“How Your Perception of Money
Your Medical Practice”
Most physicians are financially destroyed by
of assuming that because they are physicians,
money (patients) flows to them like a magnet.
This perception about money and how it flows
through our economy
actually steals more money from our pockets than taxation of income by the
government. Physicians are particularly prone to being misled by the
powerful and outdated, even ancient, persuasive logic that physicians don’t
really need a business education to
That persuasive logic even today continues
to be held
in esteem because
of three simple disruptive behavior and belief perspectives…
Medical schools never contradict the
they just evade
the whole idea totally.
Business knowledge is never important
students until long
their medical careers
it’s too late to
obtain it… because medical
don’t commit to the value of a business
The business of medical practice
too much of a
distraction from real medical practice
time and effort to be worthy of
myth ever promoted.
Other issues surface that are completely disregarded
by those who
are business ignorant, like…
Business and the transfer of money flow
constantly changing both
in business dynamics
Economic trends and beliefs never stay
over time… which
are oblivious to.
Patient expectations and choices force changes
in the business of
to always react
Private medical practice can’t survive
platform that contains the business
to compensate for
changes, the real flow of money, and
Each of these practice-destroying issues keeps
rumbling under the
surface of your unconscious mind.
They unconsciously beg to be noticed but
you are too
busy making money healing and curing your patients to notice
consciously… something most doctors seem to do
The unconscious barriers to your attention about,
and regard for, what
affects the business platform of
your practice are deeply fixed in your
mind. What you consciously notice is an uncomfortable feeling like something
is missing and you can’t quite put your
finger on it.
My first indication that my practice was
disintegrating under my nose
was when my office manager informed me that there wasn’t enough money to pay
all the overhead bills. I attributed that to a temporary seasonal drop in
income that had happened before. But then the problem continued month after
month gradually creating bigger money problems.
My CPA who did all my accounting never said a word
to me about the
dropping income trend. My corporate attorney who had set up my retirement
plan and followed my practice income never said a word to me about the
in income that would affect my contributions. My
first step was to lower my
own salary temporarily so we could pay all the bills. Nobody watches out for
Never depend on your resource-people to alert you.
The practice income continued to drop steeply and I
was forced to move
to a tiny office where the rent was much less, and had to terminate a couple
employees. Finally I found it necessary to cease paying
withholding tax to the IRS just to get by and keep
my family intact, even
knowing the IRS would be after
me soon for paying up.
Divorce, bankruptcy, and depression were part of
my last few years in
practice, while I failed to find an
employed medical position for over a
year and was living
on credit cards and what office equipment and
could sell to other doctors.
All these last few years in private practice
was a valid mandate for
hopelessness. I had absolutely no idea what marketing was about; let alone
how to do it. I had no
prior education about business principles or about
how to manage a business.
I just kept on accepting what circumstances handed
me. I saw no options except to become employed somewhere in the USA. I
that I had only the knowledge about medicine that I
I want you to think about what I just related to you because there are
thousands of private practice doctors today experiencing the same sequence
of events as I did. Most of them keep quiet about it, rarely reveal the
circumstances to colleagues because of the shame of failure, and leave the
community soon after.
The tragedy resulting from it leads to the increasing attrition of physicians.
Today I can talk about all this unemotionally
for the most part. The
same process impacts all of the physicians
in the same manner. All you have
to do is count the number of doctors who have been forced to sell their
medical practices to hospitals all across our nation and become employees to
understand the depth of the money problem in medical practice. And no one
seems to be
doing anything about solving this dilemma... at least
Regrettably, the hierarchy in medical education over
the last 4 decades
have failed themselves… and the increasing load of evidence telling them
that the source of the problem is money still doesn’t seem to get their
attention. Any reasonably intelligent person can easily see that there is a
need to somehow enable all physicians to earn the income they deserve.
When I think about those days over again, now
knowing what the solution
is, I become furious at my medical school’s total disregard for providing
doctors a business education while in medical school. If it isn’t done
then, it never gets done. Physicians simply won’t get the business
education when it is left up to their own choice.
