Opening a Medical Center?
How to Write a Medical Center Business Plan (FAST)
Step by Step
Writing a Medical Center business plan is no easy task – especially because of the amount of details involved.
You need to consider location, equipment, employment of specialist staff, as well as setting the goals for operating and growing the center and considering finances and information technology.
It’s a lot to think about!
This is why we’ve put together a Medical Center Business Plan – to give you ideas, tips and inspiration that will help you with your business plan.
Ready? Let’s do this.
#1 Executive Summary for
a Medical Center Business Plan
The Executive Summary section of your business plan outlines what your business does. It summarizes the company’s key points and introduces the rest of your business plan’s content.
As this is a huge project, the main aim of this plan is to convince either your bank or an investor to invest in your business by providing start-up capital.
It’s vital that you provide a solid case for your business idea – which is why your executive summary is so important!
For the purpose of this medical center business plan, we’ve included the following:
- Current Position
- Mission Statement
- Investment Offer
- Exit Strategy
- Health Profile & the fact that it is a growing problem
Check it out and feel free to lift anything you want.
The purpose of this proposal is to lay out our plans for the Africa Medical Center and to attract investment for the development and implementation of the facility. This document is open to review and amendments as the project plans develop.
Thanks to the advances in medicine, and the evolving healthcare system in Africa, more and more people are recovering from life threatening illnesses and injuries than ever before.
However, aftercare services for rehabilitating and recovering patients are severely lacking and this gap in the country’s healthcare system needs to be addressed quickly. At present, patients have to arrange their own aftercare treatment, often flying long distances, at great cost, to other countries.
It is our plan to open the very first rehabilitation Center of its kind in Africa. We want to offer local, high-quality day care and outpatient services to those in the immediate region and beyond.
We are looking to raise $3m in capital investment to cover land procurements and development costs.
The Africa Medical Center will offer client-focused rehabilitative care in Africa, with a view to expanding across the country in the future. Our facility will offer 40 beds and various treatment and procedure rooms, and will be subject to further expansion in the future.
Our services will include, but will not be limited to:
- Rehabilitation therapies (physiotherapy, hydrotherapy…)
- Cancer care
- Elective surgery
- Elderly care
- Speech and language therapy
We plan to operate on a referral system, receiving patients from hospitals in the region and beyond, insurance companies, clinics, private bookings and through consultants working within the hospital. Patients can also book into the hospital themselves.
Revenue will be generated directly through patient care services and through consultant charges and fees, and this is explained further in the document.
Our eight-year plan is to develop a fully established and equipped hospital offering A&E and an intensive care unit and wards.
We are currently in the research stages of the project, and looking into various locations including Area 1 and Area 2 as potential development sites. Research is also being carried out on the procurement of equipment and supplies. We have a number of investors interested in financing the project and we will also be approaching the African Government and international funding organizations for financial assistance through grants and incentives. Licenses to operate will also be required and this is another area we are in the process of researching.
The mission of the Medical Clinic will be to provide high quality health services and facilities within the community and to promote wellness to relieve suffering, and to restore health as swiftly and completely as possible.
Doctor Henry’s background is in physiotherapy and he has worked with the NHS for several years. It was on a recent trip back to Africa that he realized there are no dedicated rehabilitation facilities available in the country.
As mentioned previously, patients have to travel elsewhere to receive the treatment and aftercare they require. This presents further risks to their health due to the extensive journeys and relatively cramped conditions.
It is therefore our vision to build and develop a world class medical facility offering outstanding care whilst also excelling in research, development and medical innovation. Proactive teams from multiple disciplines will ensure we can offer the widest range of services and treatment plans to our patients.
The rehabilitation center will ultimately serve the local community and beyond to improve people’s lives, increase positivity in each patient and enhance their wellbeing and lifestyle.
To get the project up and running, we will be looking for an investment of $3m USD. The land will cost approximately $400K with building costs estimated to cost approximately $1m USD. In addition to private investment, we are also in the process of approaching the African Government for grants and exemptions. More information is provided further in this document.
