dentledger case study farah

When £1.8M Revenue Still Feels Tight

Expert Accounting Support for Dentists at Every Stage

Private

Practice Type

£1.8M

Annual Revenue

2

Associates

4

Chairs

Ltd

Company

"We were growing fast, but I still had no idea where the money was going. My accountant said everything looked fine — but I could feel it wasn't."

Dr. Farah

Private Practice Owner

Meet Dr. Farah — A High-Growth Private Dentist With a Visibility Problem

Dr. Farah (name changed) runs a high-end private dental practice in London. With £1.8M in annual revenue, 2 full-time associates, and 4 busy chairs, her practice looked like a success from the outside.

But behind the scenes, she was facing a high-class accounting problem:

The business was growing — but margins were tightening
She had no visibility on treatment profitability
VAT questions kept popping up — and her accountant gave vague answers
Associate pay, lab bills, and marketing spend were rising fast
Year-end accounts were filed — but told her nothing

Practice Overview

“I had 7-figure revenue. But I still didn’t know what I could take home — or what was eating my margin.”

The Real Problem: Her Books Didn't Match the Complexity of the Business

Dr. Farah’s accountant was experienced — just not in dentistry. They did the basics: bookkeeping, accounts, and Corporation Tax filings. But they didn’t understand:

The difference between cash-based vs treatment-based income

When VAT does or doesn’t apply in private dentistry

How to allocate associate production vs pay

How to map expenses to actual chair utilisation

The Hidden Issues

Hidden Issue

Profit overstated due to unearned deposits and finance-backed treatments

Associates overpaid

Production/pay ratios were never reconciled

Lab bills spiked by 27%

No benchmarking or categorisation in Xero

VAT on cosmetic vs clinical services ignored

Potential exposure flagged in random HMRC query

No rolling forecasting

Large July tax bill wiped out reserves

“I had revenue goals, but no numbers to back them. Every financial decision was gut instinct — and it was exhausting.”

The DentLedger Intervention — Turning Chaos Into a Strategic Accounting System

Here’s how we rebuilt her accounting foundation in just 4 weeks:

1. Restructured Chart of Accounts for Dental Performance

Outcome: Clarity on what’s earning, what’s costing, and who’s performing

2. Aligned Associate Pay to Production & Profit

Outcome: Associates now paid fairly and aligned with business profit — not just gross fees

3. VAT Review + Cosmetic Split Analysis

Outcome: Removed VAT anxiety, avoided £40K+ future liability, and prepared for scale

4. Profit Forecasting + Safe Drawings Planning

Outcome: Dr. Farah now draws a set amount weekly — with zero guesswork or tax shocks

Before & After: Strategic Accounting Shift

Area	Before DentLedger	After 4 Weeks
Revenue Classification	All received income	Split: deposits, completed treatments
Associate Pay	Paid by % only	Linked to production + profitability
VAT	Unclear exposure	Clear categorisation + VAT action plan
Cost Management	No chair-level tracking	Allocated by treatment type & profit centre
Forecasting	None	Monthly rolling forecast + reserve targets

Dr. Farah's Words

“I used to feel like I was running a million-pound practice with a corner-shop accounting system. DentLedger gave me the structure to actually run it like a business — not a guessing game.”

“I’m not just compliant now. I’m confident. That’s the difference.”

What Happened Next?

Once her accounts reflected reality, Dr. Farah was ready for something bigger — real financial strategy.

We introduced her to DentPulse, our financial operating system built specifically for dentists, where she now tracks:

See how she turned clean books into strategic growth

👉 Read the DentPulse Case Study: From Margin Mystery to Financial Mastery

Common Objection: "My accountant has been with me from the start..."

We hear this often. But when your practice crosses £1M — or expands team, chairs, or treatments — your accounting system must grow with it.

Clean Migration

We migrate your books cleanly

Collaborative Approach

We collaborate with your previous accountant, not compete

Future-Ready System

We build a system for the practice you're running today — and the one you want tomorrow

Book Your Private Practice Accounting Review

If your revenue has grown but your clarity hasn’t — it’s time to change.
Not just who files your accounts. But how your accounts empower your business.