My conclusion is that the medical-profession
academics know that
physicians need to have a business education to succeed at a level
professionals deserve. They not only refuse to provide the business
education but also refuse to make business education an important ingredient
in the practice of medicine. Strange… since business is the basis for all
private practicing doctor’s income.
Another component of the debate is, why would
medical school academics
refuse to tell the medical
students that they have to have a business
education to really succeed, even if they won’t provide it themselves? It’s
an arcane tragedy pushed on to all doctors today.
Beyond that, the academics certainly understand
that their disregard of
business education has been
predisposing physicians to financial failure in
private medical practice for decades. They have willingly been proponents as
well as the primary cause of physician’s financial failure in medical
When a physician like me didn’t know what I didn’t
know about the
critical value of a business education and end up with a mind completely
ignorant of the business ways out of financial failure, even the business
strategies that prevent it in the first place… then whose fault is it?
So, I ask myself questions, to which I never found a
---How do I suddenly get a flood of new patients
joining my practice my income would
---How do I get other doctors to refer me more
patients right away?
---What is it that I missed, or did, or needed, or
should have done all along prior to all this
happening to have prevented it?
---Is there maybe one thing any “business-
ignorant” doctor can do today to change things
under those circumstances?
In my opinion the
answer is NO. But there is a
way out for those who are willing to
read, then take action.
Today I know the answers to all of these questions.
Back then, from the
first day that I started my medical practice I should have been creating a
doctor referral program and marketing my medical practice. How would any
physician know that it has to be started when you
open your practice
and continued for the duration of your career? I didn’t know that.
Now you know because I told you so.
Learning how to run my practice
as a business rather than as a
place to treat patients, would certainly have prevented what happened to my
medical practice financially.
You can’t possibly run your practice business
at top profitability unless you have the required business education to do
it. Logic should reveal to you that the money you earn without business
knowledge is meager compared to money can earn with business knowledge.
You can earn some money practicing medicine
as all private practice
doctors know, but it will NEVER be enough under present day circumstances to
you plan to do with your career.
How would you expect to
do so without ever having
the business knowledge required for the most
when all other commercial business owners and other
businesses in the world require it to succeed? It’s
neither logical nor substantiated by facts and evidence, you can’t!
So, it’s a money thing…
It took me another 15 years before I found out what had been missing in my
medical practice way back then
and still is missing in most medical practices
today… and shouldn’t be.
I had absolutely no business education or knowledge, at least not
enough to even recognize what could have helped me.
The solo medical
practice I started by putting together bits of information from other
doctors, their office employees, and the employees I hired, was nothing more
than a mix of personal experiences that I thought at the time was
The fact is that nearly all physicians in private practice have used this
same means to set up
their practices… and are having the same results that
It’s no different today. For those doctors who today are wading into the
private medical practice swamp, relying on business advice and knowledge
from those who have essentially no business education themselves surely
Maybe it’s not as extreme as bankruptcy,
but it’s enough
of a reduced
income to cause you to give up on prior career expectations and plans,
forget about paying for your kid’s college education, and re-adjust your
lifestyle down to a lower middle class level.
Those consequences are common in the medical
profession today among
private practice doctors. It’s a money thing! Is this what you
When you add the difficulty of running/managing
a private medical
practice without adequate business knowledge, to
the difficulty of managing money required by all successful
businesses, it adds up to another dimension of
You find that money becomes the one
common and necessary element required to
accomplish all you ever intended to do in your career. When
available, those hoped-for benefits won’t happen.
It has nothing to do with your passion to do great things
in medicine. It
has everything to
do with business performance
that enables you
produce the income you need to do it all.
All that depends on seeing enough
patients to produce the income needed.
What’s your understanding about the flow of money in
out of businesses?
It would be a miracle to find even 5 medical doctors that
question. It rarely is discussed in public. We all know about
and spending it. But there’s very little concern about where it’s
from and where it’s going to as long as we grab a good
bit of it as it flows past us.
The general consensus among physicians…
that all money is derived from
some sort of business entity and
that no one can do much in life without
money is not debatable. Money is not the objective, but it provides
to the objective.
