Hot Topic: Is It Realistic For A Solo OD To Gross $1.2M?
By Jerry Hayes OD | in
|
8/18/2009 - 5:16 pm
Dear Readers,
I ended my Aug 3 blog post by asking: “Assuming the demand is there, is it realistic for a solo OD to perform 16 ‘complete exams’ per day at an average of $307 per patient and in the process, gross $1.2M?”
Here is a sampling of the feedback I received from ODs across the country who both think
View This Article
Public Forums Disclaimer: All content, information and opinions presented in the Red Tray Discussion Forums are those of the authors of posts and messages and not of Red Tray's. Red Tray does not guarantee the reliability or accuracy of the material presented. The material is published "as is", and does not represent the views and opinions of Red Tray. Red Tray merely provides a space for its users to express and exchange their own opinions. Any reliance upon the material presented in these forums shall be at the user's own risk. Red Tray and its owner organizations bear no legal liability for discussion results.
Click here to view the full disclaimer and conditions of use.
Jerry, Thank you for
Jerry,
Thank you for facilitating this discussion. I won't lie; I had no idea that single optometrist practices are grossing $1 Million per year. I never hear it discussed around the snack table at meetings.
I would love the opportunity to speak with some of the doctors above. Does the blog prohibit direct contact between the doctors or can you give me any contact information? I do think that your blog attracts a very successful group of doctors (possibly not representative of the general practicing OD), but these successful ODs are doctors that I want to think like.
Conway Cox OD ("Dr. Connors")
Dear Dr. Hayes, I write this
Dear Dr. Hayes,
I write this comment from an optician/office manager's perspective. My boss forwarded this e-mail to me because I am always up for a challenge and 1.1M in gross revenue is definitely a challenge but is obtainable! However, raising fees to maximize reimbursement is not the answer, besides, insurance companies are only going to pay you “X” dollars regardless of your fees. The key is to have dedicated employees that care as much about your practice as you do. If you have lazy employee’s (as I fear Dr. Panzar may) they can make or break your practice.
Christina Perez
Dear Jerry, I'm a solo
Dear Jerry,
I'm a solo practioner that has collected $1.1-1.3 mill for the past 3 years. My goal was to keep this revenue stream, but to go from 5 full days to 4 1/2 days and now I'm down to 3 full and 2 - 1/2 days. About 70% of my revenue is from professional fees and 30% from products. Most of the product is higher end. My practice is very medically orientated and in fact I do not participate in any vision plans (No VSP, EyeMed!). I have an excellent staff of 8.5 FTE and I delegate highly. I think a solo doc could produce 1.5-2.0 mill given adequate demand and a well run, highly delegatory practice. I want to hear suggestions/approaches from those that are achieving these numbers.
For those of you who do not
For those of you who do not think it can be done, I am sure that it will never happen for you. Set you personal goals higher as well as the goals for your staff.
I have two practices with completely different demographics. One is urban with 3 full time doctor equivalents that had net receipts in 2008 of 3.3 million.
The other practice is a new practice in a rural setting with only 1 doctor with 3 staff members working 3 1/2 days per week and should net nearly $500,000 during the first full year. My goals are for this new practice to reach the 1 million mark within 5 years.
I have some colleagues that have a two doctor practice with a net of over 2 million and they only work 3 1/2 days per week for each doctor....and do not forsee themselves ever getting burned out with this type of schedule.
For those of you who are having trouble, I would encourage you to join a peer group with high performance practices to learn how to achieve this very attainable goal.
Michael Bond, OD
I think the obvious answer to
I think the obvious answer to this is broken down to the eyes of the beholder. Those that don't think it's possible are correct...for them. Those that do think it's possible are correct...for them. All one has to do is find out how many practices across the country fall within these guidelines. (I bet there are plenty of them) and then apply many of the things that these practices do, to their own practices. This is not rocket science. True, this goal does take time and effort, with the right people on board at your practice to make it happen. But it's certainly possible and attainable.