How to overcome 9 causes of practice failure
By Peter G. Fernandez, DC

How do you define success? Is it running a million-dollar practice? Having adequate discretionary time? Being able to give back to the community and chiropractic?

Or, is it making just enough money to pay your bills?

Unless you know what success is you cannot know failure, since failure is the lack of achieving success.

Regardless of how you define success, here are nine pitfalls that can lead to practice failure — and how you can avoid them. 

1. Procrastination. People who are unsure about themselves tend to procrastinate, are easily distracted, or weakly try to complete a goal or task at hand.

According to an Alternative Medicine article written by Joy and Steve Gurgevich, a person’s subconscious does not understand the word “try.” You either “do” or you “don’t.” But you cannot “try.”

If, for example, you were asked to try to pick up a large rock lying on the ground in front of you, you would lean over, grasp it, strain, and then pick it up. There is no “trying” involved.

The point is this: When you say to yourself, “I’ll ‘try’ to meet new people in my community each day to grow my practice,” you give yourself a mixed signal that sabotages your goal. “Trying” is not “doing.”

How to deal with procrastination: Do — don’t try to do. If an activity looks too big, break it into smaller components and act on them, one at a time. The point is to put yourself in motion.

2. Poor practice focus. Some doctors, such as those who promote their ability to treat all types of problems, lack focus. Patients see this as a lack of focus and credibility, and mistrust it.

How to deal with poor focus: You can be known for treating a number of conditions, such as headaches, neck pain, sports injuries, or scoliosis, or for specializing in children, families, or geriatrics. Choose one specialty and brand yourself.

3. Poor personal appearance. People buy with their eyes. If you dress inappropriately — either too casually or too flamboyantly — potential patients will reject you and seek a doctor who dresses like a professional. Look like a doctor; choose your wardrobe accordingly.

How to deal with poor appearance: Look at yourself in the mirror: Do you look professional? Are you well-groomed? Is your attire appropriate and professional? If in doubt, ask a trusted friend or spouse. Then, visit a good hairdresser and go shopping. Dress and look appropriately for the type of patients you want to attract to your clinic.

4. ‘Secret’ practice. New doctors have secret practices. They are a secret because no one knows about them.

The objective of every new doctor should be to become well known quickly. Many doctors do a great job meeting 50 people when they open their practices, and then spend the next 20 years meeting the same 50 people again. They wonder why they don’t build a larger practice.

How to deal with a secret practice: Make a plan to meet 10 new people each day. As you meet more people, more patients will come to see you.

5. New practice-killing activities. New doctors often engage in activities that kill their chances of success, such as spending time shopping for used equipment, including equipment other doctors have rejected.

How to deal with practice-killing activities: Assess how you spend your time. Are you spending it on “A” activities (those that are urgent and important and directly help you achieve your goals), “B” activities (those that are important or urgent, but not both), or “C” activities (those that are neither important nor urgent, even though they may be fun to do)?

Cut out the “C” activities and spend time on the “A” activities, such as meeting people. New acquaintances become patients. And patients make your practice a success.

6. Out-of-control ego. Many new doctors decide they need to reinvent the wheel. They try to do everything themselves instead of asking for advice.

How to deal with your ego: Put your ego on hold and always use O.P.E. (Other People’s Experience). Learn from their failures, not your own.

7. Trying too hard to save money. Keeping overhead low is important. But, sometimes doctors try too hard to have low overhead, resulting in their offices not being properly furnished to run effectively.

How to deal with trying too hard to save money: Develop a realistic budget and stick to it. Accept that you have to spend some money to make money. That includes hiring the right staff to help you administer the practice. Don’t squander on basics.  

8. Lack of business knowledge. Establishing a new practice involves a maze of complicated activities, such as analyzing demographics and psychographics; wading through city zoning ordinances; designing floor plans; negotiating with banks, landlords, equipment dealers, and contractors; advertising; and hiring and training staff. Each task can result in a money savings — if the doctor is experienced in these areas.

How to deal with a lack of business knowledge: Never stop learning. Acquire the business knowledge to equip yourself to manage your practice. And until you develop that expertise, ask for or hire the necessary help.

9. Underfinancing. This is one of the primary reasons new doctors fail. Despite being well-trained and good clinicians, they run out of money.

The average DC guesses how much money he or she will need and usually guesses too low.

How to deal with underfinancing: Being underfinanced can be avoided by knowing the realities of funding a practice and how to prepare a professional bank proposal. Do your homework, prepare a business plan, and borrow adequate money to keep you going until the practice starts bringing in sufficient revenues.

Peter G. Fernandez, DC, specializes in working with new practitioners in setting up their practices. He has been a practice consultant for 27 years. He can be reached by phone at 800-882-4476, by e-mail at DrPete@DrFernandez.com, or through his Web site, www.DrFernandez.com.