Small Business: Doctors going broke

[fj1200]

Small Business: Doctors going broke (http://finance.yahoo.com/news/small-business-doctors-going-broke-101200127.html)
Doctors in America are harboring an embarrassing little secret: Many of them are going broke.This quiet reality, which is spreading nationwide, is claiming a wide range of casualties, including family physicians, cardiologists and oncologists.
Industry watchers say the trend is worrisome. Half of all doctors in the nation operate a private practice. So if a cash crunch forces the death of an independent practice, it robs a community of a vital health care resource.
"A lot of independent practices are starting to see serious financial issues," said Marc Lion, CEO of Lion & Company CPAs, LLC, which advises independent doctor practices about their finances.
Doctors list shrinking insurance reimbursements, changing regulations, rising business and drug costs among the factors preventing them from keeping their practices afloat. But some experts counter that doctors' lack of business acumen is also to blame.

More evidence that increasing regulations and government involvement is harmful to private enterprise.

[ConHog]

Let's bail em out.

[SassyLady]

Small Business: Doctors going broke (http://finance.yahoo.com/news/small-business-doctors-going-broke-101200127.html)



More evidence that increasing regulations and government involvement is harmful to private enterprise.


Regulations , lack of business knowledge, and failure to keep up with office and industry technology are all factors.

Most doctors want to practice medicine, not run a business and yet don't hire appropriate staff to manage the business.

[fj1200]

Regulations , lack of business knowledge, and failure to keep up with office and industry technology are all factors.

Most doctors want to practice medicine, not run a business and yet don't hire appropriate staff to manage the business.

So would you say that the lack of business knowledge has gone up in recent time? And if they don't want to run a business, why do half of them run a business.

[ConHog]

So would you say that the lack of business knowledge has gone up in recent time? And if they don't want to run a business, why do half of them run a business.

A LOT of people think that running your own business is just peaches and cream and an easy way to get rich and so open businesses that quickly fail because they have no idea what they are doing.

[SassyLady]

So would you say that the lack of business knowledge has gone up in recent time? And if they don't want to run a business, why do half of them run a business.

I believe they have had to cut back due to economic times and as a result of that institute cutbacks and let the people that do know how to run their business go. Doctors do not want to spend their day filling out paperwork....they want to practice medicine.

Owning a business does not mean one is "running" the business. I don't believe any of them want to "run the business".....as I said before, they want to practice medicine.

[fj1200]

I believe they have had to cut back due to economic times and as a result of that institute cutbacks and let the people that do know how to run their business go. Doctors do not want to spend their day filling out paperwork....they want to practice medicine.

Owning a business does not mean one is "running" the business. I don't believe any of them want to "run the business".....as I said before, they want to practice medicine.

It better if they don't want it to get away from them.

[Abbey Marie]

Very few doctors that I have seen, run a solo practice anymore. They form partnerships so they can consolidate overhead. Something has changed to make them go broke, and it's not a lack of patients. I suspect their reimbursement percentages are dropping like lead sinkers, while thanks to runaway malpractice, insurance premiums are through the roof. I call that a cash crunch.

[ConHog]

Very few doctors that I have seen, run a solo practice anymore. They form partnerships so they can consolidate overhead. Something has changed to make them go broke, and it's not a lack of patients. I suspect their reimbursement percentages are dropping like lead sinkers, while thanks to runaway malpractice, insurance premiums are through the roof. I call that a cash crunch.

I would say the malpractice insurance has the biggest effect.