.

Gift Aid

Remember to record all the charity donations you’ve made. These reduce your taxable income.

If you’re a higher rate taxpayer, you can personally claim back tax.
Example – You donate £100 to charity – they claim Gift Aid to make your donation £125. You pay 40% tax so you can personally claim back £25.00 (£125 x 20%).

Care needs to be taken here though. It can sometimes cost you tax. If you’re close to the personal allowance, this could be the case. Speak to an accountant to check what tax you are due back!

Pension contributions

When paying into your pension, you receive tax relief on any contributions that you make. This is at the highest rate of income tax that you pay, provided that the total gross pension contributions paid into your pension scheme, by you and anyone else don’t exceed the lower of your annual earnings and the annual allowance.

This could mean that, if you’re a higher rate taxpayer, £10,000 worth of contributions could get you £4,000 tax relief. Meaning you’re receiving at least a £10,000 benefit for only £6,000.

Limited Company Research & Development

Are you doing something that has never been done before – in advance of current technologies and sciences? This could be something as simple as a website or an app.

Millions worth of tax relief is missed by SME’s due to people not knowing about this extremely generous tax relief for qualifying expenditure.
For each £10,000 spent on R&D you could receive £22,500 worth of corporation tax relief. That’s means the expense only really cost you just over half of what you spent at £5,500.

The tax rules surrounding this are very complex and therefore require a professional to ensure the expenses qualify.

Cash in on self-employment profits taxed twice

Again, another relief people know little about.

If your self-employment year-end differs from 5th April, it’s very likely you’ve paid tax twice on your overlap profits and therefore with a little planning, you can get this back!

Many sole traders and businesses have a tax relief just waiting to be used and can ‘cash it in’ at any time they choose.

Avoid paying more tax than ‘real’ profits on your property investment – making it unsustainable

At present, full tax relief is available for interest on a loan used in a property business. The funds may have been used to purchase the buy to let property, to make major repairs, or just to fund the working capital of the property business.

From April 2017, tax relief on interest in property businesses (including single buy to lets) will be restricted so that by 2020, interest will not be an allowable expense in computing the profits of the business.

A letting activity that has a low level of interest in relation to the borrowings will not be too badly affected, but larger property businesses using debt to expand the portfolio will find that their business model has been severely undermined.

Example (single buy to let)

John is a vet and is 49 years old; he is a 40% taxpayer. He has purchased a buy to let property as an investment. He has presently got borrowings of £50,000 on his property which has a current market value of £160,000. His interest rate is 5%. If his interest rate was to rise to 10% he would see the following change:
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Utilise your tax free personal savings allowance

Do you have a credit balance Director’s loan account (amount owing to you from your Ltd company)?

If so, you could be missing out on utilizing your tax free personal savings allowance.

Invest wisely

There are huge tax breaks for investments in EIS / SEIS and VCT’s. To say they are generous is a huge understatement.

For example, you could invest £10,000 into an SEIS and get £5,000 immediate tax relief. What’s more, due to loss relief, even if your investment folds, your actual loss will only be £2,750. You can even carry back to the previous year.

Again, the tax legislation surrounding these different investment schemes are complex and the level of relief depends on the individual person so you should ensure you obtain independent tax advice before proceeding.
Whether it is claiming for use of home as office, or laundry allowance every little helps and working with a Healthcare Accountant means they will be able to maximize the items you can claim for.

Tax is a complicated subject which requires knowledge and expertise.
The above is just a taste of some of the top tips, however, we strongly recommend you seek professional advice on any of the subjects detailed above.

Further Information on Accounts & Tax

Our team of specialist accountants and tax experts can help manage, process and structure your business’s finances. From management accounts and payroll & pensions to tax planning and cash flow management, we can take care of the full back-office function of your business.

Book a free, no-obligation consultation with one of the team to find out how we can make your accounts & tax easier, quicker and cheaper.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook and Instagram.

