As a therapist in private practice, you’re probably not excited when it comes time to do your bookkeeping and accounting. You came into this field because you love working with clients and changing people’s lives and likely don’t have a background in finance or economics.
However, if you don’t stay on top of your numbers, your therapy business is flying blind without clear goals and strategy for increasing your income over time.
So we spoke with accountant and financial expert Amanda Fisher, who has recently published a book called Unscramble Your Numbers: Unlock the Secrets to Your Business Cashflow about how therapists can start to manage their finances better and get their business on track for financial success.
In this interview Amanda discusses:
- why the numbers get scrambled for so many therapists
- what numbers should we be looking at in our business
- what are the biggest mistakes she see therapists make around their numbers
- what can happen in business when we are not on top of our numbers
- why you need to use cloud accounting like Xero.com to streamline your business
- whether writing down our financial goals really makes a difference
- what business metrics we should look at on a regular basis
- whether therapists really need a budget and cashflow forecast
- the key numbers and reports therapists should be looking at and when
- the benefits of investing most your profits back into a business that is trying to grow
- how to interpret the numbers and indicators your business is in trouble
Links and resources mentioned in this episode
- Unscramble Your Numbers – paperback book by Amanda Fisher
- Xero.com – cloud accounting software
- 044: EOFY Tips for Therapists: Is it Time to Get Your Books in Order?
About Amanda Fisher
Amanda is a Chartered Accountant with a difference. Amanda brings extensive experience and technical knowledge, combined with a forward thinking approach, the love of a challenge, and a great practical approach to helping you manage your business. She has worked principally with successful small to medium sized business owners for over 30 years. During that time, Amanda has taken on the role of Financial Controller for a number of businesses on a part time basis as part of her roles and worked as a Financial Controller for a group of private companies for 7 ½ years. Amanda has a passion for technology and has been an early adopter of new technology for the accounting field all through her working life, from being one of the first to use Lotus 123 spreadsheets, to installations of Attache accounting software when it was first released through to the cutting edge cloud accounting systems available today. Amanda is a Fellow of the Institute of Chartered Accountants in Australia, she graduated with Merit from the University of New South Wales and is a current member of The Tax Institute. Find out more about Amanda at www.amandafisher.com.au or purchase her book Unscramble Your Numbers at www.unscrambleyournumbers.com