Do you suffer from imposter syndrome? I talk to a lot of PT practice owners who feel like imposters as business leaders. As physical therapists who’ve trained for years to treat our patients, we know expertise is important. The lack of training PTs receive in business can leave us feeling unqualified and lacking confidence.
That confidence gap can keep us spinning in place–or even worse, falling backward–rather than moving forward to achieve our business goals.
Uncertainty has a way of spreading. Before long you’re second-guessing yourself about everything. Decision paralysis can make it impossible to budget and plan strategically. To get out from under the uncertainty that’s holding you back, you need to take steps to actively boost your confidence as well as your know-how.
Budgeting and strategic planning are some of the most important work practice owners will do. If you’re lacking confidence, you’re more likely to avoid it.
Paying attention to your confidence level is an investment that pays serious returns for your time. Spend some time building your confidence, and the budgeting and planning process becomes easier, faster, and more successful.
Confidence is contagious, too. Get a little, and it grows.
The strategies below can turbo-charge your confidence this budget season:
Become a reader
There’s nothing that can transform your business leadership like a reading habit. Through books, you can learn the learn the how-tos of financial and business management. Even more valuable? You’ll gain wisdom by reading the experiences from other people who’ve walked your path.
Take a course
You went to school to learn how to be a PT. It makes sense you’d need some continuing education to run and grow business. Your schedule is already full, so look for a course or training program that is responsive to a busy, working schedule–one that lets you attend on your own time, lets you focus on the issues that matter to you most–but also gives you access to a community for support and engagement.
Find a mentor
Develop relationships with more experienced people in the PT industry who have walked the path you’re on. Find that person you can ask questions (including the so-called “dumb” ones you’re afraid to ask) and learn from their mistakes and their journey.
Get more sleep
There’s a wealth of research showing how sleep makes us better decision makers and business leaders. Plentiful sleep can enhance your stability and confidence as you’re doing the important work of charting a financial path for your PT practice. Don’t sacrifice sleep, and don’t budget when you’re exhausted and sleep deprived.
Do the things that give you energy
Running, hiking, cycling? Coaching your kids’ soccer team? The activities that bring you pleasure and fulfillment will refresh you and make you feel more confident in your ability to learn and bring you’re a-game to budgeting and planning.
Knowing your practice’s schedule is full every week is peace of mind for every practice owner. Want to dramatically reduce the uncertainty in your patient schedule?
For a limited time, get a free copy of my guide, the Patient Visit Multiplier, and learn the fastest, easiest, most effective ways to reduce cancellations and drop outs.
Constant stress about financial security haunts a lot of physical therapy practice owners. Are you one of them? Working all the time and feeling broke, uncertain about uncertain about solid your financial footing is, afraid to actually invest money back into your business?
One of the first steps to getting a real handle on your practice’s financial health is to take a close, objective look at profitability. When you understand how profitable your practice is, and you can start making informed choices about what you need to do to increase revenue. You also have the specific, objective data you need to make smart decisions about how much money to re-invest in your practice.
Using financial metrics means you’ll worry less about money, because you’ll finally know exactly what you’re dealing with. Financial tracking also shows you the places that are ripe for increasing your practice’s revenue. And consistent financial tracking helps you create a more focused, effective, achievable roadmap for growth.
Here are 3 metrics practice owners can use to see a real-time snapshot of profitability:
Your expenses are what it takes to keep your clinic running. The biggest question that comes up is how to account for your own salary and draw.
At Practice Freedom U, we recommend you pay yourself a salary for time you spend treating and include that figure as an expense. This enables you to get a more accurate expense figure and picture of your profitability. When calculating expenses to measure profitability, you can either include or exclude draw. The important thing to understand is the choice can drastically affect your measurements of profitability, especially for small practices.
(Your accountant will have a method of handling salary and draw for tax purposes, which you should follow. These calculations are intended to provide insight on the profitability of your monthly operations.)
Every practice owner should be able to quickly put a finger on this, the number of visits your clinic receives. This is a fundamental metric that you can use to measure profitability, as well as PT productivity and other important stats that indicate the financial and operational health of your practice.
Cost per visit
The first two metrics together deliver you this third one, a really important number that offers you invaluable information about profitability.
To determine your cost per visit, simply divide expenses by visits, to determine the total cost to see each patient.
If the number isn’t where you want it to be, don’t panic. You have options. You can focus attention on boosting your PT productivity, by increasing the volume of patient visits. You can work to increase your collections. You can also set targets to lower expenses. But be careful about rushing to lower expenses. Cutting costs may sound tempting, but it’s ultimately not the way to grow a PT practice.
These are not the only three financial metrics you need to run your practice successfully. But together, these three can quickly tell you a lot about your current profitability.
Interested in finally fixing the revenue drains that are keeping your practice from being more profitable?
For a limited time, get a free copy of my guide, the Patient Visit Multiplier, and use these proven strategies to increase your patient visits and keep your patients more engaged.