Business Budget Case on Dental Care Clinic in Central Business District

This business plan proposes the opening of a dental care clinic in the Central Business District, offering efficient and professional services to local residents. Collaboration with the local health department has been established to meet the common objective of the business. The plan includes risks, process, resources, and financial information.

Dental care clinic
Business Budget Case on Dental care clinic in Central Business
district
(Smile Dental Care)
Student Name
Student ID
1

Contents
Executive Summary....................................................................................................3
Outline........................................................................................................................ 5
Background................................................................................................................ 5
The Proposal.............................................................................................................. 6
Risks........................................................................................................................... 8
Process.......................................................................................................................9
Resources................................................................................................................ 10
Reporting of outcomes..............................................................................................10
Financial Information................................................................................................10
Attachment 1............................................................................................................ 11
Attachment 2............................................................................................................ 12
References............................................................................................................... 13
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Executive Summary
The business plan represent about commencing a new business of dental care
in the Central business district. It would offer all the dental care services to the local
residents and the patient of the clinic. Smile dental clear business proposal would
offer products and services both to the residents and the patient. The main focus of the
business would be on offering the best services to the patient in order to resolve their
dental issues and improve the market share and the total revenue of the business. the
services have been designed in such a way that the high quality, safe and feasible
treatment, patient oriented services and cost effective services could be offered to the
local residents and the patient of the clinic. Collaboration has been set by the local
health department in order to commence the business and understand the main issues
in the current medical line. The need of patient, how to improve the flow of patient etc
has been discussed with the local health district to meet the common objective of the
business.
The various dental issues have been identified and their treatment has been
processed by the professionals in order to assure that the betters services could be
offered to the patient and the core effectiveness of the business could be improved.
The human resources, financial management, cost structure, physical resources etc of
the business have been discussed and it has been set the clinic would offer services 6
days in a week for 8 hours. In order to identify and buy the physical resources, it has
been found that few dental tools, equipment, gloves, torch etc are required to offer
efficient services to patient. In the report, the break even analysis report of the
business has been prepared in case of normal scenario and in case of 10% deduction
in the total expenses of the business to measure the overall performance of the
business and the effectiveness of the business in the market.
It has been estimated that the business would run for a long time in order to
offer efficient services to the local residents and improve the market share. The
continuous upgrade in the equipment and treatment procedure would be done by the
doctors in order to make the treatment convenient and cost efficient. The current
market report explains that 7 out of 10 people are facing the dental issues and it would
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increase the number of patient in the clinic. The professional team of the business is
also effective to offer the efficient services and treatment to patients.
4

Outline
The main goal of the smile dental care is to offer better treatment of the oral
hygiene, oral cancer, retainer care, dental implants, x-rays, mouth sores, root canal,
braces, allergic issues, dental health tips etc. to the local residents of the area. The
business mainly focuses on the people who are living in the area of central business
district. The main aim of the business behind this proposal is:
 offer efficient and professional services to the local residents
 cost effective, affordable and accessible services to the residents of centre;
business district
 The purposed clinic would offer various dental care products and the services
to the local resident in order to make sure that all the allergic issues could be
overcome (Wright et al, 2017).
The main focus of the business is to offer the better services in affordable
process so that the calibration with the patient, stakeholders, local residents could be
improved as well as the business would also be required to focus on the staff and the
professionals.
The business is located near to the central area of the Central business district
from where all the nearby area could be easily accessible. There are less number of
dental cares clinic nearby which would improve the revenue and the performance of
the business (Brandao de Souza, 2009). The overall outcome from the business would
be beneficial for the internal as well as external stakeholders of the business.
Background
The smile dental care is a dental clinic which would mainly focus on the
dental patients and would remove the issues of teeth and oral health through offering
the better and efficient services. On the basis of the reports, it has been identified that
the out of 10 people, 7 people are suffering from the dental issues and thus this
business would make it easier for the business to reach over the BEP point quickly. It
has been found that the population of the area would be improved at a constant
growth rate and along with that, the dental issues in the children are also improving
which would improve the number of patient in the business and thus the total revenue
of the business would be improved as well (Hillestad et al, 2005).
