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Practice Economics

The State of Independent Practice

A perspective on technology adoption, financial pressures, and growth strategies for independent practices today.

January 2026 16 min read White Paper

Authors

  • NexiumCare TeamEditorial

Key Findings

  • The independent practice is far from extinct despite years of consolidation.
  • AI tooling — especially ambient documentation — is moving from novelty to norm.
  • Integrated platforms tend to reduce the administrative tax of point solutions.
  • Workforce shortages remain a top operational challenge.

Overview

After a decade of consolidation, independence is far from extinct. A new generation of clinicians is weighing independence against employed positions at large systems, and the tooling to run a lean practice has never been better.

This piece is our perspective on where independent practice stands, drawn from public research, industry reporting, and conversations with the practices we build for.

Technology Adoption

AI tooling — particularly ambient documentation — has been the breakout category, moving quickly from early adopters to mainstream interest. Cloud EHRs and patient portals are now considered table stakes.

  • Cloud EHR adoption is now the default for new practices
  • Patient portals are expected by patients, not a differentiator
  • Integrated billing + clinical platforms reduce swivel-chair work

Financial Pressures

Margins are compressing, and the biggest controllable lever tends to be platform integration — practices using a single integrated EHR + billing + engagement platform spend less time reconciling data across disconnected tools.

Workforce & Operations

Hiring remains hard, and time-to-fill for clinical and front-office roles is long. Practices that invest in workflow automation report doing more with the team they have — often the most reliable lever available.

Outlook

The independent practices doing well share three habits: they invest in modern tooling, they measure their own performance, and they build margin deliberately rather than hoping for it.

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