Dental Practice Valuations – Current Growth Trends and Market Direction 2020

We are currently in the last quarter of the year and the dental market is very active, with a great demand for all types of dental practices in the UK.
The NHS contract is still considered a great option, with its “evergreen” status ensuring high recurring revenue and quality of earnings. Meanwhile, private practices are also achieving great completion prices and demand for these types of practices is on the rise. Current figures suggest around 19% of dental patients currently receive wholly private care.

Approximately 400 practices are coming to market every year and the UK dental market is highly fragmented with around 16% of the total practices in the UK owned by corporate groups. Currently, we see completion prices averaging between x6 and x7 EBITDA for single sites practices.

Dental groups with an EBITDA in excess of £1.5m can be sold at higher multiples, but we are rarely seeing independent single sites selling above x7 EBITDA.

Best way to maximise the sale value

At Samera, we feel the best way to maximise the sale value is by having a competitive sale process and approaching the market with the true value.

Increasingly, buyers are scrutinizing contract performance rather than NHS contract value, analysing statements of activity and QOF for the quality of delivery of the contract, as well as looking at each associates delivery of UDAs and private income for sustainability. Clearly, an associate delivering 12,000 UDAs per year is a risk, and a low UDA value sub £23 is also a risk as it represents a low-profit-margin, especially in areas where it is harder to recruit.

Some of the large groups are not as active as they were 3 years ago on the acquisitions front, allowing an opportunity for well funded other buyers to acquire practices that in the past would have been approached and acquired directly by large groups.

Whilst in many ways it may still be a seller’s market, the smarter well-funded buyers are questioning valuations now more than ever. Many of the expanding groups are acquiring with the view to be able to sell their larger group in a few years at a higher multiple than what they paid for it. By paying over the odds, now, makes it a pointless exercise if they overpay – in their eyes.

Make your money when you buy

As any savvy investor clearly knows, you make your money when you buy – not when you sell!

Therefore, it is imperative, that any seller presents their practice well, transparently, and with realistic expectations of what they can expect rather than a valuation that is way beyond the market norms. Whilst it may feel great to be told by a keen broker that your practice will sell at record levels, the savvier buyers learn quickly who to work with and what value to believe.

If sellers expectations are set too high, many months can be wasted and credibility from strong buyers is lost too.

Trust plays such an important part of the deal.

Remember, anyone can make assumptions and add thousands of ££ to an `adjusted` EBITDA, but the danger is to lose credibility in the marketplace and to put the sellers in a vulnerable position.

We feel valuers have a responsibility to value businesses accurately. They also need to discuss with buyers and sellers the real potential that can add value and increase the price, and make real financial adjustments that will be sustainable once the sale is completed.

There are many types of buyers in the actual market, some whom do not need to rely heavily on bank loans, such as corporate buyers, whilst some others might be able to offer more clinical flexibility post completion such as individual or multi-sites owners.

It is common to see part of the price paid on a deferred basis, predominantly in the sale of private dental practices, or in relation to the private income of the practice, over a period of time and usually linked to the performance of the practice.

It is always advisable to have a conversation with a specialist dental sales agent.

Free Dental Practice Valuations with Samera

Our agents at Samera always try to match the right practice with the right buyer, for the right price and terms. If you are thinking about selling or perhaps maybe considering this in a few years check out our Samera Practice Valuation – it has been designed for dentists planning their exit in a few years.

For an accurate market appraisal of your practice, get in touch with one of our friendly and professional specialists.

An Update on what’s going on across the UK and European Dental Markets

Consolidation growth across the UK and European Dental markets

The last 3 years have seen an unprecedented change in the UK and European Dental markets.

Whilst we have seen increasing consolidation across the UK market, across Europe a similar trend is occurring.

We feel we are at the early stages of consolidation of the complete European dental industry. Investors are seeing that there are considerable efficiencies and gains to be had from scale and consolidation. However, getting this right is not easy.

In fact, we have seen in the UK and European markets some of the early investors struggle to build the large successful dental corporates they aspired to do so.

For every success story, there have been several casualties over the last few years.

A fragmented dental market across Europe

Dentistry remains heavily fragmented across Europe, yet the size of the Dental services market is substantial and growing. This presents a prime opportunity for consolidation.

