As an allied health professional, you have completed years of technical training coupled with hands-on practical experience to ensure you are well prepared for working in your area of specialisation. However, few professional courses include business training that prepares you for owning and operating your own practice. For example, there are important business GROWTH matters you will need to consider if you wish to build a GREAT allied health practice.
The owners of successful allied health practices formalise a business plan in which they articulate their KPIs. When completing your one-page business plan, you will be required to articulate information that profiles the type of clients most likely to engage your services; the types of services they will buy from you; how much they will spend each time they attend an appointment; and the number of appointments they will make.
Successful allied health business owners have a clear understanding of each of these matters. Importantly, their understanding is based on facts derived from effective business systems rather than from gut instinct. Accurate, timely and meaningful information is a characteristic common to successful allied health businesses. Access to it underpins growth.
For example, knowing your ideal client and the type of services they demand will allow you to spend your marketing dollars in a manner that will, as the saying goes, achieve ‘more bang for your buck’ and target higher value clients and services that can bring higher value fees, and more often.
Effective systems will also allow you to measure the Key Performance Indicators (KPIs) that will enable you to achieve and monitor your growth goals.
Fundamental allied health business KPIs will include:
- Total number of hours available for treatments per week/month
- Total number of clients/patients booked per week/month
- Average $ spend per client/patient
- Number of new clients per month
- Number of clients rebooked per week
Access to accurate and timely information of this nature has wide-ranging benefits that include enabling you to plan your work flow and staff roster; better manage your expenses, budget and cashflow; and, of course, provide clear insights that will allow you to set and monitor your growth trajectory.
However, I also understand that in the early stages of growing your business you are working both ON and IN your business. The idea of researching, implementing and customising systems to suit your business goals will no doubt seem overwhelming.
This is precisely the difference between operating a personal delivery service and operating a practice delivery model. Achieving the latter is about delegating to others and investing in advisors, systems and team members who will provide the return that will achieve your overall business and personal income goals.
In my own experience of working with allied health professionals as an accountant and business advisor, I can provide the assistance you need for implementing your business plan, which will include budgeting; forecasting expenditures and revenue; and providing funding solutions that will enable you to achieve your immediate and future growth goals.
In my next article, I’ll explore improving your cash flow and using surplus capital to fund your growth plans. Until then, if you would like to know more about growth for your own business, please contact me on 07 3171 4255 or email email@example.com
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A director of q4 financial, Grant Titman is a Certified Practicing Accountant and Business Advisor.
Grant specialises in helping established allied health business owners who typically employ 6 or more professional staff, and who seek to GROW, IMPROVE THEIR CASH FLOW and TRANSITION to a profitable Practice Delivery model.
The information contained in this article is general and is not intended to serve as advice. No warranty is given in relation to the accuracy or reliability of any information. Users should not act or fail to act on the basis of information contained herein. Users are encouraged to contact q4 financial professional advisers for advice concerning specific matters before making any decision.