Another belief about money exists
within the business community. Money
is not scarce. There’s lots of money flowing around and is
to hand around
the world every day. The top 1% of the population
most of the money which leads us to believe at least in medical
that we have a good opportunity
to get a hold of a lot of it. We have always
been told that.
We believe that hard work has its
rewards and the harder we work the
more income we have. What we didn’t count on was the reality of our
government taking over
the medical profession… sometimes alluded to as the
"healthcare industry." Neither did we believe that the
surge of medical
technology would do anything more than make medical care better.
Physicians find themselves under
increasing government fee
restrictions and regulations that are compromising their ability
enough money to pay
the bills. No matter how hard physicians work seeing 20
more patients each day than usual, they can’t keep up financially.
with hard work is another detrimental
Physicians have reached a time today
that they are
money-earning options. Some have an outside income from a business
started. Many have family money to back them up. The majority
today have an enormous educational debt to pay off, if they
ever can. That
debt issue also compromises their income
for 15 years
How does the flow of money have anything
to do with the private practice of
Most physicians start a private medical practice and
try to gather enough
medical patients to provide the
income for the practice.
without a business education that process for earning money has
limited by government paperwork, limited amount of
time to see a limited
number of patients each day, limited motivation and
energy to keep up that
pace over time,
and lowered fees to comply
The issue here is that physicians
survive by doing anything they can
to attract money to themselves and
their practice. Sometimes it’s illegal.
It becomes a job of coaxing money back to them. The problem is
has a mind of it’s own which is a secret that physicians
and others are
completely unaware of. The flow of money goes to those who know
how to treat
The concept actually is completely
opposite of what
you think. Most
physicians today don’t get it. Physicians have to learn how to
wade into the
economic fog and dive into the current where the flow of
money is going.
The old concept:
I start my medical practice and sit
for patients to come in the door without doing much of anything
them to do so. (business ignorance)
The new concept that all physicians should be using, and
I start my new medical practice but now I have to
patient-attracting campaigns on my own
out there to get enough well paying
patients that will bring in enough income to provide me the means
It’s a matter of positioning
medical practice and yourself
the path of the flow of money. You do that
by such things as starting
your medical practice in an affluent area of the city, marketing your
medical practice continually, establishing a great referral program that
pumps patients into your practice from other doctors, and making
well liked in the medical and local communities.
Money having a mind of its own recognizes
must go to businesses that know how to treat money.
This is someone that money likes.
You give money to poor people thinking
that it will
help them, but it
doesn’t. You have to keep giving them money which disappears
with no lasting positive effects. It wastes money and that’s why money
doesn’t flow there. Money flows to people and businesses who know how
money to benefit many.
For medical professionals it becomes a
task of never depending
on money to come to you just because you’re
a “good doctor.” That
come-on stopped working decades ago. Gradually, physicians have
can step out into the path of the flow of
money such as…
Starting their medical practice in as area
patients have good jobs and
money than most,
Choosing a medical specialty that is known
a high-earner specialty.
Begin a practice by partnering with
already in practice that need
then have the
money to go
Choose the geographical areas of the
where net income of doctors is
Starting practice with an HMO and then
to private medical practice.
There are millionaire physicians who need
associates. They got there with a
load and appropriate business knowledge.
By marketing your medical practice, you
are stepping out into the flow of
to patients with higher incomes
the best job
If you don’t market to them they will
likely never find you. Word
of mouth and the
telephone book yellow pages
ad will take you 20
build a good practice, and about the
time you plan
Intentionally making yourself well known
liked in the medical community.
and charity events, you
volunteer to lecture in the
community (commonly gain one new patient from
each event), you create a
you publish articles, newspaper articles, and
newsletters to patients.
Since about 60% of your new patients come from other doctor
doctor referral program established is a
Why these things work so well for you is because
it’s what most
physicians rarely consider doing. It makes you outstanding in the community
and most potential new patients learn who you are. You are intentionally
seeding the local population for new patients.
