5 Signs It Might Be Time to Hire a Personal CFO

Posted by Amy Carbone on Apr 30, 2020 9:00:00 AM

As a dentist, it can be difficult to manage both your financial goals and your day-to-day business. Fortunately, you could find a solution in a Personal CFO, who may be a financial planner, investment advisor, or other financial professional. A Personal CFO who is a financial planner may provide you with a financial plan for and advice about debt repayment, investment strategy, business planning, risk management, and retirement saving. 

So should you hire a personal CFO? Here are 5 signs it might be time.

1. You Need Help Developing a Strategy to Manage Your Student Debt

Oftentimes, dentists have a significant amount of student debt. Developing a plan of attack can be overwhelming for a practicing dentist. Should you use income-based repayment? Should you refinance your student debt through a private company? How much should you pay each month? 

One aspect of a Personal CFO’s job is to help you manage cash flow and expenses. A Personal CFO can help you identify areas where you can reduce spending without feeling the pinch too much. The faster you pay off your dental school loans, the less interest you have to pay overall. 

A Personal CFO can help you evaluate your options within the context of your overall financial plan.

2. You Want to Start Investing in Your Future

A Personal CFO who is an investment adviser can help you develop an investment strategy based on your goals, objectives, and overall risk tolerance. Since your goals, objectives, risk tolerance, as well as your personal and professional circumstances, may change in the course of one year or less, the investment strategy may need to be reevaluated, with any adjustments made accordingly. 

3. You're Looking to Open a New Dental Practice

As part of the writing of a financial plan, a Personal CFO will conduct an evaluation of your financial situation, which will be reviewed and reassessed periodically to make necessary adjustments to the plan. If you are considering opening or purchasing a practice, the Personal CFO can help evaluate your current financial position, to assist with your business planning. Is your cash position strong enough to get you through the early months of ownership where expenses of the new practice may exceed revenues? Financing options for your new practice will be evaluated.

A personal CFO will work with your team of advisors, which may include a real estate broker, attorney, accountant, and possibly a practice management company. 

4. You Need Help Finding the Right Insurance Coverage

As a dental practice owner, your livelihood is at risk every day. From catastrophic events that can physically destroy your practice, like a fire or flood, to an accident that leaves you incapacitated and unable to work, you should ideally be prepared for anything that affects your personal income. 

A Personal CFO can help you review and compare different insurance policies to help you select appropriate coverage for your needs. 

At Treloar & Heisel, we offer a wide variety of insurance products tailored to the dental professional, including malpractice insurance, disability income insurance, business overhead insurance, and more.

To learn more about disability income insurance, download our free guide here.

5. You Want to Start Saving for Your Retirement

A Personal CFO who is a financial planner can help you establish appropriate annual savings earmarked towards retirement, consistent with your goals and objectives.

Personal CFOs who advise on investments can assist you with evaluating retirement plan options as well as the investments that comprise your plan. Retirement plans are one way you can save for retirement and, as added potential benefit, may reduce your current income taxes.

Implement Financial Planning for Your Practice to Help You Pursue Success -- Treloar & Heisel Can Help

Keeping your office revenue sorted and your priorities in line can be difficult when you're focused on providing quality patient care, but a Personal CFO can help provide you with a plan for addressing the financial aspects of your business. This financial plan can be useful for assisting you with pursuing success in your dental practice. 

From revenue and expenses to insurance coverage and more, a Personal CFO can help lift some of the financial planning burden from your shoulders while you focus on the patient experience. 

Learn more by contacting Treloar & Heisel today, and let us help you find an experienced financial advisor.

Treloar & Heisel, Treloar & Heisel Wealth Management, and Treloar & Heisel Property and Casualty are all divisions of Treloar & Heisel, Inc. 

Investment Advice offered through WCG Wealth Advisors, LLC, a Registered Investment Advisor doing business as Treloar & Heisel Wealth Management. Treloar & Heisel Wealth Management is a separate entity from The Wealth Consulting Group and WCG Wealth Advisors, LLC. 

Insurance products offered separately through Treloar & Heisel and Treloar & Heisel Property and Casualty. 

Treloar & Heisel, Inc. and its divisions and WCG Wealth Advisors, LLC do not offer tax or legal advice. 


Topics: Wealth Management