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What You Need to Know to Start a MedSpa – 7 Essential Tips for Success

Starting a medspa can be an exciting and rewarding venture, but it requires careful planning and execution.  You may be interested in starting this endeavor because you have a passion for helping people feel their best, or because you see a gap in the market for high-quality aesthetic services. Whatever your motivation, there are several key tips to keep in mind when starting a medspa.

Starting any new business is a lot of work, but with the right plan and tools in place, you will be well on your way to success. 

med spa

1. Create a Solid Business Plan to Gain Investors

Creating a business plan is crucial for starting a successful medical spa. Your plan should include annual revenue projections based on national averages, which in 2022 was $1,982,896 per medspa. Your business plan will map out everything from your financials to marketing and operations. 

There are loads of business plan resources online. Search for templates related to medical businesses. In your business plan, you’ll want to outline the medical personnel, licensing, certification, ongoing training, and compliance that your business will maintain.

2. Source a Talented Medical Team

Since medical spas provide actual medical services alongside cosmetic treatments, you need to hire licensed physicians or qualified healthcare providers like nurses or nurse practitioners.
To maintain the highest standards of service in your med spa business, ensure that all appropriate staff members have valid medical licenses and relevant experience in their respective fields. Hire professionals such as dermatologists, plastic surgeons, registered nurses, and estheticians to ensure the highest standards of service are met.

You will also need a designated Medical Director (MD), responsible for overseeing patient care and ensuring adherence to safety protocols. The role of a MD is necessary for maintaining certain state regulatory compliance while providing top-notch care for clients. An MD must possess an active medical license and be knowledgeable about the latest best practices in the industry.
With the help of platforms like Guardian MD, you can easily find qualified medical directors locally, or remotely, if necessary. And with the use of the mobile app or portal, you can quickly communicate with your MD as needed.

3. Choose Your Location and the Desired Building

Finding the right location, one that will bring in the ideal foot traffic while also hitting the right accessibility requirements can be a challenge. Your location will largely depend on your budget as well. The typical size of a medspa ranges between 2,500-3,000 square feet but may vary depending on the scope of services offered.

Analyze market demand for various treatments in your area to help you choose the best place to offer your services. You’ll also want to take into consideration potential future expansion plans when selecting a location to accommodate growth over time.
When choosing your space, be sure to review local building codes for specific regulations related to medical settings. Incorporate accessibility features such as wide doorways and wheelchair-accessible restrooms into your facility design.

4. Securing Licenses, Permits & Insurance Policies

Like any business, a medspa needs to have the appropriate licenses, permits, and insurance policies in place. Be sure to obtain all of these from local authorities. Consult with local government agencies to ensure you have the necessary approvals for operating a medical spa in your area.

Additionally, develop health and safety plans compliant with OSHA standards. You’ll need to create these yourself, but your medical director might be able to help review your policies once they’re established.

To protect your business operations and individual providers working at your facility, secure professional liability insurance policies. Research reputable insurers that offer coverage tailored specifically for the medical spa industry. This will safeguard against potential claims arising from treatments or services provided by staff members. It is also a good idea to find malpractice insurance for your MD.

5. Invest in High-Quality Equipment or Experience Personnel

A successful medspa is not just one that is established and profitable, but it also provides an unprecedented quality of care based on the treatment and the location or demographics. 

When creating your medspa business, you’ll want to find ways to make your medspa the best there is. The equipment and personnel you choose will play an important role in providing high-quality care. 

Unfortunately, equipment will take up a significant portion of your startup capital; know that it is worth the spend. Cheap or shoddy equipment will reduce service quality and may cost you more over time in repairs and replacement costs. 

The type of services you choose can play a factor in your success. Many successful medical spas choose to focus primarily on injectables, such as Botox, before expanding into other treatment offerings. This approach helps them to establish the business by providing an in-demand service while also providing the opportunity for exploration and growth.

