Strategic Risk Alternatives helps businesses set aside tax-deferred income for risks such as COVID-19. Read Bre Cohen’s article about protecting your assets here.
by Bre Cohen
COVID-19 has hit the dental industry hard. Closing doors for months is a big blow to any practice and while traditional insurance is great, chances are it didn’t cover your business interruption during this pandemic.
So, how will you handle the next adverse event? For many, that thought makes them cringe and for good reason. However, entrepreneurial dental practices are finding ways to protect their business risks that fall outside of traditional insurance through Enterprise Risk Management programs like those from Strategic Risk Alternatives. These programs have been utilized by Fortune 500 Companies for decades and Strategic Risk Alternatives saw a need in the market to make these programs available to small-to-midsize companies and did just that.
How Does it Work?
Much like a 401k helps you use tax-advantaged dollars to prepare for retirement, the Enterprise Risk Management Program by Strategic Risk Alternatives helps you use tax-advantaged dollars to prepare for unforeseen risk. It utilizes US Tax Code 831(b), which helps businesses set tax deferred income aside for risks that fall outside of traditional insurance. This serves as a lifeline for companies going through a difficult time and includes COVID-19-type disruptions as well as other cashflow disruptions such as:
- Contingent Business Interruption
- Political Risk
- Supply Chain Interruption
- Key Employee Loss/Critical Illness
- Payroll Protection
- and more…
“When COVID-19 hit, dental practices that utilize our program were able to recoup cash flow losses in a matter of days through their 831(b). If you own a successful dental practice, consider the advantages of setting pre-taxed dollars aside for unforeseen risks – big or small.” says Bill McKernan, President of Business Development at Strategic Risk Alternatives. “Unforeseen risk is real, and it happens every single day. With our program you’re able to make your practice whole again and rest a little easier at night.”
Other Programs for Dental Practices
Strategic Risk Alternatives also offers a Dental Protection Plan program to help practices warranty their work. With a clearly defined warranty you can increase patient retention and use pre-tax dollars to pay for rework.
Strategic Risk Alternatives works with the practice to custom design a defined warranty program based on individual practice needs. Through this program, the practice sets aside money from transactions and puts it in their 831(b) Dental Protection Plan to fund warranties for their work. Depending on the terms the dentist sets, the warranty may require a patient to come back once a year to check the work and honor the warranty. This creates customer peace of mind, retention, and loyalty. In addition, you are building a war chest to pay for any issues that do arise.
Interested in learning more? Contact Strategic Risk Alternatives by visiting their website, strategicriskalternatives.com/DPP or calling Bill or Ed at (208)424-2249 for a free assessment and to learn more about protecting what you have worked so hard to build.