Dental practice plans are structured payment schemes that allow patients to pay a regular monthly fee, usually via direct debit, in exchange for a set range of dental services. These typically include routine check-ups, hygiene visits, and discounts on additional treatments, but can also extend to a broader range of routine and restorative treatments depending on the type of plan. They can shift a practice’s operating model from reactive treatment to proactive, preventive care, while also providing predictable income for practice owners and peace of mind for patients.
Having the right plan can greatly benefit your dental practice. It can create regular, predictable income, build stronger patient relationships, reducing NHS reliance, and with support and forethought, improve the value of your dental practice. Choosing the right plan at the right time, however, is essential for it to create meaningful strategic growth.
Advantages for practices, clinicians and patients
According to the Dental Market Benchmarking Report 2023–2024,[i] practices with patient plans saw an average 12% increase in revenue. Regular, guaranteed monthly income can help practices stabilise their cash flow, especially in uncertain economic conditions. Practices with a good plan can also have an easier time finding associate dentists in future if they can inherit the plan book.
Practice plans can also be of great benefit to patients. Small, consistent payments are easier to manage than unexpected treatment bills. Plans provide excellent preventative care, and can also guarantee priority access. Difficulty accessing NHS treatment in some areas of the UK may add to the appeal of a plan. In addition, patients can simply walk out after treatment, meaning they don’t have to make a payment in front of others, and the front desk can focus on other aspects of leading patient care.
How to ensure the plan will work for you
Involving the team in advocating for practice plans can increase the likelihood of success. Everyone in the practice plays a role in the patient journey, so promoting the plan shouldn’t be left to receptionists. When dentists and hygienists proactively highlight the advantages of joining a plan during appointments, this reinforces the value to the patient and can support a natural decision to join.
Both plan providers and practices need to collaborate on developing a system that compensates clinicians appropriately. Your plan provider should work with you to ensure you do not fall into a trap of overpaying or duplicating payments to associates and hygienists.
Scrutinising admin fees before implementing a plan can make a significant difference. With 1000 plan patients, even a £1/month saving on admin fees equates to £12,000 annually. That could affect your practice’s valuation by as much as £100,000. Plan fees are based on private charges within the practice. Your plan provider should scrutinise these to check they are set correctly, and that the plan will be mutually profitable and successful.
Beyond the numbers, adopting the correct value exchange is vital. This means choosing a provider that not only offers fair and transparent fees but also delivers the tools, insights, and ongoing support needed to help you fully realise the plan’s potential and ensure long-term success.
Moving from NHS to private via a plan can work well but needs careful forethought, as well as an excellent communication strategy with patients. Whether the switch is clinician-led or involves the whole practice, your provider should understand your patient base, accurately calculate the plan’s financial impact and offer support through the transition.
Building value
For dental practice principals considering retirement or sale, practice plans can significantly increase your EBITDA valuation by providing evidence of predictable income. They are especially attractive to buyers who see a well-run plan as a stable asset. However, if you’re planning to sell in the next year, or you hold a strong NHS contract with a high UDA rate, conversion to a plan-based model may not be ideal.
If you are considering a switch from your current practice plan, or would like to adopt a plan for the first time, you need to ensure it is fit for purpose, supports patient care, and contributes to the profitability and value of your dental practice. Enlisting the advice of dental market specialists can provide assurance that all the calculations genuinely work in your favour.
Dental Elite has decades of collective experience within the dental sector, and has the knowledge and expertise needed to support you in optimising the value of your dental practice. Whether you are looking to build goodwill over time, or to ready your practice for a sale in the near future, Dental Elite is ready to help.
With the right provider, clear team communication, and strategic planning, a dental plan can drive consistent income, build stronger patient loyalty, and add measurable value to your business. If you’re planning to grow, consolidate, or eventually exit, a well-implemented patient plan can be a great investment.
For more information on Dental Elite visit www.dentalelite.co.uk, email info@dentalelite.co.uk or call 01788 545 900
