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Do years in business impact the number of practitioners employed?

Do clinics that have been in business longer employ more practitioners?

In a study conducted by Panel Marketing in 2019, we reviewed Canadian clinics to determine if there is a correlation between the number of years a clinic has been in business and the number of practitioners they employ. We gathered data from 667 chiropractic and physiotherapy clinics in major cities nationwide to conduct this study.
The table below illustrates our findings on the number of practitioners a clinic employs in relation to the number of years that a clinic has been in business. From the data below, we discovered that the industry average for practitioners per clinic is 5. The median is 6 practitioners.

Younger clinics have more practitioners

As illustrated above, clinics that are younger employ more practitioners than clinics that are older. The table below illustrates that those that have been in business for 0 to 3 years have, on average, 10 practitioners. This is twice the national average. Additionally, clinics that have been in business for 4 to 6 years have an average of 7 practitioners, which is 40% higher than the industry average.
Older clinics will have less practitioners than their younger competitors. Clinics that are 21 to 25-years-old have approximately 1 less practitioner than the industry average, while clinics that are 26-years-old or over have 1 less practitioners than the average.

Clinic’s practitioners compared to the industry average

The following table illustrates the average number of practitioners employed in comparison to the industry average. The downward trend demonstrates how older clinics tend to employ less practitioners than the industry average; the largest discrepancy is between clinics who have in business between 0 to 3 years who hire 2.5 times more practitioners than clinics who are 26-years-old or older.

How many practitioners are enough?

There is no single number that is the gold standard. However, there are certain considerations to take into account:
What is the overall strategy?
Is the goal to be an owner/operator of the clinic and then retire?
Is it to maximize revenue in the space?
Is it to maximize a practice offering in the space?
What is the maximum capacity of the clinic in terms of hours of operation?
What is the utilization of rooms and space within that time frame?
Are all rooms and spaces maximized with practitioners and patients?
How are patient outcomes as a result of the maximization?
How is the patient experience with the capacity?
Are the practitioners the right practitioners for the clinic and its goals?

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