It is our goal to become the leading rehabilitation center in the region, offering the highest standards in care and leading the way in medical research.
The opportunities for private investment are substantial, but we must act fast. A growing number of multinationals are recognizing the opportunities to open facilities in the country and so it is essential that we get the ball rolling as quickly as possible. In doing so, we can establish the hospital as the leading medical facility of its kind and secure the best returns for our investors.
We will offer investors the option to exit with shares. More information will be provided once we have a clearer idea on exit strategy options.
Africa Health Profile
Africa, like most developing countries is witnessing rapid emergence of chronic diseases. This is partly due to the rapid urbanization and the change in lifestyle with shift to more sedentary lifestyle and change of diet to more refined food products. This has seen a rise of obesity, diabetes mellitus and hypertension with attendant increase in cardiovascular diseases including stroke. The World Health Organization reported a stroke prevalence of 3042/100,000 admissions.
Rehabilitative Care in Short Supply
Rehabilitative care for conditions such as cancer, stroke, recovery following elective surgery, recovery following injuries and other therapies is in very short supply and patients currently have to travel long distances to receive the care they need, often at a huge cost to their pocket and their health due to the travel involved.
According to the “African Journal of Disability”, the long queues in public facilities offering physiotherapy services show that the demand is high for these services. As a result, patients who require daily physiotherapy sessions often have to make do with one monthly session severely hampering their progress and recovery. Some people are being sent away and told that they need to come back another day.
Equipment Costs A Barrier
The cost of equipment is also quite expensive for most, and this has put off many individuals from setting up their own practices. Manufacturers have also reported they have large stocks of equipment sitting in warehouses because individual consultants cannot afford their purchase or upkeep.
Africa’s Current Health Care Provisions
Opting in to the National Insurance Fund is mandatory for all salaried employees, with contributions based on a graduated scale on income and automatically deducted through payroll. It is using mobile money to expand access to workers in the informal sector through creating a more convenient way to pay monthly premiums. It is our vision to become the primary partner for patient referrals once they have been discharged from hospital and require aftercare, day center care or further treatment for their condition.
A Growing Problem
An estimated one billion people worldwide experience some form of disability and are in need of health and rehabilitation. There is a severe shortage of rehabilitation personnel and services in Africa, and the graph below illustrates just how serious the situation is right now. Lower income countries like Africa, have a density of less than 0.5 personnel to every 10,000 people, and there is a huge gap to be filled with rehabilitative care.
As patients often need to arrange air travel to India, South Africa or other countries to arrange their care, or if they receive care in Africa, appointments are in short supply and so care may not be administered effectively, we aim to address the shortage by offering rehabilitation and recovery services that will help to fill these gaps and offer patients local care when it is needed the most.
According to the World Health Organization (WHO) stroke is the third most common cause of death in Africa, and this rate is on the rise, especially among young adults.
Rise In Severe Health Conditions And Rehabilitative Care Requirements
The occurrence of stroke and other diseases dramatically affects the lifestyles of the individuals involved and more than 50% of those affected need assistance with at least one activity of daily living. This may include washing clothes, housework or travelling on public transport. We will have a number of programs in place that offer one-to-one treatments depending on the severity and nature of the disease or illness. Our Stroke Recovery Program, for example, will help stroke victims to get back to the lives and activities they enjoyed before and to re-enable them to perform the skills essential to independence, wellbeing and making a living.
Heart disease is another disease that is on the rise. Over 200,000 patients in Africa are diagnosed with heart disease each year. Only three facilities in the whole of Africa have the capacity to offer heart surgeries, and many patients do not receive a high enough standard of rehabilitative care following surgery due to lack of facilities or trained staff. This can severely disrupt their recovery.
Cancer ranks third as a cause of death in Africa, after cardiovascular diseases and infectious diseases. It is responsible for 7% of total national mortality each year. There are very few cancer specialists in the country, and most specialists tend to be concentrated in and around Cape Town. Treatment is not the only issue where cancer is involved. The impact of cancer extends beyond the physical impact of the diseases, and even once in remission, patients can feel weak, traumatized and find it difficult to return back to normal life.
