Do You Know Your Breakeven Number - How To Find And Leverage It

[00:00:00] The Expectations, they're not set at the CEO level. They're set at the financial department level.

[00:00:06] Right? So what this is, it's like this is when you put on your director of finance hat,

[00:00:11] you're sitting in the director of finance hat, you're reviewing the financials,

[00:00:14] and through that data, you report to the CEO what the expectations are for the company.

[00:00:21] And that's how you set the intention of the company.

[00:00:27] Welcome. You've entered the Physical Therapy Owners Club podcast, where your host, Nathan

[00:00:32] Shields and other successful PT owners and leaders share their experience and insights on how to build

[00:00:38] successful PT businesses. They'll share the stories of their paths to success and show you how you can

[00:00:44] also obtain greater freedom and more profits from your business. That's what the PT Owners Club is all

[00:00:49] about greater freedom and more profits. There's plenty of room for you as well. So come on in and join the

[00:00:56] club. Hello, and welcome to the Private Practice Owners Club podcast. Nathan Shields here with my

[00:01:04] guest, Adam Robin. How are you doing, man? I'm doing fantastic. How are you? I'm doing great. Thanks.

[00:01:10] All right. Starting us off strong. Hey, today we're going to talk about break-even numbers. And it's kind

[00:01:16] of a minor thing when you look at the whole financial picture of what you're considering when you're

[00:01:21] looking at your clinics. But I'm finding that most people don't know their break-even numbers.

[00:01:27] Or maybe at one time they found their break-even number, but they've grown out of that and then

[00:01:32] they haven't changed it to include the greater expenses, whether it's employees or rent or other

[00:01:38] expenses that might come into play to adjust. And so it's important that we get back to it. But many

[00:01:43] people don't have it in the first place. So I think this is going to be a really important

[00:01:48] podcast episode to talk about that specifically, don't you?

[00:01:51] Totally, man. And I resonate with that because I was one of those people who like, I had my

[00:01:56] break-even at one point, like a long time ago. And then I was like, I'm not really sure how to use

[00:02:01] this. And then I kind of like didn't for a while. And then I opened up two more clinics and I was like,

[00:02:05] oh my God, I need this metric that can help me predict how much money I can have. Oh yeah,

[00:02:10] the break-even could do that. So like kind of came back full circle and like I dove back into

[00:02:15] the break-even and got more scientific about it. And it's like super powerful.

[00:02:19] Well, how did it help you initially when you first looked into finding that break-even metric?

[00:02:23] What kind of guidance, what kind of support, what did it tell you?

[00:02:26] Well, when I first, and I'm just speaking from my experience. So like I just calculated the

[00:02:33] break-even per visit number.

[00:02:35] That's fine. Yeah.

[00:02:36] And that's what I started, but I didn't really take it to the level of like break-even visits

[00:02:40] per month that I needed visits per week. Cause my brain wasn't there yet.

[00:02:44] Okay.

[00:02:45] And so like I had my break-even visits per revenue per visit. And so I was like, okay,

[00:02:50] now I know what insurances I can take and what insurances I can't.

[00:02:53] Oh, okay. Gotcha.

[00:02:55] And that's kind of where it stopped.

[00:02:56] You knew your cost per visit.

[00:02:57] Right. I knew my cost per visit. And that's about where it's, that's about where it is,

[00:03:00] as far as it went. I didn't really know how to use that until I figured out how to use it.

[00:03:06] Yeah.

[00:03:06] On a bigger level. And then I was like, oh, I can actually manage multiple clinics like this.

[00:03:11] It was a lot easier.

[00:03:12] Yeah. Really powerful because number one, it tells you it's a really nice dashboard number.

[00:03:19] Like it is the scoreboard for your clinic. Either if we're hitting this number and things are

[00:03:24] running appropriately, we are in the black.

[00:03:27] Yeah. Guaranteed.

[00:03:29] Pretty black and white.

[00:03:30] Yeah. I love that. I love that guaranteed part too.

[00:03:34] But if you don't have that number, you're just running based on feeling.

[00:03:39] Buddy.

[00:03:40] I'm feeling busy. My bank account is either doing good or, oh, it went down. It's not as

[00:03:44] high as it was a couple of weeks ago. What went wrong? And just the subjectivity comes into it

[00:03:50] instead of having that objective data. Right.

