How would you like a rep from the CBS show to come to your private practice office with the following questions:

1. Tell me about your partnership with the local orthopedist who is 12 miles away?

We have a deal that when they send me a patient, I get a percent of what the doc collects.

2. What the doc collects for you seeing the patient at your location?

Yes, we are a franchise operator for a big time company that says it is fair market value and legal.

3. What if the doc group doesn’t collect anything for you seeing their patient?

I don’t get a nickel.

4. Even though you had to see the patients and had cost involved?

That is correct. Aren’t I lucky to have an exclusive franchise.

5. How is this legal?

Because it is fair market value and my franchise is protected and the group that I bought this franchise from has an attorney that says it is legal.

6. It is fair market value to collect zero dollars?

Well, there are patients that I often see that I don’t get anything.

7.  What does the referring physician get out of it?

They get a percent, but since we don’t do it with medicare patients it is legal.

8. What do they get a percent for?

It’s their patients and they do the billing which saves us about 9% since that is our cost of billing. We pay them more than 10% though but the group that I bought the franchise says that I am paying them fair market rate and that it is legal.

9.  Does the physician have any risk?

Well, no but it stops them from having their own clinic and not sending me any patients.

10. How did you hear about such a great opportunity?

From some marketing that made me very nervous and made it sound like all private practices were partnering with orthopedists so that they can stay in business.  I get an exclusive territory and the contract is between me and the docs and I only have to give the company 5% of what I get.  If I didn’t act in response to their email, I probably would be out of business.

11.  Does the company that you bought the franchise from and that gets the 5% have any legal liability on this?

I am a PT in private practice, not a lawyer but they have a lawyer though that says it is legal. The contract is between me and the physicians-isn’t that great?  It’s a good thing you don’t have to be smart to be in private practice PT or else I would have gone out of business years ago.  I am thankful that so many good deals like this have come my way.

Have you heard of a Ponzi scheme or of Bernie Madoff?

larry@physicaltherapist.com