Road Traffic Injuries Causing Heavy Burden on Hospitals
Road traffic injuries create a huge burden on hospital services, and account for between 45% and 60% of all surgical ward admissions in Africa. A recent survey carried out by Macharia WM. shows that 51.9% of road traffic accident casualties stay in hospital for over a month, often receiving weeks of rehabilitative care.
Bridging the Gap In Africa’s Healthcare System
Offering a wide range of inpatient and outpatient services will help to seal the gaps in the local area, and ensure a much improved rate of rehabilitation and recovery. Patients coming to the Africa Medical Center will have a range of specialists needs that they cannot fulfil elsewhere. We will meet those needs.
Africa Medical Center will offer treatments and rehabilitation for a wide spectrum of conditions and injuries. Our main objective is to provide rehabilitative treatments that enable our patients to resume living in an independent and self-determined way, and to improve their quality of life. These treatments will help them with their reintegration into work, family and society.
Aim: Patients will receive the highest standards in care at all times.
We must maintain a high standard of care at all times, and to ensure our services are made available to those who need them at the time that they will offer the most benefit. Through careful and regular reviews of our services, adopting regular training and development programs for our staff and collecting and analyzing feedback and patient data, we can provide consistent levels of care throughout our facility.
- The hospital will provide high quality care for all patients
- The hospital will deliver consistently safe care
- We will offer the services that patients are unable to receive elsewhere
- We will deliver effective care at all times
- We will deliver our services 7 days a week
Aim: People will be proud to work for us.
It is our aim to become one of the leading rehabilitative facilities in the region, but we can only do this if we attract the right staff. Motivation, personal development and the wellbeing of our employees will be at the heart of everything we do. We want to attract the best medical talent in the region, and stand out as a leading edge, well-equipped and productive facility offering the best services to patients, and the best personnel remuneration and incentives for our staff.
We will achieve this aim by adopting the following:
- We will work hard to ensure our workforce is motivated and engaged
- We will recruit, retain and develop a workforce with the right people, the right skills and with qualifications from professional bodies
- We will proactively ensure the morale and wellbeing of our employees
Aim: Good performance will be at the heart of all we do.
Performance on paper is one thing, but the true evidence of good performance is in the wellbeing and recovery of our patients. It is our plan to expand the facility when the time is right, and patient needs and gaps in good quality care will help us to determine this time, and how best to move forward with this expansion. The land we will procure will provide enough space for ample expansion.
We also need to ensure we invest in the best equipment possible for our patients, and with this in mind, we will work hard to build good relationships with equipment suppliers in order to secure competitive prices and discounts where we can.
- We will constantly assess our performance in all aspects of our service delivery to ensure we achieve our operational, quality and financial targets
- We will invest in the innovative and high quality equipment to ensure the best outcomes for our patients
- We will optimize the use of our land and estate, expanding our services when the time is right
- We will work with suppliers to ensure the most cost effective goods and services
- We will work closely with teams and stakeholders to ensure mutually beneficial partnerships and business proposals.
#2 Medical Center Business Plan
Company Profile Section
The Company Profile is also known as the Company Description. If it’s well written, your potential investors will find it easy to understand your business model, your mission and goals, and how it’s going to meet the needs of your target market.
In this example of a medical center business plan, we’ve included the following:
- Hospital and facilities
- Proposed location
- Target Market
The Business Model
Of course, generating revenue is of utmost importance to the running and future of the hospital and we are proposing a model that reflects how most private practices are run elsewhere in the world. We will essentially have three revenue streams to start with.
Our facilities are going to be significantly more advanced and equipped than any other clinic in the region and will therefore be a more attractive prospect for patients and consultants alike.
