healthcare business planning

Healthcare Business Plan Template

Written by Dave Lavinsky

Healthcare Business Plan

You’ve come to the right place to create your Healthcare business plan.

We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Healthcare companies.

Below is a template to help you create each section of your Healthcare business plan.

Executive Summary

Business overview.

Riverside Medical is a family medical clinic located in San Francisco, California. Our goal is to provide easy access to quality healthcare, especially for members of the community who have low to moderate incomes. Our clinic provides a wide range of general and preventative healthcare services, including check-ups, minor surgeries, and gynecology. Anyone of any age or group is welcome to visit our clinic to get the healthcare that they need.

Our medical practitioners and supporting staff are well-trained and have a passion for helping improve the health and well-being of our clients. We serve our patients not just with our knowledge and skills but also with our hearts. Our clinic was founded by Samantha Parker, who has been a licensed doctor for nearly 20 years. Her experience and compassion will guide us throughout our mission.

Product Offering

Riverside Medical will provide extensive general care for all ages, creating a complete healthcare solution. Some of the services included in our care include the following:

• Primary care: annual checkups, preventative screenings, health counseling, diagnosis and treatment of common conditions
• Gynecology: PAP tests, annual well-woman exam, and family planning
• Pediatrics: infant care, annual physicals, and immunizations
• Minor procedures: stitches, casts/splints, skin biopsies, cyst removals, and growth lacerations
• Health and wellness: weight loss strategies, nutrition guidance, hormone balance, and preventive and routine services

The costs will depend upon the materials used, the physician’s time, and the amount designated for each procedure. Medical bills will be billed either directly to the patient or to their insurance provider.

Customer Focus

Riverside Medical will primarily serve the community living and working within the San Francisco bay area. The city is diverse and growing and includes people of all ages, ethnicities, and backgrounds. Everyone is welcome to visit our clinic to receive the health care they need.

Management Team

Riverside Medical’s most valuable asset is the expertise and experience of its founder, Samantha Parker. Samantha has been a licensed family doctor for 20 years now. She spent the most recent portion of her career on medical mission trips, where she learned that many people are not privileged to have access to quality medical services. Samantha will be responsible for ensuring the general health of her patients and creating a viable and profitable business medical practice.

Riverside Medical will also employ nurses, expert medical staff, and administrative assistants that also have a passion for healthcare.

Success Factors

Riverside Medical will be able to achieve success by offering the following competitive advantages:

• Location: Riverside Medical’s location is near the center of town. It’s visible from the street with many people walking to and from work on a daily basis, giving them a direct look at our clinic, most of which are part of our target market.
• Patient-oriented service: Riverside Medical will have a staff that prioritizes the needs of the patients and educates them on the proper way how to take care of themselves.
• Management: Samantha Parker has a genuine passion for helping the community, and because of her previous experience, she is fully equipped and overqualified to open this practice. Her unique qualifications will serve customers in a much more sophisticated manner than our competitors.
• Relationships: Having lived in the community for 25 years, Samantha Parker knows many of the local leaders, newspapers, and other influences. Furthermore, she will be able to draw from her ties to previous patients from her work at other clinics to establish a starting clientele.

Financial Highlights

Riverside Medical is seeking a total funding of $800,000 of debt capital to open its clinic. The capital will be used for funding capital expenditures and location build-out, acquiring basic medical supplies and equipment, hiring initial employees, marketing expenses, and working capital.

Specifically, these funds will be used as follows:

• Clinic design/build: $100,000
• Medical supplies and equipment: $150,000
• Six months of overhead expenses (rent, salaries, utilities): $450,000
• Marketing: $50,000
• Working capital: $50,000

The following graph below outlines the pro forma financial projections for Riverside Medical.

Company Overview

Who is riverside medical, riverside medical history.

Samantha Parker started the clinic with the goal of providing easy access to good quality health service, especially to those members of the community with low to moderate income. After years of planning, she finally started to build Riverside Medical in 2022. She gathered a group of professionals to fund the project and was able to incorporate and register Riverside Medical with their funding support.

Since its incorporation, Riverside Medical has achieved the following milestones:

• Found clinic space and signed Letter of Intent to lease it
• Developed the company’s name, logo, and website
• Hired a contractor for the office build-out
• Determined equipment and fixture requirements
• Began recruiting key employees with previous healthcare experience
• Drafted marketing campaigns to promote the clinic

Riverside Medical Services

Industry analysis.

The global healthcare market is one of the largest and highest-valued industries in the world. According to Global Newswire, the global healthcare services market is currently valued at $7548.52 billion and is expected to reach $10414.36 billion in 2026. This growth is expected to continue for the foreseeable future.

The biggest drivers of industry growth throughout the next decade will be a continual increase in illnesses and diseases as well as a quickly aging population. With more people aging and needing daily/frequent care, hospitals and medical clinics are bound to be in even more demand than they already are.

One obstacle for the industry is the rising cost of care. Though this results in greater profits, more and more Americans cannot afford basic medical care. Therefore, they are opting out of procedures they believe are unnecessary or unimportant.

Despite the challenges of the next decade, the industry is still expected to see substantial growth and expansion.

Customer Analysis

Demographic profile of target market.

Riverside Medical will serve the residents of the San Francisco bay area as well as those who work in the area.

The population of the area experiences a large income gap between the highest earners and the lowest earners. Therefore, it is hard for middle and lower-class families to find quality care that is affordable. As a result, they are in need of the services that we offer and are looking for accessible medical care.

The precise demographics of San Francisco are as follows:

Customer Segmentation

Our clinic is a general family practice and will treat patients of all ages, incomes, physical abilities, races, and ethnicities. As such, there is no need to create marketing materials targeted at only one or two of these groups, but we can appeal to all with a similar message.

Competitive Analysis

Direct and indirect competitors.

Riverside Medical will face competition from other companies with similar business profiles. A description of each competitor company is below.

City Medical

Founded in 2008, City Medical is a membership-based, primary-care practice in the heart of the city. City Medical offers a wide range of primary care services for patients who subscribe to the practice for an annual fee. Patients enjoy personalized care, including office visits, as well as the diagnosis and treatment of common health problems. The patient membership fee covers the services listed below, and most care is received in-office. However, some additional services, such as lab testing and vaccinations, are billed separately. Furthermore, though the annual fee is convenient for some, it is too high for many families, so many are priced out of care at this facility.

Bay Doctors

Bay Doctors is a primary care practice that provides highly personalized medical care in the office or patients’ homes. Bay Doctors includes a team of dedicated healthcare professionals with dual residency in Emergency Medicine and Internal Medicine. The practice offers same-day/next-day appointments, telemedicine, office visits, and home visits. Some of the medical care services they provide are primary care, urgent care, emergency care, gynecology, pediatrics, and minor procedures.

Community Care

Established in 1949, Community Care is a non-profit regional healthcare provider serving the city and surrounding suburbs. This facility offers a wide variety of medical services, including 24-hour emergency care, telemedicine, primary care, and more. In addition to their medical care, they have a wide variety of fundraising activities to raise money to operate the hospital and help families cover the costs of their care.