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The smile dental care is a good step according to the local district health as it
is making it easier for the local residents to get better services in reduced prices.
Starting the new dental care clinic in the market would help the local residents to
overcome the dental issues and along with the help of the local health district, it
would be easier for the business to grow up quickly and manage all the activities and
operations.
Collaboration has been set by the local health department in order to
commence the business and understand the main issues in the current medical line.
The need of patient, how to improve the flow of patient etc has been discussed with
the local health district to meet the common objective of the business (Reich et al,
2016).
It has been found that the associated cost of the business is higher because of
the some costly equipment and the capital involvement in the business. It has been
found that the fixed cost of the business is higher than the variable cost of the
business. The variable cost includes the salary and wages of the doctors, nurses,
receptionist etc. However, the fixed cost of the business involves the cost of the
equipment, tools, building, land etc. the contract of the business would be of around 2
years at initial level which could be extended by the business with the help of the
local health district (Finkler, Smith, Calabrese & Purtell, 2016). The total staffing,
consumables, utilities, administration and depreciation expenses of the business is $
480,909, $ 2,126,800, $ 14,040, $ 52,000 and $ 32000 which leads to the total cost $
27,05,749. As well as, the total revenue of the business is $ 3,094,0000.
Currently, there is very little number of dental clinics in the market which are
also following the traditional process to resolve the dental issues in the business. The
smile dental clinic makes it easier for the patient to get better services and treatment
in the lesser prices (Kroneman et al, 2016). It would be easily accessible by them and
the professional team of the clinic would also build a strong relationship with the
patient so that the mouth publicity of the clinic could be improved and it leads to the
business towards the higher profitability level.
The Proposal
The business proposal is to open a dental clinic services in the central business
district.
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Recommendation:
The discussion with the LHD and research on the other clinic which are
providing the dental services would help the business to meet the goal quickly. It
would help the business to improve the efficiency level (Higgins, 2012).
Aims
The business has been set in order to offer reliable, fast, quick and better
services to the customers of the business. The marketing, human resources, financial
etc planning has been done by the planners in order to make sure that the common
goal of the business could be achieved and the revenue and BEP level of the business
could be achieved quickly (Brigham & Houston, 2012).
Benefits
 Efficiency gains
Patient flow would be improved in the business after offering the advances
services in the reduced price in the market. It would eliminate the unnecessary cost of
the business and along with that the efficient gain of the business would be improved.
The various dental issues have been identified and their treatment has been processed
by the professionals in order to assure that the betters services could be offered to the
patient and the core effectiveness of the business could be improved (Liaropoulos &
Goranitis, 2015). The human resources, financial management, cost structure,
physical resources etc of the business have been discussed and it has been set the
clinic would offer services 6 days in a week for 8 hours.
 Potential savings/increased costs
On the basis of the study, it has been found that at the initial level, the cost of the
business would be almost similar with the total revenue of the business. And the
margin of safety of the business would be lower but along with the time, the savings
and the margin of the business would be improved and it would help the business to
reach over the conclusion.
 What are the expected benefits of this proposal?
Factor Benefits
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Patients  Feasible and convenient services would be got by the local
residents of central business district
 the services would be offered to 6 days out of 7 days in a week
which makes it easily accessible
 Transportation time and the total cost of the patient would be
reduced.
Facility  The smile dental care clinic has been set up at such a place that
it could easily be accessed by each of the patient and the
advances facilities are provided to the patient who makes it
more reliable (Cashin et al, 2017).
Clinicians  Experienced staff is there in the clinic to offer the services.
 The communication flow is also efficient.
 Advanced tools are used to give the treatment.
Other  Employee opportunity would be improved.
 LHD would help the business to grow rapidly
 The revenue of the business would be improved (Higgins,
2012).
