Common Mistakes Therapists Make When Starting a Practice
…and How to Avoid Them
Starting a private practice or therapy-based business is so exciting. Finally, you get to build something of your own, aligned with your values, schedule, and clinical style. But even the most seasoned therapists can find themselves overwhelmed by the unfamiliar demands of entrepreneurship.
After mentoring and consulting dozens of clinicians—and learning a lot the hard way myself—I’ve seen problematic patterns emerge.
Here are three of the most common mistakes therapists make when starting a business, and how to avoid them.
Mistake #1: Not Having a Niche
When you're just getting started, it can feel terrifying to narrow your focus. Many new therapists believe that the more people they market to, the more clients they’ll attract. But the opposite is often true. When you try to speak to everyone, you end up connecting with no one.
A strong niche makes your message clearer, your content more targeted, and your work more satisfying. It lets potential clients know, “This therapist gets me.” Your niche doesn’t mean you only see one kind of client—it means you intentionally position yourself as an expert in a specific area so your ideal clients can actually find you.
Take time to reflect on who you love working with, who you feel effective helping, and what you want to be known for. Whether it’s teen athletes struggling with body image, adults navigating ADHD and entrepreneurship, or queer clients healing from religious trauma, your niche is what helps you stand out in a saturated market.
Avoid this mistake by:
Getting clear on your values and clinical strengths
Writing website copy that speaks directly to your ideal client’s struggles and hopes
Trusting that a focused practice brings in the right people, not fewer people
Mistake #2: Setting Rates Too Low
Therapists are healers, advocates, and space-holders—we are not always trained to think like business owners. As a result, many of us undercharge when we’re starting out. We confuse accessibility with affordability, and end up creating businesses that aren't financially sustainable.
Setting your fee isn’t just about your worth (though you are worth a lot). It’s about the actual costs of running a business. Rent, liability insurance, taxes, consultation, continuing ed, tech platforms, marketing, and your own health care all add up. Charging $100/session when your expenses demand $200/session is a fast track to burnout.
Still, I deeply believe in inclusive care. That’s why I recommend offering a limited number of sliding scale spots to clients who need them—without underpricing your standard rate. This way, you build a business that supports you and your community.
Avoid this mistake by:
Calculating the true cost of doing business (including admin time and PTO)
Using a fee calculator like Zinny or SimplePractice’s tools to find your break-even rate
Offering 2–4 sliding scale spots using a clear policy that you revisit quarterly
Remembering: charging your full rate allows you to keep doing this work long-term
Mistake #3: Relying on Old-School Marketing in a New-School World
It’s not 2015 anymore, and therapists who are only on Psychology Today or waiting for word-of-mouth referrals are likely to be drowned out—especially in an era where venture capital-backed therapy companies dominate SEO and ad space.
The truth is, marketing today requires more visibility and intentionality. Clients are looking for connection, transparency, and expertise. They're scrolling Instagram, listening to podcasts, and Googling therapists who “get it.” If you’re not showing up where they’re looking, they won’t find you.
This doesn’t mean you have to be a TikTok star or spend thousands on ads. It means understanding that you are your brand, and showing up online in a way that reflects your voice and values. Whether that’s a blog, a substack, reels, or collaborating with aligned professionals, you get to decide how to market—but you can’t afford to skip it altogether.
If you’re feeling overwhelmed or unsure where to start, I offer consultation through Edie Stark Consulting that’s collaborative, non-salesy, and grounded in both clinical wisdom and strategic clarity. I help therapists and group practice owners get visible without losing their voice or values.
Avoid this mistake by:
Building a clean, client-centered website with great SEO
Choosing 1–2 marketing channels you can commit to consistently
Sharing your unique perspective—not just generic “therapy speak”
Keeping in mind that marketing is just storytelling with purpose
Final Thoughts
You became a therapist to help people heal, not to be a CEO. But when you step into private practice or entrepreneurship, you’re wearing both hats. That means developing new skills, setting boundaries with time and money, and letting your voice be heard in a competitive market.
You don’t have to do it all at once—and you definitely don’t have to do it alone. Surround yourself with mentors, colleagues, and resources that support your growth. And remember: when you build a business that’s sustainable, strategic, and aligned, you’re not just taking care of yourself—you’re expanding your impact.
Here’s to growing your practice with purpose, confidence, and care.
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