Competitive Advantage

Riverside Medical enjoys several advantages over its competitors. These advantages include:

Marketing Plan

Brand & value proposition.

The Riverside Medical brand will focus on the company’s unique value proposition:

• Client-focused healthcare services, where the company’s interests are aligned with the customer
• Service built on long-term relationships
• Big-hospital expertise in a small-clinic environment

Promotions Strategy

The promotions strategy for Riverside Medical is as follows:

Riverside Medical understands that the best promotion comes from satisfied customers. The company will encourage its patients to refer their friends and family by providing healthcare benefits for every new client produced. This strategy will increase in effectiveness after the business has already been established.

Direct Mail

The company will use a direct mail campaign to promote its brand and draw clients, as well. The campaign will blanket specific neighborhoods with simple, effective mail advertisements that highlight the credentials and credibility of Riverside Medical.

Website/SEO

Riverside Medical will invest heavily in developing a professional website that displays all of the clinic’s services and procedures. The website will also provide information about each doctor and medical staff member. The clinic will also invest heavily in SEO so the brand’s website will appear at the top of search engine results.

Social Media

Riverside Medical will invest heavily in a social media advertising campaign. The marketing manager will create the company’s social media accounts and invest in ads on all social media platforms. It will use targeted marketing to appeal to the target demographics.

Riverside Medical’s pricing will be lower than big hospitals. Over time, client testimonials will help to maintain our client base and attract new patients. Furthermore, we will be able to provide discounts and incentives for lower-income families by connecting with foundations and charities from people who are interested in helping.

Operations Plan

The following will be the operations plan for Riverside Medical.

Operation Functions:

• Samantha Parker is the founder of Riverside Medical and will operate as the sole doctor until she increases her patient list and hires more medical staff. As the clinic grows, she will operate as the CEO and take charge of all the operations and executive aspects of the business.
• Samantha is assisted by Elizabeth O’Reilly. Elizabeth has experience working as a receptionist at a fast-paced hospital and will act as the receptionist/administrative assistant for the clinic. She will be in charge of the administrative and marketing aspects of the business.
• Samantha is in the process of hiring doctors, nurses, and other medical staff to help with her growing patient list.

Milestones:

The following are a series of path steps that will lead to the vision of long-term success. Riverside Medical expects to achieve the following milestones in the following twelve months:

3/202X            Finalize lease agreement

5/202X            Design and build out Riverside Medical location

7/202X            Hire and train initial staff

9/202X            Kickoff of promotional campaign

11/202X          Reach break-even

1/202X            Reach 1000 patients

Financial Plan

Key revenue & costs.

Riverside Medical’s revenues will come primarily from medical services rendered. The clinic will either bill the patients directly or their insurance providers.

The major cost drivers for the clinic will include labor expenses, lease costs, equipment purchasing and upkeep, and ongoing marketing costs.

Funding Requirements and Use of Funds

Key assumptions.

Below are the key assumptions required to achieve the revenue and cost numbers in the financials and to pay off the startup business loan.

• Year 1: 120
• Year 2: 150
• Year 3: 200
• Year 4: 275
• Year 5: 400
• Annual lease: $50,000

Financial Projections

Income statement, balance sheet, cash flow statement, healthcare business plan faqs, what is a healthcare business plan.

A healthcare business plan is a plan to start and/or grow your healthcare business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can easily complete your Healthcare business plan using our Healthcare Business Plan Template here .

What are the Main Types of Healthcare Businesses?

There are a number of different kinds of healthcare businesses , some examples include: Nursing care, Physical home health care, or Home health care aides:

How Do You Get Funding for Your Healthcare Business Plan?

Healthcare businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.

What are the Steps To Start a Healthcare Business?

Starting a healthcare business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop A Healthcare Business Plan - The first step in starting a business is to create a detailed healthcare business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast. 

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your healthcare business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your healthcare business is in compliance with local laws.

3. Register Your Healthcare Business - Once you have chosen a legal structure, the next step is to register your healthcare business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.

4. Identify Financing Options - It’s likely that you’ll need some capital to start your healthcare business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.

7. Acquire Necessary Healthcare Equipment & Supplies - In order to start your healthcare business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your healthcare business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.

Other Helpful Business Plan Templates

Nonprofit Business Plan Template Non-Emergency Medical Transportation Business Plan Template Medical Practice Business Plan Template Home Health Care Business Plan Template

How to Create a Profitable Healthcare Business Plan for Your Medical Practice

Marketing is crucial for any industry, and healthcare industry is no exception. Whether you are a big hospital or private practice, creating and implementing an effective marketing plan will help to attract new patients, retain the existing ones and maintain relationships with your staff and patients. An effective marketing strategy will play an integral role in increasing revenue, building patient trust, improving online reputation and expanding your reach.

A healthcare business plan can help you define and identify the target audience and key prospects. It can also assist in evaluating and comparing your practice data against your industry. Clearly, a business plan is necessary, so does your practice have one? Here are some more benefits of creating a strategic plan for your medical practice:

• Physician business plan provides clear direction to your marketing initiatives, preventing random activities that may work against each other.
• The process of developing a strategic plan offers an opportunity for everybody involved to collaborate in shaping the future of the practice. Active participation of all the stakeholders ensures the success of projects and priorities.
• A strategic healthcare business plan helps the physician set marketing goals and priorities for the medical practice.
• Clarity of aims and objectives can improve the quality of patient care.

Strategic business planning offers great long-term value. After the initial planning is done, a practice can use it as the benchmark for measuring progress and monitoring areas of improvement.

The process for preparing a strategic business plan is not clear-cut, but it is one of the most important things you should do for the strategic growth of your practice. A well-defined marketing plan will outline how you will retain existing patients and attract new patients, retain staff and communicate your message in the most efficient manner.

You do not need to hire expensive consultants to create a marketing plan for your healthcare practice. All that you need is the willingness to put in time and effort. An ideal healthcare marketing plan should address every aspect related to promoting your practice, and to effectively plan, you must do some research.

Identify your target audience

The first step in any business plan is to figure out who is going to seek your service. If you have a specialty practice, you probably know the answer. According to industry experts, your marketing efforts will be effective only if they are targeted. So to identify your potential patients, start by defining the common characteristics of your current patients. Always remember, your marketing plan is all about reaching your target audience and adjusting your approach to fit their preferences. Beyond demographics, try to learn the reasons why your potential patients will come to your practice, know your competition and understand your competitors’ approach in reaching the target audience. Examine how your competitors market their practice and then compare their approach, services and marketing strategies with yours. You must also determine your unique selling proposition and understand what makes you different from your competition.

Marketing is all about keeping up-to-date. So make sure while doing your research, you stay updated on current affairs. The idea is to keep up-to-date with financial, political and marketing trends that influence the medical community so you can create an effective business plan that responds to changing market conditions.

