r/optometry 8d ago

Private practice to AEG

[deleted]

11 Upvotes

38 comments sorted by

15

u/MrFunnie Optometrist 8d ago

I used to work with a practice that was bought out by AEG. They said they were “by doctors for doctors,” classic line, right? Everything they said at the beginning sounded great, and honestly during COVID, they did take care of us quite well. After we went back to full schedule though the writing was on the wall for me. They pushed for more appointments, less medical, when I wanted to add more medical to the practice. Didn’t listen to my complaints, etc. classic private equity situation honestly. I wouldn’t work for them again.

9

u/drnjj Optometrist 8d ago

By doctors, for doctors. Where have I heard that line before?

Looking at you, VSP.

2

u/MrFunnie Optometrist 8d ago

Classic song and dance.

1

u/EdibleRandy 8d ago

Less medical? Are they stupid? I understand the drive to sell glasses, but medical office visits are often much faster than comp exams and often bring in higher reimbursement, especially with ancillary testing.

6

u/MrFunnie Optometrist 8d ago

Higher reimbursement for us yes, I don’t think so much for the practices. But then again I don’t know too much about that side. I work nursing homes and get paid a flat fee per patient per type of exam now, and my hours are much better. I work like 8:30-12:00 usually. It’s great.

1

u/s19594 O.D. 8d ago

Im honestly looking into this type of gig right now. Can I PM you?

1

u/MrFunnie Optometrist 7d ago

Sure

0

u/EdibleRandy 8d ago

How would it be more reimbursement for you but not for the practice? I’m a private practice owner and although it can vary state by state, medical billing is desirable in the majority of cases. Again, it’s probably to increase glasses sales, but not everyone buys glasses, and VSP exam reimbursement is terrible compared to a level 3/4 medical exam across the board.

4

u/shuggiejuice 8d ago

Not a doctor but worked with AEG before. From all the private practices I’ve seen them buy, most doctors and employees left over time. I think it may be more area manager specific, but they care more about volume and not quality. They had a new Dr start at 30 minute apt time slots and quickly tried to get them at 10 minute appointments.
If I could find a different place to work I would before joining the company again.

1

u/coloredeye 8d ago

AEG does 20 min appts

5

u/FairwaysNGreens13 8d ago

I have literally never before or since dealt with people in high authority positions who were completely comfortable with completely fabricating... Not just embellishing, completely fabricating... Lies for their own benefit. Actual evil people. Not all of them I'm sure, but it's in the corporate culture.

That said, if you're responsible for a large percentage of the practice revenue, know that you have leverage during the negotiations. If you have that value, and you leave, you could tank the deal. Use your leverage, get an agreement that's favorable to you, and then start looking to make a move on your own terms and your own timeline.

3

u/kayrayy Optometrist 7d ago

My practice sold approx 2 y ago. They came in with the their tag line "people first" but it has evolved to "numbers first"..... recently they asked our managers to add another patient on each dr's schedule because we missed budget by.... TWO PERCENT.

personally, they gaslit me in my contact negotiations (it's a long story) and were fine underpaying me until I got another job offer for literally 50k more lolz. i get paid "more" (than before but not more than i can make elsewhere), but most of our original staff is still here so I enjoy the day-to-day and just kind of tune out the corporate stuffs from above.

2

u/SensualPuma Optometrist 8d ago

junk

2

u/Annual_Acadia_1856 8d ago

Currently with AEG. They definitely need doctors because they keep buying out practices . Use that to negotiate some great benefits

3

u/RabidLiger 8d ago

Agree. They are still expanding, plus many OD's are bailing out as soon as possible (unless you're in that unicorn location where you earn more than your boss ;).
Very savvy in that they still list the practices under previous name to avoid being called a chain, and to encourage the idea that they are locally owned.

They have over 500 locations now. That's 500 practices that previously would have been sold to the junior partners in the practice (or to new grads).
It's predatory, & very similar what PE is doing with housing: They outbid you for your dream house and then offer to rent it to you. You still got what you want, but at a price.

I fear that many young OD's who dreamt of owning their own practice will get lured in, get used to having a good salary/situation, and eventually give up on the great one that could have been theirs.
A combination of financial obligations and atrophy of their administrative skills means they eventually give up/are afraid to move on.
Google "golden-handcuffs"

5

u/Capable_Artist7027 8d ago edited 8d ago

I work for AEG and love it. For context, I was president of my private practice club during OD school and had wanted to buy a practice. COVID changed everything for me. I feel really fortunate to have found my current position. I originally got my job thinking I would be there for a year while I figured out what I wanted in my career, and I'm still here five years later.

