Are you about starting a dental handpiece repair business? If YES, here is a complete sample dental handpiece repair business plan template & feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting a dental handpiece repair business. We also took it further by analyzing and drafting a sample dental handpiece repair marketing plan template backed up by actionable guerrilla marketing ideas for dental handpiece repair companies. So let’s proceed to the business planning section.
One of the businesses that you won’t find a lot of people involved in is one that requires technical skills and one of such businesses is the dental handpiece repair business or any instrument repair business at that. The fact that loads of people are not involved in this type of business does not mean that it is not profitable.
The truth is that if your office is located in an area with hospitals and medical facilities, a place with the right demographic composition and you have competent technicians under your payroll, you may not have to struggle to get people to patronize your services.
If you are sure this type of business is what you truly want to do after you must have conducted your feasibility studies and market research, then the next step to follow is to write a good business plan; a detailed blue print of how you intend raising your seed capital, setting up the business, managing the flow of the business, sorting out tax and marketing your services.
The truth is that it is one thing to have a fantastic idea cum business plan, but it is another thing for the business plan to translate to money , which is why it is important to assemble a team of dedicated workers if you want to be successful with your dental handpiece repair business.
Below is a sample dental handpiece repair business plan template that will help you successfully write yours without much stress.
A Sample Dental Handpiece Repair Business Plan Template
1. Industry Overview
Dental handpiece is an instrument for holding dental burs to remove tooth structure or to smooth and polish restorative materials. Handpiece rotations are measured in rotations per second. Handpieces may be powered by electric motor or air turbines and are characterized as high speed or low speed depending on their rotational speed.
A close study of the Dental Equipment Dealers industry that dental handpiece repair line of business is a part of, shows that the industry has experienced remarkable stability over the past five years as a result of rapid improvements in dental technology.
Dentists who are constantly aiming to improve overall customer satisfaction and retention rates have become increasingly likely to purchase these new technologies to gain an edge over their competitors.
Going forward, the primary cause of concern for the industry will be the immediate effects of the Patient Protection and Affordable Care Act, as repeated changes to the act have made it difficult for dental practices to predict and prepare for future costs.
The Dental Equipment Dealers industry that dental handpiece repair business is a part of is indeed a thriving line of business in most countries of the world. In the united states of America, the industry generates over $13 billion annually from more than 1,470 dental equipment dealers (dental handpiece repair shops inclusive) scattered all around the United States of America.
The industry is responsible for the employment of over 24,517 people. Experts project that the industry will grow at a 2.4 percent annual rate between 2012 and 2017. The establishment in this industry that has dominant market shares in the United States of America are Henry Schein and Patterson Dental Supplies.
A recent report published by IBISWORLD shows that the Dental Equipment Dealers industry is in the mature stage of its life cycle. The industry’s contribution to the economy, measured by industry value added (IVA), is projected to grow at a slightly faster pace than GDP over the 10-year period to 2023.
IBISWorld estimates IVA will increase at an annualized rate of 2.4 percent, while GDP is projected to experience annualized growth of 2.1 percent over the period. Dental equipment dealers have benefited from new dental technologies and stable demand for dental and orthodontic services across its pediatric, adult and elderly demographics.
Lastly, if you have the technical skills or if you have what it takes to start a dental handpiece repair business, then you should by all means launch the business because this line of business is not saturated and you stand the chance of monopolizing the market in your location for a period of time before you start seeing competitions.
2. Executive Summary
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. is a registered dental handpiece repair business that will be located in a government approved facility in the heart of Charleston – South Carolina.
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. will be involved in the repair and servicing of various types of dental handpiece such as contra-angle dental handpiece, high-speed dental handpiece, low-speed dental handpiece, and turbine dental handpiece and also other related medical and dental instruments. We are well trained and equipped to service a wide range of clientele in and around Charleston – South Carolina.
We are aware that there are a number of dental handpiece repair shops and even original equipment manufacturers who are involved in repairs all around Charleston – South Carolina, which is why we spent time and resources to conduct a thorough feasibility studies and market survey so as to be positioned to favorably compete with all our competitors.
