Theprimary care business can be one of the most lucrative business ifonly one has enough experience both in service delivery together withthe overall management of an institution (Buppert, 2015). Thecombination of the above factors together with enough capital wouldrender a person ready to start a primary care clinic. However, it isvery significant to get the mathematics of the business right beforestarting the clinic as below.
Theprimary care clinic will first take the form of a sole proprietorshipto ensure manageable growth and expansion. The structure would,therefore, mean that I will be responsible for the SL’s debts whilemanaging its performance. I will use my personal name in branding theSL in an attempt to cultivate and reflect a friendly environment. Theabove approach will ensure simplicity in the quest to provide serviceto the residents of Texas. The cost of establishing the abovestructure will also be minimal, a condition that will enable properfunctioning and starting-point of the business. The expenses involvedare as below.
Theclinical site fees will have the highest costs in comparison with theother components of the business. The move follows the recent trendwhere the development of drugs and medical facilities including theultra-modern machines has nearly doubled (Rick, 2014). Thus, thecosts will rise to as much as $50,000 for a start. The incurredexpenses during the development of the employee structure togetherwith the human resource structure would be less. The costs would beat least $1000. The costs for maintaining a good employeerelationship together with keeping healthy competition would soonrise owing to the rising number of staff. The primary care clinic’ssupplies would also cost more money considering the continued rise ofdrug prices. An excellent example would be the cancer drugs where itused to cost the United States $10,000 back in the year 2000, but thecountry currently spends more than $100,000. Thus, the business wouldconsume financial resources of up to $100,000.
Thesupply chain also costs considerable amounts of money because of thevarious stages such as among others consultancy together withforecasting. The business will also cater for the price of utilitiesin the quest to prevent adverse effects of clinical screens togetherwith diagnostic tests. The business will, therefore, seek to ensurethat all its facilities are not only effective but also efficient inpreventing any negative impact of clinical treatment. The malpracticeinsurance costs will range between $10,000 to $15,000 (UnderstandingMedical Malpractice Insurance, n.d). However, the prices would soonrise owing to the rising number of attendants. An increase in myexperience level would also prompt the company to pay more moneybecause the risks involved in the medical operations would be more.Besides, the sole proprietorship business will have to pay sums of upto $5,000 per year to counter for the education of the firm’sstaff. The education would also seek to ensure quality in thedispensation of service to the residents of Texas. Moreover,accounting fees will make up a portion of the general costs, goingfor $2,000. The clinic will provide the essential primary careservices for a start. However, the more time into the business, themore services it will provide. Ultimately, a $600,000 annual incomewill be enough to support the development of the above soleproprietorship business.
Theabove discussion has shed enough light on the financial resourcesthat can enable a person to start his or her primary care clinic. Thediscussion has however indicated that a $600,000 salary per yearwould be the best in the quest to achieve maximum results. Thus, asole proprietorship business would produce maximum results only if ithas the right plan both structurally and financially.
UnderstandingMedical Malpractice Insurance. (n.d). Trusted Choice. RetrievedWednesday, January 18, 2017, fromhttps://www.trustedchoice.com/professional-liability-insurance/medical-malpractice/.
Rick,M. (2014). Pharmaceutical Drug Now Exceeds $2.5B. ScientificAmerican. Retrieved Wednesday, January 18, 2017, fromhttps://www.scientificamerican.com/article/cost-to-develop-new-pharmaceutical-drug-now-exceeds-2-5b/.
Buppert,C. (2015). Practice Ownership: Legal and Business Considerations forthe Nurse Practitioner Owner. In Nurse Practitioner’s BusinessPractice and Legal Guide (5th ed.). (315-383). Burlington, MA: Jones& Bartlett.