Time for some brainstorming sessions

After you have identified your potential market and patients, you will need to categorize and address critical operational questions about your medical practice. You may need to set up brainstorming sessions with people you trust, including family, friends, team members or other professionals. During these sessions, try to find answers to these basic but critical questions:

Question: Which marketing platforms will make be most suitable for promoting your services?

Pro tip: You will need to think regarding how to present or sell your services. For instance, consider offering packages that are generic in nature and offer value for money.

Question: What is the best time and frequency of marketing your service?

Pro tip: Too much promotion can create a negative brand image in the minds of potential patients. Too much advertising tends to make patients suspicious. So depending on your target audience, determine the best time for promoting your practice.

Question: What are you trying to achieve from your business plan? How do you plan to measure these goals?

Pro tip: According to experts, your marketing plan should include basic tasks that have short-term goals so that you do not end up compromising on the patient experience. You can consider using big data to evaluate and measure results and their impact on ROI.

Penning the business plan

Now that you have completed the groundwork, it is time to put all your facts and figures into words. Here are some basic steps for creating a business plan for your medical practice:

• Define your mission and vision: This is where you need to determine your goals. You have to understand where you want your practice to be in five to seven years. You will need to prepare a list of all the marketing techniques and tactics and determine what options will work best for your practice. Some of the effective marketing tactics are networking, direct marketing, print advertising, training sessions, media, open houses, social media, blogs, third-party websites and much more.
• Identify your team: In order to build support and generate enthusiasm, you should determine the outgoing personalities in your organization. Find people who will help support your marketing efforts by hosting open houses, patient training sessions, interviews and other public relations initiatives.
• Market segmentation: Consider potential patients think outside the box. Look within your organization first – you may find some of your best customers and marketers there. You must understand where your patients come from and dive deeper into your business model. Is your practice mainly run by physician referrals, or do patients refer directly? You need to create an extensive list of potential patients and categorize them.
• Create patient personas: Patient personas are representations of your ideal patients. You must create patient personas based on your research and reflect on their needs and issues. For instance, if one of your buyer personas is a diabetic, his or her needs will be different from a flu patient.
• SWOT analysis: SWOT matrix is another important component of the business plan. You can use this analysis to assess your practice’s strengths, weaknesses, opportunities and threats. This study will help you understand your market situation better and discover growth opportunities. For a successful SWOT analysis , you must be specific, realistic, compare different situations and keep your business plans and goals updated.
• Prepare a budget: Now that you have all the market information you need and have established the best way to reach your potential patients, focus on your budget to support your marketing campaign. To begin with, it is advisable to stick with the 80/20 rule. According to this rule, 80 percent of your business volume will often come from 20 percent of your patients.
• Share your vision: The first step is to make sure the plan is received and understood by your organization’s leadership. Next, make sure your plan becomes a part of the organizational culture. You must encourage employees to come up with ideas that will support your idea. Always share your plans with physicians, volunteers, employees, board members and top leadership.
• Plan the rollout: To begin with, introduce your campaign internally. Your organization’s leadership and staff are often your best support. If they get the message, your marketing efforts will be successful.
• Measure and evaluate: You should regularly track new patients, physician referrals, leads, website hits and procedure volumes in order to assess the success of your business plan.

Don’t forget the 7Ps

Even the most insightful services, supported by the best business plan, will not survive on the market if they are unable to reach potential patients. That is why practices need to invest in strategies that will bridge the gap between them and the target audience. For your marketing initiatives to be successful, you must address the 7Ps in order to evaluate and measure your business activities. These seven Ps are product, price, promotion, place, packaging, positioning and people. These 7Ps will help you review and define key issues that impact your marketing activities.

• Product: When was the last time you took an unbiased look at your products, service, facility or value proposition? Do your products meet the needs of the patients? Do your products and services deliver value? Is your medical practice properly presented? The ‘product’ for your healthcare practice is the happiness and satisfaction of your patients, which is intangible and cannot be quantified. The only way is to know that customers receive value and comfort by way of your medical practice.
• People: Healthcare is all about people – your current patients, potential patients, staff and management – everyone delivers or receives a service plays a significant part in the product category. Your patients will evaluate the service and satisfaction based on assumptions and interactions. Usually, patients do not have much insight to your medical skills, but they will know if they are pleased based on how you deal with them. Your reputation and your image are not yours alone – it is teamwork.
• Price: It is the amount people pay in exchange for the product received. Therefore, the price must be competitive, enough to generate profit, but may vary when bundled with promotional offers. Sometimes, price is the biggest factor. Therefore, as a practice owner, you must take a serious look at those areas where there is flexibility and be open to adjusting and reducing prices to meet your patients’ needs.
• Promotion: This refers to all the direct and indirect ways of communicating about your product to your people or potential patients. This may include personal and mass interaction. In all instances, promotion should always be carried out in a professional manner. The objective of promoting your practice is to examine how, when, what and where you can offer your service to your target audience.
• Place: This points to presenting your products or services to your target audience in the right place and at the right time. Needless to say, the ‘place’ will be your office where the product will meet the user. However, in healthcare, a change in location can impact the user’s decision to buy.
• Packaging: Take an unbiased look at the appearance of your office, front office, waiting area, brochures and website and the appearance of your medical staff. You might be surprised to see what patients are observing when they walk through your front door.
• Positioning: This refers to the way your brand, products or service are perceived by your target customers. If you could get the opportunity to create the ideal impression in the minds of your patients, what would you want it to be?

For successfully growing their practice and attracting new patients, many practices are working with medical marketing agencies. As a medical marketing agency , Practice Builders knows what is suitable for different medical specialties. We can introduce you to the best marketing tactics that will draw new patients to your practice. Moreover, we know how to develop effective business plans that will lead to significant growth in your medical practice. To find out more, contact us today.

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Sharon Mason Parker

Sharon has spent 25 years building teams and developing people to work together to help improve the client experience in the markets we serve. This ultimately benefits both customers and staff equally. Sharing best practices and ideas helps clients and team members envision new alternatives, which is quite fulfilling when positive change results. Sharon enjoys working closely with clients to understand the true drivers that are affecting their business environment. By engaging clients in meaningful exploration of their goals and challenges, she often discovers that an issue they asked for help in solving is merely a symptom of something else or something greater. Solving the real issue through truly listening and not just addressing the symptoms helps create true partnerships with clients.

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18 Health Care Business Ideas for Passionate Entrepreneurs

Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money .

The health care sector is an amazing place for aspiring entrepreneurs to open up shop. Exploring health care business ideas is smart for lots of reasons.

There’s an opportunity to do a world of good by serving an aging American population and helping those struggling with the national drug crisis. There are lots of new medical and technological advances, and widespread interest in health and wellness, too. And those are all great incentives for passionate entrepreneurs.

Plus, these factors combined mean there's a thriving market for health-related businesses. Aspiring new business owners can turn one of many health care business ideas into a viable way to make a living, including those entrepreneurs who want to work remotely.

