Prosthodontists: Stop Letting Your Cash Sit Still

If you run a prosthodontics practice, you live in a world of high income, high overhead, and high liability. You’re juggling payroll, lab fees, equipment, taxes, and the constant “what if” of litigation. Most docs park working capital in checking for easy access… which means no growth, no real protection, and a tax bill on pennies of interest.

There’s a better home for that cash: a properly structured, high-cash-value whole life policy (the Infinite Banking Concept, or IBC). Think of it as a private working-capital system you control - liquid, tax-advantaged, and built to keep compounding while you use it.

What IBC actually is (and isn’t)

IBC isn’t “buy a big death benefit and wait.” We design a dividend-paying whole life policy with the cash value as the priority. You overfund it. Cash value grows with guarantees + dividends (not guaranteed, but historically paid by top mutuals), and you can borrow against it anytime. Your base keeps compounding while you deploy capital. You’re storing cash in the policy, not locking it away.

Why it fits a prosthodontics practice

1) A quieter layer of protection

Even with malpractice coverage, you’re a target. In many states, policy cash values receive strong creditor protection and sit off the business balance sheet. That makes them harder to reach and less visible than a bank account. (Protection varies by state; talk to counsel.)

2) Less drag from taxes

Money in a business account earns a little and gets taxed. Cash value growth is tax-deferred, and access via policy loans can be income-tax-free when structured properly. Use the capital without creating a taxable event.

3) Liquidity that behaves like a real working-capital line

Need funds for CE, a scanner, an operatory build-out, or a payroll bridge? Policy loans typically fund in a few days, no credit checks, no use-of-funds questions, no bank committees. Meanwhile, your full base keeps compounding.

4) Finance upgrades on your terms

Instead of 8-12% equipment loans (plus underwriting delays), borrow against your policy, install the upgrade, and pay your system back from production. You’re recapturing interest that would have gone to a lender.

Side-by-side: bank vs. IBC (conceptual)

Yield

Bank: ~0.5% (taxable)
IBC: contractual growth + potential dividends (tax-deferred)

Creditor exposure

Bank: generally exposed
IBC: often protected (state-dependent)

Access & control

Bank: liquid, but no growth while in use
IBC: liquid via loans and base keeps compounding

Privacy

Bank: public/on-balance-sheet
IBC: private/off-balance-sheet

Guarantees

Bank: none on growth beyond posted rate
IBC: guaranteed cash value schedule + insurer guarantees

Use cases inside a practice

• Equipment: 3D scanner, milling unit, op upgrade: fund fast, repay from increased production.

• Real estate: Borrow for a down payment on your building; keep dollars compounding in the policy.

• Buffer: Cover timing gaps between insurance receipts and big lab runs without tapping outside lines.

• Comp & retention: Pair policies with key-person or buy-sell planning to stabilize the business.

Who gets the most benefit?

• Earning $250k+ with at least $100k in idle reserves.

• Values control, liquidity, and privacy over chasing returns.

• Wants a tax-efficient way to store and deploy working capital.

• Open to a disciplined system (not a “set it and forget it” gimmick).

Bottom Line

Traditional bank accounts are convenient, but they don’t compound, protect, or lower taxes. IBC lets you keep liquidity and turn your reserves into a productive, protected asset you can pull from on demand. Same dollars. Better system.

If you want to see what this looks like with your numbers: funding level, policy design, and how fast you can access capital, shoot me a message and we’ll walk through a simple model together.