It took you years of hard work to become the doctor you’ve always wanted to be, but that doesn’t mean that you’re fully prepared to start your own medical practice. If this is the path you decided to choose, however, know that you’re in for some challenges.
Securing Funding for your Medical Practice
Unless you’re fortunate enough to have money to cover your startup costs, you’ll probably need a business loan. Not to worry, though. Even if you have medical school loan debt, you could secure funding from a U.S. Small Business Administration loan.
First, you must estimate how much money you have to borrow. Take into account the consultant, accountant, and lawyer fees, your rent, the construction of your clinic, and the medical equipment you need to setup.
Medical equipment providers like Medical Equipment Sales Associates, Inc. noted that you might want to consider refurbished medical tools for sale, so you can save money. You might want to share your office space with another doctor to save on rent. Other expenses include records software, computer equipment, furniture, and disposable supplies like bandages, gauze, and gloves.
Before starting your practice, you have to follow rules mandated by your state and the federal government. Many of these are specific to the type of practice you’re setting up. You’ll need a DEA registration, a national provider identifier, and state licensing. Other additional licensing would depend on your specific practice and the medical procedures you want to offer.
Choosing a Legal Structure
The legal structure you choose would determine the way you pay your taxes and the extent to which you would be held personally liable for losses, debt, and lawsuits. After choosing a legal structure for your practice, you need to obtain an employer identification number (EIN) and register for local and state taxes.
Getting your Credentials
You have to secure specific credentials to accept private or government health insurance from prospective patients. Take note that this process could take a couple of months. Insurance providers would ask about your education, training, and residency. You would also need to present proof of your practice insurance and relevant licenses.
While starting a medical practice on your own could be frightening and would take some time, it can work with proper planning and with help from professionals. Do not be discouraged if you face setbacks early in your journey. Don’t focus on them and instead, find a solution.