It's time for you to leave the practice you've been with and start your own. This is an exciting moment for you but moving from one practice to another goes beyond just changing your office space.
You must pay close attention to your billing details to ensure a smooth transition for both you and your patients. This article provides helpful guidance on handling different aspects of your departure.
Group Practice vs. Solo Private Practice
What are the key differences between these two types of practice: solo private practice and group private practice? Understanding these differences can help you make a more confident decision about your career path.
In a solo private practice, a healthcare provider works independently to offer care to patients. While you might have some administrative help, the practice usually relies on minimal staff. This setup allows you to form strong relationships with your clients and manage your business according to your own preferences.
On the other hand, a group private practice involves two or more healthcare providers and often has additional administrative staff. Practitioners in a group may share a specific specialty or work in different fields. Typically, income is divided among providers based on their hours, experience, and patient volume.
Group practices can be great for learning new skills and improving communication. However, they might also limit opportunities for career advancement and your role in management.
Challenges and Benefits of Going Solo
Starting a solo practice can be appealing for therapists who want to own a business without the burden of high costs and managing staff.
Benefits of a solo practice include complete control over decisions related to your work. You can set your own hours, decide your fees, select your clients, choose your location, and determine how many patients you see. This flexibility allows you to focus on specific areas of interest, such as working with runners, older adults, or patients with balance issues. You can also spend more one-on-one time with patients, improving their satisfaction and outcomes. Whether you prefer a location that's close to home or one that suits your target clientele, you have options. You might even have the chance to meet clients in their homes or other settings. This model can give you time to explore other interests as you can choose when to take breaks from patient care. As more therapists explore solo practices, it’s essential to recognize potential challenges.
Challenges of running your own business include the responsibility of knowing state and federal healthcare laws, licensing, and insurance requirements. If you opt to accept insurance, you must learn how to work with insurance companies, negotiate rates, and manage their billing processes. Marketing your services is crucial, as new practices often compete with established ones. Professionals usually refer patients to practices they trust, which can make it hard to gain their confidence. Financial stability takes time; you’ll need to invest in equipment, insurance, and marketing before seeing a profit. Finally, you will handle every task in your practice, from marketing to cleaning equipment and managing billing, which may require more hours than when you worked at a group practice.
Checklist for Information Needed When Leaving Your Old Practice
Transitioning from your current practice can be complicated, especially if you plan to accept insurance at your new location. If your previous practice handled the credentialing process, you will need to prepare before you can start accepting insurance at your new one.
Determine whether the insurance credentialing is linked to your old practice's group NPI and tax ID or if it is associated with your individual NPI and SSN or tax ID. If your credentialing was under the group you are leaving, you will need to repeat the credentialing process using your new practice's information. If you prefer to use the new practice's group NPI and tax ID, it may be worthwhile to go through the credentialing process again. The credentialing timeline can vary significantly; it may take anywhere from three months to a year. Plan for 90 to 120 days to complete this process, keeping in mind that it might take longer.
To start the process of leaving a group practice, accomplish the following:
National Provider Identifier (NPI): Keep your NPI accessible, as it is essential for billing. You can use your individual NPI or apply for a Group NPI for your new practice.
Tax Identification Number (TIN): Update your TIN with your new practice information. Applying for an EIN is recommended over using your SSN as a Tax ID.
Insurance Provider Information: Collect details of the insurance providers you are contracted with, including how you are credentialed and any termination dates for contracts.
Patient Billing Information: To maintain continuity of care, create a list with patient names, insurance details, and any outstanding balances.
Electronic Health Records (EHR): If applicable, update your EHR system with your new practice information, ensuring that patient records are transferred securely. You can also choose any practice management system to help you.
Checklist for Information to Share with Your Patients
As you start your new practice, it’s important to prepare your patients for the change. Moving their care from one place to another can be difficult for them. Here’s a simple checklist to give your clients as you transition to your new location:
New Practice Details: Share your new practice's phone number and address.
Continuity of Care: Let patients know how they will continue to receive care at your new practice, including any updates to their insurance.
Records Transfer: Assist patients in moving their medical records to your new office.
Follow-Up Appointments: Set up follow-up appointments with patients to ensure they receive ongoing care.
Choosing Your Practice Location
A key consideration for anyone starting a new consulting practice is where to set up. Consultants have three main work environments for private practice: using rooms at a private or NHS hospital, renting dedicated consulting rooms, or working from their own home. There's also the option of buying an existing practice.
For private GPs, the choices are similar. They can work from home, in a specially designed surgery, in rented spaces, or occasionally in consulting rooms within private hospitals.
Practicing in a private hospital offers several benefits. Rentals often include help from skilled staff like receptionists, secretaries, and nurses, as well as most of the necessary furniture and equipment. Access to on-site services, such as pathology and radiology, can also be a major plus. It's advisable to check the average consulting costs at private hospitals in different areas. If choosing this route, you'll need to apply for practicing privileges at the hospital.
Remember, the GMC requires that doctors disclose any financial interests related to their practice to patients before making treatment arrangements. This applies to interests in private hospitals as well.
To use consulting rooms in NHS hospitals, you must get official approval from the hospital management.
The benefits include access to furniture and equipment. However, it’s essential to know that NHS staff cannot assist for free. NHS secretaries and receptionists should not be asked to work on private matters without proper payment. Any help with private patients must occur outside NHS working hours and only with management consent if NHS facilities are involved.
Dedicated private consulting rooms are appealing to many private doctors, but they can be expensive. Buying the freehold of a property demands a significant investment. A good approach is for doctors to join forces and form a company. This allows them to share the costs of purchasing the property or lease, along with necessary equipment, and hire staff collectively.
In larger cities, fully equipped consulting rooms are often available for lease or license.
Practicing from home is a common choice for private practice doctors. It can save on travel expenses and offer tax relief for costs like heating and lighting. However, it might disrupt daily home life.
Some medical specialties are better suited for home practice than others. Doctors considering this option should consult their accountant to explore potential tax benefits. They should also check with a lawyer to ensure there are no restrictions on running a business from their home.
Buying an existing practice is another way to start a private practice. This option often involves purchasing equipment, facilities, and the property lease or ownership. Additionally, it includes the existing client base's goodwill, which can be valuable for a new owner.
Promoting your Service through Marketing Strategies
Understanding your target audience is crucial for any business. Clearly define your service and show how it benefits potential clients. Emphasize what makes your service better than competitors.
When patients consider private healthcare, they seek personalized medical care. You can promote features like:
fast access to expert care
the ability to choose appointment times and locations
the option to see the same consultant at each visit
comprehensive investigations and specialized exams
access to new diagnostics, medications, and treatments
exceptional personal attention
24-hour support
freedom of choice, independent of government systems
adequate time with doctors
centers of excellence with specialized expertise
custom, fixed-price care packages for conditions not well addressed by the NHS
quicker diagnosis and treatment
hotel-like services, including better menus, Wi-Fi, TV, and complimentary gifts.
There are many ways to market your services. Social media and professional websites are now common. Consider hiring an expert in healthcare marketing to manage this for you.
Conclusion
Transitioning from working in a group practice to starting your own solo practice can be both rewarding and tough. It takes careful planning, honest self-reflection, and a good grasp of the business and clinical skills needed for success on your own. Group practices provide teamwork and shared resources, while solo practice gives you more freedom and control over how you work. To make this move easier, focus on getting your finances in order, building a solid client base, and honing your essential skills. With the right attitude and thoughtful preparation, solo practice can lead to both personal and professional growth, allowing you to establish a practice that reflects your values and goals.