[00:03:52] And you are not a good, you have a chink in your armor because not only do you not know

[00:03:58] your numbers, but like you're going to be more cautious and less growth oriented because

[00:04:03] you're going to be kind of like looking over your shoulder and not really confident about

[00:04:06] your model. So like it trickles down to like how well you show up to your team, how powerful,

[00:04:12] how much your leadership skills are in play too. Like you have to have confidence over your

[00:04:15] money if you're going to show up confidently. Right.

[00:04:18] So let's back up a little bit. I have my definition for breakeven and I've shared it with

[00:04:22] different groups in the past. What's your definition of breakeven? What is that?

[00:04:26] So it's for me now, and I'm sure this is my definition. It's the number of visits that I

[00:04:34] need to complete in order to ensure that I make a minimum of 10% profit margin every month. So I want

[00:04:43] to know like what that number is week by week and what that number is month by month.

[00:04:47] Perfect. And number of visits, the number of visits that you can break that down even further. We can

[00:04:53] get into that, but the number of visits per week, that way I can look at the end of the week. I could

[00:04:59] say we hit blank visits. We are on pace. I know the money's coming because I know I've already calculated

[00:05:06] that I've already projected it. I know the money's coming. I feel good about this. Right. Or we didn't hit

[00:05:11] it and I need to work on something. I need to figure out how to get that number up.

[00:05:14] Yeah. And we can break it down by visits. You can also break it down by dollar figure,

[00:05:19] right? So the easiest way I found to calculate it is usually when you're looking at your financials,

[00:05:24] you know, you have your profit loss statement that shows you all of your expenses,

[00:05:28] every single expense related to owning the clinic, including your salary and some of the personal

[00:05:33] slash business items that you might expense to the business, right? That's all incorporated into it.

[00:05:38] Everyone's salaries, all the benefits plus the 10% profit margin. So the break even is not just to

[00:05:44] cover expenses. Eric Miller has told this ton of times on any of the financial episodes we've done,

[00:05:50] but it's the expenses plus a 10% profit margin. And you build that into expenses. That's an expense

[00:05:56] line within your expenses on your profit loss statement. And so initially you're going to get that

[00:06:01] break even number as this is the amount of money on average that we need to collect every month

[00:06:04] from the clinic to ensure we are profitable, right? And having built that in, you insured 10% profit

[00:06:12] margin financially. Now you can reverse engineer, do the math because you know your average reimbursement

[00:06:18] per visit, right? You take that $50,000 and you make a hundred dollars per visit. You know,

[00:06:26] you need to get, what is that? A hundred visits a month, whatever that is, whatever that is.

[00:06:30] And so then you can divide that by, I usually did 4.2 because there's a little over four weeks in a

[00:06:37] month. So divide that by 4.2. Now, you know that you need to hit 24, uh, whatever that is. Yeah.

[00:06:47] Visits per week in order to break even. Well, that's huge. Huge. Yeah. Because now we can do that.

[00:06:54] Now we can apply that to the providers. That's how we would establish the minimum expectation that

[00:07:01] they need to hit in order to cover their expenses, their salary, plus the clinic's expenses.

[00:07:07] And that's how we back in the day got to our minimum number was 60 visits a week. And that's

[00:07:14] how we knew it. We did this exact formula over and over and over again to figure out what our break

[00:07:18] even was by clinic, by provider, et cetera, to ensure that we had a healthy profit, right?

[00:07:23] Anything over that meant there was additional profit. And if they did more than 60, closer to 65 or more,

[00:07:31] then we could give them bonus very easily and we could justify it and still not cut into our profits

[00:07:37] significantly. So there could be a dollar figure associated with it. Then you can reverse engineer

[00:07:43] and find that visit figure, exactly what you're talking about, right? And break it down into the

[00:07:47] weeks and the months and really give you a target, really give you a guideline as to what the

[00:07:53] clinic needs to produce, what the providers need to produce. And if you're above that or below that,

[00:07:59] that can tell you exactly what to do next.

[00:08:01] Yeah.

[00:08:01] Right?

[00:08:02] Yeah.

