Private Practice Startup Podcast

Episode 117: How to Find the Perfect Group Practice Office
Hosts: Dr. Kate Campbell, PhD, LMFT & Katie Lemieux, LMFT
Date: January 5, 2019

Episode Overview

In this episode, Dr. Kate Campbell shares her journey and actionable insights on finding and building out the ideal group private practice office space. Katie Lemieux takes on the role of interviewer, guiding Kate through the lessons learned from a decade-long career, the evolution from DIY approaches to hiring experts, and the practical and emotional ups and downs of expanding Bayview Therapy, her group practice in South Florida. Listeners receive step-by-step advice for everything from negotiating leases and crunching numbers to hyping up launch parties and designing a welcoming therapy environment.

Key Discussion Points & Insights

1. Kate’s Private Practice Journey: Growth and Motivation

• Kate reflects on 12–13 years in private practice, the initial challenges, and the dream of creating a collaborative group environment.
  • “I really wanted to create that dream group practice environment... Because let's face it, if you're in private practice, even if you're in a group practice, it can be isolative... I wanted to create that dream group practice environment.” (07:30)
• She decided to expand and move after her office building was sold and the atmosphere changed.

2. The Changing Office Market

• Searching for office space now is much harder due to a booming economy:
  • The market shifted from "buyer's" to "seller's," with costs rising from $13–15/sqft to much higher.
  • Kate looked at 18 spaces before finding the right one and opted for a full build-out—her first time doing so.

3. Lessons in Hiring Experts vs. DIY

• Early mistakes stemmed from doing it all herself—now, she stresses the importance of specialists:
  • Commercial Real Estate Agent: Michael Feuerman assisted with viewing properties, negotiations, and avoiding common pitfalls.
    • “Everything is negotiable with finding a space... Having him go through this entire process with me... was a really positive experience.” (12:10)
    • The agent’s fees were paid by the seller, not Kate—a key insight for practitioners.
  • Real Estate Attorney: Essential for decoding legal contracts (“50-page document of legal language and so many loopholes... so important.” (12:30))
• Outsourcing saves time, reduces stress, and can even save money long-term.

4. Negotiation Strategies & Contracts

• Negotiations are lengthy (about three months in Kate’s case).
  • “I had to make some concessions. They made some concessions. We agreed upon a comfortable place for us.” (15:10)
  • Seller’s market means longer leases (Kate negotiated down from 10 to 7 years) and personal guarantees.
• Crunching numbers and having a solid business plan are vital—especially for group practices, which have high overheads.

5. Office Build-Out: Balancing Risk and Vision

• The build-out process is costly, time-consuming (10+ months), but essential for creating a unique, spa-like environment.
  • “You can look at spreading those costs over time and really recouping that investment... I’m really invested in our group practice. It’s like a family on our team.” (23:45)
• Kate details working with architects, permits, and the challenges of construction.
• Moving from 1,500 to 2,100 sq ft, careful calculations on how much space was truly needed.

6. Data-Driven Expansion & Team Building

• Actual data (client volume, referrals, projected growth) guided all decisions, reducing risk.
• Identifying “ideal team members” and fostering the right values/culture ensured the practice would stay strong—avoiding desperation hires that can dilute the mission.

7. Hype & Community Engagement

• Pre-launch marketing is crucial: Facebook Lives, email list, social media posts, and a launch party keep the community informed and excited.
  • “If you have room for new team members... make a lot of posts on social media and really hype up that community both online and locally.” (26:58)
• Design elements matter! Each office room features a unique theme, conveying warmth and professionalism—which also excites the team and clients.

Notable Quotes & Memorable Moments

• “Follow your dreams. If your dream is to have a group practice, if your dream is to scale your business in some way, it's totally possible.”
  — Dr. Kate Campbell (28:39)

• “Do the numbers, create the business plan. Do the work on the front end. Don't just have that field of dreams mentality which we talk about so often: if I build it, they will come. That's way too risky.”
  — Dr. Kate Campbell (28:50)

• “Hiring experts really can actually save you money in the long run.”
  — Katie Lemieux (13:42)

• “Actual data really helps you make a better informed decision. And like Kate said, wow, 60% overhead, that's a lot. It's not 30, it's 60.”
  — Katie Lemieux (21:56)

• “If you’re feeling overwhelmed by this podcast, remember, the best way to eat an elephant is one bite at a time.”
  — Katie Lemieux (31:09)

Timestamps for Important Segments

• 06:24 — Kate’s group practice origin and motivation
• 08:52 — Market changes in office space & build-out decision
• 12:10 — Value of hiring a real estate agent
• 12:30 — Legal/contracts with real estate attorney
• 15:10 — Negotiation process, length, and strategies
• 18:30 — Importance of data-driven decisions and business plans
• 20:00 — Identifying ideal team members & fostering culture
• 22:49 — Risks of expansion and handling build-out costs
• 24:40 — Role of marketing, Facebook Lives, and launch hype
• 28:39 — Key episode takeaway: follow your dreams, prepare thoroughly
• 31:09 — Practical encouragement for overwhelmed listeners

Section Summaries

Takeaways & Action Steps

• Before You Begin: Start small, crunch the numbers, and use actual business data before expanding or taking on large commitments.
• Group Practice Success: Identify your ideal team, foster culture, and ensure you build relationships prior to launch.
• Real Estate Tips:
  • Work with experts—both a real estate agent and an attorney.
  • Remember, agent fees are often covered by the seller.
  • Everything can be negotiated: length of lease, personal guarantees, parking, build-out budgets.
• Marketing Your Practice: Build excitement through social media and event-driven outreach well before launch.

Conclusion

This episode is an essential listen for anyone considering scaling or starting a group practice, especially those ready to move from solo DIY to a thriving, collaborative, and data-driven business. Kate’s candid reflections—and Katie’s pointed questions—offer a wealth of real-world advice to inform and empower therapists at any stage of their entrepreneurial journey.

For more resources and upcoming episodes, visit www.PrivatePracticeStartup.com.