In addition to injectables, consider adding popular treatments such as laser hair removal, body contouring procedures like CoolSculpting, or non-invasive facelifts using radiofrequency technology.

6. Implement Operations/POS Software Solutions and Hire Staff

Next up is your operations and human resources or HR. The software and people you put in place are essential components of your practice management operations. This takes a lot of work, and many nurse practitioners or medical professionals who start businesses like Medspas tend to underestimate this aspect of running the business. The truth is that it is equally important to medical knowledge. 

Hiring individuals with the necessary qualifications and a shared ambition for delivering top-notch patient care is essential to establishing a thriving medical spa. This will create a positive work environment and enhance your medical spa’s reputation. You might hire staff members who share similar values to ensure cohesive teamwork throughout daily operations. However, be sure to also consider hiring a diverse staff who will bring a range of skills and points of view. 

Consider implementing point-of-sale (POS) software solutions that streamline various aspects, including appointment scheduling management, health record maintenance, and billing. Medspa-specific POS software can help manage appointments, track inventory, process payments, and more. By integrating these systems into your business operations, you’ll improve efficiency while ensuring a seamless experience for clients.

7. Develop Your Startup Marketing Strategy

To ensure the success of your medical spa, business owners must create an effective marketing strategy. Marketing right now is largely online. When developing this marketing strategy, you’ll want to consider many factors like your target audience, your geographical location, and user experience. 

One key aspect is establishing a strong online presence with a well-designed website and active social media accounts that showcase your services and engage potential clients. If this is largely how you’ll be gaining clients, then you’ll also want to incorporate specialized booking platforms into your marketing efforts by integrating them directly onto your website. This allows prospective customers easy access when seeking information about available treatments or scheduling appointments online. 

Getting potential clients to your website and ultimately to your spa will take a combination of trial and error. Leverage platforms like Facebook, Instagram, and Twitter to share informative content about treatments offered at your medspa while also promoting special offers or events. Create a business account so that potential customers can easily find information about your business. 

Optimize your website for search engines using relevant keywords such as “medical spa” and “med spas.” Additionally, consider investing in paid advertising on Google Ads or social media platforms to reach a wider audience.

Through your marketing campaigns or networks, you may have created lists of potential clients; here is a great opportunity to build out an email list. Implement targeted email campaigns to keep current clients informed about new services or promotions while also attracting new clients.

Why You Should Consider Starting a Medspa

By implementing the steps outlined, you can set yourself up for success in establishing a medical spa business. It’s natural to still be cautious about this endeavor, as it is a large investment with a lot of risk. 

How Profitable Is A Medical Spa?

Medical spas can be highly profitable, with average net profit margins ranging from 10% to 25%. Factors affecting profitability include location, services offered, and effective marketing strategies. ​​

Successful medical spas prioritize high-demand treatments like injectables and facial services while expanding their offerings as demand grows.

How Much Does The Average Med Spa Owner Make?

The average medical spa owner’s salary varies based on factors such as location, size of the business, and experience. However, it typically ranges between $300,000 and $375,000 per year. To maximize their income potential, owners should focus on efficient operations and strong marketing efforts.

What Is The Most Profitable Medical Spa Service?

The most profitable medical spa services are typically those that are in high demand and have a high profit margin. Injectables like Botox and dermal fillers, as well as facial services like chemical peels and microdermabrasion, are popular and have a high profit margin. However, it’s important to offer a variety of services to cater to different clients and keep them coming back.

Trust Guardian Medical Direction for Your Medspa

Starting a medical spa can be a lucrative and rewarding venture for medical professionals. 

By following the tips and suggestions laid out above, you can properly plan your business and set yourself up for long-term success, profitability, and growth. 

One key piece to starting a successful medical spa is finding a medical director. If you are ready to move forward, Guardian Medical Direction can help! Contact us today to schedule a discovery call and learn more about how we can help you find a medical director and improve your operations as a whole.