Increasing regulation, dentists reaching retirement age and a growing number of female dentists are changing the structure of how dentistry is practised.

Strategic investors and private equity see these changes as an opportunity, offering scope to acquire, consolidate, improve efficiencies, and sell at greater multiples.

The UK dental market in the last 2 years

Approximately 1,400 practices out of 11,000 dental practices across the UK belong to Dental Body Corporates. We are seeing small owner managed groups emerge, seeking to acquire further practices, and then exiting with a sale to larger dental groups.

Recent significant deals include the purchase of Southern Dental by Swiss-based Private Equity firm, Jacobs Holding. Interestingly, Jacobs Holding owns a dental group in Scandinavia too.

One of the larger deals of 2016 was the purchase of Oasis Healthcare by BUPA. Again, interestingly, BUPA own Sanitas, a dental chain in Spain.
Sources suggest that MyDentist, the largest Dental Body Corporate in Europe, are currently not acquiring additional practices whilst apparently targeting operational and delivery challenges.

This presents an opportunity for a buy and build project delivered by existing and new entry investors.

In the last 12 months, the team at Samera have now begun working with a significant number of new investor groups, and we anticipate this trend to continue as investors appetite for the UK dental market grows.

The acquisitions sought by groups are highly driven by profit. Investors are always looking for individual practices or dental groups with a strong possibility of integrating easily into their existing groups.

Costs savings such as materials, labs, wages, clinical waste and other practice overheads are typically achieved in the first year post-acquisition and profit improvements plans start taking place early on. 

The European dental markets

As we have witnessed in the UK the most successful dental groups are the Groups that grew without losing touch with their locality and retained dentists and support staff post-acquisition.

Building a pan- European Group is a new and very attractive proposition and one that could work using similar principles as the successful UK Groups. Retention of dentists, and acting local, along with a strong brand and ensuring efficiencies are obtained will be good starting point for further consolidation across Europe.

In the last 2 years across Europe, DentalPro in Italy acquired Dentadent and Gruppo Giovanni Bona before selling to BC Partners (Bencis Capital Partners).

Elsewhere in Europe Vitaldent in Spain was acquired by JB Capital.

Whilst, Jacobs Holdings from Switzerland, is rapidly growing their presence in Northern Europe via the acquisitions of Colosseum Smile and Southern Dental. 

What next for the European Dental Markets?

As seasoned experts in the UK and European Dental market, we feel the market possesses all the necessary ingredients for further consolidation.

The fragmented nature of the market, increasing private equity and strategic interest in the sector, and the changing fundamentals of the actual marketplace across Europe, highlight that the opportunity for further consolidation is considerable.

How Samera can help 

Samera Practice Sales is part of Samera Healthcare Advisors, the leading professional services group for Dentists.

Through our close contact with Dentists, Dental groups, and both buyers and sellers across the UK and Europe, we are perfectly positioned to assist.
Samera work with a number of Dental groups and a growing number of Private Equity funded groups, so if you are seeking assistance on either the buy or sell side, we can help you.

Over the years we have grown strong connections not only in the UK and Ireland but also in Southern Europe too.

Our main qualities are being proactive, efficient, making things happen and our multilingual and specialist team that can be your conduit to Pan- European consolidation plans.

Please get in touch with our expert team if you need assistance.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Are Dental Practice Values falling?

Back in 2007 I was heading the Merger and Acquisitions campaign for a growing dental body corporate. Our acquisitions pipeline had an average deal completion price of 104% of turnover.

We grew the business from 80 to 132 practices in 3 ½ years, until merging the business with a larger corporate in 2011.

In the following years, across all groups, the average deal completion price compared to the percentage of turnover grew to around 160%. In the last year our average sales prices at Samera Practice Sales was 148%.

Prices have peaked

We feel that prices have peaked this year and are already showing signs of dropping in the remainder of 2017.

Corporate slowdown in buying activity, recruitment issues and the Brexit effect on European dentists (17% of GDC registered dentists) seem to be some of the major issues.

However, in the last 6 weeks alone we have talked to at least 6 new dental groups coming together, forming to pursue a buy and build project.