[00:08:03] I mean, if you're opening a new clinic and you're below that target, well, you know,

[00:08:07] you better put extra energy into the marketing.

[00:08:09] Yeah. I don't care how much you care about your patients. You're not going to be profitable.

[00:08:13] All you do with your extra time is market and find ways to market, do better ways of marketing,

[00:08:19] et cetera, et cetera. And so knowing that number and your team knowing that number

[00:08:24] is especially huge.

[00:08:26] Yeah.

[00:08:26] Is that a number that you share with your teams?

[00:08:28] Every week.

[00:08:29] Okay, good.

[00:08:30] Every week. So I'm going to speak to you. This is the Bible of Adam, whatever. Like in my company,

[00:08:36] and it sounds like it was the same way for you, but like the expectations, they're not set at the

[00:08:42] CEO level. They're set at the financial department level, right? So what this is, it's like, this is

[00:08:48] when you put on your director of finance hat, you're sitting in the director of finance hat,

[00:08:52] you're reviewing the financials. And through that data, you report to the CEO,

[00:08:58] what the expectations are for the company. And that's how you set the intention of the company.

[00:09:04] So like 80%, that's just a random number based on what I'm feeling today, but like 80% of all the

[00:09:10] momentum that you create in your company is based on what you make the priority and what you make the

[00:09:15] intention. Right? Like if you have a number and you write it on the board and you look at it every

[00:09:20] day and you measure it and you tell your whole team to look at it and you make them create priorities

[00:09:24] around it and push the whole company in that direction, you will probably move in that

[00:09:27] direction. Right? So if you don't know what the number is, you ain't moving nowhere.

[00:09:33] Otherwise you're going to be trying to market a little and try to recruit a little and try to

[00:09:38] drop insurances. Maybe that'll work. And like, you're not really sure what you're supposed to be

[00:09:41] doing. So the power of that is to be able to set the intention because you can set revenue value.

[00:09:48] So now you have expectations that you can set with your billing department, right? Week by week,

[00:09:53] you can also set visit volume expectations. So you can do that at the provider level and you can do

[00:10:00] that at the clinic level. You can also set, so if you break down your visits and you divide it by your

[00:10:05] visits per eval, now I have a marketing goal, right? I need so many evals to create the volume

[00:10:13] so that I can create the margin. Right, right, right. Yep.

[00:10:16] So you can set all the goals for the company with your breakeven metric, which is like super.

[00:10:21] So it's like, that's what good businesses do, right?

[00:10:24] Well, yeah, you got to set the standard. And if your standard isn't objective,

[00:10:28] then you're going to be tossed about by the winds of emotion, right? And so I love how you

[00:10:34] shared the fact that you set that standard and shared it with team because you can imagine

[00:10:40] what are they basing their performance on? Are they basing their performance on,

[00:10:45] I feel busy, I'm feeling overwhelmed, or are they doing it off of objective measures?

[00:10:51] Right. And how are you going to assess their performance if you don't have an objective

[00:10:55] standard to go off of? Because you could say, yeah, your patients are doing great, but you're only

[00:11:00] seeing 45 visits a week, which means we're losing money every week that we have you on board.

[00:11:06] And that's not going to fly, right? No matter how good you feel, no matter how great your patients

[00:11:10] are doing, if you're not able to meet that metric, then we're not successful and we're not fulfilling

[00:11:14] our purpose as a company, right? And so it's good to have that objective measure.

[00:11:18] And you can build, and I also love what you said, how you can build so many other things off of that.

[00:11:23] What does our marketing effort have to be in order to hit that number on a regular basis?

[00:11:29] Yeah.

[00:11:30] And if we do hit it on a regular basis and we are hitting that utilization metric that we've

[00:11:35] talked about in other episodes, if we're hitting that 85 to 90% of utilization or 85 to 90% of all of

[00:11:42] our appointments are booked at this time, now you know there's that objective measure that we're

[00:11:47] running hot. We're very productive at this point and it's time to hire again. Now you forecast the

[00:11:53] new breakeven if you're thinking about bringing on a new provider. And that's what you do with your

[00:11:59] bookkeeper or your CPA is, hey, I'm looking at my next, bringing on this other provider. Here are the

[00:12:04] expenses they're going to cost me somewhere around the salary and the benefits all included.

