Phase 10: Operate

Operating a Veterinary Practice

4 min readUpdated September 2026

Operating a veterinary practice day to day is a scheduling optimization problem layered on top of a compliance obligation most people don't think about until it's a problem: DEA controlled-substance recordkeeping for the anesthesia and pain-management drugs every practice uses regularly, alongside the emotionally demanding client conversations that come with the territory.

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How much of the schedule should stay open for same-day sick visits?

Most practices reserve a portion of each day's schedule, commonly 15-25%, for same-day sick or urgent visits, because a client who can't get seen for a sick pet within a day or two will go to an urgent care or emergency vet and may not come back for routine care either. Over-booking wellness appointments and leaving no same-day capacity is one of the most common ways established practices quietly lose clients to competitors or emergency clinics without realizing why their client retention is slipping.

What do DEA controlled-substance rules require of a practice?

Every practice using anesthesia, opioids, or other DEA-scheduled drugs for surgery and pain management needs a DEA registration (renewed every three years, at a fee that was about $888 at last check) and a documented, continuously reconciled controlled-substance log, since a DEA audit checks your records against your actual inventory at any point in time, not just your intentions. Discrepancies, even from simple recordkeeping errors rather than actual diversion, can trigger serious regulatory consequences. Assign controlled-substance reconciliation as a specific, recurring task to a specific staff member, not an occasional catch-up task, and reconcile after every surgical day rather than waiting for a monthly review.

How do you handle euthanasia and cost-of-care conversations?

Euthanasia decisions, cost-of-care conversations for expensive treatments, and end-of-life communication are emotionally loaded and happen regularly in general practice. Practices that train all client-facing staff, not just DVMs, on a consistent, compassionate approach to these conversations, including how to present treatment cost options without seeming to prioritize money over care, see meaningfully better client retention and online reviews than practices that leave this to individual staff improvisation.

How do you reduce no-shows and late cancellations?

A practice running near full capacity loses real revenue to no-shows and late cancellations, since that slot often can't be refilled on short notice. Track your no-show rate by appointment type and consider a confirmation-call or text system the day before, along with a documented policy, such as a fee after a certain number of no-shows, for clients who repeatedly miss appointments without notice, since a small number of chronic no-show clients can quietly consume capacity that would otherwise serve reliable, paying clients.

Manage Inventory and Drug Expiration Actively, Not Reactively

Veterinary practices carry meaningful inventory in vaccines, medications, and surgical supplies, and expired or wasted inventory is a quiet but real drag on margin that's easy to overlook amid the daily patient-care workload. Assign inventory management, including tracking expiration dates on vaccines and controlled substances specifically, to a specific staff member with a regular review cadence, since vaccines in particular have real cost and a shelf life that's easy to lose track of when ordering is done reactively rather than against actual usage patterns. Practices that build a simple par-level ordering system, restocking based on actual usage data rather than guesswork, both reduce waste from expired product and avoid the opposite problem of running out of a commonly used medication mid-week.

How should you present cost estimates to owners?

Presenting cost estimates for diagnostic workups or treatment plans inconsistently, verbally in one case, in writing in another, with wide unexplained variation in what's included, creates confusion and erodes trust even when the underlying care recommendations are sound. Standardize written estimate templates for your most common scenarios, sick visit diagnostic workups, surgical procedures, dental cleanings, so every client receives a clear, itemized estimate before treatment begins, and train all client-facing staff to present these consistently. This reduces the awkward, trust-damaging surprise of a final bill that looks meaningfully different from what a client expected going in, which is one of the most common sources of negative reviews for otherwise clinically excellent practices.

What paperwork does the DEA expect beyond the daily log?

Federal rules require a biennial inventory of controlled substances, invoices and records kept for at least two years, Schedule II drugs ordered with DEA Form 222 or its electronic equivalent, and a report on DEA Form 106 when drugs are stolen or significantly lost. Store Schedule II through V drugs in a securely locked, substantially constructed cabinet, restrict keys, and log each use with patient, dose, date and person. Some states add their own controlled-substance rules and a state pharmacy or veterinary board inspection. Run a mock audit twice a year, matching the logbook to a physical count.

Which operating metrics tell you the practice is healthy?

Review monthly: number of active clients (seen in the last 12 to 18 months), new client count, average transaction charge, revenue per veterinarian, compliance with recommended vaccine and dental protocols, no-show rate, and days to collect. Many practices track support staff per DVM, often in a range of about two to four depending on the model, along with payroll and drug costs as a percentage of revenue. Set targets by comparing with your own trend and industry benchmarks from sources such as your state association, then adjust one variable at a time.

How do you keep the team stable and compliant?

Write a staff handbook and standard operating procedures for anesthesia monitoring, controlled drug use, radiology safety, biohazard waste and sharps. Cross-train technicians so surgery days are not the only time someone knows inventory or the schedule. Review OSHA requirements for anesthetic gas exposure, radiation and hazard communication. Offer paid continuing education, which many state boards require for veterinarians on a one- to two-year renewal cycle, and encourage staff to flag problems early, since technicians and front-desk staff often see discrepancies first.

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FREQUENTLY ASKED QUESTIONS

How much of the daily schedule should be held open for urgent same-day visits?

Most well-run practices reserve 15-25% of daily appointment slots for same-day sick visits, adjusting up if their market lacks a nearby urgent care option pet owners could use instead, since that same-day capacity is often what keeps clients from switching practices. Track how often urgent slots fill by noon to tune the number.

What triggers a DEA audit of a veterinary practice's controlled substances?

Audits can be routine or random, triggered by a reported discrepancy, or prompted by unusual ordering patterns flagged by a distributor. Consistent, accurate reconciliation logs are your primary protection, since even honest recordkeeping errors can look like diversion if your records don't match your physical inventory.

How do I train staff to discuss expensive treatment options without seeming pushy?

Present tiered treatment options, ranging from minimum-standard-of-care to gold-standard, clearly and neutrally, let the client make the decision without pressure, and document the discussion, which both respects the client's autonomy and protects the practice if a client later has questions about the care path chosen.

Is it reasonable to charge a fee for repeated no-shows?

Yes, many practices implement a documented no-show fee or require a deposit after a client misses two or more appointments without adequate notice, since this protects the appointment slots that reliable clients depend on and gives the practice a clear, consistently applied policy to point to. Post the policy at check-in and in confirmation messages so it is not a surprise.

Apply This in Your Checklist

Phase 10.1Set up project managementPhase 10.2Set up team communicationPhase 10.3Hire your first contractor or find a VA