Do's and don'ts for debt management: Set goals for tackling debt

You probably didn't learn about debt management in dental school, but it's essential to your success. Mounting debt nipping at your heels will drain both your finances and your passion for dentistry. Set debt management goals early and tackle them often.

Use extra cash to reduce debt. If the practice's cash reserves stay consistently higher than necessary, put some of that money to work. By applying a portion of it to practice debt, you will pay down loans faster and also save on interest charges.

Don't forget to review practice loans periodically. If you haven't considered refinancing your business debt lately, take a look at the terms of your loans. You may discover opportunities to negotiate new arrangements -- with existing or new lenders -- that will reduce your monthly expenses and save your practice a significant amount of money in the long run.

Roger P. Levin, DDS, is the founder and CEO of Levin Group, the leading dental practice consulting firm in North America. For the complete list of dates and locations where you can attend his latest seminar, visit www.levingroup.com/gpseminars.

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