Starting a private practice is exciting—but let’s be real, it’s also overwhelming. We’ve been there, staring at a blank calendar, wondering where the clients are and if we made a huge mistake leaving our agency jobs. The good news? You don’t have to figure it all out the hard way.

Too many therapists jump into private practice without a solid plan, and we’ve seen the same mistakes happen over and over again. Let’s talk about the biggest pitfalls that can drain your energy, your finances, and your passion for this work—so you can avoid them and build a practice that actually works for you.

Mistake #1: Not Defining a Niche

When we first started out, we were terrified of turning people away. We thought the key to success was being as broad as possible—treating everyone for everything. Guess what? That didn’t work.

When you try to be everything to everyone, you end up being forgettable. Clients are looking for a therapist who truly gets them, and having a niche makes it easier for the right people to find you.

Fix it: Instead of saying, “I help individuals with anxiety and depression,” get specific: “I help high-achieving professionals stop overthinking and feel confident in their decisions.” The more specific, the better. Trust us, clients will come because you specialize, not in spite of it.

Speaking of niche stuff, we’re just going to leave this FREE NICHE QUIZ right here….

Mistake #2: Underpricing Services

This one hits close to home. In the beginning, we priced our sessions low because we were afraid people wouldn’t pay more. We quickly learned that charging too little led to resentment, exhaustion, and barely breaking even.

Here’s the thing—clients don’t choose a therapist based on price alone. They choose based on connection and expertise. And when you undervalue yourself, they may assume you’re less qualified.

Fix it: Do the math. Factor in taxes, expenses, and how many clients you realistically want to see each week. Then, set your rate accordingly. If you’re unsure, research what other therapists in your area are charging—but don’t be afraid to price based on the value you provide.

And check out our FREE RAISE YOUR RATES GUIDE to help you have that awkward conversation without losing clients.

Mistake #3: Relying Solely on Insurance Panels

We get it—insurance panels seem like an easy way to fill your schedule. But they also come with low reimbursement rates, piles of paperwork, and so many headaches. If your entire practice is dependent on insurance, you’re at the mercy of policies that can change at any time.

Fix it: Consider a hybrid model—accept insurance and work on building a private-pay client base. Private pay means fewer sessions per week, better income, and more freedom. Plus, many clients prefer private pay to avoid the limitations of insurance.

Mistake #4: Not Having a Clear Marketing Strategy

Early on, we thought, “If we build it, they will come.” Spoiler: they didn’t come. Simply having a website or a Psychology Today profile isn’t enough. You have to actively market yourself.

Fix it: The best marketing strategy? Relationships. Network with other therapists, doctors, and referral sources. Get on Google My Business. Optimize your website for SEO. And don’t be afraid to talk about your work—people want to hear from you.

Pssst…We’re spilling the beans on how we make over 6-figures without posting on social media. CLICK HERE to check it out!

Mistake #5: Overworking and Burning Out

Let’s be honest—many of us went into private practice to have more freedom, not less. But without boundaries, it’s easy to overwork yourself and end up just as burnt out as before.

Fix it: Set a realistic schedule and stick to it. If you only want to see 15 clients a week, build your business model around that. Raise your rates, offer group programs, or explore additional revenue streams so you’re not grinding just to make ends meet.

Mistake #6: Not Investing in Business Systems

When we started, everything was manual—scheduling, billing, client intake. It was chaos. If you don’t set up systems early, you’ll waste time on admin work instead of focusing on your clients.

Fix it: Invest in an EHR system (SimplePractice, TherapyNotes, etc.), automate scheduling, and use templates for emails and intake paperwork. The more you streamline, the more time you have for what actually matters.

Mistake #7: Avoiding Business & Money Conversations

Therapists aren’t trained in business. Many of us avoid looking at numbers, pricing, and marketing because it feels uncomfortable. But let’s be real—if you don’t treat your practice like a business, you won’t have a sustainable one.

Fix it: Get comfortable talking about money. Learn about taxes, budgeting, and profit margins. And remember—charging appropriately and marketing your services isn’t greedy, it’s how you build a practice that lasts.

Mistake #8: Trying to Do-It-Yourself All By Yourself

Being in private practice can be lonely. And when questions and problems pop up (which they will), you want a place to go and get answers.

We only got to where we are because we had each other for questions, coaching, tough love, and support. Like, who else can you go to who’s going to GET IT? Who can you go to when you make your first 10k month to celebrate and it won’t be weird?

Fix it: Find your community. Keep in touch with your friends from grad school. Find other therapists in private practice. And did we mention we have an awesome community inside our program? Just sayin.

Create a profitable therapy private practice

We’ve made all of these mistakes ourselves, and we see new therapists fall into the same traps every day. But the good news? You don’t have to learn the hard way.

If you want a step-by-step plan to build a profitable, sustainable private practice without the guesswork, check out our Total Freedom Private Practice Roadmap. We give you the exact strategies, tools, and guidance to grow your business, set your rates, and attract the right clients—so you can work smarter, not harder.

👉 Join the Program Now and start building the practice you want!