Location-level P&L
A profit and loss statement broken down by individual clinic location, rather than consolidated across the whole practice. It shows revenue, expenses, and profit for each site so you can see which locations make money and which ones do not.
Why this matters for your clinic
Without location-level P&Ls, your profitable location hides the losses at your unprofitable one. Most multi-location clinics run consolidated P&Ls and have no idea which location actually makes money. They see one blended number and assume all locations are contributing equally. They are almost never contributing equally.
Location-level P&Ls also change how you make decisions. Should you hire another provider? Which location? Should you renegotiate your lease? Which one is overpaying for the space relative to revenue? Every strategic question in a multi-location practice requires location-level data. Without it, you are guessing.
What good looks like
MGMA's multi-site and cost-allocation guidance treats site-level P&Ls as table stakes for any practice above two locations. The discipline that matters is consistent allocation rules — shared overhead (billing, admin, owner comp) must be pushed down to sites with a defensible methodology or the comparison is meaningless.
Example
A 3-location dental practice runs a consolidated P&L showing $4.5M revenue and 22% EBITDA. Looks healthy. When broken out by location: Location A does $2.2M at 30% EBITDA. Location B does $1.5M at 18% EBITDA. Location C does $800K at 5% EBITDA. Location C is barely breaking even and dragging down the whole practice. Without location-level P&Ls, you would never know.
From Sorso
In the multi-site clients we onboard, the first location-level P&L we build almost always surprises the owner on which site ranks last — usually because rent and staffing costs at the flagship were hiding inside corporate overhead.
Founder of Sorso. 18 years in corporate finance. Managed a $450M loan portfolio before building a fractional CFO firm exclusively for healthcare clinics.
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