We will generate revenue in the following ways:
Private room with private bathroom: $220 per night (inclusive of nursing care, food and facilities)
Bay room bed with shared bathroom: $150 per night (inclusive of nursing care, food and facilities)
Consultant Annual Subscription Fee
Every clinician and consultant working at the hospital will be charged a set fee that gives them exclusive rights to book facilities and rooms within the hospital. We will charge this on an annual basis. The suggested amount is $1,000 although this is open to discussion. This is a sure source of income and will be of huge benefit to our cash flow from the moment the hospital is opened.
We will charge each consultant an hourly rate for booking rooms and facilities. The hospital will also receive a percentage of the fee charged for any inpatient procedures or treatments. The suggested rate is 20%. Consultants can also choose to have their own support staff or to use resident hospital staff.
At full capacity, the hospital will generate $8,000 per night from room bookings alone. A physiotherapist would typically charge $70 for a 30 minute session, although we will need to compare this figure with local rates to ensure we are competitive. Costs for procedures will usually be dictated by each consultant and we will work closely with them to ensure we have a clear pricing schedule in place.
We are currently in the process of researching suitable land for the hospital and we are in talks with local real estate agents to discuss our needs.
The hospital will initially accommodate 40 beds for overnight stays distributed as follows:
- 20 private rooms including private bathroom
- 20 beds distributed across 5 bays with one bathroom per bay
Treatment areas will consist of the following:
- Hydrotherapy pool with overhead harness to benefit the patient and promote physical wellbeing. This use of water will relievediscomfort and is a specific form of physiotherapy treatment conducted in a heated pool. Aquatic Physiotherapy treatment (individually or in groups) incorporates individual assessment, diagnosis and the use of clinical reasoning skills to formulate a treatment program appropriate to each patient’s needs. By combining hands-on pool based physiotherapy treatment techniques and specifically designed exercises supervised by physiotherapists with specific training in Aquatic Physiotherapy, hydrotherapy helps regain or enhance physical well being in a warm relaxing environment.
- 2 gyms in patient rehab – one featuring gym equipment for therapy sessions and a second studio room that can be equipped as needed or used as an aerobic
- Outpatient and Inpatient department for Physiotherapy
We plan to offer a wide range of services to our patients that will help to prolong and enhance the lives of those in pain, in need of aftercare therapies or who have other needs that require specialist assistance or treatment. Our services are flexible, diverse and will be continually developed so that they meet the needs of our patients and provide the highest standards of care. Services will be provided 7 days a week.
Our day center will offer the following treatments and services:
- Care and assistance for the terminally ill such as cancer
- Care for patients with diseases such as Parkinson’s disease or Alzheimer’s
- Care for the
- Care for patients with special needs such as a mental or physical
We want to create a pleasant and peaceful environment where patients and their families can feel relaxed and confident that they are receiving the best healthcare possible. Community is important to us and we feel our hospital will become the local hub for patients to visit, get well, share their stories and experiences and benefit from a very positive experience.
The inpatient rehabilitation unit will occupy approximately 5,000 meters of space and will accommodate 40 beds, 20 private rooms and 5 bays. Private rooms will feature 1 bed and en-suite bathroom, and each bay will accommodate one bathroom per bay. The total land space we are looking to secure is around 8 to 10 acres to allow for future expansion.
We will also offer outpatient rehabilitation and follow- up appointments, elective day surgeries such as keyhole surgery or joint replacements, and elderly and cancer care.
In addition to the building and development of the site, we will also be looking to procure the following equipment:
- Motomed – 2 machines
- Parallel bars
- Moveable overhead harness
- Wax bath
- Full hoist
- Standing hoist
- Rota stand
- Sliding sheets
We are currently looking into selecting one of two possible locations for the rehabilitation center – Location 1 and Location 2. Both locations offer adequate land space and a number of amenities that would benefit the hospital once built. Both locations also offer adequate land space for expansion when the time comes.
Location 1 – Situated approximately 55 miles from Nairobi, on the outskirts of the Valley, the town has a population of about 4,800. Due to its proximity to Nairobi and its convenient position on the main highway, Location 1 is starting to attract the attention of new businesses and investors. The town is currently served by one government-run healthcare facility, ABC Health Center.