Risks
Risk Issue Severity Impact Mitigation
Plan
Notes
Financial risk:
 Stakeholders risk
 Fund risk
 Equipment risk
 Huge capital
Financial
risk in
the
business
is higher
Financial
loss in the
business
Financial
risk
The funds must
be managed in
better way.
All the
factors must
be evaluated
before.
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Risk Issue Severity Impact Mitigation
Plan
Notes
involvement
Patients
 Communication
problem
 Taste error
 Technology error
 Delay
 Appointment issues
(Berger, 2008)
Patient
risk in
the
business
is higher
The
number of
patient
would be
reduced in
the
business
Better
communication
plan
A healthy
relationship
must be
maintained
Insurances:
 Workplace injuries
 Robbery
Safety
and
insurance
risk in
the
business
is higher
Employee’s
trust and
loyalty
level could
be reduced.
Better
insurances plan
must be
prepared.
The salary
and
recruitment
terms must
be
accordingly.
(Evans & Pablos-Méndez, 2016)
Process
 Action (insert as a flow chart as attachment 1)
The process of the business has been decided after discussion with the LHD and the
process has been given in the attachment 1.
Job description:
 The action chart represent that the department managers are responsible for
any issues in the department.
 Customer services, courier, test files etc are the responsibilities of the
receptionist in the business.
 3 lab assistant, 3 Anaesthetist and 1 cleaner would work for 8 hours in the
weekdays and in the weekends, 1 lab assistant, 1 Anaesthetist and 1 cleaner
would manage the activities of the business (attachment 2).
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Resources
Various resources are required by the business in order to manage the
performance and the position of the business. The below is the list of the resources:
Human resource department:
It would manage the HR activities in the business. the cleaner, nurses and the
technical staff is the main resources.
Equipment and tools:
All the important and required equipment would be maintained. Freeze,
equipment, analyser, tools etc are the main resources (Berger, 2008).
Finance and marketing department:
Fund and market management is crucial factor in the business (Cashin et al,
2017). It includes all the activities and process through which the fund is managed
and the promotion is done.
Reporting of outcomes
The main activities and the outcome would be monitored by the top level
management of the business, mainly the information would be collected by each of
the department head and lastly it would be evaluated by the top level management of
the company in order to make better decisions. On the basis of the final reports, it has
been found that the business would offer higher revenue to the business after a period
of time. The 10% changes in the expenses of the business would also help the
business to improve the margin of safety at better level (James, Gmeinder,
Rivadeneira & Vammalle, 2018).
Financial Information
All the relevant financial information has been included in the attachment 2 given
below. The attachment briefs all the expenses and the revenue of the business. In
order to follow the zero based budgeting, it has been estimated that the few changes
into the expenditure would improve the margin of safety of the business (Glaser &
Foley, 2008). Entire information about the zero based budgeting, contingency plan
and the breakeven point could be found in the attachment 2 report. The total revenue
and the expenses of the business in normal case is $3,094,000.00 and $2,705,749.00.
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Attachment 1
Attachment 1
Business plan
Collaboration
Collaboration and approval
Local Health district
Time
Money
Resources
Resources (human and physical)
Staffing Consumables Utilities
Receptionist (1staff) Gloves and spirit Building rent
Electricity
Bill
Registered nurse oral treatment tools Water bill
(2 RN) Needles
Dental doctors (2)
Cleaner (1)
Started pathology lab
Out comes
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Attachment 2
Please double click on the below image to see it clearly.
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References
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guide to fiscal issues and activities. John Wiley & Sons.
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health services, 22(2), 121-139.
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Cengage Learning.
Cashin, C., Bloom, D., Sparkes, S., Barroy, H., Kutzin, J., O'Dougherty, S., & World
Health Organization. (2017). Aligning public financial management and health
financing: sustaining progress toward universal health coverage. World Health
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Reich, M. R., Harris, J., Ikegami, N., Maeda, A., Cashin, C., Araujo, E. C., ... &
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