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3 Hidden Costs to Consider Before Opening Your Second Clinic

May 15, 2017 | Article | By: InnoCare

Ready to open a second location but not sure where to start? You’re in the right place. Opening a second location and growing your clinic is no easy task regardless of whether you're a physiotherapist, massage therapist, chiropractor or another physical rehabilitation clinician. For clinicians, expanding often means hiring new practitioners and opening another location. We’re sure you’ve considered all the major issues involved in opening a second physio, massage or chiropractic clinic like: 

  • Will the increased revenue outweigh the costs?
  • Will I be financially better off at the end of the day?
  • Are there enough customers?
  • What hours should I be open? 

Even after considering these questions we tend to look at the obvious costs such as rent, payroll, utilities, equipment and so on. But it’s often the hidden costs that will determine if your expansion will be a success.


1. Transportation

Travel time and costs are often overlooked when opening a second location of a clinic. Have you thought of the time and expense associated with moving between two or more clinic locations? If not, ask yourself some tough questions like:

  • Will you share staff between two (or more) locations?
  • How will you or shared staff members travel between locations?
  • Will you cover travel expenses for shared team members?

Keep in mind, even if your new location is completely staffed, you will still need to devote additional time to the management of the new site; that includes travel time to check-in on new employees.


2. Communication

When we say communication we don’t just mean phone lines (although Connect can help you with that), we’re also talking about your clinic management software. If you currently use a stand-alone system for scheduling, financial management or Electronic Health Records (EHR), ask yourself if you should simply duplicate the same systems in the new location or consider a better solution. Perhaps a solution that will track patients as they move back and forth between locations?

How your clinics communicate to each other can really make or break your clinic expansion, especially if the two locations share patients and staff between them. Ask yourself:

  • Do the locations need to communicate with each other and will that increase your costs?
  • Can my current practice management software expand to a second clinic? Will you pay more?
  • How will you keep track of patients at both locations?

When considering an expansion you should always investigate your current systems to make sure they are up for the challenge. In our experience, it’s never a good idea to assume your current software can handle it. InnoCare Software makes it easy to manage multiple clinic locations, shared staff, and patients all from one place.


Learn more about growing your clinic with InnoCare Software.


3. Accounting Fees

One cost that is often overlooked when setting up a second location is the increase in accounting fees. If your current system must be installed in each location you may find that increases in cost and time are required to consolidate the results. This is particularly true if you cannot access the financial records from one central location. These costs can range in size from a mild annoyance to a truly significant cost. In time, these costs can be more than the cost of simply upgrading to a newer, more flexible, practice management software. For example, with InnoCare Software you can consolidate and manage all your financial reporting whether you have 2 clinics or 22.

Expanding your physical therapy, massage therapy, or chiropractic clinic doesn’t have to be rife with hidden costs, especially when it comes to clinic management software. It’s important, however, to choose a software option that can grow with your clinic. One that has all the features you need like scheduling, reporting, billing integrations, financial management, and an integrated EMR/EHR solution too.