![How to plan and track the budget of your veterinary clinic [template]](http://onlineyougrow.com/cdn/shop/articles/cov-budget-5_1731e614-3257-4c23-b3b4-70d236f56f37.png?v=1715856450&width=1100)
If you don’t plan and track your veterinary clinic's budget properly, you're setting yourself up for failure.
When we developed our strategy pack for veterinary clinic owners, we saw a lot of clinic owners struggling with finances and planning.
They were disorganized, had no grasp of cash flow, and were drowning in financial troubles despite having a steady stream of clients.
Don’t let this be you—stand out and succeed.
We’ve created a small, free tool to help you get started: our Budget Tracker and Planner. Let’s turn your clinic's finances around and set you on the path to success!
Get the budget tracker tailored for veterinary clinics
Most veterinary clinic owners don't know how to plan and track their budget. This spreadsheet will help you.
Example of a full budget for veterinary clinics
Here is an example of a (very) detailed budget for a veterinary clinic, to give you some inspiration
1. Rent and Utilities
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Rent | Lease for clinic space | $4,000 | $48,000 |
| Electricity | Power consumption for medical equipment and lighting | $600 | $7,200 |
| Water | Water usage for cleaning and medical procedures | $150 | $1,800 |
| Gas | Gas for heating and sterilization | $200 | $2,400 |
| Internet & Phone | Internet service and business phone | $100 | $1,200 |
| Waste Removal | Medical waste and general garbage services | $150 | $1,800 |
| Pest Control | Monthly pest control services | $50 | $600 |
| Insurance | Property and liability insurance | $500 | $6,000 |
2. Salaries & Wages
| Position | Number of Employees | Monthly Cost per Employee | Total Monthly Cost | Annual Cost |
|---|---|---|---|---|
| Veterinarian | 2 | $6,000 | $12,000 | $144,000 |
| Vet Technician | 3 | $3,000 | $9,000 | $108,000 |
| Receptionist | 2 | $2,500 | $5,000 | $60,000 |
| Groomer | 1 | $3,000 | $3,000 | $36,000 |
| Manager | 1 | $4,000 | $4,000 | $48,000 |
3. Medical Supplies & Equipment
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Medications | Prescription and over-the-counter medications | $2,000 | $24,000 |
| Vaccines | Vaccines for various pet diseases | $1,500 | $18,000 |
| Medical Equipment | Diagnostic and treatment equipment | $1,000 | $12,000 |
| Cleaning Supplies | Sanitizers, disinfectants, etc. | $300 | $3,600 |
| Office Supplies | Stationery, printer ink, etc. | $200 | $2,400 |
| Pet Food | Specialty and prescription pet food | $500 | $6,000 |
4. Marketing & Advertising
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Online Advertising | Google Ads, Facebook Ads, etc. | $300 | $3,600 |
| Social Media Management | Managing social media accounts | $500 | $6,000 |
| Print Advertising | Flyers, posters, newspaper ads | $200 | $2,400 |
| Website Maintenance | Hosting, domain, updates | $100 | $1,200 |
| Email Marketing | Email campaigns and newsletters | $150 | $1,800 |
| Promotional Events | Special events and promotions | $200 | $2,400 |
5. Miscellaneous Expenses
| Item | Description | Monthly Cost | Annual Cost |
|---|---|---|---|
| Equipment Maintenance | Regular maintenance of medical equipment | $500 | $6,000 |
| Uniforms | Staff uniforms and lab coats | $200 | $2,400 |
| Licenses & Permits | Health permits, business licenses, etc. | $100 | $1,200 |
| POS System | Point of Sale software and hardware | $150 | $1,800 |
| Contingency Fund | Emergency repairs and unexpected costs | $500 | $6,000 |
| Staff Training | Training programs and materials | $200 | $2,400 |
Some veterinary clinics make 5x more profit than you!
We have studied the strategies of the best veterinary clinics in the world. Replicate them now!
