Incorporating your dental practice – the potential to boost your personal income and save you tax…

"What exactly does incorporation involve and is it worthwhile for me?"

"When Clear Vision managed the incorporation of a two partner practice in the Midlands, the owners secured £468,000 in personal income and saved close to £200,000 in tax."

Want to know more? Here’s a case study so you can see how this was achieved.

In a nutshell, incorporation gives you the chance to benefit from the capital value of your dental practice now, as opposed to when you sell it or pass it on. It can boost your personal income and save you tax over a period of time.

It involves transferring your practice from sole trader or partnership ownership, into a limited company.

For a proportion of dentists, this transfer process provides a tax free lump sum which admirably replaces their existing personal income. It also means that as directors of a limited company, they benefit from paying corporation tax at a lower rate going forward than the income tax they would have paid as sole traders or partners.

Whether incorporation stacks up for you depends on a number of factors, including:

the projected profits of your practice
your personal income requirements
the value of the ‘goodwill’ value (intangible value) of your practice

The numbers do not stack up in the right way for every dentist. This is why it is vital you have an incorporation expert to look at your situation individually.

Incorporation is a significant opportunity for you but it’s crucial you put the process in experienced hands.

We regularly weigh up the pros and cons of incorporation for individual dentists and can make this assessment for you.

If you feel you’re not getting the rewards you deserve from your practice…
If you are uncertain about maintaining your personal cashflow…

Take one easy step. Pick up the phone and call us on 01249 712074. We’ll gladly tell you about our straightforward incorporation assessment. We’re told we’re easy to talk to and you’ll have no obligation to take things further with us. Go on then…

Want to discover the first step towards boosting the financial results you get from your practice? The secret is knowing what key areas are proven to have the biggest impact for dental practices. Complete our 5 point checklist to discover these key areas and highlight which you need to focus on.