At Jerry O’Neil® Dental Handpiece Repair Shop, Inc. we are passionate in the pursuit of excellence with uncompromising services which is why we have decided to start our own business. We are quite optimistic that our values and quality of service offering will help us drive our dental handpiece repair services business to enviable heights and also help us attract the number of clients that will make the business highly profitable.
We will be dedicated to establishing good business relationship with our clients giving them value for their money and reasons for them to hire our services over and over again.
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. will at all times demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible. We will ensure that we hold ourselves accountable to the highest standards by meeting our customers’ needs precisely and completely whenever they patronize our services.
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. is a family business that is owned by Jerry O’Neil and his immediate family members. Jerry O’Neil has a Bachelor of Engineering in Instrumentation from Massachusetts Institute of Technology, with over 5 years experience in relevant industries, working for some of the leading brands in the United States. Although the business is launching out with just one outlet in Charleston – South Carolina, but there is a plan to open other offices all around major cities in the United States.
3. Our Products and Services
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. is in the dental handpiece line of business to service a wide range of clients and of course to make profits, which is why we will ensure we go all the way to ensure that we hire competent technicians. We will be involved in the repair, servicing and maintenance of;
- Contra-angle dental handpiece
- High-speed dental handpiece
- Low-speed dental handpiece
- Turbine dental handpiece
4. Our Mission and Vision Statement
- Our vision is to become one of the leading brands in the dental handpiece repair line of business in South Carolina and to establish a one stop dental handpiece and medical equipment repair store in Charleston – South Carolina and in other key cities in the United States of America.
- Our mission is to establish a world – class dental handpiece and medical equipment repair business that will be involved in the repair of a wide range of medical equipment at affordable prices.
Our Business Structure
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. does not intend to start a dental handpiece repair business like the usual small scale business around the street corner; our intention of starting a dental handpiece repair business is to build a standard and one stop outlet in Charleston – South Carolina.
Although our store might not be as big as Henry Schein and Patterson Dental Supplies et al, but will ensure that we put the right structures in place that will support the kind of growth that we have in mind while setting up the business.
We will ensure that we hire people that are qualified, honest, customer centric and are ready to work to help us build a prosperous business that will benefit our stake holders. As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of ten years or more. In view of that, we have decided to hire qualified and competent hands to occupy the following positions;
- Manager (Owner)
- Accountant/Cashier
- Marketing and Sales Executive
- Client Service Executive
- Dental Handpiece and Medical Equipment Repair Technicians (8)
5. Job Roles and Responsibilities
Manager (Owner):
- Responsible for providing direction for the business
- Creates, communicates and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- In charge of fixing prices and signing business deals and payment of salaries
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Responsible for managing the daily activities in the organization
- Ensures that the facility is in tip top shape and conducive enough to welcome customers
- Prepares budget and reports for the organization
- Defines job positions for recruitment and managing interviewing process
- Carries out induction for new team members
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Responsible for training, evaluation and assessment of employees
Dental Handpiece and Medical Equipment Repair Technicians (8)
- Responsible for the repair, maintenance and servicing of various types of dental handpieces such as contra-angle dental handpiece, high-speed dental handpiece, low-speed dental handpiece, and turbine dental handpiece.
- Handles any other duty as assigned by the manager.
Marketing and Sales Executive
- Identifies, prioritizes, and reaches out to new clients, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts
- Responsible for handling business research, market surveys and feasibility studies
- Responsible for supervising implementation, advocate for the customer’s needs, and communicating with clients
- Develops, executes and evaluate new plans for expanding sales
- Documents all customer contact and information
- Represents Jerry O’Neil® Dental Handpiece Repair Shop, Inc. in strategic meetings
- Helps increase sales and growth for Jerry O’Neil® Dental Handpiece Repair Shop, Inc.
Accountant/Cashier
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides management with financial analyses, development budgets, and accounting reports
- Responsible for financial forecasting and risks analysis
- Performs cash management, general ledger accounting, and financial reporting for the organization
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensures compliance with taxation legislation
- Handles all financial transactions for Jerry O’Neil® Dental Handpiece Repair Shop, Inc.