The more you do these things the more
patients and income you
will achieve. The more methods you use to
do these things the more
effective it becomes. You know
this; you just never did anything
The battle between your interests and
Have you ever wondered why about 15% of medical
doctors change practice
situations each year (AMA
Studies)? They didn’t just one day quit and move
elsewhere. They all made the decision based primarily
on their ability to
adapt and accept what their practice situation required.
Although there are many good reasons to
their situations, you
have to remember that their decision to
be there to start with was made at a
time when they were ignorant of the many deep potholes one finds
in the road
to the business of medical practice. That 15% of doctors who made the
practice decision would probably
never have done it if they had had a
Then, there are the many other reasons that
are the result of income
problems of one type of another.
Typically, many physicians make the
where to start practice based on family demands,
requirements, military service, dad’s influence, peers available to
them, and more.
Often physicians make those decisions with no real concern about
the financial situation might be unsatisfactory. Often it’s the
result of a
total lack of
Young doctors often use emotions to make
decisions that a good business
education wouldn’t permit.
The importance of starting practice where
of money is already
running through can’t
But for those of you physicians that
locked into a medical
practice location and moving to another practice location seems
cope with, you do have a reliable means to upgrade your present
medical practice that a small investment in business education
The myth about business education that
physicians bound and gagged
As most physicians do, you may well believe that the only way to
from a business education is to spend the time and money to
get it ALL first
and then you can
use it efficiently and profitably. Not true!
Physicians naturally think that way because you were taught that
to know everything possible about medicine to
When you really look at how much you
really need to know about medicine
to practice your specialty today, you begin to see a comparison.
to know what they learned about the vascular
of lungs in medical school to practice ophthalmology?
Internist need to know all the origins and insertions of
all the body
muscles to practice
Just think about all the medical education you forgot and
you are required to look up
something in medical care.
It’s reasonable to say that at least
half of all that you learned while
in medical school you never will find useful
in your own specialty.
It’s no different with a business
education. You find
and use the
elements of business that will work for you. You do, however,
need to know
what would help you the most, the segments of business
that you should have
knowledge about, and the elements that you would be
interested in using to
benefit your practice the most.
How would you discover those things?
You need someone with some
business smarts, like me, to show
you your options and help you to
accomplish them. I am ready to help you
are serious enough
about accomplishing more, earning more with
less stress, and have a real belief that business knowledge and
implementation can and will change your life in
You need to get over your assumptions about business
The reason that taking on the task of
a business education may seem so
impossible to you is because your mind has had no exposure to
how powerful a
of business knowledge can be for you. The irrational tendency is
to look at business education as if it requires years of learning
mountain of money. That’s where you go wrong.
It doesn’t require either. It surly doesn’t require
What you can do with a small segment of
business education may be all
you need to accomplish. That can
be done easily by reading three of four
books written by business experts on one element of business
that is not
only something you would like to do but also something that
If it doesn’t work for you then you
a second business
method to try.
My God, for upwards
of 8 years I have been
telling you what options
you have and how to use them efficiently in
medical practice to make more money, feel better
about yourself, gain
prominence in your medical
community, keep your practice growing, and apply
and tactics that can make you rich.
What do you think my 75 or so
and published on my website for
is all about? The fact
business education has been free should tell you that
aren’t much value money-wise for me. I know that the information
for physicians is worth at least $250/month on a par with monthly
Good, my rant is over, so let’s get back to solid information.
My advice to you is to start thinking
about doing just
a few business
strategies, at least one anyway, to expand your medical
seeing more patients every day in the office… without being
burned out. Working smarter is the key. That’s where business
knowledge runs rings around usual medical
You need to get over your mind pattern of
avoiding business knowledge
altogether. Who knows, maybe you
will find that starting small and thinking
tall will incite a passion to take your medical practice business to
extremes. It would be terrible if you suddenly were wealthy… how
be able to explain that to
I understand that within every skull,
creative and ambitious thoughts
occur... for some physicians more
Your passion to continue practicing medicine will
return when you
diligently apply what I have been
telling you to do all this time, otherwise
you may be
among those physicians who can’t be taught anything
to do any better, or can’t make a connection between income
quality of doctor
you have become.