First-year income increase
What's the expected average increase in gross income in the year after opening a practice?
"Brokers in the veterinary profession anecdotally state that a new practice or practice that relocates to a new facility or undergoes an ownership change will often have an annual increase in revenue of 20 percent or more," says Roger Cummings, CVPM, a Veterinary Economics Editorial Advisory Board member and a consultant with Brakke Consulting Inc. in Dallas. Yet many factors affect gross income when you open a practice, he says. The biggest is demographics. Other factors include location; whether this veterinarian has been practicing in the area and will be taking clients with him or her; the services offered; and the quantity, locations, and offerings of competitive practices. "The most critical step you can take is to commission a demographic study to quantify the pet-owning market where you're locating," says Cummings.
Roger Cummings, CVPM
