Abundant Practice Podcast

Host: Allison Puryear
Episode: #715: Is What I'm Paying Group Practice Worth It
Date: December 20, 2025

Episode Overview

In this episode, Allison Puryear answers a listener’s question about whether the rent paid to a group practice owner is worth the cost, and how to assess the value of staying versus going solo. Allison provides a blueprint for therapists to evaluate their group practice overhead, calculate return on investment (ROI), and make informed decisions about renegotiating rates or venturing out independently. The episode is rich with practical breakdowns, real talk about the business side of therapy, and actionable steps—all delivered in Allison’s supportive and candid style.

Key Discussion Points & Insights

Understanding the Listener Question (01:18)

• The listener is part of a private-pay group practice in a wealthy city area, charges $175/hr, sees 21-26 clients per week, and gives the owner 20% for rent (~$3,000/month).
• The practice owner provides furniture, a website, and marketing; the clinicians do their own billing.
• The listener wishes to lower their rent payment from 20% ($3,000) to 15% ($2,000).

Allison (01:47): “This is going to sound very specific to this one person. But in my answer I'm going to talk you through how to assess return on investment... how to think through the trade-offs in these scenarios.”

What Does Your Rent Actually Cover? (05:30)

• Dissecting the specifics: Listing all services and amenities the rent covers, which may include:
  • Office furniture, décor, website, marketing, utilities, cleaning, insurance, WiFi, supplies, EHR, phone, admin support.
• Importance of not just “feeling” if a number is high/low, but understanding what’s included.
• Advice: Make a comprehensive list to know what you’re really paying for.

Allison (06:10): “A lot of people feel a number is too high or too low without ever breaking down what that number includes. So let's make this concrete.”

Real Cost Comparison: Group Practice vs. Going Solo (08:00)

• Solo Office Cost Estimates (in a wealthy city area):
  • Office rent: $1,500–$3,500+ per month
  • Upfront decor/furniture: $3,000–$7,000
  • EHR/Telehealth Software: $30–$130/month
  • Marketing/Website/SEO: $500–$2,500+/month (setup or ongoing)
  • Additional admin, insurance, utilities
• Underrated Value: Marketing—practice owners filling your caseload with private pay clients is significant and often overlooked.
• If the practice owner is reliably filling your caseload, that’s a serious asset.

Allison (10:15): “The SEO company I usually recommend runs around $1,000 a month... A high quality website build? $3,000 upfront, easy. If the practice owner is filling your caseload or even contributing to it, that has serious market value.”

Evaluating the Opportunity Cost (13:30)

• Leaving a full, private-pay caseload with support means taking on many new responsibilities:
  • All marketing and client acquisition, furniture, ongoing expenses, risk, and administrative tasks.
• Renegotiating rent is a business decision for both parties—not just appropriateness, but sustainability.
• Important to reflect if wanting a rent reduction signals curiosity about more independence/going solo.

Allison (15:05): “Ask yourself, do you want to take on marketing yourself? Do you want to buy everything? Build and maintain a website? Do SEO? Handle admin, storage, repairs...? If the answer is no, then the 3k per month might not be too high. It might be a real bargain.”

How to Approach a Rent Negotiation (18:25)

• Absolutely, you can ask for a rent reduction—frame it collaboratively and respectfully.
• Suggested script for approaching the conversation:

  “I want to talk about my rent percentage and explore whether there's a sustainable adjustment. I'd also love to understand what the rent covers so I can make informed decisions about my long-term planning.”

• Be prepared if the owner reacts defensively; maintain calm and reassurance.
• Remember: The goal is a sustainable ecosystem for both clinician and practice owner.

Allison (19:45): “Instead of asking 'Is this appropriate?', ask 'Is this sustainable for the practice owner and still worth it for me?'... If your take-home goes up but the practice becomes unprofitable for them, the whole ecosystem collapses.”

Steps to Make an Informed Decision (21:50)

• Checklist Before Initiating a Rent Discussion:
  • List everything the owner provides.
  • Quantify the market value for each item.
  • Decide if you want to outsource/learn those skills yourself.
  • Reflect if this is a step towards leaving or just optimizing income.
• No Wrong Answers—only more or less informed ones.

Allison (22:10): “You do deserve to make the informed one.”

Resources & Worksheet (23:00)

• Free worksheet available: “Working in Group Practice Vs. Going Out On Your Own.”
  • Designed more for therapists whose group takes a bigger cut, but full of helpful comparisons.
• Access via DM (“sheets”) on social or through the show notes link.

Notable Quotes & Memorable Moments

• On Marketing’s Value:
  “Most therapists dramatically underestimate the value [of marketing].” (10:40)

• On Asking for a Reduction:
  “You have the right to ask, just not the right to expect.” (18:55, paraphrasing a mentor)

• On Risk and Reward:
  “If you're full private pay and high value area using their furniture and marketing, you're benefiting from the infrastructure most therapists would kill to have.” (19:33)

• On Being Informed:
  “There are more and less informed answers. You do deserve to make the informed one.” (22:12)

Timestamps of Important Segments

• Listener Question & Setup: 01:18–05:30
• What Does Rent Cover in Group Practice?: 05:30–08:00
• Cost of Going Solo: 08:00–13:30
• Opportunity Costs & Motivations: 13:30–18:25
• How to Ask for a Rent Reduction: 18:25–21:50
• Checklist for Decision-Making: 21:50–23:00
• Resources & Closing Thoughts: 23:00–End

Tone & Approach

Allison’s tone is down-to-earth, practical, and nurturing, with frequent reality checks. She doesn’t shy away from the business realities faced by therapists and always advocates for clear, informed decision-making over gut feelings alone.

Summary

If you’re a therapist considering whether your group practice arrangement is worth the cost (or thinking about reducing your rent), this episode is a must-listen. Allison delivers actionable advice for objectively assessing costs, understanding the full value of group practice infrastructure (especially marketing), and thoughtfully renegotiating terms. Ultimately, her message is about empowering therapists to make informed, sustainable choices—whether that means staying put or striking out solo.