Financial Planning Considerations for the Early Years of Practice Ownership

Questions? Thoughts? Send a Text to The Optometry Money Podcast! We'll answer your question on the show.In Part 2 of a 3 part series, Evon dives into the many financial planning considerations optometrists need to think about in the early years of owning a private optometry practice - both inside the business and in the household.Once doors are open and for the first few years, you should think about:It's quite the busy time, learning and adjusting to owning the practice and managing employees.Getting familiar with the three core financial statements in your practice - the balance sheet, the profit and loss statement, and the statement of cash flows.Getting to know the internal, operational key performance indicators that matter to your business (the leading indicators).Focus on actual cash flow of the business, the differences between actual cash flow and profit, and creating a framework for deciding what to do next with cash as it comes in.Building appropriate cash reserves in the practicePreparing to pay yourself as the ownerPreparing for tax payments and withholding and tax planning opportunities.Establishing a retirement plan in the practice.Protecting yourself from the financial risks with appropriate insurance coverage.Keeping in close contact with your professionals. Stay tuned for next week's episode, where he'll talk about financial planning considerations when you own a more mature, established practice.Have questions on anything discussed or want to have topics or questions featured on the show? Send Evon an email at [email protected] out www.optometrywealth.com to get to know more about Evon, his financial planning firm Optometry Wealth Advisors, and how he helps optometrists nationwide. From there, you can schedule a short Intro call to share what's on your mind and learn how Evon helps ODs master their cash flow and debt, build their net worth, and plan purposefully around their money and their practices. Resources mentioned on this episode:Get your FREE financial health assessmentThe Optometry Money Podcast Ep. 49: An Optometrist’s Guide to Business EntitiesThe Optometry Money Podcast Ep. 17: Assessing the Health of Your Optometry Practice with Dr. Chad FlemingSimple Numbers, Straight Talk, Big Profits! by Greg Crabtree and Beverly Blair HarzogProfit First by Mike MichalowiczThe Optometry Money Podcast Ep 53: An Optometrist’s Guide to Estimated Tax PaymentsEyes on the Money Newsletter: Beware This Practice Ownership Tax HikeThe Optometry Money Podcast Ep 63: Choosing A Retirement Plan for Your Optometry PracticeThe Optometry Money Podcast is dedicated to helping optometrists make better decisions around their money, careers, and practices. The show is hosted by Evon Mendrin, CFP®, CSLP®, owner of Optometry Wealth Advisors, a financial planning firm just for optometrists nationwide.