This list of health care business ideas should get you started — and maybe inspire you to explore starting a business.

Why businesses in health care are worth exploring

Nationwide spending on health is projected to grow at an average rate of 5.5% annually through 2026. That’s one percentage point faster than the national GDP is projected to grow during that same time. And by 2026, health care is projected to account for nearly 20% of the GDP.

Employment in health care-related occupations is projected to grow 18% from 2016 to 2026, much faster than the average for all occupations, according to the U.S. Bureau of Labor Statistics. Nearly half of the 20 occupations projected to have the highest percentage increase in employment by 2026 are in the health care industry.

What that spells is a lot of opportunity.

One big reason for the surge in health care spending: By 2030, the Census Bureau projects, approximately one-fifth of the population will be 65 and older. This will be the first time in history that the number of Americans over age 65 will surpass the number of Americans under 18.

Keep those numbers in mind as you look through this list of health care business ideas.

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Once we uncover your personalized matches, our team will consult you on the process moving forward.

18 health care business ideas to consider

1. medical transcription services.

Medical transcriptionists transcribe doctors’, nurses’ and other health care practitioners’ voice recordings into written documents for patients’ records. Speech recognition technology has definitely improved the efficiency of medical transcription, sure. But it certainly hasn’t yet replaced the need for human transcriptionists to review and correct the transcriptions to make sure they’re accurate.

This is a great business to run from home because you can make your own hours, and all of the work can be done digitally. Plus, if you’re digitally savvy and can create an efficient (and secure) way to share files, you can really one-up the competition.

2. Medical records management

Start a service that manages medical records for hospitals, clinics and doctors’ offices. You can work with clients to identify the best records management systems, implement them and provide their staff with training on how to use the systems.

Another approach? You can offer full-service medical records management, and clients can outsource the work to you. This can be helpful for boutique practices and sole practitioners who need the organization but can’t afford the in-house staff.

3. Physical/occupational therapy center

Physical therapists help patients recover from injuries to regain their full range of motion and reduce pain. Occupational therapists provide more specific therapy to help patients perform tasks of daily living, such as dressing themselves or feeding themselves. You can specialize in one or the other, or put both under one roof. Note that this does require certification.

4. Develop a health care app

Both health care providers and individuals alike are increasingly turning to mobile apps to track, record and manage medical conditions. The world is your oyster if you’re skilled in app development, so you might want to consider developing your own health care app targeting these markets. Do some field research to find out where your skills can fit a need.

5. Diabetic care center

According to the CDC, 9.4% of all Americans either have diabetes or are prediabetic . Opening a diabetic care center can help diabetic patients improve their quality of life by providing nutrition counseling, dialysis and other medical services. You can also provide preventive help such as teaching healthy eating habits or providing support groups for diabetics.

6. Home health care service

A home health care business provides in-home medical care for recently discharged hospital patients, patients with chronic health conditions, seniors and others who need assistance managing their health.

In states with rapidly aging populations, like Florida and California, not only could this be a benefit to the community — but also a strong business prospect for you.

7. Medical foot care

A growing population of seniors and diabetics means more need for foot care services. Something as simple as trimming toenails can be impossible for seniors and overweight patients who can’t reach their feet. You can either open a foot care clinic or save patients a trip to the podiatrist by providing mobile foot care services in their homes or in a van. You’ll need to train as a podiatrist or hire one.

8. Drug treatment/rehabilitation center

As drug use has escalated to become a national crisis in the United States, legitimate places for people to seek treatment for their addictions and rebuild their lives are needed more than ever. Every day, more than 115 Americans die after overdosing on opioids, according to the National Institute on Drug Abuse .

Open a drug treatment and rehabilitation center to help clients with drug addiction. You can specialize in different types of patients, such as juveniles or more senior patients.

9. Childbirth services

Today's expectant parents want to control every aspect of childbirth, and that often includes having a midwife or doula present at the birth. The use of midwives is increasing , according to the American College of Nurse-Midwives.

Midwives are trained health care providers who assist women during childbirth, while a doula is more like a pregnancy coach who helps couples arrange all aspects of the birth and caring for the newborn. You can either become certified yourself or open a business that employs contractors under your umbrella.

10. Medical billing service

Medical billing requires performing complex coding when submitting insurance claims. Keep in mind, certification is required in this field to ensure that doctors and other health care practitioners get paid.

Although big hospitals and health care organizations often have in-house staff, small medical practices that don’t have time to manage billing and coding themselves are an ideal market for medical billing services. Acquire and learn medical billing software, get trained in proper coding and target these smaller medical practices to take medical billing hassles off their hands. And you can even earn your certification online.

11. Nutritionist/dietitian

If you want to help people improve their nutritional intake and habits, you can build a business as a nutritionist or dietitian. Only nutritionists who get a license with the Commission on Dietetic Registration, or CDR, can advertise themselves as dietitians. Some states regulate nutritionists and others don’t.

You can specialize in different types of clients, such as sports nutrition, nutrition for weight loss or holistic nutrition.

12. Alternative health care

Acupuncture and massage therapy are two alternative health care business ideas that are becoming more popular. Many are using these services to supplement their traditional medical treatment — or as a primary treatment unto itself.

Check with your state to see what the requirements are to practice; they vary across the country. Even when health insurance plans don’t provide coverage, Americans are more willing to pay out-of-pocket for these types of care than they used to be.

13. Health information website

If you have health care expertise — or access to people who do — consider starting a website to provide health care information and advice. You can create all kinds of content, such as podcasts, YouTube videos and even online classes, in addition to blog posts.

You might even be able to get health care experts to contribute content for free in exchange for the publicity your site offers. There are a lot of options; just make certain that you do some market research to figure out the white space to fill, and find viable revenue streams to make your business highly sustainable, too.

14. Medical supply sales

Seniors, people with disabilities and those with chronic illnesses have an ongoing need for medical supplies and equipment. This can include walkers, braces, bedpans and more.

Although you can open a physical store, keep in mind that your target customers will often have difficulty getting to your location, so an online store is likely a better bet. Again, research here will be key so you can make sure that you’re stocking the right products and marketing in the right places.

15. Stylish uniforms for medical professionals

Medical professionals who wear scrubs to work are always looking for affordable and durable uniforms. They’re also looking for stylish options — and those aren’t as easy to find. Start a store selling scrubs, comfortable shoes, lab coats and other gear for health care professionals. You can design the goods yourself or source them from multiple places, and encourage your customers with word-of-mouth incentives to drive sales.

16. Hearing aid dispensary

Because hearing aids generally aren’t covered by health insurance, this can be a lucrative health care business idea if you find the right customer base. You might want to open a location to provide hearing tests, recommendations and hearing aid fittings and care. You could even outfit a mobile van to come to customers' homes to clean and repair their hearing aids as an extra service.

17. Respite care service for caregivers

Whether they’re parents caring for severely disabled children or adult children caring for aging parents, caregivers have a stressful job. Provide a much-needed break for caregivers by starting a respite care business. Your caregivers can come in for a few hours or a few days, giving family caregivers a chance to rest.