[00:12:07] That's going to increase the expense line. That's going to increase the overall expenses

[00:12:11] altogether plus the 10% profit margin. Now what's the new breakeven before I even hire them?

[00:12:17] That's right.

[00:12:18] And how am I going to ramp up my marketing machine to meet that new metric, that new breakeven?

[00:12:23] So there's so much that can be played off of knowing that number, projecting it, forecasting it,

[00:12:29] holding people accountable to it and proactively moving forward now that you have it numbered.

[00:12:33] It's just unlocking so much more for you. And I like how you mentioned, what am I going to do

[00:12:39] to ramp up the marketing machine? But eventually, if you start opening up a few more clinics,

[00:12:44] that's going to be what you ask your director. Marketing director?

[00:12:49] Yeah. And your clinic director. So it's like, hey, clinic director is like,

[00:12:52] hey, I think we need another PT. Okay, great. Let me do my math real quick.

[00:12:56] Yeah. Great. We're here. The new expectation will be here.

[00:13:01] Right. How does that land for you? Do you feel good about that? Do you have some ideas on how

[00:13:06] we're going to hit that number? Do we have the space for it?

[00:13:08] You have the space for it? Do we have the support personnel for it?

[00:13:11] Okay. How long are we going to go with before we pull the plug? Right. So like, shame on you.

[00:13:18] If you are managing your directors by saying like, hey, you weren't profitable last month.

[00:13:25] Try harder this month. Shame on you.

[00:13:28] You need to see more patients, period.

[00:13:31] Yeah. Shame on you. You know what I mean? Like they need that clarity. They need to see that.

[00:13:36] They need to see the score.

[00:13:38] They need to see the score.

[00:13:39] Are we winning or losing?

[00:13:40] Right.

[00:13:41] Right. They need to know that. And that helps so much with the conversation.

[00:13:45] Like if you're saying we need to score a hundred points this game to win and we're at 98,

[00:13:49] you don't have to do anything. You don't have to say anything. They know that we're losing

[00:13:54] and we need to score more points. Right. So that really helps the team when able to be that

[00:14:00] objective and clear with that. Now I forgot to mention for those who have listened this far into

[00:14:05] the episode is that we have a free resource, a breakeven exercise resource that can help you

[00:14:11] determine and establish your breakeven point. If you go into the Facebook group,

[00:14:15] private practice owners club, Facebook group, and you can DM Adam and he can share that research

[00:14:19] for you. There is a post or two in which those resources are added, but if you're not able to

[00:14:23] search and find them, you can always reach out to Adam and DM him through the Facebook group and we

[00:14:27] can get that to you so you can figure that out yourself. Yep.

[00:14:30] But this is the kind of thing that it should be happening all along the way. And hopefully those

[00:14:35] who are listening that haven't opened up practice yet or at the beginning stages,

[00:14:38] you should know your breakeven point before you open the doors.

[00:14:41] Yeah. Right. If you've done, if you've worked appropriately, like we've asked you to with

[00:14:46] your CPA or bookkeeper, they've done some performance with you. You should know how many

[00:14:50] visits you need to make a significant profit in your organization based on the expenses that you have.

[00:14:56] And you're going to do that. I'm assuming you, you can speak to it. I'm assuming you do that before

[00:15:00] you open each of your clinics, right?

[00:15:07] If you fail to plan, you plan to fail. Hey, it's Q4 2024. It's time to put your foot on the gas.

[00:15:16] It's busy season guys. And your goals are within reach. But if you're feeling unclear on what to do

[00:15:22] next, it's likely due to a lack of planning. Listen, if you want to be a great company,

[00:15:28] you have to do what great companies do. Host an annual strategic plan with your team.

[00:15:34] Setting aside one to two days to map out the entire year ahead has been the single most impactful

[00:15:41] habit I've developed in my business. That's why Nathan and I are offering

[00:15:46] exclusive strategic planning sessions for practice owners ready to make 2025 their best year yet.

[00:15:53] We'll fly to your practice for two days and help you get crystal clear on your goals.

[00:15:58] So every day next year starts with purpose and focus. Imagine waking up knowing exactly what to do

[00:16:05] and how that clarity would impact your team and your work.

