Medicare rates dropped again. What is your plan?
Strategic financial guidance for PT practice owners facing reimbursement pressure, staffing decisions, and growth opportunities.
A 4-minute test your accountant hopes you skip.
At a glance
Is This Right for You?
This service is for physical therapy practice owners facing these challenges:
Need accurate books first? Our Accounting service for physical therapy practices may be a better starting point.
What's Included
How a Fractional CFO Works for Physical Therapy Practices
PT-specific strategic leadership that goes beyond reporting.
Growth & Expansion Modeling
- •New clinic feasibility with patient volume projections
- •Break-even timeline by location type (urban vs suburban)
- •De novo vs acquisition analysis
- •Telehealth revenue line modeling
Payer Strategy & Reimbursement Planning
- •Medicare rate change impact modeling
- •Payer contract renegotiation data packages
- •Cash-pay program development and pricing
Staffing & Compensation Optimization
- •PT vs PTA utilization modeling
- •Productivity-based compensation design
- •Staffing ratio optimization by patient volume
- •Recruitment cost and turnover impact analysis
Valuation & Exit Planning
- •Practice valuation with PT-specific multiples
- •Hospital system acquisition negotiation support
- •Partner buy-in/buy-out structuring
Results
What Physical Therapy Practices Experience
| Metric | Typical Outcome |
|---|---|
| Revenue recovered | $223,000 from productivity improvements and billing corrections |
| AR reduction | $142,000 collected from aged workers comp claims |
| Location 3 turnaround | From -$4,200/mo to +$2,800/mo in 5 months |
Case Study
See The System In Action
6-therapist PT practice, three locations, mix of orthopedic and sports rehab. Revenue grew 22% over two years after adding a third location, but profit actually declined. The owner was working more and earning less.
What we found:
- •Two therapists were averaging 7.5 visits per day against a target of 10, costing $198K in unrealized revenue annually
- •Workers comp claims were sitting an average of 97 days in AR. $142K was collectible but had not been followed up on
- •The third location was running at 58% capacity but carrying full staffing costs, losing $4,200 per month
- •The practice was not billing for re-evaluations, leaving an estimated $38K per year uncollected
The results
$223,000 from productivity improvements and billing corrections
Revenue recovered
$142,000 collected from aged workers comp claims
AR reduction
From -$4,200/mo to +$2,800/mo in 5 months
Location 3 turnaround
“I thought I had a revenue problem. Turns out I had a visibility problem — I just could not see where the money was stuck.”
— Practice Owner, Mid-Atlantic
Think your physical therapy practice has similar potential?
Common Questions About Fractional CFO for Physical Therapy Practices
Stop guessing. Start leading your physical therapy practice with data.
Take the 4-minute financial assessment—and find out if your physical therapy practice is ready for strategic CFO leadership.
The test your accountant hopes you skip.