- Serve as internal auditor for Jerry O’Neil® Dental Handpiece Repair Shop, Inc.
Client Service Executive
- Welcomes clients and visitors by greeting them in person or on the telephone
- Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
- Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Manages administrative duties assigned by the manager in an effective and timely manner
- Consistently stays abreast of any new information on the organizations’ products and, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients when they make enquiries
6. SWOT Analysis
Our intention of starting our dental handpiece repair shop in just one outlet is to test run the business for a period of 2 to 5 years to know if we will invest more money, expand the business and then open other outlets.
We are quite aware that there are a number of dental handpiece and medical equipment repair businesses all over Charleston and even in the same location where we intend locating ours, which is why we are following the due process of establishing a business.
We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be equipped to confront our threats.
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. employed the services of an expert HR and Business Analyst with bias in technical startups to help us conduct thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives.
This is the summary of the SWOT analysis that was conducted for Jerry O’Neil® Dental Handpiece Repair Shop, Inc.;
- Strength:
Some of the positives that we are bringing to the fore in terms of strength is the fact that we can boast of having some of the finest instrument engineers in and around Charleston – South Carolina under our payroll. We are not ruling out the fact that we have robust business network with loads of dental clinics and medical clinics all across the city.
- Weakness:
A major weakness that may count against us is the fact that we are a new dental handpiece repair business in Charleston – South Carolina and we don’t have the financial capacity to compete with multi – million dollar dental handpiece and medical equipment repair and retail store outlets like Henry Schein, Patterson Dental Supplies and co when it comes to working for a wide range of high paying clients.
- Opportunities:
The fact that we are going to be operating our dental handpiece repair shop close to the largest residential estate in Charleston – South Carolina with loads of dental clinics, hospitals and other health facilities provides us with unlimited opportunities to offer our services to a large number of clients. We have been able to conduct thorough feasibility studies and market survey and we know what our potential clients will be looking for when they visit hire our services.
- Threat:
Improving technology which ultimately will lead to durability of dental handpieces will pose a threat to our business. This is why dental practitioners will aim at maximizing revenue through the use of evolving technologies. Another threat that may likely confront us is the arrival of a new dental handpiece repair outlet in same location where ours is located. So also, unfavorable government policies may also pose a threat for our businesses.
7. MARKET ANALYSIS
- Market Trends
If you are conversant with the dental handpiece repair business, you will quite agree that most repair shops usually locate their stores close to dental clinics and other medical facilities; it enable them attract clients who want to repair, service or maintain their dental handpiece or other medical instruments.
So also, the need to meet up with international best practices and conforming with the regulatory authority will result in revenue growth, but profit margins will stagnate as dental handpiece repair stores keep prices low to attract more sales amid growing competition.
Another notable trend is that dental handpiece repair stores also offer repair, servicing and maintenance services that cover other instruments used in clinical practices by dentists. These include diagnostic and procedural tools, instrument storage and cleaning systems and office equipment such as dental chairs and x-ray machines.
8. Our Target Market
We have positioned our dental handpiece repair store to service businesses in the healthcare industry in and around Charleston – South Carolina and every other location where franchise cum outlets of our repair stores will be located all over key cities in the United States of America. We are in business to offer dental handpiece and medical instruments repair services to the following customers;
- Hospitals
- Medical laboratories
- Medical colleges
- Dental clinics
Our Competitive Advantage
Top on the list when it comes to the competitive advantage we will be bringing to the table is access to a highly skilled workforce, access to the latest technology and of course establishing an economy of scale. So also, we are standard dental handpiece repair business that has loads of complimentary business offerings that can easily assist us in attracting customers within the radius of our business operation.
We can confidently say that the location of our dental handpiece repair business will definitely count as a positive for us. For the time being, Jerry O’Neil® Dental Handpiece Repair Shop, Inc. has no real competitors that can compete with the quality of services we offer.
