Are You Paying Too Little in Rent?
Originally posted in Birmingham Medical News
Conventional wisdom says that spending less money is the most effective way to save money. After all, a penny saved is a penny earned. That logic is hard to argue with, but it is not always foolproof. Saving money for your practice the wrong way can lead to diminished patient care, outdated equipment, the wrong location for your practice and additional negative results.
There are several factors often overlooked when a healthcare practice’s primary focus is paying the lowest rent instead of achieving the best combination of overall terms. Let’s look at three factors in which paying higher rent could actually increase your profitability.