18. Medical marijuana dispensary

As a growing number of states legalize medical marijuana, this $8 billion industry is projected to continue its growth, according to IBISWorld . Opening a medical marijuana dispensary can be a profitable business in the right location; however, changing state and federal regulations could affect your startup. (Marijuana is still illegal under federal law.)

Frequently asked questions

How do i start a health care business.

When you start a health care business, it can be helpful to begin by writing a business plan, registering your business and hiring employees. While all businesses need to obtain any necessary licenses, permits and forms of insurance, health care businesses may require earning professional designations or taking out extra forms of insurance. Research what you need to run your business safely and legally before you launch.

How do I start a home health care business?

Starting a home health care business requires a high level of professionalism, even if you’re running a business where the bulk of the work will occur in your clients’ homes. For example, you may still need office space to train your employees. Like starting any business, it is important to write a business plan, register your business and create proper business procedures. You should also obtain any necessary licenses, permits and insurance for running a business in your area, as well as for working within the health care industry.

How do I write a business plan in health care?

In general, a business plan is an organizational tool that business owners can follow when they need guidance. This document can also tell outside parties, such as investors, about your business and its value. A good business plan should include thorough research about your industry, market and competitors, as well as dive into your financials, products and services and your marketing plan. When writing a business plan in health care, it will be important to do heavy research on the industry, as well as outline clearly what medical services or products you will be offering and why you or your staff are qualified to run a health care business safely.

Start Your Dream Business

The bottom line

There are a lot of potential great health care business ideas for entrepreneurs interested in the health care sector — and many opportunities for health care business ideas to become real, sustainable businesses.

Be sure to check regulations, licensing, professional training or degrees needed for these businesses before you get started, and do lots of market research. Don’t forget that “care” part, of course.

On a similar note...

Medical and Health Business Plan Templates

Written by Dave Lavinsky

In the medical and healthcare industry, where the balance between patient care and operational efficiency is paramount, a comprehensive business plan stands as a critical element for success. It serves as a strategic guide, vital for navigating the sector’s regulatory complexities, technological advancements, and evolving patient needs.

Below you will find an extensive array of business plan examples for a variety of medical and healthcare businesses, including private clinics, medical device startups, telemedicine services, and healthcare consulting firms. Each plan is meticulously crafted to address crucial aspects such as market research, compliance with healthcare regulations, service delivery models, and financial management. These plans are invaluable for professionals and entrepreneurs in the healthcare sector, providing a structured approach to developing services that are not only medically effective but also financially viable and operationally sustainable. They underscore the importance of strategic planning in creating a healthcare business capable of delivering high-quality patient care while navigating the challenges of this highly regulated and competitive industry.

Medical Practice Business Plans

Acupuncture Business Plan PDF Chiropractic Business Plan Chiropractic Business Plan PDF Counseling Private Practice Business Plan Dental Business Plan Medical Clinic Business Plan PDF Medical Practice Business Plan Mental Health Private Practice Business Plan Mobile Health Clinic Business Plan Optometrist Business Plan  

Nursing Home, Elderly Care and Home Health Business Plans

Assisted Living Business Plan Elderly Daycare Business Plan Group Home Business Plan Sample Group Home Business Plan PDF Home Health Care Business Plan Non Medical Home Care Business Plan Nursing Home Business Plan  

Other Medical and Health Business Plans

Apothecary Business Plan Drug Rehabilitation Business Plan Health Coaching Business Plan IV Hydration Business Plan Medical Billing Business Plan Medical Device Business Plan Medical Device Business Plan PDF Non Emergency Medical Transportation Business Plan Mobile Phlebotomy Business Plan Pharmaceutical Business Plan Pharmacy Business Plan Physical Therapy Business Plan Physical Therapy Business Plan PDF Sober Living Business Plan Transitional Housing Business Plan Urgent Care Business Plan Medical Transpostation Business Plan

How to Start a Healthcare Business: The Ultimate Guide

As clinicians, nurse practitioners (NPs) evaluate patients, order and interpret diagnostic tests, diagnose and treat conditions, and prescribe medicines — independently or with varying degrees of physician oversight, depending on state laws. About 20 states and the District of Columbia authorize  NPs to operate independently , in what is called a full practice environment.

As more states consider whether to give full practice authority to NPs, more NPs will consider the benefits of launching their own healthcare businesses. The requirements include not only clinical preparation but also business savvy — understanding the financial, technological, and administrative aspects of starting and running a business. To learn more about how to start a healthcare business, nurses would do well to seek advanced education from programs such as an  online Doctor of Nursing Practice .

Developing the Skills to Start a Healthcare Business

To become NPs, nurses complete advanced degrees and acquire expertise in clinical and evidence-based practice. Their education includes conducting research and developing treatment strategies. NPs must also meet national standards in clinical education and pass a national NP board certification exam, according to the American Association of Nurse Practitioners (AANP).

To run a business in a state that grants NPs full practice authority, NPs must be prepared as both clinicians and managers. Full practice authority means that NPs can “evaluate patients, diagnose, order and interpret diagnostic tests, and initiate and manage treatments — including prescribe medications — under the exclusive licensure authority of the state board of nursing,” according to the AANP. NPs investigating how to start a healthcare business should understand their states’ licensing requirements.

Advanced practice nurses looking to launch their practices should be strong leaders and compassionate communicators; they should also be detail oriented. Enrolling in a Doctor of Nursing Practice (DNP) program can help them to acquire these essential skills.

Entering the Business of Healthcare

Starting and running a successful healthcare practice requires several strategic steps.

Securing Financing

Before starting a business, an NP must consider how to finance the costs of acquiring medical equipment and renovating an office. Other business expenses include payroll, supplies, professional services (such as accounting and marketing), and taxes. Insurance reimbursements for healthcare services are often delayed, so the practice may also need financing for cash flow requirements. A solid business plan can help NPs to show the promise of their medical practices to lenders. Loans may also be available for practices looking to expand their service offerings, like including a diagnostic lab in the practice. The following are examples of lenders NPs can turn to for help with funding:

• Traditional lenders.  Banks and similar institutions can offer long-term loans for significant investments, such as acquiring another practice or purchasing a building. Loan application processes can be lengthy: Banks typically require a clear business plan and documentation of income.
• Small Business Administration loans.  Government guarantees for Small Business Administration (SBA) loans encourage banks to lend and make it easier for businesses to qualify. Proof of income is required.
• Alternative lenders.  If the practice needs less money but needs it quickly, alternative lenders may be an option. A borrower may only need to show three months of bank statements and verifiable income to qualify. These loans may have a higher interest than traditional loans.

Building the Practice

A quality practice needs proper administrative staff to ensure accurate scheduling of appointments and effective management of paperwork. When hiring clinical staff, NPs must assess how patients would respond to a candidate. Providing real-life scenarios to a candidate during a face-to-face interview may help to determine if the candidate is a good fit for the practice. For more insight, an NP can ask a job candidate to spend a paid day on-site.