Lastly, all our employees will be well taken care of, and their welfare package will be among the best within our category in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and achieve all our business aims and objectives.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. is in business to repair, service and maintain a wide range of dental handpiece in and around Charleston – South Carolina. We are in this line of business to maximize profits and we are going to go all the way out to ensure that we achieve our business goals.
In essence, our source of income will be the repairing and servicing of;
- Contra-angle dental handpiece
- High-speed dental handpiece
- Low-speed dental handpiece
- Turbine dental handpiece
10. Sales Forecast
One thing is certain when it comes to the dental handpiece repair business, if your shop is centrally positioned within a location, you will always attract customers cum sales and that will sure translate to increase in revenue generation for the business.
We are well positioned to take on the available market in Charleston – South Carolina and we are quite optimistic that we will meet our set target of generating enough profits from our first six months of operation and grow the business and our clientele base.
We have been able to examine the dental handpiece repair industry, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projections are based on information gathered on the field and some assumptions that are peculiar to startups in Charleston – South Carolina.
- First Fiscal Year: $250,000
- Second Fiscal Year: $350,000
- Third Fiscal Year: $550,000
N.B: This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and there won’t be any major competitor within same location. Please note that the above projection might be lower and at the same time it might be higher.
- Marketing Strategy and Sales Strategy
Before choosing a location for Jerry O’Neil® Dental Handpiece Repair Shop, Inc. we conducted a thorough market survey and feasibility studies in order for us to be able to penetrate the available market and become the preferred choice for dental clinics, hospitals and healthcare facilities in and around Charleston – South Carolina.
We hired experts who have good understanding of the dental handpiece and medical equipment repair industry to help us develop marketing strategies that will help us achieve our business goal of winning a larger percentage of the available market in Charleston – South Carolina.
In summary, Jerry O’Neil® Dental Handpiece Repair Shop, Inc. will adopt the following sales and marketing approach to win customers over;
- Open our repair shop in a grand style with a party for all
- Introduce our dental handpiece and medical equipment repair shop by sending introductory letters alongside our brochure to hospitals, dental clinics, optical centers and key stake holders in Charleston – South Carolina
- Print out fliers and business cards and strategically drop them in offices, public facilities and train stations et al.
- Use friends and family to spread word about our business
- Post information about our company and the services we offer on bulletin boards in certain places
- Place a small or classified advertisement in the newspaper, or local publication about our company and the services we offer
- Leverage on referral networks such as agencies that will attract clients who would need our customized services
- Advertise our dental handpiece repair company in relevant health magazines, newspapers, TV and radio stations.
- Attend relevant expos, seminars, and business fairs et al to market our services
- Engage in direct marketing approach
- Encourage the use of Word of mouth marketing from loyal and satisfied clients
- Join local chambers of commerce and industry to market our services.
11. Publicity and Advertising Strategy
Despite the fact that our dental handpiece repair store is well located, we will still go ahead to intensify publicity for the business.
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. has a long-term plan of opening outlets in various locations all around South Carolina and key cities in the United States which is why we will deliberately build our brand to be well accepted in Charleston before venturing out.
Here are the platforms we intend leveraging on to promote and advertise Jerry O’Neil® Dental Handpiece Repair Shop, Inc.;
- Place adverts on community based newspapers, radio and TV stations
- Encourage the use of word of mouth publicity from our loyal customers
- Leverage on the internet and social media platforms like YouTube, Instagram, Facebook, Twitter, LinkedIn, Snapchat, Google+ and other platforms to promote our business.
- Ensure that our we position our banners and billboards in strategic positions all around Charleston – South Carolina
- Distribute our fliers and handbills in target areas in and around our neighborhood
- Contact hospitals, dental clinics, optical center, medical laboratories and other health facilities by calling them up and informing them of Jerry O’Neil® Dental Handpiece Repair Shop, Inc. and the services we offer
- Advertise our dental handpiece repair store business in our official website and employ strategies that will help us pull traffic to the site
- Brand all our official cars and ensure that all our staff members wear our branded shirt or cap at regular intervals.
