Essential Steps On How To Start A Medical Spa Business

By Luciana Dabit

Ready to open up a medical spa? Smart move. The global medical spa industry is expected to triple to the tune of $47 billion US dollars by 2030, so there’s plenty of revenue up for grabs.

While this is a highly profitable industry, it’s also very complex. And competition exists in cities both big and small.

So how do you comply with legal requirements? And how do you stand out in your local market?

We’ve got the info you need to opening a medical spa and grow your clientele reliably.

How to start a medical spa business in 10 steps

Follow this guide to learn how to start a medical spa business that complies with local regulations and competes with existing spas.

1. Research the local market

When opening a medical spa, you can’t start a successful business without first doing some market research.

Answer these questions through a combination of online research and in-person scouting:

• How many MediSpas are in your local area?
• What services do they offer and how much do they charge?
• Do they expect tips?
• What is the client experience like?
• What is the branding?

Then, determine how you will compete. You might compete on price—by charging less or clarifying upfront that you don’t take tips (as these can be really high when someone is already paying $400 to $800 for a service). Or, you might compete on brand and client experience by creating a relaxing lounge feel to the office.

2. Legally register your business

Now that you know your competitive advantage, it’ll be easier to select a business name that communicates that differentiator to clients.

Register your business with all the required local authorities. You’ll need to incorporate your business in your state or province with the help of a business lawyer or online service. Make sure to register with your city or county as well. And pay all required business taxes and fees.

3. Choose your location and setup your facility

It’s time to choose the perfect location. The right office will depend a lot on your local strategy and how far away you want to be from successful competitors.

You’ll also need to be realistic in terms of your budget. It’s always wise to start small with a brand-new venture. Once you have an established clientele and plenty of revenue, you can always expand and upsize. But to begin, consider hunting for a small office with enough space to separate procedures from front-desk tasks.

4. Acquire the right licensing or employ a medical professional

Depending on where you live, you will need a licensed physician or nurse to run your medical spa.

Of course, this doesn’t mean you need to start applying to medical school, but you’ll need to employ a licensed medical professional if you don’t have the right credentials yourself.

You can post job openings on sites like Indeed and ZipRecruiter and clarify the start date based on when you plan to have your facility fully operational.

5. Determine your services and get the right equipment

Decide what you will offer and create your medical spa services menu. Set prices that are higher or lower than the competition based on your strategy for differentiation and client experience.

You might want to begin with just a couple of the most popular cosmetic treatments, like Botox and dermal fillers. Or, you might want to start with a much-needed service not offered in your local market, like laser tattoo removal. You can always add more services later.

Then, purchase the right medical equipment and supplies to be able to safely offer your chosen services on opening day.

6. Hire and train your staff

Aside from the licensed medical professional who will be administering aesthetic treatments, you might also need to hire administrative staff. If you’re starting your business with a small initial investment and don’t want to incur too much upfront risk, you can have the medical professional—yourself or your first hire—also handle basic administrative tasks.

But as soon you start booking clients, you’ll want to hire and train a front-desk manager who can handle client greetings, payments, bookings, cancellations, intake forms, and marketing tasks so the medical professional can take on more patients during their workday.

The right software can also help you optimize staff time. (More on that later.)

7. Reduce risks and comply with legal requirements

MediSpas need a couple of different types of insurance. Purchase business insurance as well as personal liability insurance for all medical professionals and licensed aestheticians operating in your medical spa practice.

Make sure to also set up the necessary office policies and procedures according to best practices and regulations. For example, in the United States, you’ll need to comply with state laws as well as the Occupational Safety and Health Administration (OSHA) and Health Insurance Portability and Accountability Act (HIPAA) regulations.

And in Canada, there are 13 medical regulatory authorities (one for each province or territory). If you’re located in Ontario, you must also comply with the Personal Health Information Protection Act (PHIPA).

8. Create your marketing plan

As a spa owner, your biggest responsibility is bringing in paying clients.

Create a cohesive brand with a logo, color scheme, and font style that matches the competitive advantage and client experience you want to convey.

You’ll also need to establish a medical spa marketing plan that utilizes offline channels (like local referrals and partnerships with physicians) as well online channels (like social media and search engine optimization).

9. Choose the right MediSpa software

The software you use has a big impact on efficiency. Choose an all-in-one medical spa software that lets you create your digital spa menu so clients can book and pay for services online.

The platform should also offer business-critical features like staff schedules, website management, client email and SMS communications, and financial reporting.

Check out WellnessLiving, the business and marketing platform designed for medical spas.

10. Execute a grand opening event

Plan a grand opening that will get your target audience excited to come try out your medical spa. Consider offering steep discounts on popular services as well as free food and beverages.

Get creative and consider partnering with local companies that also serve your target audience. For example, you could include pop-up shops in your office with products from local boutiques and salons and ask those businesses to invite their customers to your event.

What license do you need to opening a medical spa?

The license required to open a medical spa depends on your state or province and the services you want to provide.

If you’re providing only aesthetic and cosmetic treatments and no medical procedures, many states and provinces allow licensed nurses and nurse practitioners to run their own medical spas. However, if you provide medical procedures, you’ll need to be or employ a licensed physician to operate the MediSpa. Be sure to research the legal requirements for your specific region.

The ultimate checklist for opening a medical spa

Use this checklist to open a successful, compliant medical spa business.

BUSINESS:

• Conduct market research
• Hire a business lawyer
• Name and incorporate business
• Pay required minimum business taxes and fees
• Choose competitive advantage(s)
• Select business location
• Improve office facility as needed
• Get a business bank account and credit card
• Hire an accountant

LEGAL:

• Purchase business insurance
• Comply with local business and health regulatory agencies
• Establish legally compliant policies and procedures

CLINICAL:

• Hire a licensed physician or nurse according to local laws
• Create your spa services menu
• Set initial prices
• Purchase equipment and supplies
• Hire administrative staff or aestheticians as needed
• Provide training

MARKETING:

• Create logo
• Create branding
• Build a marketing plan
• Reach out to local physicians to form referral partnerships
• Leverage social media
• Optimize your website for social media

Start your medical spa with the right foundation

Learning how to start a medical spa business is step 1. Managing and growing your medical spa with WellnessLiving is step 2. Our software has the tools you need to keep track of staff, clients, bookings, promotions, and more, all in one place. Whether you’re starting your MediSpa with an office manager or handling all admin tasks yourself, you’ll save tons of time and create a superb customer experience with WellnessLiving. Book a free demo to learn more.