Building a practice requires modern equipment and tools, such as an electronic health record (EHR) system. Other considerations include third-party medical billing services and credit card processors.

Pre-Opening Strategies

A necessary step to take before opening the practice includes incorporation and obtaining an employer tax ID number. Incorporation helps to protect an NP’s nonbusiness assets.

NPs must also go through a credentialing process with payers. This can take several months and involves a review of work history, proof of malpractice insurance, and verification of hospital privileges.

To efficiently run an office from the beginning, NPs must have in place policies and procedures for all staff involved in crucial elements of the practice, such as interacting with patients and getting paid for services rendered. NPs also need to ensure that documentation of regulatory compliance is up to date.

After the Practice Is Open

By refining processes and procedures and ensuring accountability at all levels, an NP can improve the way a practice operates. Hiring an experienced, trustworthy office manager can go a long way toward helping the NP achieve this aim.

As clinicians and business owners, NPs must remain current on regulations, payer rules, and government healthcare policies, all of which are evolving. The practice must also market its services to potential customers, through methods such as referrals and social media campaigns.

The Future of Nurse Entrepreneurship

NPs are critical thinkers and resourceful with delegation and leadership competencies: These traits can help them in their entrepreneurial pursuits. Potential healthcare-related opportunities include serving as consultants. In healthcare consulting, they help to interpret medical information for patients. They can also consult other nurses and help to guide them on complicated diagnoses and treatment.

Nurses seeking to grow their business networks can do so through organizations such as the National Nurses in Business Association (NNBA), which hosts conferences, workshops, and events throughout the year.

Nurse entrepreneurs in the states that require advanced practice nurses to have a consulting relationship with physicians can leverage that experience to transition to entrepreneurship. As more states grant advanced practice nurses independent practice authority, nurses with an entrepreneurial mindset can be ready to launch their own practices.

Own a Healthcare Business

Amid the transformative changes in healthcare, NPs are asked to take on an increasingly important role. Advanced education can help students to build the clinical and business acumen they need to practice independently. DNP studies can provide graduates with expertise in evidence-based practice, organizational behavior, quality improvement, and relevant technology. Explore how  Maryville University’s Online Doctor of Nursing Practice programs  can prepare you to lead an independent practice and optimize patient outcomes.

• Doctor of Nursing Practice with NP Concentration
• Doctor of Nursing Practice

American Association of Nurse Practitioners, Issues at a Glance: Full Practice Authority

Business News Daily, “How to Open a Private Practice, Step by Step”

HealthLeaders, “More States Pushing for Autonomy in Scope-of-Practice Battle”

National Funding, “7 Ways Medical Practice Financing Can Elevate Your Business”

National Nurses in Business Association, NNBA History

Small Business Trends, “9 Great Business Ideas for Nurse Entrepreneurs”

Small Business Trends, “10 Tips for Hiring Staff with Great Bedside Manner for Healthcare Businesses”

U.S. Bureau of Labor Statistics, Nurse Anesthetists, Nurse Midwives, and Nurse Practitioners

Learn more about our programs.

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7 steps to writing a business plan for your healthcare business

Creating a strong business plan is the key to a successful private healthcare business.

When it comes to building your private healthcare business, writing a strong business plan and implementing it properly is perhaps the most effective strategy to propel your business to success. Whether you are just starting out, or are already an established healthcare practice, it is never too late to write your business plan and put it in place.

We’ve put together seven steps to help you write a healthcare business plan and then implement it. You can also find a sample private practice business plan PDF here to get you started!

Download our free Business Plan template here!

1. Identify your end goal

Perhaps the most important step of writing a business plan is identifying what it is you are trying to achieve. Identifying clear business goals will enable you to build a step-by-step plan to ultimately achieve these aims. 

Dr Gero Baiarda, Clinical Director at GPDQ, states the importance of knowing your practice’s aims in our ‘Launching a Private Practice’ ebook. He states that identifying your purpose, vision, and mission, will help keep you consistent and accountable to your goals. Knowing exactly what you are seeking to achieve in your business will mean that your business plan is tailored to achieving that goal at every step.

2. Get to know your business in numbers

To write a business plan that will enable you to reach your goals, you need to understand how your business is currently performing . Obtaining a complete and in-depth overview of the health of your business will help you to make concrete and achievable goals based on accurate data. 

Tracking data is also essential as you progress further with your business. You can’t make a successful business plan without knowing your business inside and out, and you won’t be able to understand how you are performing against your business plan without measuring data as you go.

Make sure you have access to business management tools that allow you to track the key data, such as revenue, patient numbers, cash flow, and other financial and patient demographics which will be useful for your growth goals.

Find out more about Semble’s business management tools here.

3. Break it into smaller steps

With a business goal in mind, the best way to create a business plan is to break it down into smaller, achievable steps. By doing this you will be able to map out a clear trajectory for your business over the next months or years and it will be easier to track your progress against your aims and expectations. 

Work backwards from the end goal to create smaller steps, each with a clear, quantifiable goal, such as reaching a revenue goal in a certain month or number of patients reached. If you work well with visuals, experiment with creating a visual diagram or board that you can keep close at hand to check and measure up against as you grow your healthcare business.

4. Identify key successes and failures

A business plan is about improving and growing your business, and to do this it is important to understand your strengths and weaknesses. Consider what has worked well for your business and what has not. 

For example, how is your staff management? Does your team work well together, understand their individual roles, and achieve tasks efficiently ? 

By identifying main strengths, you can work them into your plan to help you improve business performance. Identifying any weaknesses will enable you to know areas that need some attention and a greater input of time and resources to help you build an all-around stronger business. 

5. Get to know your target market

An understanding of your patient’s needs is essential to performing well in the market. Your patient population will depend to an extent on the healthcare services you are offering, but conducting key market research into the specific needs of your patients will help you to create a unique and tailored service that will perform better in the market.

Oliver Capel, Managing Director at Medico Digital, explains that market research and patient demographics such as age, gender, religion, income level, and more, can help you to cultivate a more targeted and effective marketing strategy because it provides insight into what sort of marketing materials will be best received by patients. For example, a young mother will respond differently to marketing than a 60-year old male retiree.

Explore how to use patient market research to improve your business performance in Chapter 2 of the ‘Launching a Private Practice’ ebook . 

6. Schedule regular time for business management

You can’t expect to see results in business growth if you don’t invest the time and energy into nurturing it. Whether that be investing in your own development with business management learning time, or setting aside a weekly hour for growth strategy and progress reviewing, it is essential that you carve out time to work on your business.

There are many online courses, books, and guides for basic business management which could help you learn invaluable skills for managing and growing your healthcare business.  Start by identifying areas where you have less knowledge and schedule in an hour a week for learning, planning, and strategy. 

Even as little as one hour a week will have a profound effect on your business skills and management, and the results will soon be evident!

