Let’s see what is the cost for a sole practice start up in today’s market.

There are many factors involved in the cost of starting your own practice, you have to see what you can afford before you make your move.

Keep in mind it is not what you spend, it is how much you can make in return. This brings up to a question of using a professional practice start up consultant. Given what an experienced consultant at a reasonable rate can bring to the table, we think that the service does pay. You can try and do research on how to do it on your own, but keep in mind there will be times when you will wish to have some help by your side. Each practice start up is an individual case, and the playing field is always changing, the trick is to keep up.

How much will you need to get your practice off the ground, well in today’s market a small solo practice can be started at $75,000.00 to more then a $100,000.00. All depends on you and your ideas, do you want slow improvements, or do you want to do everything all at once.

Lets start with what I think is one of the most important factors in starting your own practice the location. Today’s real estate market is in your favor, more then normal amount of space for lease is available on the market, and prices are much lover then they were several years a go and landlords are in need of tenants, this gives you a chance to negotiate a great deal.

One of the choices you will have to make is whether you want your practice to be a stand alone, or in a medical complex. There are advantages in both cases. The stand alone practice will have more visibility and no neighbors to deal with, plus your new patients will have less chances of getting lost. It usually comes with a higher price tag. The advantages of being in a complex, is that you are surrounded by other medical offices and it might be a little easier to build your patient base, if you don’t have much competition in the complex. The space will also cost less.

Keep in mind there is also medical space for sale if you have the capital, it might be a great move, given today’s real estate deals. Plus the interest rates are at rock bottom.

The second factor would be the actual space build-out. The contractor the architect can be costly, keep that in mind when looking for space. You might get lucky and find space that just needs light renovation. It pays to spend a little time and look at your options.

The next factor we want to look at is the purchase of medical equipment for your practice. depending on your specialty the equipment can be very costly, and you have a decision to make whether to buy or to lease. there is also an option that you might want to look at, used medical equipment. Purchasing used equipment can save you up to 50% of your equipment cost. Just keep in mind, there are great deals out there.

Another thing to keep in mind is that additional income from the procedures can be an important sources of your revenue.

One more factor that we need to talk about is electronic medical records, your IT system and support. Yes in the age of technology, you must keep up and have some sort of computer system in place. The cost of technology is going down, more and more, equipment is becoming more affordable and simpler to use. There is no reason not to have a system in your medical practice. You can also find a more affordable support help in today’s labor market.

When it comes to the EMR system, it is a choice of preference and being able to afford it, given the expenses at hand. We do think that it is great to have electronic records, but we also think that there will be better products in the near future and the price tag will be much less. At this point you are at 10-25,000.00. Also all the talk about the government programs, please read between the lines.

Please do not forget about the formation on your PC., and all the professional that you will need in your corner. Like: attorney, accountant, insurance agent, banker, all your staff, marketing personal, and your trusted practice start up consultant.

Keep in mind starting your own practice can be complicated, but it doesn’t have to be, if you have the right professional help by your side.

 by YSNY

Sr. Consultant

Real Practice Solutions, LLC.

http://www.realpracticesolutions.com