Are you ready to open up your own medical practice?
The decision is indeed a significant milestone in your medical career and can be the defining moment of your future in the healthcare service industry. The current healthcare landscape is rapidly changing, as are patient expectations, and more and more physicians are now going solo. While this increased competition certainly means the service quality will get better, it also poses a greater risk to practice survival, especially for new startups.
There is no denying that with the innovating healthcare ecosystem, only the most advanced, updated and streamlined practices that aim to add value to patient care will survive. It is for this reason that we have developed this guide – to help the most motivated and talented physicians understand what they need for a medical practice startup and prepare them for it.
In this guide, we will cover:
- The basics of starting a new practice
- Business planning and cost analysis
- Government policies and compliances
- Medical software for efficient running
- Revenue generation and quality measures
1. The First Steps
While opening up a practice is a complicated process that needs detailed planning, perhaps the most important part of it is being absolutely certain and realistic about it. Medical practice startups often fail because they start off with a little too much optimism and get thrown off along the way because they realize they were in fact unprepared.
Why Start Your Own Practice?
Even though opening your own practice comes with its risks, there are several benefits to it if done right, which is why more and more providers are now drawn towards it. Since most of the healthcare business is concentrated in the hands of big-name hospitals, more private practices opening means the competition increases and the profits are more evenly distributed in the industry. Providers also enjoy greater autonomy over their practice and can create their own workflows. They are also free to choose the area they want to practice in, which means many providers target smaller areas with less access to healthcare, thus not only serving more people but also securing a market just for themselves. In addition to this are the entrepreneurial benefits, like being able to create your own schedule and be your own boss, which drives many into entering private practice. Naturally, the ownership and agency associated with a private practice is attractive compared to working in an already established system like a large hospital.
Are You Ready to Open Your Practice?
A successful practice can become a great lifelong career, but are you really ready for it? As a provider, you must ask yourself a number of questions to make sure you are not rushing into a private practice unprepared.
- What is your vision and motivation?
While high profits are attractive, have you weighed them against the risks that will come with running a business alone?
- Do you have the necessary support?
Even with a small business, you need the right people and systems that can help you sustain and grow. This means locating the right managers, referral systems, advisors, partners, doctors, etc.
- Do you have the necessary resources?
It is almost certain that you will need more money than you think you need. It is essential to have the resources to not only start, but also to support you in case you run into difficulties.
- Do you understand the business aspect?
You could be a great doctor, but still fail to run a practice on your own if you don’t understand the running of a business. Before you start, it is essential to make sure you are thinking like an entrepreneur and a businessman, and acquire the skills needed by a CEO.
It is only after you are certain about the answers that you should start your own practice with the guarantee that you will be able to handle the business.
Alex Tate is a Health IT writer for various platforms. He provides perceptive, engaging and informative consultancy on industry wide topics. He knows that no single approach is the right one for every practice, and so shall advice according to the requirements. The consultancy is based around EMR Systems, Practice Management and Billing Solutions. MACRA/MIPS consultancy is also available to achieve the highest returns and revenue for your practice.