Although starting your private dermatology practice can be accomplished in various ways, much of it depends on your style. To successfully launch this, you’ll need to do a lot of careful planning and multitasking. It wouldn’t hurt if you’ve saved enough money to launch your practice, too. Otherwise, you may need to apply for dermatology office loans to cover operating costs. However, you don’t have to get too overwhelmed. Here are 6 mistakes you should be aware of, and avoid.
1. Choosing the Wrong Location
You’ll need to be sure that a dermatology clinic would make sense in your prospective area. Check out the number of existing practices with the location and check out the services they provide. Gather as much information as you can to help you determine if there’s a need for your area of focus. You can start by calling dermatology offices to get an idea about the wait times. Remember that if it takes too long to get an appointment, it means that a new dermatology practice can flourish. To get a snapshot of the area’s residents and their needs, check out the demographics. Remember that due diligence is extremely important before you decide on a location.
2. Not Applying for Insurance Credentialing As Soon As Possible
Did you know that it’s possible for you to wait for more than a year before your name is added to public and private insurer networks? This is why planning your timeline accordingly is a critical aspect when you’re starting your practice. Be sure to base your timeline on your target date of opening and backtrack from there. Have your basic information in place such as your physical address, medical license, and proof of malpractice insurance. If you’re planning to take Medicaid or Medicare, include your National Provider Identifier (NPI) number.
3. Attempting to Do Everything Yourself
Unless you’re also an expert in legal considerations, dermatology billing, accounting, and practice management, you may want to consider hiring professional help. To jump-start your practice, you’ll most likely need the services of an accountant, lawyer or a dermatology practice management consultant. Remember that your fledgling practice is at stake if proper accounting practices are not followed. Furthermore, you won’t be able to manage and track your practice’s revenue cycle management without a dermatology practice management system.
4. Not Having a Solid Business Plan
Creating a rock-solid business plan can keep you from making a lot of expensive mistakes. To devise a strategic dermatology practice business plan, you’ll need the help of a practice management consultant. Your business plan should lay out the necessary steps you’ll need to take so that you can be able to maximize your success. Are you opening a new dermatology practice with associates? If so, you’ll have to agree on the same goals and priorities for practice as you confer on your business plan. Be sure to cover general considerations, revenue-related items, and expense-related concerns that include the monthly salary draw for physicians.
5. Forgetting About the Dermatology Software You’ll Need
Whether you like it or not, technology is a necessity nowadays. You’ll need to invest in the best dermatology software for your practice to help you run your new practice. These are tools that keep track of your practice management, generate analytics, and monitor revenue cycle management and patient engagements. Without the appropriate dermatology software, it would also be a pain to manage difficult tasks such as value-based payments. This can make a huge impact if your goal is to make your practice run smoothly and efficiently.
Therefore, you must take time to talk with your peers, schedule demos with dermatology EHR vendors, and ask for client references. You’ll also need to find and investigate options during industry conferences and events. You might want to consider adding an integrated EHR system and dermatology practice management on your list.
6. Underestimating the Financial Commitment
Don’t forget that the cost to set up a dermatology practice is hugely dependent on several variables. In most cases, medical practices will take about a hundred thousand dollars to open and another hundred thousand to operate. Even if you’ve managed to save enough funds to start your practice, you may still need dermatology office loans to cover ongoing salary, utilities, advertising, and other costs.
You may have the clinical expertise and acumen that your job requires, but if you make any of these rookie mistakes, your practice could go down in flames. If you’re not sure how to obtain dermatology office loans for your new dermatology clinic, don’t hesitate to reach out to the lending experts at SMB Compass today to schedule a consultation. We provide financing and education to small businesses across the United States. You can count on us to provide you with cost-effective and flexible solutions to help you set up your private dermatology practice.