[00:16:10] We're only taking 10 businesses for 2025 and spots are first come first serve.

[00:16:15] This promotion runs to the end of the year. So if you're serious about growing in 2025,

[00:16:20] check the show notes and claim your spot today.

[00:16:22] This could be the most important decision you make next year. Think about it.

[00:16:31] Before we spend any money, we need to know how that's going to impact.

[00:16:36] Guys, you have to have an understanding of how the decisions you're making are impacting your finances.

[00:16:45] Period. You cannot guess. You're opening the door to like, you might as well just give all the

[00:16:52] control in your business away. Part of the reason why I see owners struggle is that they make decisions,

[00:16:57] but they're not receiving the objective feedback they need to understand how that impacts the bottom line.

[00:17:03] Right. So anytime you feel scared, worried or anxious about your money, it's because you don't have enough information.

[00:17:11] You don't have enough information. So the answer isn't see more patients. The answer is get more information.

[00:17:19] Then you can see and then you can act. Right.

[00:17:22] Yeah. Because I can see where I would come from is I might add $2,000 to my expense line by buying this

[00:17:29] program or this piece of equipment on a subscription basis, but I didn't take the next step, which is I'm

[00:17:36] knowingly adding additional thousands of dollars per month to my expense line, but I'm not taking the next step to say

[00:17:43] how many visits now do I need to see? How does that bump up my break even point?

[00:17:48] And it's going to bump up financially. Of course, what's the visit per month or visit per week total now that I've added

[00:17:55] two or $3,000 to the expensive line. And so the same goes with raises. If you do raises all at the same time,

[00:18:03] bringing on a new front desk person attack, even if they are quote unquote, lesser wages, hourly wages,

[00:18:10] you need to add that in. So another two or $3,000 per month could equate to another 20 or 30 visits a

[00:18:16] month. Right. And are you equipped and are you capable of adding another, if it's 30 visits a month,

[00:18:25] it's another seven plus visits a week. Are you capable of where are you going to get the extra

[00:18:30] seven visits? Right. And maybe that's a determining factor whether you actually make that purchase or

[00:18:36] not. Yeah. You can just understand what you're getting into because what your team, like your team

[00:18:42] is so awesome. They're so talented. They're like, they can almost do anything, but they need clarity

[00:18:50] and they are not clear unless you are clear. Right. So like the team meeting looks like this. Hey team,

[00:18:57] happy Tuesday. We need to hit 3000 visits this month to make this thing work. You guys good.

[00:19:03] Hey, let's go. You know, like very clear. Any questions or concerns? Let's talk them out now.

[00:19:10] Get to the beat of the conversation. And then it's like, okay, now I know where we got to go. I see

[00:19:16] where I got to go. All right. And if you're just practicing best practices, like measuring things and

[00:19:21] providing them with training and marketing appropriately and building your culture and all

[00:19:24] that stuff, like you should be able to make progress towards that. And you know what, what's cool about

[00:19:29] that is simply if you're able to provide this standard, this metric that they know they need to hit.

[00:19:33] Now you can spend more time on the cultural piece, the training piece. I mean,

[00:19:38] you don't have to spend time on focusing on productivity per se. I mean, you're still

[00:19:42] going to have to do that, but the numbers speak for themselves because it gives them a scoreboard

[00:19:47] representation of how well the company is performing and the productivity behind it.

[00:19:51] Now you can spend more time on, okay, arrival rate, right? Or Hey, what are we going to do for

[00:19:56] national physical therapy month? And which very much falls in mind.

[00:20:01] Focus on your people. Like there is a, like it happens like where you get to a place where you're not

[00:20:07] worried about money. Like it's not always the most important, like the biggest worry. Like once you

[00:20:13] build so much control around it and certainty, you got a good team in place. Like you can actually

[00:20:19] not worry about it as much. That's real. And then you can actually like just care about your people,

[00:20:24] build leaders and support them and do the national PT month and celebrate wins and like be a good

[00:20:29] boss. Just hopefully that's encouraging with that. Like you can do that.

[00:20:33] Yeah. And there are very few KPIs that we have access to in our industry that are what you would

[00:20:40] call leading indicators, metrics that will project or foretell how things are going to be in the future.