Dental groups will pay top end prices

These new groups are prepared to pay the top end of the price range for their initial buy and build projects.

Whilst we are working with some of these groups, we are also working with many individual Associate Dentists seeking to acquire their first practice.

Associates – Dental Associate Buyers Service

Through our Buyer Registration service, we are helping Dentists identify practices to buy, securing the purchase and then helping them fund them. We have a growing number of Associates joining this service.

Practice Owners – Is it the right time to sell?

Are Dental Practice Values falling?

Although confidence remains relatively high, we do feel that valuations are on a downward trend hopefully not to the levels of 2007!

So if you are considering an exit in the next few years, we feel it is prudent to get organised now, as in many of the deals we are currently structuring our selling clients are locking in their value now.

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Falling Practice Values 2017/8

PANTA REI

“everything is changing”

We feel the dental market is showing cracks and valuations may peak this year, leading to falling practice values.

We expect 2017 to mark the end for the bull cycle and expect prices to drop by 2018.

Latest figures show that actual deal completion prices dropped by 3% from the previous year, for the first time since 2006.

Why Panta Rei

Now more than ever, we feel we need to look back and learn from our ancestors. Heraclitus was one of the greatest philosophers of ancient Greece. His philosophy “Panta Rei”, literally meaning ‘everything flows’ or everything is constantly changing and evolving, although 2500 years old, is relevant to UK Dental Practice values. We strongly feel that valuations of Dental practices will peak this year, and drop by 2018.

A huge slowdown in Corporate Dental Acquisitions

Southern Dental and Mydentist, two of the most active acquirers in the last few years have now stopped buying practices. In fact, we believe they are trying to sell some of their practices.

Oasis, who are in the process of selling to BUPA, have also slowed down their acquisitions.

We believe, all this Dental Corporate inactivity will have a negative impact on dental practice valuations in the long term, and values will fall.

Brexit

Brexit means exit, but for the dental market it also means difficulty in recruiting an EU dental work force which will subsequently affect practices in less desirable or hard to reach areas. 

New NHS Contract

There appears to be two trends of thoughts in regards to the proposed NHS contract reforms.

One being that 2018 could be the year of change, the other that changes will take place but not until at least 2020.

Regardless of when this is going to take place, the view is that practice owners are likely to suffer with an increased cost of running their NHS practices. Higher costs ultimately means a lower valuation.

The NHS proposed contract reforms are on the horizon and could have a negative impact on deal completion prices. 

Who will be affected?

The first to be affected could be owners of groups of 5-7 practices who are considering selling as they could lose some of their potential buyers that were willing to pay good prices for their group.

Some group owners are following the larger corporates strategy and are selling some of their practices and looking at “tidying up” their organisations structure or implementing a refinancing exercise. 

Secondly, we feel this will have a knock-on effect on goodwill valuations across the UK, as some of the larger buyers diminish and concerns about the NHS contract arise.

Why now is a good time to sell

We are currently supporting a number of clients that are thinking ahead and selling their NHS or mixed NHS practices, capitalising on their hard work and setting up smaller private practices elsewhere.

There are over 50 small groups (10 to 35 sites) still willing to spend their yearly budget on practices that fit their selection criteria, with one of the most important criteria being location, with hard to reach areas struggling to recruit a workforce especially from abroad.

A small number of practices that are in a good strategic location, for example those right in the middle of a cluster of an existing group, should still sell for a relatively good value, but for the others we feel that prices could potentially drop in the next 12-18 months because of the lack of activity from larger and busier buyers and of the increasing difficulties in recruiting dentists and support staff from abroad.

When you add this to the proposed upcoming NHS dental contract reforms, it is evident that the game is changing and prices will fall, “Panta Rei”.
We feel being a step ahead can prevent a potentially stressful situation and one of the most important factors to ensure you get the best deal is the timing of your sale. 

Now could be the best time for you to sell.

If you are considering a sale, please contact the friendly Samera Practice Sales team on 0207 100 8788 or email us on [email protected] to arrange your free, professional , confidential and non-committal valuation report.

