Starting your own medical practice is a significant step that can lead to both professional and personal rewards. In this article, we explore the benefits (and challenges) of owning your own practice for doctors, physiotherapists, dentists, and other allied health professionals.
Turn Your Medical Expertise into a Rewarding Business Venture
Venturing into business ownership might feel daunting, especially for healthcare professionals accustomed to the clinical field. After all, business administration and accounting aren’t things they teach you in medical school. But with the right support and strategic advice, starting your own practice can be incredibly rewarding, both financially and personally.
The Current Landscape of Healthcare Practice Ownership in Australia
The healthcare sector in Australia is robust, with a significant number of professionals opting for practice ownership across various fields. However, the trend in practice ownership, among GPs and dentists especially, has been influenced by the rise of corporate groups and consolidation within the industry.
- General Practices: There are around 7,135 accredited general practices across the country. Current statistics show that about 25% of GPs are practice owners, with a higher likelihood of ownership among males and GPs over 45 years.
- Physiotherapy Services: There are 9,362 businesses in the physiotherapy services industry in Australia. Approximately 25% of physiotherapists working in private practice are owners or partners.
- Dental Practices: Approximately 50% of dentists own their own practice, either as solo practitioners or as part of group practices.
It's worth noting that some of the above may be part of partnerships or larger business structures.
Rates of interest in practice ownership among GPs since 2018
Measure: Proportion of GP responses to the question, ‘Are you interested in owning a general practice in the future?’ by year.
Source: The Navigators, RACGP Health of the Nation survey April/May 2024.
The Benefits of Owning Your Own Practice
While interest in practice ownership might be at a low point, there are many reasons to consider it.
1. Autonomy and Control
Running your own practice means you can shape the business to reflect your values and principles, ensuring a more community-oriented and patient-focused environment. You control your work schedule, office policies, and the overall patient experience.
2. Financial Rewards
While there are upfront costs, the long-term financial rewards can be substantial. Owning a practice provides opportunities for higher income compared to salaried positions. You also have the potential for business growth and the accrual of assets over time.
3. Work-Life Balance
Although initially demanding, with the right support, practice ownership can ultimately lead to a better work-life balance. You can design your schedule to fit your lifestyle, giving you more flexibility and time for family and personal interests.
4. Professional Satisfaction
Owning your own practice allows you to implement innovative medical practices and treatments, contributing to higher levels of professional satisfaction. You can build stronger relationships with your patients, knowing you are providing the best care possible.
5. Opportunities Available in a SMSF
One significant advantage of owning your own practice is the opportunity to own your business’ commercial property through an SMSF . This enables having your business pay rent directly into your retirement savings fund.
This setup not only secures an asset for your future but also offers favourable tax treatment, enhancing your overall financial strategy.
Challenges and How BlueRock Can Help
Owning a practice comes with its challenges—longer hours, administrative tasks, and balancing clinical duties with business management. However, with the right advisory team, these challenges can be mitigated.
At BlueRock, we understand the unique needs of health professionals. Our one-stop-shop approach means you only need to tell your story once, and our team of experts will work together seamlessly to support you.
Accounting Services
We provide comprehensive accounting services tailored to the healthcare sector. Our certified accountants ensure your practice's financial records are accurate, up-to-date, and compliant with regulations.
Financial Planning
Our financial advisors specialise in creating personalised financial plans that help medicos achieve long-term goals. From tax strategies to retirement planning, we ensure your financial health is robust.
Legal Services
Navigating the legal aspects of running a practice can be complex. Our legal experts provide comprehensive support, including setting up your business structure, compliance with healthcare regulations, and leasing and property law services.
Funding and Cashflow
Starting a practice can require substantial capital. BlueRock can assist you in securing funding through various channels, including loans specifically designed for entrepreneurs in the healthcare sector .
Business Development and Strategy
Our business consultants help you develop a strategic plan, identify growth opportunities, and improve operational efficiency. This tailored support ensures your practice is successful and sustainable.
Insurance Brokerage Services
As insurance brokers , we can arrange all the insurances medical practitioners and business owners require. Whether it's professional indemnity insurance, public liability, or business insurance, we ensure you're covered for all eventualities, giving you peace of mind while you focus on your practice.
Talk to the Health & Medical Business Experts at BlueRock
If you’re thinking about starting your own practice, or you’re already in business, let us help you turn your medical expertise into a thriving business, setting you up for long-term financial success and a better lifestyle. Discover our health and medical advisory services and contact us via the form below.
