Hello, and thank you for watching my video. Today, we are going to talk about how you can start your medical practice. Well, by watching this video, you have taken the first step to starting your medical practice. Of course, this is a job for physician entrepreneurs.
If you are thinking about leaving your job or if you are coming out of medical college or if you are leaving an existing group to start a solo practice, here are the first few simple and important steps you need to take. You need to remember the first three P’s of starting a medical practice; I call it the power of ‘P.’
The first P is the purpose of starting your medical practice. It would be best if you have a definite purpose to begin your medical practice. Of course, the first purpose is the delivery of care. If you think that you can offer better delivery of care by opening your practice, then that is an excellent thought.
An essential element of ‘purpose’ is the name of the medical practice. What should be the branding and what is the long-term aim of creating the brand? Don’t look at the short-term purpose. I will give you an example. So, if you start a practice and name it “Dr.ABC’s Clinic,” that’s okay if your purpose is to continue as a solo practice until you want to retire at some point. However, if you want to scale your business and want other partners to join the practice in the future, then you don’t want to create a brand name that is tied to your last name.
You want to create a name that defines either the geography of your practice or the mission of your purpose. For example, if you are going to cater to a certain population within a ten-mile radius, you could give the name ‘Tampa Bay Medical Family Clinic’ or ‘Florida Medical Clinic.’ Anything that is tied to the local population is better for branding and creates a purpose behind giving the name for your medical practice.
Partners: Partners are the people who would help you from building your practice from day one, and that includes people, vendors, and other partners who will help you in running the day-to-day operations. This is an important aspect, and I want you to take an active role in picking the right partners for your medical practice for the first two years. Most mistakes happen within the first ninety days or the first year of starting a medical practice.
When you are creating the Medicare application or a tax ID for your medical practice, talk to your CPA. Explain to them your idea about starting a corporation and explore the options available to you.
When you find a biller, a fundamental question you need to answer is what kind of practice you will do – whether it will be in-network practice or out-of-network practice. If you are going to work primarily in the hospital (with seventy to eighty percent of your patients are going to be at the hospital only), then you don’t need to worry about credentialing too much. On the other hand, if the majority of your patients are going to be seen in the office, then credentialing is a key proposition in your discussion with the medical billing company because it can take anywhere between ninety days to a year to do the credentialing work for your entire patient base.
It doesn’t matter whether you are a solo medical practitioner or a group, you must have your Medicare ID. You must apply for a Medicare ID as soon as you have a new tax ID, and you must apply for a change of address for other insurances.
So even if you are coming from an existing group, you cannot just notify the insurance company to change your contracts from a group to a solo. It will not happen like that. You must have new contracts every time you make a change in your medical practice.
So, with that, we come to the third and most crucial P, which is the process.
Process: How do you define the process to scale your practice in the future? The process includes the selection of the EMR and the practice management system. For example, do you want to have a completely digital medical practice, or you want to keep paper in your practice, what would be the process of patient check-in and patient check-out, what would be the financial policy for the patients? So, it would be best if you reviewed these management questions when you start a medical practice.
I end these sessions with these three P’s and look forward to your questions on starting a medical practice. Thank you.