How much is your practice worth?

If you are still not sure but want a good idea of how much your practice is worth, please complete contact us on: [email protected]

Sell your Dental Practice with Samera

If you’re thinking about selling your dental practice then Samera can help make sure that you find the right buyer and the best price for your business. If you want to get the best price possible when you sell your dental practice, you need to build the value and grow the revenue to ensure you get the best return on your investment.

Book your free consultation to find out how you can grow the value of your practice before you sell.

More on Selling a Dental Practice

For more information please check out the articles and webinars in the selling a dental practice section of our Learning Centre, like our guide on How to Sell a Dental Practice in 9 Steps.

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

New NHS Contracts, the impact on valuations

Changes in the NHS

It is becoming more of a prospect that change is going to come in dentistry, possibly in 2-3 years and in a way of new NHS contracts.

Principals who own NHS dental practices are currently facing uncertainty as to what the future Contracts will look like in terms of remuneration, with a proposed way of capitation and UDAs, however out of all the prototypes from Type A and Type B, it is obvious that there is going to be a greater importance given to oral health assessment and patient care. Clearly a positive change or improvement for patients in certain areas, but what does this mean in relation to valuations and dental market activity?

Dental Market Activity

In terms of dental market activity, we don’t see how the contract reform could have an impact as there are approximately 700 practices for sale per year and there are in excess of 3,000 active buyers.

We at Samera have 3,476 active registered buyers, so demand is still outstripping supply by a considerable amount and dentistry will always be a necessity.

What changes can possibly impact the valuation or attractiveness of dental practices?

Impacts on Valuations

The obvious detrimental change would be if open ended contract’s (GDS) were to become time limited (PDS). This factor could be a deterrent for some investors or buyers. There is also some discussion around averaging the value of UDAs to the national average of £25, so UDAs value of £28, £29 etc would be penalised.

We are as we explained, possibly still a couple of years away from any reform, however any principals planning to sell or retire should consider doing so now to avoid potential uncertainty.

Contact us for a free and non-committal valuation report.

Further information on new NHS contracts

For more information on new NHS contracts, contact us today to speak to our expert team.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.

Dentistry in the UK and Europe 2016

Consolidations all around

It is clear that we are fast moving from a world of one man band sole practitioners to one of multi-site practices or chains offering a variety of services to suit everyone’s needs. Dentistry in the UK and Europe is changing rapidly.

Principals in the UK are using web and social media to select their specialist accountants and brokers when it comes to sell, and patients are also becoming more selective when it comes to choosing a dentist or healthcare practitioner. Consolidations have been happening for years, both in the UK and abroad, however we feel the process has barely begun, including in the UK.

It is no hidden news that investors are after profit, clearly, but in my view consolidations can be good as it is easier for regulators to control single handed practitioners, in addition to this, multi-site practices can offer a variety of services.

Consolidations of groups of dental practices are also happening in the rest of Europe, the main difference between UK dentistry and the rest of Europe seems to be that the British model grows profits by reducing costs and still heavily relying on the NHS contracts, whilst the European models heavily rely on the growth of the number of new customers.

In the UK

BUPA recently made an offer to acquire Oasis for £835m with 380 practices and 1,800 dentists. The company was previously acquired by Bridgepoint in 2013 for £187m and grew after purchasing Smiles, Apex Dental and DenDental as well as individual practices and labs. Along with a few other large Dental Body Corporates, there are around 80-90 smaller chains ranging from 5-30 practices each..

What about the rest of Europe?

Switzerland

A fast-developing market. Market leader is Zahnarztzentrum which offers 32 clinics in city centres. Adent is the second largest player Adent now have 18 dental clinics following acquisition of 5 new clinics in German – speaking Switzerland. Swiss Smiles has raised €44m in 2015 and has 13 clinics in Switzerland plus clinics in London, Russia and India.

Netherlands

The three largest chains are Samenwerkende Tandartsen with 32 practices followed by Dental Clinics and Ivory & Ivory, both with 23 practices.