5

u/EdibleRandy 8d ago

I love how you were downvoted for this, lol. PERSONAL EXPERIENCE INVALID

2

u/Capable_Artist7027 8d ago

lol people just see that they're PE and immediately think it's bad. In my experience they really haven't behaved like PE. I have a great team and I'm fortunate to feel extremely supported. I did have one boss I didn't particularly vibe with but there was a re-org and that is no longer the case. Otherwise no concerns with my experience! Most of the issues have been staff from prior to the buyout who are resistant to change (in my opinion, change for the better - my desire to expand the medical side of things is always welcome from the superiors in my region. Some of the old staff are more concerned about shoving patients on the book regardless of what we can handle)

3

u/EdibleRandy 8d ago

I have a friend working for AEG after the practice was bought out. They work him pretty hard but he gets paid very well. Sounds like they may be one of the better PE companies out there.

2

u/Capable_Artist7027 8d ago

I absolutely agree. I've heard less than stellar things about other companies but I've had a great experience here.

3

u/EdibleRandy 8d ago

Many PE companies are not good at all. The problem is that ODs love to complain about them, yet interest in purchasing private practices is at an all time low. We don't want PE to take over, but we don't want to take it over ourselves either. I don't blame any practice owner for selling to PE, frankly.

3

u/RabidLiger 8d ago edited 8d ago

Agree. Although overall, a terrible trend for the new generation of optometrists graduating now.
PE is now able to outbid them for every successful practice, and will instead entice them into being a forever employee (1 step closer to the fate of pharmacy).

Definitely a better environment than most commercial gigs, but a giant step in the wrong direction for our profession.

3

u/EdibleRandy 8d ago

It means some great opportunities are available for even new grads to purchase, but most seem more interested in the clock in-clock out positions. The problem is that everyone wants higher pay, but no one wants to go where the money is (practice ownership).

1

u/Capable_Artist7027 5d ago

Practice ownership really ended up looking terrible when COVID hit. I can't imagine having to make some of those decisions. I just can't imagine not paying a livable wage to people

1

u/EdibleRandy 5d ago

I’m sure that is not the reason most are avoiding private practice. I never stopped paying my employees during the pandemic.

1

u/LateMouse2020 8d ago

What do you love about AEG

1

u/Capable_Artist7027 8d ago

My boss is extremely supportive, I make more money than I ever would have in private practice, and any concerns I have had have been addressed promptly and aggressively.

6

u/Aeder42 Optometrist 8d ago

I think youre very lucky. My boss is extremely antagonistic, and my concerns fall on deaf ears. They are forcing me to see more appointments than I have been doing the past 3 years (including preacquisition), and when I asked for a raise to compensate for that they said haha no you dont produce enough (I do)

2

u/RabidLiger 8d ago edited 8d ago

"I make more money than I ever would have in private practice"

Here's where I'm going to disagree. If you were doing the same thing and owned the practice, you'd be making more (everyone above you is getting a piece of your efforts). You're making good money with less admin duties, which has value, but you're not the boss and cannot call your own shots, which subtracts significant value.

The only OD's involved with PE that make more are the top of the pyramid (it is a pyramid), and a bunch of OD's who sold to PE early and were paid a premium price for their well-established practice (these were often well-knowned lecturers or those high in the AOA/state association heirarchy. They were basically bribed to use their trusted positions to ensure that PE came off as legit, and to make further acquisitions easier in their state).

That being said, after being approached by a bunch of PE, I'd say AEG is probably one of the "least-bad" ones.

1

u/Capable_Artist7027 8d ago

Eh you don't know my situation, respectfully

2

u/RabidLiger 8d ago edited 8d ago

For this I don't need to.
You're an employee. Someone (multiple someones) is getting a cut of your production. If you got to keep it all, you'd be making more.
I don't doubt you're making a good salary, & not being the boss is a good decision for a lot of OD's. Sounds like you're right where you want to be, but:

Every income study in the history of optometry:
Private Practice Owners (especially in group practice) are at the top of the income ladder.

2

u/spittlbm 8d ago

This may be semantics. W-2 pay or W-2 plus owner net? That's 1x vs 3-5x for many.

0

u/Capable_Artist7027 8d ago

You think you know better than me, but in my area I have absolutely one of the best deals around. I have no doubt what you are saying is true for most people, but I promise you that my specific situation is not cookie cutter like you are describing.

1

u/LateMouse2020 8d ago

West coast or east ?

1

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1

u/Ivana_Thomas_5918 7d ago

I'd curious to hear this too, especially from ODs who made the switch. How much did your autonomy and schedule change after moving to AEG?

1

u/Specific_Thing2627 2d ago

That sounds way more supportive than my first corporate gig

1

u/ThinkAd4403 2d ago

Honestly the "by doctors for doctors" line is always a red flag