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Find someone smarter than you: The most important step is good management. Without that, people can, and have, lost everything. If you don't have good management skills, hire someone from outside medicine who does.
Franchises: “Turn key solutions”. That’s how almost everything is marketed to physicians. Buy this technology, hire this personnel, run these ad slicks, and everything will fall into place. Sorry. It doesn’t work that way. Most of these franchises are sold as a sort of “we’ve already worked out
kinks” sort of deal. It’s a lie. Franchises focus on
treatments that everybody else will be able to replicate with ease. It’s more a case of, “ In
kingdom of
blind,
one-eyed man is king”. You don’t need a franchise.
All technology is not created equal: Despite what company reps will tell you, choosing
right technology will mean big differences at
end of
year. Efficacy, cost per treatment, initial costs, usage, and a long list of other considerations should go into technology decisions. Many physicians jump first and then end up with $80,000 towel dryers that they still have to make payments on every month. Used medical devices are readily available from
constant stream of bankruptcies and failed medical practices. Choose your technology carefully.
Understand
marketplace: Medical spas are a luxury business. And for most physicians it comes as an unwelcome surprise that their new patients are more demanding. Long waits, aloof staff members, poor communication, and ambivalent staff, are all in
past. You’re touting yourself as a luxury service, act like one. Hire top-notch people that are service-oriented, friendly and courteous. Protocols can be taught easier than attitude.
Rein in your ego: This is business. It’s not personal. If you feel you must charge twice as much as your competitors because you “deserve it” or you’re board certified, get used to empty appointment book. One of my personal pet peeves is
condescending attitude of many physicians.
Do not use “advanced” or “laser” in your name: The number of “advanced” laser clinics is staggering. Don’t do it. It’s inane, overused, and bland. I actually had a physician ask me if changing his name from Advanced Laser Centers to Advanced Laser Group would get him more business.
Network with successful medical spas: Successful business owners are only to happy to help newcomers to
industry. We have constant dialogue with physicians and investors who are investigating
marketplace and have advised clinics on four continents. Successful medical spas will be happy to build bridges with smart businesses.
Don’t look to day spas to solve your problems: Physicians hear “spa” and immediately think that day spas have
answers they’re looking for. Wrong. The average net margins for day spas are around 8%-10%. The average physicians is 60%. This is a different market.
Don’t base your pay on commission: Commissions sound like a great solution. You save overhead and motivate your staff to grow
business. Wrong. Commissions are used in spas to keep overhead low, but guess what. Staff members working for commission aren’t working for you. Commissions lead to overly aggressive staff that don’t do anything for your reputation.
Don’t gild
Lily: You may have heard that you have to “build out” your clinic at
cost of $80-$120 per square foot. Nope. You don’t have to start with treatment tables that have your clinics name embossed on them. Spend all your money before you open and you won’t be able to spend it where you’ll really need it… getting butts in
seats.
Stay lean: Physicians practice medicine based on science. You don’t need to offer massage and you don’t know anything about it anyway. Stick to
basics.
More information is available online at www.surface-med.com

Mr. Barson is the Managing Partner of Surface Medical Spas and the Editor of Medical Spas Online Magazine.