What are the Costs Involved in Setting up a Medical Practice

There is a need for a huge number of hospital beds to meet the demands of India’s growing population. Starting a self-owned practice that bridges the gaps in patient care can be a good opportunity for doctors. You can bring in the latest technologies to create a niche for yourself in the healthcare sector.

Depending on the location and other components, the cost of setting up a clinic may differ from practice to practice. Before settling on software or equipment, review the various options available to you. You may choose to go in for equipment financing or machinery upgrade to manufacture goods faster and more efficiently. Office software can be an investment too.
 

Key requirements and costs for setting up a new medical practice

Here are the requisites for setting up a new practice and their costs:

• MCI registration
  You should have the registration number from the Medical Council of India (MCI) to set up practice in the country.
• Legal requirements
  You need to register with the local authorities and report professional tax. You will also need a shop act licence, bio-medical waste registration, and so on.
• Premises and infrastructure
  Clinic space, furniture and fixtures, registers, and other miscellaneous items for smooth functioning of the practice.
• Basic equipment
  You need basic equipment depending on the nature of your practice. There may also be a need for special equipment such as oxygen cylinders, ECG monitors, pulse oximeter, nebulisers, and others. The requirement will vary according to the services provided by the clinic.
  
• Support staff
  Nurses, pharmacists, receptionists, ward boys, and cleaning staff are essential in ensuring a smooth practice.

Based on the overview of requirements for establishing a practice, getting all these elements together is imperative.
Apart from this, you may also want to be the one with an efficient practice. A practice that is technology-first and runs on innovative and intelligent digital techniques. Here are a few technology must-haves that will help you sustain your practice and move ahead despite severe competition.
 

Electronic Health Records (EHRs)

EHRs are the latest technological advancement. EHR systems provide a seamless flow of patient information. This information consists of medical history, radiology reports, laboratory findings, vital signs, personal statistics, etc. in one place. They are more efficient in extracting medical information about the patient anytime and anywhere. Thus, helping the practitioner create a long-term association with the patient.

What are the costs? An EHR can cost more than a lakh depending on its functionality and performance.

Practice management tools

Day-to-day operations of any medical practice would include scheduling appointments, tracking patient inflow, generating clinic-related reports, insurance claims, and billing tasks. Practice management tools or software can cater to these requirements efficiently.

What does it cost? Between Rs. 16,000 - Rs. 32,000, depending on the type (in-house or web-based) and functionality of the software.
 

Additional Information

You can explore technological advances such as telemedicine and video-conferencing to grow your practice. Innovative practice management tools such as self-management literature, care guides, and helplines are also widely used to improve practice efficiency and sustainability.
 

The Finances

Starting a medical practice, like any business, requires a strategic plan and a certain investment. A robust project proposal with clearly defined objectives would pave the way for a self-owned practice that you are proud of. Medical professionals can choose to fund their new clinic with a business loan for doctors. It is an innovative financing option custom-made for the requirements of doctors.