[00:20:46] So many times we focus on lagging indicators, like how many visits did we see last week? What was the

[00:20:52] average number of skilled units per visit that we build? How many visits per hour? What was our

[00:20:57] utilization rate? These are always looking backwards, but using that break-even metric allows you to say,

[00:21:03] all right, we needed to hit a hundred this week. We hit 110. That means in the next four weeks or so,

[00:21:11] I'm going to expect more than I'm going to have a greater profit, right? I can expect if I know I

[00:21:17] need to hit a hundred and I hit 80, 85, then I know there's going to be a ding to my collections and

[00:21:24] also my bank account balance four to six weeks from now. That holds true more. So when you look at the

[00:21:31] month, right, I need to hit 500 visits this month. Right. And I got to 460. We're going to be in

[00:21:38] single digits, profit margin, frankly, probably. But if we're at 550, it should be a healthy revenue

[00:21:44] month next month. And so it can foretell, I mean, you can like see around corners with this as you're

[00:21:50] tracking it and have it dialed in, which is, it's not very common that we have those.

[00:21:55] Yeah. I would say that's probably one of the biggest challenges to business. It's probably

[00:22:02] more so unique to our business because it takes so much time to get paid. But what happens is,

[00:22:08] is like you combine this growth with delayed payment. And so you might grow by, let's say

[00:22:16] you grow by 20% in a month and then you don't make any money that month where it's like, just hold on.

[00:22:21] You know what I mean? Just hold on. Give it six weeks.

[00:22:25] Right. It's coming. It's coming. Even like practice owners that work with us,

[00:22:29] you know, and they get into that three to four month in the program range. Like,

[00:22:33] what are you talking about, Adam? Like, I thought the money was coming in

[00:22:35] and we're looking at their metrics and it's like their visit volume is growing 20, 30%. I'm like,

[00:22:39] give me one more month. And I swear to you that money's coming in. And then like a week later,

[00:22:44] they're like, Hey, you were right. We're good. Like money's in. It takes a little time.

[00:22:48] You got to trust the process. But once you go through that and you see it and you experience it,

[00:22:53] then you become more comfortable with it and recognize like, Hey, I know that money's coming

[00:22:57] in. So then, and the beauty and the power behind it is now I'm not surprised when I lose money next

[00:23:03] month, or I'm not super surprised when a flood of cash comes in. I can now just plan on that and make

[00:23:10] some plans accordingly. Right. Yep. So great. I think we kind of beat it up quite a bit. This topic,

[00:23:18] what else do you want to say about it? I will say, I think you crushed it, man. Well,

[00:23:22] I will say this other thing. So do you like 10% margins or do you like 20% margins?

[00:23:26] Of course I want 20. Okay. So why not make our break even 20%? You know what I mean? Like

[00:23:33] you could totally do that, you know? Good. So what we do in our company is we have a break

[00:23:39] even metric and then we have an expectation metric. Oh, okay. Right. So now we have the number of,

[00:23:46] this is what we need to hit to hit 20% margins. Expectation slash goal.

[00:23:50] Yeah. Yeah. Well, it's like 10% is like rock bottom. That's like,

[00:23:54] Like we're not in business if we go below that.

[00:23:57] Right. We're not in business. So expectation is like, Hey, this is what we're always shooting for.

[00:24:01] Like we're shooting for that 20% margin. And here's the thing you can do it.

[00:24:05] Right. You can totally do it. Like it's really not as hard as I used to think it was because now I see

[00:24:13] the numbers so cleanly and it's like, Oh, I just got to do that. And we'll just do that.

[00:24:17] You don't even have to push like that much volume. You just got to dial it in and you can hit,

[00:24:23] you can hit 20% margins. We had a client in our program. I'm not going to shout her out,

[00:24:28] but you could probably figure out who it is. She had 29% profit margins in her practice.

[00:24:32] In network, 29% margins. You're talking about a lot of money, like life changing amounts of money.

[00:24:41] Not like you're like making it rain in the club, but like, you're not worried about paying your

[00:24:44] cell phone bill. You know what I mean? Like you're just paying the cell phone bill. You know what I

[00:24:48] mean? Yeah. You're going on vacation. You're living a comfortable life at that.

