What Are Current Assets in a Dental Practice?
Current Assets are items your practice owns that can be converted into cash within 12 months — including actual bank balances, patient receivables, prepaid costs, and inventory.
They are a core part of your working capital calculation, and directly impact your ability to fund operations, pay bills, and manage cash flow short term.
If fixed assets are your surgery walls —
current assets are your financial oxygen.
Why Current Assets Matter for Dental Practice Owners
You can’t pay wages or HMRC with a CBCT scanner —
but you can with current assets.
Understanding what’s available now vs. tied up long term helps you:
- Make hiring, reinvestment, or expansion decisions
- Protect against short-term cash pressure
- Forecast liquidity accurately
- Improve working capital control
Example:
| Type | Value |
| Bank Balance | £82,000 |
| Outstanding Patient Payments | £13,000 |
| Prepaid Lab Supplies | £5,000 |
| Total Current Assets | £100,000 |
DentPulse updates this daily — mapped to your cash flow engine and 12-week buffer.
Common Current Assets in Dental Practices
| Category | Examples |
| Cash and Bank | Current and savings accounts |
| Accounts Receivable | Patient treatment plans paid in arrears |
| Prepaid Expenses | Insurance, lab subscriptions, or supplier credits |
| Stock/Consumables | Dental materials, disposables (if used within year) |
| Plan Income Owed | Earned but unpaid Denplan/Practice Plan income |
| Deposits Held by Others | Utility or rental security deposits (if refundable within year) |
Note: Deferred income is not a current asset — it’s a liability, even if the cash is in your bank.
How DentPulse Tracks and Uses Current Assets
| Feature | Function |
| Working Capital Tracker | Calculates total current assets vs liabilities |
| Cash Flow Forecast Engine (CFFP™) | Uses real-time asset data to forecast solvency |
| Liquidity Zones (Red–Amber–Green) | Benchmarks whether you can cover next 12 weeks |
| 12-Week Cash Buffer Overlay | Highlights how long your current assets can sustain operations |
| PPP™ Drawings Advisor | Prevents overdrawing when asset liquidity is low |
DentPulse ensures you never mistake cash in the bank for money you can spend.
DentPulse Tip™
Current assets are not just cash —
they’re the engine of your day-to-day survival.If too much is tied in slow-paying patients or prepaid subscriptions, your real liquidity could be much lower than your balance sheet shows.
Related Glossary Terms
- Working Capital – The difference between current assets and current liabilities
- Cash Flow Statement – Tracks cash changes from operating, investing, and financing activity
- Accounts Receivable – Money owed to you from completed treatment
- 12-Week Cash Buffer – How long current assets can sustain operations
- CFFP™ – Cash Flow Future Pairing engine for forecasting pressure points
Glossary Summary Table
| Term | Meaning |
| Current Assets | Assets expected to convert to cash within 12 months |
| Purpose | Support day-to-day operations and liquidity forecasts |
| Financial Impact | Key to cash safety, working capital, and strategic decision-making |
| DentPulse Advantage | Real-time tracking with liquidity scoring and future cash stress testing |