Location 2 – Another location we are considering is Location 2. Situated a mere 27 miles from Nairobi, the town is the administrative and commercial center for the city, and houses the government offices and main ministries. The town has witnessed major growth in recent years with a major road infrastructure and many real estate developments being completed in the area. Healthcare in the county is accommodated by over 300 health facilities.
Inpatient & Outpatient Services
Our team will provide an integrated therapy service for patients staying at the hospital, and offer treatments and therapies that put the patient on a personalized pathway to wellness. Whether they are referred from hospital following elective surgery, or require rehabilitation following a stroke or accident, we will tailor our treatments and therapies to suit the patient’s individual requirements.
The Therapies On Offer
The Africa Medical Center will employ the full spectrum of different therapeutic methods, and use every means possible within the areas of motor rehabilitation and cognitive therapy to ensure our patients are able to return to an independent way of life as quickly as possible.
During cognitive, sensorimotor and social training treatments, our therapists from cross-disciplines will work closely together to achieve the best results. We will also get the patient’s family on board, and involve them in the therapy process.
The hospital will be a hive of activity each day, offering at least three activities in our gyms. These may range from low level aerobics up to more high impact classes that are designed to challenge our more able patients.
Our physiotherapy and outpatient unit will offer the following services:
- Outpatient physiotherapy
- Education and advice on manual handling and posture
- Educating carers on better patient enabling and care
- Hydrotherapy treatments
- Active lifestyle changes that improve health
Therapists will be supported by our Therapy Assistants who will assist patients with enjoyable and rewarding activities such as knitting, playing cards and other activities they enjoy.
We will offer the following therapies to inpatients and outpatients:
- Outpatient physiotherapy
- Occupational therapy
- Speech and language therapy
Hydrotherapy involves the use of water to treat a variety of conditions including rheumatic conditions and arthritis. Using our specially adapted pool, we will provide a range of hydrotherapy services designed to help to build strength and range of movement. Each session will feature specially adapted exercises tailored to the needs of the individual.
Our physiotherapy department will treat a wide range of musculo-skeletal conditions such as joint pain, back pain, neck pain and other injuries resulting from trauma.
We will also offer post-operative physiotherapy care.
Our trained physiotherapists will have access to a number of treatment options and areas, and our services will include:
- Prescriptive exercises tailored to the individual’s needs
- Group exercise sessions
- Manipulation or mobilization of soft tissue and joints
- Advice on posture, pacing and lifestyle change if necessary
- Advice on return to work and normal life
Our occupational therapy services will help our patients with health problems that prevent them from doing the things that matter to them. Our trained and experienced occupational therapists will work closely with patients to identify the difficulties they are facing, such as getting dressed, shopping and carrying out everyday activities. We will work out practical solutions, identify goals and use a variety of techniques to help our patients to lead as independent and enjoyable a life as possible.
Speech & Language Therapy
Our speech and language therapy services will provide life-changing support and treatment to adults and children who have difficulty with communicating, and also drinking, eating and swallowing. Our trained speech and language therapists will work closely with patients, parents and carers to deliver tailored treatment aligned to the patient’s individual problems.
Nutritional therapy offers personalized treatments adapted to the unique needs of each patient. These treatments will depend on a number of factors influenced by diet, lifestyle and environment. Our nutritional therapists will work with individuals to prevent and alleviate ailments by making recommendations regarding diet and nutrition.
Patient Referrals For Treatment
One question investors will have is how patients arrive at the hospital. It is our aim to be the referral Center of choice for hospitals in the immediate region and beyond. We will also be approaching insurance companies, private therapists and other avenues of referral to market our services. Patients can also come to us on a self-referral basis. Consultants affiliated with the hospital and booking out our facilities will also help to attract clients.
We have based our staffing proposal and costs based on the services we provide and the average cost of each consultant or specialist.