7. Get your team on board

There is little point in setting goals if your team is unaware of what they are. Sharing business goals with your team and employees means that everyone can do their part to reach certain milestones and improve the business. It also helps to create a stronger network that you can rely on to carry out delegated tasks and ease the burden of both business management and the day-to-day running of your private healthcare practice.

Whether it be improving customer service with better bedside manner, or making changes to workflows to improve efficiency, making your team aware of the end goal will help them understand why change is needed and thus more likely to get on board.

Get started writing your business plan with this free private healthcare practice business plan PDF!

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Using your data for business performance - Part 1: Financial Data

Discover the key financial data you should be tracking in your private healthcare practice and how to use it to improve business performance.

Using your data for business performance - Part 2: Patient treatment journeys

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Building a data-driven private healthcare practice

Why tracking business data is essential for growing your private healthcare business

The future of healthcare: Value creation through next-generation business models

The healthcare industry in the United States has experienced steady growth over the past decade while simultaneously promoting quality, efficiency, and access to care. Between 2012 and 2019, profit pools (earnings before interest, taxes, depreciation, and amortization, or EBITDA) grew at a compound average growth rate of roughly 5 percent. This growth was aided in part by incremental healthcare spending that resulted from the 2010 Affordable Care Act. In 2020, subsidies for qualified individual purchasers on the marketplaces and expansion of Medicaid coverage resulted in roughly $130 billion 1 Federal Subsidies for Health Insurance Coverage for People Under Age 65: CBO and JCT’s March 2020 Projections, Congressional Budget Office, Washington, DC, September 29, 2020, cbo.gov. 2 Includes adults made eligible for Medicaid by the ACA and marketplace-related coverage and the Basic Health Program. of incremental healthcare spending by the federal government.

The next three years are expected to be less positive for the economics of the healthcare industry, as profit pools are more likely to be flat. COVID-19 has led to the potential for economic headwinds and a rebalancing of system funds. Current unemployment rates (6.9 percent as of October 2020) 3 The employment situation—October 2020 , US Department of Labor, November 6, 2020, bls.gov. indicate some individuals may move from employer-sponsored insurance to other options. It is expected that roughly between $70 billion and $100 billion in funding may leave the healthcare system by 2022, compared with the expected trajectory pre-COVID-19. The outflow is driven by coverage shifts out of employer-sponsored insurance, product buy-downs, and Medicaid rate pressures from states, partially offset by increased federal spending in the form of subsidies and cost sharing in the Individual market and in Medicaid funding.

Underlying this broader outlook are chances to innovate (Exhibit 1). 4 Smit S, Hirt M, Buehler K, Lund S, Greenberg E, and Govindarajan A, “ Safeguarding our lives and our livelihoods: The imperative of our time ,” March 23, 2020, McKinsey.com. Innovation may drive outpaced growth in three categories: segments that are anticipated to rebound from poor performance over recent years, segments that benefit from shifting care patterns that result directly from COVID-19, and segments where growth was expected pre-COVID-19 and remain largely unaffected by the pandemic. For the payer vertical, we estimate profit pools in Medicaid will likely increase by more than 10 percent per annum from 2019 to 2022 as a result of increased enrollment and normalized margins following historical lows. In the provider vertical, the rapid acceleration in the use of telehealth and other virtual care options spurred by COVID-19 could continue. 5 Bestsennyy O, Gilbert G, Harris A, and Rost J, “ Telehealth: A quarter-trillion-dollar post-COVID-19 reality? ” May 29, 2020, McKinsey.com. Growth is expected across a range of sub-segments in the services and technology vertical, as specialized players are able to provide services at scale (for example, software and platforms and data and analytics). Specialty pharmacy is another area where strong growth in profit pools is likely, with between 5 and 10 percent compound annual growth rate (CAGR) expected in infusion services and hospital-owned specialty pharmacy sub-segments.

Strategies that align to attractive and growing profit pools, while important, may be insufficient to achieve the growth that incumbents have come to expect. For example, in 2019, 34 percent of all revenue in the healthcare system was linked to a profit pool that grew at greater than 5 percent per year (from 2017 to 2019). In contrast, we estimate that only 13 percent of revenue in 2022 will be linked to profit pools growing at that rate between 2019 and 2022. This estimate reflects that profit pools are growing more slowly due to factors that include lower membership growth, margin pressure, and lower revenue growth. This relative scarcity in opportunity could lead to increased competition in attractive sub-segments with the potential for profits to be spread thinly across organizations. Developing new and innovative business models will become important to achieve the level of EBITDA growth observed in recent years and deliver better care for individuals. The good news is that there is significant opportunity, and need, for innovation in healthcare.

New and innovative business models across verticals can generate greater value and deliver better care for individuals

Glimpse into profit pool analyses and select sub-segments.

Within the context of these overarching observations, the projections for specific sub-segments are nuanced and tightly connected to the specific dynamics each sub-segment is currently facing:

• Payer—Small Group: Small group has historically seen membership declines and we expect this trend to continue and/or accelerate in the event of an economic downturn. Membership declines will increase competition and put pressure on incumbent market leaders to both maintain share and margin as membership declines, but fixed costs remain.
• Payer—Medicare Advantage: Historic profit pool growth in the Medicare Advantage space has been driven by enrollment gains that result from demographic trends and a long-term trend of seniors moving from traditional Medicare fee-for-service programs to Medicare Advantage plans that have increasingly offered attractive ancillary benefits (for example, dental benefits, gym memberships). Going forward, we expect Medicare members to be relatively insulated from the effects of an economic downturn that will impact employers and individuals in other payer segments.
• Provider—General acute care hospitals: Cancelation of elective procedures due to COVID-19 is expected to lead to volume and revenue reductions in 2019 and 2020. Though volume is expected to recover partially by 2022, growth will likely be slowed due to the accelerated shift from hospitals to virtual care and other non-acute settings. Payer mix shifts from employer-sponsored to Medicaid and uninsured populations in 2020 and 2021 are also likely to exert downward pressure on hospital revenue and EBITDA, possibly driving cost-optimization measures through 2022.
• Provider—Independent labs: COVID-19 testing is expected to drive higher than average utilization growth in independent labs through 2020 and 2021, with more typical utilization returning by 2022. However, labs may experience pressure on revenue and EBITDA growth as the payer mix shifts to lower-margin segments, offsetting some of the gains attributed to utilization.
• Provider—Virtual office visits: Telehealth has helped expand access to care at a time when the pandemic has restricted patients’ ability to see providers in person. Consumer adoption and stickiness, along with providers’ push to scale-up telehealth offerings, are expected to lead to more than 100 percent growth per annum in the segment from 2019 to 2022, going beyond traditional “tele-urgent” to more comprehensive virtual care.
• HST—Medical financing: The medical financing segment may be negatively impacted in 2020 due to COVID-19, as many elective services for which financing is used have been deferred. However, a quick bounce-back is expected as more patients lacking healthcare coverage may need financing in 2021, and as providers may use medical financing as a lever to improve cash reserves.
• HST—Wearables: Looking ahead, the wearables segment is expected to see a slight dip in 2020 due to COVID-19, but is expected to rebound in 2021 and 2022 given consumer interest in personal wellness and for tracking health indicators.
• Pharma services—Pharmacy benefit management: The growth is expected to return to baseline expectations by 2022 after an initial decline in 2020 and 2021 due to the COVID-19-driven decrease in prescription volume.