[00:24:52] By the way, she's not treating. Oh no, no. She's not treating patients.

[00:24:56] No.

[00:24:56] I mean, like it's just, there's so much more possible out there. You just got to,

[00:25:01] just got to get in the right room.

[00:25:03] Well, it goes back to the power of questions that we ask ourselves. So if you set that

[00:25:09] expectation or that goal of 20%, which is beautiful. I mean, if you can hit 20% in a physical therapy

[00:25:14] clinic on a regular basis, that's great. So your demographic might be a big hindrance to that

[00:25:20] potentially.

[00:25:21] That's pre-tax and all that stuff too. Net, if you will, or gross, but not,

[00:25:26] but you put that out there and you say, what would we have to do in order to reach that?

[00:25:32] Like some people listening would be like, there's no way I can make 20%. Well, yeah,

[00:25:35] you're done. You are what you think.

[00:25:37] I could prove, I mean, bet.

[00:25:40] That's all I'll say.

[00:25:41] But you said it out there, but the follow-up question should be,

[00:25:45] that looks really hard and scary. However, what would I have to do in order to do that?

[00:25:52] Now start brainstorming and possibilities and opportunities will present themselves.

[00:25:56] You know, I had a mentor of mine and you know, Chris Smith, he talks about possibility and

[00:26:00] limitation all the time. And so like, he tells this story and I've had the same experience of

[00:26:05] like, even people on my team or like practice owners who get on calls with me or like who want

[00:26:10] to change their life and change their business. It's like, Hey, Nathan, you want to blow your

[00:26:13] practice up and go big? And then it's like, immediately it's like, yeah, well I would,

[00:26:18] but I'm in network and like shooting 20 patients. It's like, immediately they go to,

[00:26:23] let me tell you why all the reasons why this isn't going to work.

[00:26:26] Why I can't.

[00:26:27] Because we're so addicted to finding those limitations because of the way that our brain

[00:26:33] is and we're stressed out. Right. And it takes a different way of thinking to decide,

[00:26:40] I'm no longer going to entertain that. I'm going to choose possibility, even if it feels unfamiliar

[00:26:46] or I'm not really sure how to get there. Like, I'm just going to choose it.

[00:26:50] Yeah.

[00:26:50] Right. Let me just do more of that. And the next thing you know, you'll find it. If you

[00:26:54] seek out those limitations, you'll find them every time. But if you choose possibility,

[00:26:57] you will find it. I'm living proof of it. So yeah, give it a shot.

[00:27:02] Yeah. That's great. I'm glad you added that little bit. That's awesome. Cool, man. So

[00:27:07] reminder to everybody, go to the group, Facebook group, private practice owners club to check out

[00:27:11] that free resource. And if you listen to us, of course, we gave you evidence of how we can

[00:27:16] affect you in your clinic and being powerful owners, more productive, more profitable owners,

[00:27:21] you should be reaching out to Adam or I, the link is on the website to book a call with us and talk

[00:27:26] to us about your business so we can help you out. And otherwise, anything else we're sharing at this

[00:27:30] time? No, sir. Tune in next time. We're going to talk about the role of the CEO. I don't know if

[00:27:37] that's the next podcast, but that's going to be the next one you and I do, right?

[00:27:39] The one between you and me, the next one with the two of us, we've got that on the hook as being a CEO

[00:27:44] and what that job description looks like and what the expectations are. And if you listen to our

[00:27:50] last podcast together, we talked about annual strategic planning. We are currently here at

[00:27:55] the end of the year, Q4 2024, taking opportunities to work with owners who will want to make and

[00:28:01] create a successful 2025 and know their priorities right off the bat. They don't have to question what

[00:28:06] they're focused on every day. They're going to have their priorities up and going so they can be as

[00:28:10] successful as possible in 2025. So also reach out to us in order to schedule that annual strategic

[00:28:15] planning session. All right, let's do it. Good things, man. All right, brother. Have a great day.

[00:28:20] Yes, sir. You too, man.

[00:28:24] Thanks for joining us today in the Physical Therapy Owners Club, the resource for stability and freedom

[00:28:30] in your PT practice. Reach out and join the network today. Subscribe to our podcast, get links to social

[00:28:36] media, and access all of our episodes with show notes at ptoclub.com.