Our initial staffing plan will be as follows:
- 5 Physiotherapists at $700 USD each per month.
- 3 Occupational Therapists at $700 USD each per month.
- Speech and Language Therapists at $850 USD per month.
- 10 Nurses at $600 USD each per month.
- 6 Nursing Assistants at $250 USD each per month.
- 5 Therapy Assistants at $300 USD each per month.
- 2 Administrative and Accounting staff at $300 USD each per month.
We will require all staff to be fully experienced and to have a BSc degree in their field of expertise. Our inpatient therapists will be employed on a fulltime basis. The nursing to patient ratio will be 1 nurse to every 6 patients and nurses will be supported by nursing assistants also employed on a fulltime basis. We want to offer a flexible and accessible service that is available 7 days a week. For this reason, we will ensure that we have a therapist from each therapy discipline working in the Center every day. We will also welcome volunteers on an individual or group basis.
In terms of remuneration packages, we will introduce a banding system of grading seniority. For example, a newly qualified nurse may join the hospital on pay grade 5, but will have the opportunity to progress to pay grade 9. Personal development and a motivated hospital team is important to us and we will be ensuring that staff members receive ongoing training and development as part of their role with us.
Our Target Market
Whilst most of our patients will be referred to us from their main hospital, patients will also self refer. We would be looking to attract patients to our full package treatments as these will generate the most income for the hospital and our investors.
Most expats prefer to use private healthcare facilities in Nairobi even though the costs may be significantly higher than treatment in a public facility. They know that they will receive a better quality of service and access to more experienced doctors.
Our hospital will be a very attractive proposition for patients who would otherwise have to pay for and arrange long haul flights to receive the treatment they need. We give them another option and a chance to receive their treatments and therapies close to their homes and families and to experience a more positive outcome.
The Patient Journey
The patient journey to and through our hospital will vary from patient to patient. Many will be referred directly from their main hospital or Doctor, whilst others will be referred by their insurance company. Some will book directly through our website or over the phone and the Consultants working with us will also bring their own clients. We will also make our facility available where possible to handle overflow from other clinics.
Initial assessment will determine the treatment path each patient will take whether they require elective surgery or aftercare services and therapies following treatment elsewhere. Each patient will receive individualized care especially tailored to ensure their health, wellbeing and recovery are our top priority.
We have a clear view of our clinical services, strategic and performance objectives. We will and strive to be different than other existing services that exist and have developed the following SWOT analysis to illustrate this.
- Medical Clinic will be the first of its kind.
- Local identity, pride and commitment to the hospital.
- We will establish excellent ratings compared to those of our competitors.
- Proactive team offering multiple disciplines and expertise.
- We have few like-for-like competitors in our field of expertise.
- Constant training for our teams in new medical pathways.
- We will quickly become the first choice for rehabilitative care and elective surgeries in the region.
- Our staff will be proud to work for our hospital and their motivation and morale will further boost the wellbeing and recovery of our patients.
- Our estate footprint allows for further development.
- We will be close to the city and developed roads.
- Being the first of our kind, we are likely to suffer from teething problems at the start.
- This is a large undertaking and we will require full investment to be in place before we can begin development.
- Recruitment may be an issue at first, but we plan to initiate a large scale recruitment drive to attract consultants and other staff to our leading edge facility.
- The medical sector in Kenya is constantly growing, with more and more overseas companies opening clinics in the region. We plan to work closely with these clinics to attract referrals following elective surgeries and other procedures or ailments that require rehabilitative care.
- We plan to initiate many collaborative arrangements with companies and organizations across Nairobi and beyond. These organizations include other healthcare clinics and institutions in the local region, insurance companies, doctor’s surgeries and hospitals.
- We will tap into the latest technology to ensure a streamlined booking and admissions system and to ensure staff are able to collaborate well and share information easily.
- Our 8 year plan and our footprint give us the scope to expand our services in the future, plugging more gaps in the market and ensuring we can keep up with any competitors in the region that may spring up.