What are the biggest expenses for a veterinary clinic?
Be mindful of these critical expenses. Here are five major costs every veterinary clinic owner needs to consider, along with some tips on how to manage them effectively.
- Medical supplies and medicationsThese can take up a significant portion of your budget. You're dealing with essential items that can vary in price based on availability, quality, and demand. To keep these costs under control, focus on inventory management, negotiate better prices with suppliers, and minimize waste. It's easy to overspend by stocking up on too many supplies or opting for premium products that don't add enough value.
- Your veterinary staffYour team is the heart of your clinic, but paying for their salaries, benefits, and ongoing training can be costly. This expense is always high because you need a skilled team to provide excellent care and keep operations running smoothly. You can optimize labor costs by scheduling efficiently, cross-training staff, and monitoring productivity. However, be cautious not to underpay or overwork your staff, as this can lead to high turnover and decreased quality of care.
- Clinic rent and utilitiesPrime locations come with high rent, but they can attract more clients. Utilities like electricity, water, and heating are essential but can add up quickly. To optimize these costs, negotiate favorable lease terms and invest in energy-efficient appliances and lighting. Overspending often occurs when you choose a location that's too large or too luxurious for your needs.
- MarketingGetting the word out about your clinic is crucial, but advertising can be expensive, whether it's online ads, social media campaigns, or traditional media. Optimize this expense by focusing on cost-effective methods like the ones we recommend. Overspending can happen if you invest in flashy campaigns without a clear return on investment.
- Equipment and maintenance costsThis includes everything from diagnostic tools to surgical instruments. These are expensive because high-quality equipment and regular maintenance are essential for providing top-notch care and ensuring client satisfaction. Optimize by investing in durable, reliable equipment and maintaining it regularly to avoid costly breakdowns. You can overspend by going for the latest high-tech gadgets you don't really need.
How to spend less with your veterinary clinic?
Here are practical tips to help you, as a veterinary clinic owner, optimize your budget and manage expenses more effectively.
| Expense | Tips to Optimize |
|---|---|
| Medical Supplies | Partner with reputable suppliers for bulk purchasing and negotiate discounts for regular orders. |
| Labor Costs | Implement a scheduling software to optimize staff hours and reduce overtime. |
| Utilities | Install LED lighting and energy-efficient HVAC systems. |
| Marketing | Run social media campaigns for your clinic and collaborate with local pet influencers for free exposure. |
| Cleaning Supplies | Train staff on efficient use of cleaning supplies to reduce waste. |
| Equipment Maintenance | Set up a maintenance log for regular equipment checks and servicing. |
| Rent/Mortgage | Negotiate lease terms during renewal or consider moving to a less expensive location. |
| Insurance | Regularly review insurance policies to ensure they meet current needs and compare rates annually. |
| Packaging | Use cost-effective, eco-friendly packaging for medications and offer discounts for clients bringing their own containers. |
| Medical Equipment | Purchase high-quality, durable medical equipment that can withstand frequent use. |
| Practice Management Software | Choose a practice management system that offers essential features with low transaction fees and integrates with other systems. |
| Staff Training | Conduct regular in-house training sessions and use free online resources. |
| Waste Management | Implement a medical waste tracking system to minimize waste and ensure proper disposal. |
| Technology | Invest in multi-functional medical devices and utilize clinic management software for appointments and records. |
| Linen and Laundry | Partner with a cost-effective linen service and consider reusable gowns and towels. |
| Client Communication | Use digital communication tools like email and SMS to reduce printing costs. |
| Licensing and Permits | Stay up-to-date with local regulations to avoid fines and costly renewals. |
| Transportation | Plan delivery routes for mobile services to maximize efficiency and reduce fuel costs. |
| Office Supplies | Purchase supplies in bulk and go paperless where possible with digital record systems. |
| Inventory Management | Use inventory management software to track stock levels and reduce spoilage. |
| Pest Control | Schedule monthly pest control services and maintain cleanliness standards to prevent infestations. |
| Client Amenities | Use a streaming service for background music in the waiting area and offer complimentary refreshments. |
| Uniforms | Choose durable, easy-to-clean uniforms and offer staff a stipend for maintenance instead of using an external service. |
Copy the tactics of the best veterinary clinics in the world!
