Owner Doctors Stay Private and Boost Medical Practice Revenue


A group of physicians came to us when their old practice decided to sell. At that time, the practice was spending a little more than 60% of all revenue on overhead, which is fairly average for primary care internal medicine.

To explain this more, an internal medicine office with 60% overhead could bill and collect $300,000 from patients in a given year. Out of that amount, $180,000 would go to pay for the facility, staff, supplies, and other costs. The remaining $120,000 would be compensation for the doctor.

This group wanted to stay private and asked for guidance on how to do that well. They knew that better management could reduce overhead, leading to higher pay for the doctors and better treatment and follow-up care for their patients.


  • Within 24 months of contacting us, the group was earning more than they collected, or functionally 0% overhead.
  • By month 36, the owners were earning twice as many personal collections. They were collecting around $400,000 and their compensation was $800,000 — they were earning $2 for every dollar collected.

How We Did It

How did this practice increase medical practice revenue? After our initial consultation, they signed on for DoctorsManagement’s Startup services and continued with our Management Consulting services. Together, we completed the following steps:

1.  Pursued Growth Aggressively

Not every practice is comfortable with this approach to growth, but an aggressive growth strategy helped this group to quickly grow their practice.

This practice — Integrity Health and Wellness — added two providers per year for three years. In addition, they added medical and wellness ancillaries during their startup phase — Lab, Remote Patient Monitoring and Chronic Care Management.

If it meant they could grow faster, this group was comfortable with debt and lower income in the short term. They had a clear income target and were also willing to cut things they started if the results weren’t promising.

2. Placed Providers in Long-Term Facilities and the Practice

Most groups will only see patients at their offices. However, this group chose to place providers in three different areas at once:

  • Local nursing home
  • Rehabilitation facilities
  • Their main office

By treating a wider range of patients, this practice was able to expand its reach and deliver care across different sectors of the community. By working with DoctorsManagement, they could effectively coordinate and manage this diversity of care.

3. Incorporated Virtual (CCM) Visits With In-Person Visits

Many doctor and patient interactions moved online after 2020. Although visits can be made in person again, some patients prefer this model as it fits more smoothly into their schedules and doesn’t require transportation, which can be difficult.

As part of its growth plan, this practice incorporated virtual visits, which allow patients more options for access to quality care and save doctors time since they can be scheduled closer together, reducing downtime in the office.

Although virtual visits helped this practice to expand in the present, it was also an investment into the future. Virtual patient care will likely continue to expand in the next few years, since it benefits both patients and doctors.

4. Delegated Responsibility for the Growth of Each Service Line to a Team

To better manage the various ancillary services in their practice, this group worked with DoctorsManagement to delegate each service line to a different responsible person or team. Healthy delegation and leadership promote responsibility and allow individualized focus for each service.

There is now a person responsible for the revenue, expenses, and profit for each ancillary and service line in the practice. Each service leader is given autonomy to make decisions for that ancillary, and they are rewarded based on the profit from that service line.

Through their partnership with DoctorsManagement, this group has successfully transitioned to a private practice and achieved financial stability. They’re continuing to grow and expand high-quality care for patients throughout their community.


Medical Office Closed
Previous Case Study
The Challenges and Failure of a Doctor’s Attempt to Open a Medical Practice
Dark blue background, mixed with light blue and orange.

Put your practice on the right track so you can focus on your patients

Schedule Your Free Consultation
Call Us (800) 635-4040