How to Manage the Cash in Your Practice Managing cash in your medical practice is a bit like driving on the interstate. Yes, there are certain rules designed to keep you safe—don’t drive 100 mph, don’t weave in and out of traffic— but assuming you aren’t being reckless, there is a broad range of acceptable practices that really are just dependent on what you are comfortable … [Read more...] about Medical Practice Cash Management
Growing the Practice
Do Physicians Know How to Analyze Financial Statements?
Effective Analysis of Your Practice Financials—Think Big, Then Small A typical profit and loss statement may contain 30 or more different expenses categories, making it easy to get lost in the little details when searching for the things that matter most to your financial success. In the post Why Revenue Matters Most, I explained why revenue is the more important number … [Read more...] about Do Physicians Know How to Analyze Financial Statements?
The Basics of Balance Sheet Analysis
The most well-understood financial statement is the profit and loss statement. Over a stated period of time—typically, a month, a quarter or a year— the P & L tells you how the money came in and how it went out. What the P & L does not tell you is what you did with your profits and how financially strong your practice is as a result of those decisions. Your … [Read more...] about The Basics of Balance Sheet Analysis
Luck Isn’t a Business Plan
Luck Luck isn’t a business plan. Yet vital aspects of business are left to chance on a daily basis. This is sheer madness. Leaving the business plan to chance occurs in all fields, but seems to happen especially often medicine. This is most obvious when a new procedure becomes available. But even more importantly, how are you managing your existing services? Most of us … [Read more...] about Luck Isn’t a Business Plan
Best March Tax Tips 2020
Businesses and Individuals From now until mid-April is crunch time for your accountant, so timeliness, organization, and communication are in high demand. On the business side, most entities have a March 15th filing deadline. (Sole proprietors and calendar year-end C corporations are the exception.) Even if your accountant can prepare your return now, it may be … [Read more...] about Best March Tax Tips 2020