- Others are starting to see the same opportunities for rehabilitative care and therefore the time frame to start the project is limited. We must get the funding we need now to secure the land and begin development.
#3 Medical Center Business
Marketing Strategy Section
The marketing strategy section of your business plan describes who your customers are going to be and how you plan to communicate to them the services or goods you are offering.
If your potential customers are not made aware of your business, you are not going to stay in business for very long!
Defining a marketing strategy in your business plan highlights your understanding and knowledge and emphasizes what makes your business concept compelling. It also outlines how you plan to attract and maintain a customer/client base.
- How are you planning to advertise to your market?
- What is your competitive edge?
- What is your development plan
- What are your funding options?
Let’s look at the following example.
We will be setting up a project website in the next few weeks where hospital plans, our vision and the latest development news will be published. As part of our marketing strategy, we will be running a full advertising campaign targeting billboards, magazines and health and wellness websites – anywhere where our prospective patients may visit or publications they may read.
We will also be approaching local hospitals and insurance companies (Xplico Insurance, Jubilee Insurance etc.) to make them aware of the Center and the services we will be providing.
We are in a very exciting and unique position in that there are currently no rehabilitation Centers of the type we propose in Africa. There are many rehab Centers offering support for drug and alcohol use, but not for rehabilitation due to injury, illness or post-op aftercare requirements.
Hospitals charge $250 USD for a private room. This includes a bed, nursing care and food. Bay rooms cost
$150 USD per night. Each consultant charges between
$50/100 USD depending on their skillset and the therapy being given.
Our charges will be lower without any compromise to the patient in quality of care or service. We will charge $220 USD for a private room which includes all services except consultant costs. A bay room will cost the patient $150 USD and this includes all services except consultant costs.
Once we secure the necessary investment to start development, we can begin right away.
Procuring the land – the first stage is to locate and procure the land required for the development. We are currently looking at land in Location 1 and Location 2, situated around 20 minutes from Nairobi.
Obtaining operating licenses – we will need to obtain a number of licenses that allow us to operate a medical facility in Africa. We are currently looking into the costs of these licenses and how much they will cost to renew on an annual basis.
Development begins – once the land has been procured, we will go ahead with development. Plans will be made available very shortly on our website.
Marketing – we will approach relevant organizations and local hospitals to inform them of our new facility and to negotiate referral procedures and any fees involved. We will also use our website to market our services and take payment for any treatments or treatment packages.
Procuring equipment – we are currently in the process of researching equipment suppliers and drawing up costs.
Recruiting staff – using a medical recruitment portal and local advertising, we will start to build our team.
One of the biggest obstacles to starting a business in Africa is funding. Making connections in business can be a challenge, but we have a number of options we can consider. Given the unique position we are in and the demand for this service, we expect to secure funding very quickly. In addition to private investment from equity investors, we are in the process of researching other funding streams to help us get up and running.
#4 Medical Center Business
Ensuring that you have a COMPLETE financial plan within your business plan will DOUBLE your chances of investment as well as the future growth of your business.
A lot of small businesses don’t have a financial plan and it’s essential to your long-term success and business growth.
We’ve listed here the key elements you need to have in a successful financial section:
- Initial Start Up Expenses – Especially if this is a start-up idea, it’s essential that you have a description of what you need for investment purposes.
- Sales Forecast – It’s essential to have an estimate of your monthly sales revenue as well as annual. This helps you understand your business and plan out any marketing and growth strategies.
- Direct cost of sales – Measures the amount of cash the company will have to spend to produce the goods or services sold by the company. The direct cost of sales only includes the expenses directly associated to production.
- Profit and Loss Forecast – This is a statement summarizing the revenues, costs and expenses incurred during a specific period.
- Balance Sheet – This is the financial position of the company and states its assets, liabilities and owners’ equity at a particular point in time. It illustrates the business’s net worth.
- Loan Repayment – This shows the lender or potential investor the act of paying back any monies.
So… Are you ready to look at some figures?