There are veterinary clinics that make way more money than you do. We have studied their tactics. Get them now!
Expenses that are just useless for a veterinary clinic
Yes, some expenses for your veterinary clinic are just unnecessary. They don't contribute to improving patient care or enhancing client satisfaction.
| Veterinary Clinic Expense | Reason It's Useless |
|---|---|
| Luxurious Waiting Room Furniture | High-end furniture is not always appreciated by clients and can be a significant expense. |
| Premium Pet Food Brands | Unless specifically required for medical reasons, most clients are satisfied with standard options. |
| Excessive Medical Equipment | Top-of-the-line equipment is not always necessary and can be cost-prohibitive. |
| Multiple Uniform Styles | Having various uniform styles increases costs without adding significant value to the client experience. |
| Paper Advertising | Traditional paper ads often have a lower return on investment. Don’t include them in the marketing strategy of your clinic. |
| Excessive Staff | Overstaffing leads to higher labor costs without necessarily improving service quality. |
| Premium Subscription Services | Expensive subscriptions for magazines or streaming services often go unnoticed by clients. |
| Exclusive Medications | Using rare medications can inflate costs and complicate supply chains. |
| Costly Office Supplies | High-end office supplies are not always appreciated by clients and can be a significant expense. |
| Custom Printed Stationery | Personalized stationery is a minor detail that most clients overlook, and it can be expensive. |
| Unnecessary Software | Paying for software with features you don’t use is a waste of resources. |
| Premium Water Brands | Most clients are content with filtered tap water, making expensive bottled water unnecessary. |
| Extra Company Vehicles | Maintaining a larger fleet than needed increases operational costs. |
| Excessive Membership Fees | Paying for multiple industry memberships often yields little benefit. |
| Overly Frequent Renovations | Constantly updating decor and layout can be costly and disrupt operations. |
| Expensive Office Decorations | Elaborate decorations are often ignored by clients and add to the cost. |
| High-End Medical Supplies | Luxury medical supplies are prone to damage and expensive to replace, often going unnoticed by clients. |
| Excessive Staff Meetings | Too many meetings can reduce productivity and increase labor costs. |
| Expensive Brochure Designs | Frequently redesigning brochures is costly and often unnecessary. |
| Unused Promotional Materials | Ordering more promotional items than needed leads to waste and unnecessary expense.Get our marketing budget planner template. |
| Paid Directory Listings | Many free listing options are available, making paid listings often redundant. |
| High-End Diagnostic Equipment | Specialized diagnostic equipment is often unnecessary and adds to costs without a proportional benefit. |
Stop working with a tight budget for your veterinary clinic!
Managing a budget for a veterinary clinic when funds are tight can feel overwhelming. It's like being trapped in a cycle where any unexpected expense can throw your finances into disarray.
This constant pressure makes it nearly impossible to invest in growth projects, leaving you always scrambling to cover costs. It's a life filled with stress and sleepless nights.
Yes, you can continue down this path, scraping together resources and barely making ends meet. But there's another part of the equation you might be overlooking. Instead of just trying to cut costs, you can focus on growing your revenue. More income means more breathing room and more money to invest in your clinic.
And no, you don't necessarily have to spend money to grow. There are plenty of zero-cost initiatives and strategies that can help you increase your revenue by 10%, 20%, or more. We've detailed all of these strategies in our guides, after studying dozens of veterinary clinics just like yours. Get them now!
Make your veterinary clinic more profitable
We have studied the strategies of the best veterinary clinics in the world. All their tactics are explained in our pack!
