Here are a few of the disturbing results based on a survey of 1,193 veterinarians (75% companion animal):
- 22% associates are unaware of the financial health of their practice.
- 27% of owners are planning to delay their retirement because of the poor financial condition of their practice.
- Only 1/3rd of owners believed the sale of their practice would provide them with a comfortable retirement income.
- 44% of associates are interested in ownership, but only a few believed they had the financial means to do so.
Over the past 2 days I was one of four facilitators for the inaugural Student NABA. The original NABA (North American Business Association) was developed by AAHA. A NABA group is formed from different non-competing practices that join together regularly from different areas of the country and discuss their practice management issues. These groups have been very successful at increasing revenue, decreasing expenses and solving inefficiencies.
Student NABA was recently created to teach nine students over 2 days, select areas of veterinary financial statements, career development, and some keys to practice ownership. The synergy and learning opportunities were amazing! The students would like to stay together as a group and visit a practice to devise solutions for that practice- wow!
The sad part is the possibility the group may not continue due to funding and scheduling. The most concerning part is that we only reached nine students. The vision every veterinary college should have its own S-NABA to create well-prepared small business owners that can be intimately aware of the financial health of their practice, be ready for retirement on time, and understand they have the financial means to achieve practice ownership- their healthy financial future depends on it.
Interested in creating a NABA chapter at your school: contact me.