Scandinavia

The market leader in Swedish dentistry is Praktikertjanst, a €1bn cooperative of dentists and family doctors , followed by Colosseum (a merger of the two largest practices in Norway and Sweden in March 2014). City Dental, a single big clinic in Stockholm , a Danish chain of 10 outlets, Godt Smild. OralCare in Sweden specializes in providing mobile dentistry services to the elderly at home and in nursing homes and is planning to expand internationally.

Finland

Oral is by far the largest player. Other chains are held by the large care to hospital groups who dominate the Finnish landscape. Uusitalo puts Mediverkko as number 2, followed by Attendo in third place. Med Group, a smaller conglomerate is also building a chain.

Italy

In the UK, dentists can sell NHS revenue for around 5 times EBITDA, or, roughly, 130-140% of gross revenue. In Italy, the dentist often pays to join a franchise. It is a completely different system. Big Spanish group Vitaldent is the largest player in Italy with some 80 outlets. It is gradually converting from a franchise model to one which is wholly owned. The second largest player is Dental Pro with 21 outlets.

Other large players include Dentalcoop and Giovanni Bona and there are a myriad of other small, regional chains. There are 400 outlets in chains today out of a total of more than 38,000. The Italian government pays for as little as 4% of dental costs in Italy and this is concentrated in particular areas where the state runs dental hospitals.

Spain / Portugal

Vitaldent, the big family-owned dentistry chain operating across Spain and Italy, has 460 clinics and claims to be three times larger than its nearest rival in Spain, where it claims 7% market share, and five times larger in Italy. It is now entering Poland.

Realza Capital is consolidating high-end dentistry in Spain merging Clínicas Aparicio in Barcelona with Clinico Perio in Madrid. Both carry out dental implants and dental surgery. In Portugal private equity house Inter-Risco is trying to consolidate the market. In 2011, Inter-Risco invested in 32 Senses, a buy-and- build dental project which planned to buy around 150 dental clinics and fund the roll-out of another 30 to 40 greenfield facilities by 2014. It has now bought chains Alba and Smile Up.

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

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Practice Valuations Update – September 2016

Post referendum update.

It’s been over 2 months since the UK took the decision to Brexit. We have seen some instability in house price valuations, whilst the FTSE remains very strong, but what about UK Dental Practice Valuations?

Perhaps its too early to say, but since the Brexit vote and up to the end of August , compared to the previous 3 months, we have seen an increase in valuation services by 20% , a decrease in *EU citizens viewing practices by 30% and an increase in overall potential buyers viewing practices by 10% (*living in the UK for the last 5 years).

From our experience, it really is business as usual and we are most definitely busier than pre-Brexit. Whilst much negotiation needs to be done in respect of the UK’s exit from the EU, in the Dental sector, the lowering of the UK base rate has only provided further support for people wanting to buy practices.

Who is actually busy buying practices?

Small, medium and large size Corporates are busier than ever, whilst first time buyers and second time buyers are also keen on buying too. In addition, we are seeing well funded new investors entering the Dental market, to build new corporate chains for buy and build projects.
Currently, the demand for dental practices is at a record high, with a very limited supply available.

Every £1000 in profit, will increase the value of your practice by £6000

The current average purchase multiple across all single practice types is x5.78 x EBITDA , meaning that for every £1 that a practice owner is able to save and add to the profit line this equates to approximately £6 more on the valuation. In essence, for every extra £1000 profit your business makes, translates into an increase in the valuation by about £6000.

So for those considering a sale in the short to medium term, to maximise the valuation price, the focus has to be on improving the profitability of your practice.

Free Practice Valuations if you are thinking about selling

At Samera Practice Sales, we provide a free valuation service for anyone thinking about selling their practice now or in the future.

Contact us today!

Building a Healthcare Business: Further Information

To find out more about building a successful healthcare business, check out our Learning Centre, full of articles and webinars covering how to buy, start, grow and sell a medical health company, or book a free, no-obligation consultation with one of the team. 

For all our previous articles, webinars and video updates, subscribe to our YouTube channel and follow us on Facebook, LinkedIn and Instagram.