Track It Right: The Key to PA Business Success

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At the 2025 Fall Clinical PA/NP conference, Kasey D’Amato, PA-C, delivered a fast-paced, insight-rich presentation on the critical business metrics physician associates (PAs) should understand—particularly those in dermatology or looking to launch their own practice.¹ Drawing from over 2 decades of clinical and entrepreneurial experience, D’Amato provided practical strategies for operating, scaling, and negotiating within medical settings.2

The cornerstone of her message was simple but essential: "First measure the right things and then measure them right." This guiding principle underpinned her session as she unpacked which metrics are essential for clinical business success and how to effectively use them to drive practice performance.

Starting with the Basics: Operating Costs and Break-Even

For those contemplating launching a practice, D’Amato emphasized the importance of calculating your “minimum viable operating expenses.” These include fixed costs—malpractice insurance, EHR systems, rent—and variable costs like marketing or staff salaries. While dermatology often requires higher upfront costs, D’Amato assured attendees it’s still feasible to launch with modest resources through approaches like shared clinic space or telemedicine.

Understanding your break-even point—when incoming revenue matches operating expenses—is vital. D’Amato explained, “Ideally, you're going to hit that within 2 years, hopefully sooner than that, because you're going to become profitable in a matter of months, which we have seen happen many times.” Knowing this milestone enables better strategic planning and financial forecasting.

Measuring Revenue by Code and Carrier

Beyond startup, D’Amato urged providers to become fluent in their revenue data. She encouraged attendees to track revenue by CPT code and weight it by insurance carrier to evaluate the financial yield of services. “I used to have a sheet that I always had in my pocket at all times when I was practicing,” she said, “I knew exactly what the reimbursements were going to be for every single carrier.”

This granular level of tracking helps in 2 key areas: ensuring services are coded for optimal reimbursement and assessing which payers are most valuable to the practice. For business owners, it’s also a vital tool for contract negotiations and identifying areas for expansion or cost-saving.

Patient Metrics: Frequency and Lifetime Value

D’Amato stressed the importance of retention in driving practice growth: “All business models rely on retention and follow ups.” Scheduling follow-ups at the time of the initial appointment is critical not just for clinical care but for financial viability. According to D’Amato, even a small patient base can sustain a practice if those patients are returning regularly and appropriately.

She introduced the idea of “lifetime customer value”—the long-term revenue potential of a single patient—as a metric commonly used by private equity firms but increasingly important for individual providers to understand.

Marketing and Patient Acquisition

While social media often takes center stage in modern marketing, D’Amato made it clear it isn’t the only path: “You do not need to have a big social media presence to have a successful clinical practice.” However, regardless of method, she was adamant that providers track both time and money spent on marketing and networking. Without that data, understanding what works—and what doesn’t—is impossible.

Calculating the cost to acquire a patient helps providers assess marketing ROI and refine their outreach efforts. From Instagram engagement to in-person referrals, every avenue should be measured for conversion.

Empowering PAs for Ownership

D’Amato also addressed a recurring question: Can PAs legally own practices? Her answer was a confident yes. “We have helped PAs start our practice in 19 states. Our goal is to get to at least 25 in the next 6 months.” With appropriate resources and strategy, practice ownership is increasingly accessible.

Final Takeaway

Whether negotiating with employers or launching a solo venture, D’Amato’s presentation made clear that understanding business metrics is no longer optional—it’s essential. As she put it, “If you're investing a lot of time and budget into networking or marketing, you will [succeed].”

For PAs aiming to transition from clinical employees to empowered business leaders, these data-driven strategies offer a practical roadmap to sustainable growth and success.

References

1. D'Amato K. Derm PA metrics: What should you be tracking. Presentation at Fall Clinical PA/NP 2025 Conference; May 30-June 2, 2025; Orlando, Florida.

2. D'Amato K. Kasey D’Amato. https://www.kaseydamato.com/. Accessed May 31, 2025.