In this podcast episode, Doc Danny discusses the significance of financial understanding in a physical therapy business, emphasizing the stages of profitability in a cash-based or hybrid practice. He highlights the most profitable stage as the initial phase with the owner as the sole provider, leading to high net profit margins, but warns about the challenges of the growth stage when transitioning to a standalone clinic with increased overhead costs. Doc Danny stresses the importance of non-active revenue and expanding the clinic with additional providers to enhance business resilience and value. He encourages owners to embrace the growth. Join our 5-Day Challenge at physicaltherapybiz.com/challenge Apply at physicaltherapybiz.com/apply Leave a 5-star review on iTunes if you enjoy the podcast! Encourage a friend to do the same! Join our free PT Entrepreneur Facebook Group at facebook.com/groups/ptentrepreneur