12. Our Pricing Strategy
Our pricing system is going to be based on what is obtainable in the dental handpiece and medical equipment repair industry, we don’t intend to charge more and we don’t intend to charge less than our competitors are offering in Charleston – South Carolina.
Be that as it may, we have put plans in place to offer discount services once in a while and also reward our loyal customers especially when they refer clients to us. The prices of our services will be the same as what is obtainable in the open market throughout the United States’ market.
- Payment Options
The payment policy adopted by Jerry O’Neil® Dental Handpiece Repair Shop, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Jerry O’Neil® Dental Handpiece Repair Shop, Inc. will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via credit cards/Point of Sale Machines (POS Machines)
- Payment via online bank transfer
- Payment via check
- Payment via mobile money transfer
In view of the above, we have chosen banking platforms that will enable our client make payment for all services without any stress on their part. Our bank account numbers will be made available on our website and promotional materials.
13. Startup Expenditure (Budget)
In setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting / leasing a big facility, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.
The materials and equipment that will be used are nearly the same cost everywhere, and any difference in price would be minimal and can be overlooked. As for the detailed cost analysis for starting a dental handpiece and medical equipment repair business; it might differ in other countries due to the value of their money.
These are the key areas where we will spend our startup capital on;
- The total fee for registering the business in the Unites States of America – $750.
- Legal expenses for obtaining licenses and permits as well as the accounting services software, P.O.S machines and other software – $3,300.
- Marketing promotion expenses for the grand opening of Jerry O’Neil® Dental Handpiece Repair Shop, Inc. in the amount of $3,500 and as well as flyer printing (2,000 flyers at $0.04 per copy) for the total amount of $3,580.
- The cost for hiring business consultant – $2,500.
- Insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
- The cost for payment of rent for 12 months at $1.76 per square feet in the total amount of $75,600.
- The cost for shop remodeling (construction of racks and shelves) – $20,000.
- Other startup expenses including stationery ($500) and phone and utility deposits ($2,500).
- Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $60,000
- The cost for start-up inventory (dental handpiece repair tools and equipment)) – $50,000
- The cost for store equipment (cash register, security, ventilation, signage) – $13,750
- The cost of purchase and installation of CCTVs: $7,000
- The cost for the purchase of office furniture and gadgets (Computers, Printers, Telephone, TVs, Sound System, tables and chairs et al): $4,000.
- The cost of launching a website: $600
- The cost for our opening party: $7,000
- Miscellaneous: $5,000
We would need an estimate of $150,000 to successfully set up our dental handpiece and medical equipment repair store in Charleston – South Carolina.
Generating Startup Capital for Jerry O’Neil® Dental Handpiece Repair Shop, Inc.
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. is a private registered business that is solely owned and financed by Jerry O’Neil and his immediate family members. They do not intend to welcome any external business partner which is why he has decided to restrict the sourcing of the startup capital to 3 major sources.
These are the areas we intend generating our startup capital;
- Generate part of the startup capital from personal savings
- Source for soft loans from family members and friends
- Apply for loan from the bank
N.B: We have been able to generate about $50,000 (Personal savings $40,000 and soft loan from family members $10,000) and we are at the final stages of obtaining a loan facility of $100,000 from our bank. All the papers and documents have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.
14. Sustainability and Expansion Strategy
The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and business structure. If all of these factors are missing from a business, then it won’t be too long before the business closes shop.
One of our major goals of starting Jerry O’Neil® Dental Handpiece Repair Shop, Inc. is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running. We know that one of the ways of gaining approval and winning customers over is to offer our wide range of dental handpiece, medical equipment and instrument repair services a little bit cheaper than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.
Jerry O’Neil® Dental Handpiece Repair Shop, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken care of. Our company’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner.
We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
Check List/Milestone
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing Point of Sales (POS) Machines: Completed
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Leasing of facility and remodeling the shop: In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Printing of Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of the needed dental handpiece repair toolbox, furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business both online and around the community: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Opening party planning: In Progress
- Establishing business relationship with hospitals, dental clinics, optical center, medical laboratories and other health facilities: In Progress