115: Simplifying Finance for Clinic Growth with Tom Dillon of Frak Finance

Welcome to the Super Clinic Project Podcast, where we transform regular clinic owners into super clinic owners! In this episode, Jennifer Gligoric sits down with Tom Dillon, founder of Frak Finance and a seasoned fractional CFO. Tom’s expertise lies in simplifying finance, optimizing cash flow, and guiding businesses to achieve strategic growth and plan for successful exits. With a proven track record of scaling businesses and generating multimillion-dollar results, Tom shares actionable insights that clinic owners can apply today.

Key Discussion Points:

1. Introduction to Tom Dillon:

• Tom’s impressive background in finance and operations.
• The importance of simplifying financial data to make confident decisions.
• How Tom has helped businesses achieve 20-40% gains in single days and build multimillion-dollar investment sectors.

The Role of Data in Clinic Growth:

• Why clinic owners often feel overwhelmed by financial and operational data.
• The importance of focusing on both operational costs and top-line growth.
• How financial strategies align with sales and marketing efforts for clinic success.

Sales and Marketing: The Lifeblood of Clinics:

• Understanding the clinic’s sales funnel and optimizing every layer.
• Real-world examples of how tracking leads and abandoned appointments can boost revenue.
• The critical role of schedulers in ensuring patient flow and satisfaction.

Real-World Success Story:

• How Tom helped a boutique women’s fashion company double its return on ad spend (ROAS) from 2.1 to 4.3.
• The importance of identifying and fixing breakdowns in the sales funnel, such as abandoned carts and follow-ups.

Hiring Ahead of Growth:

• Why not hiring ahead of growth is the biggest financial mistake small business owners make.
• Overcoming fear and limiting beliefs to make confident hiring decisions.
• The importance of forecasting to build confidence in hiring decisions.

The Power of Forecasting and Predictability:

• How accurate forecast models provide visibility and confidence for growth decisions.
• The analogy of driving a car: Why looking at past financials (rearview mirror) isn’t enough—you need to look through the windshield.
• Building a 13-week cash flow model for weekly predictability.

Transitioning to Cash-Pay Models:

• The challenges of insurance-based models and the benefits of moving to cash-pay.
• Tom shares his father’s experience transitioning to a concierge care model, providing proactive care and better patient outcomes.
• Why cash-pay models allow clinics to innovate and provide higher-quality care.

Improving Financial Literacy:

• Understanding working capital, cash flow, and how they connect to marketing and sales funnels.
• Identifying where dollars invested in the business return value and fixing “leaking buckets.”
• The importance of tracking KPIs to assess clinic health and financial performance.

Key Quotes:

• “You can only cost-cut your way to profitability for so long. Growth has to be the focus.”  Tom Dillon
• “Looking at your financial P&L is like dri