New and innovative business models are beginning to show promise in delivering better care and generating higher returns. The existence of these models and their initial successes are reflective of what we have observed in the market in recent years: leading organizations in the healthcare industry are not content to simply play in attractive segments and markets, but instead are proactively and fundamentally reshaping how the industry operates and how care is delivered. While the recipe across verticals varies, common among these new business models are greater alignment of incentives typically involving risk bearing, better integration of care, and use of data and advanced analytics.

Payers—Next-generation managed care models

For payers, the new and innovative business models that are generating superior returns are those that incorporate care delivery and advanced analytics to better serve individuals with increasingly complex healthcare needs (Exhibit 2). As chronic disease and other long-term conditions require more continuous management supported by providers (for example, behavioral health conditions), these next-generation managed care models have garnered notice. Nine of the top ten payers have made acquisitions in the care delivery space. Such models intend to reorient the traditional payer model away from an operational focus on financing healthcare and pricing risk, and toward more integrated managed care models that better align incentives and provide higher-quality, better experience, lower-cost, and more accessible care. Payers that deployed next-generation managed care models generate 0.5 percentage points of EBITDA margin above average expectations after normalizing for payer scale, geographical footprint, and segment mix, according to our research.

The evidence for the effectiveness of these next-generation care models goes beyond the financial analysis of returns. We observe that these models are being deployed in those geographies that have the greatest opportunity to positively impact individuals. Those markets with 1) a critical mass of disease burden, 2) presence of compressible costs (the opportunity for care to be redirected to lower-cost settings), and 3) a market structure conducive to shifting to higher-value sites of care, offer substantial ways to improve outcomes and reduce costs. (Exhibit 3).

Currently, a handful of payers—often large national players with access to capital and geographic breadth that enables acquisition of at-scale providers and technologies—have begun to pursue such models. Smaller payers may find it more difficult to make outright acquisitions, given capital constraints and geographic limitations. M&A activity across the care delivery landscape is leaving smaller and more localized assets available for integration and partnership. Payers may need to increasingly turn toward strategic partnerships and alliances to create value and integrate a range of offerings that address all drivers of health.

Providers—reimagining care delivery beyond the hospital

For health systems, through an investment lens, the ownership and integration of alternative sites of care beyond the hospital has demonstrated superior financial returns. Between 2013 and 2018, the number of transactions executed by health systems for outpatient assets increased by 31 percent, for physician practices by 23 percent, and for post-acute care assets by 13 percent. At the same time, the number of hospital-focused deals declined by 6 percent. In addition, private equity investors and payers are becoming more active dealmakers in these non-acute settings. 6 CapitalIQ, Dealogic, and Irving Levin Associates. 7 In 2018, around 40 percent of all post-acute and outpatient deals were completed by an acquirer other than a traditional provider.

As investment is focused on alternative sites of care, we observe that health systems pursuing diversified business models that encompass a greater range of care delivery assets (for example, physician practices, ambulatory surgery centers, and urgent care centers) are generating returns above expectations (Exhibit 4). By offering diverse settings to receive care, many of these systems have been able to lower costs, enhance coordination, and improve patient experience while maintaining or enhancing the quality of the services provided. Consistent with prior research, 8 Singhal S, Latko B, and Pardo Martin C, “ The future of healthcare: Finding the opportunities that lie beneath the uncertainty ,” January 31, 2018, McKinsey.com. systems with high market share tend to outperform peers with lower market share, potentially because systems with greater share have greater ability not only to ensure referral integrity but also to leverage economies of scale that drive efficiency.

The extent of this outperformance, however, varies by market type. For players with top quartile share, the difference in outperformance between acute-focused players and diverse players is less meaningful. Contrastingly, for bottom quartile players, the increase in value provided by presence beyond the acute setting is more significant. While there may be disadvantages for smaller and sub-scale providers, opportunities exist for these players—as well as new entrants and attackers—to succeed by integrating offerings across the care continuum.

These new models and entrants and their non-acute, technology-enabled, and multichannel offerings can offer a different vision of care delivery. Consumer adoption of telehealth has skyrocketed, from 11 percent of US consumers using telehealth in 2019 to 46 percent now using telehealth to replace canceled healthcare visits. Pre-COVID-19, the total annual revenues of US telehealth players were an estimated $3 billion; with the acceleration of consumer and provider adoption and the extension of telehealth beyond virtual urgent care, up to $250 billion of current US healthcare spend could be virtualized. 9 Bestsennyy O, Gilbert G, Harris A, and Rost J, “ Telehealth: A quarter-trillion-dollar post-COVID-19 reality? ” May 29, 2020, McKinsey.com. These early indications suggest that the market may be shifting toward a model of innovative tech-enabled care, one that unlocks value by integrating digital and non-acute settings into a comprehensive, coordinated, and lower-cost offering. While functional care coordination is currently still at the early stages, the potential of technology and other alternative settings raises the question of the role of existing acute-focused providers in a more integrated and digital world.

Would you like to learn more about our Healthcare Systems & Services Practice ?

Healthcare services and technology—innovation and integration across the value chain.

Growth in the healthcare services and technology vertical has been material, as players are bringing technology-enabled services to help improve patient care and boost efficiency. Healthcare services and technology companies are serving nearly all segments of the healthcare ecosystem. These efforts include working with payers and providers to better enable the link between actions and outcomes, to engage with consumers, and to provide real-time and convenient access to health information. Since 2014, a large number and value of deals have been completed: more than 580 deals, or $83 billion in aggregate value. 10 Includes deals over $10 million in value. 11 Analysis from PitchBook Data, Inc. and McKinsey Healthcare Services and Technology domain profit pools model. Venture capital and private equity have fueled much of the innovation in the space: more than 80 percent 12 Includes deals over $10 million in value. of deal volume has come from these institutional investors, while more traditional strategic players have focused on scaling such innovations and integrating them into their core.

Driven by this investment, multiple new models, players, and approaches are emerging across various sub-segments of the technology and services space, driving both innovation (measured by the number of venture capital deals as a percent of total deals) and integration (measured by strategic dollars invested as a percent of total dollars) with traditional payers and providers (Exhibit 5). In some sub-segments, such as data and analytics, utilization management, provider enablement, network management, and clinical information systems, there has been a high rate of both innovation and integration. For instance, in the data and analytics sub-segment, areas such as behavioral health and social determinants of health have driven innovation, while payer and provider investment in at-scale data and analytics platforms has driven deeper integration with existing core platforms. Other sub-segments, such as patient engagement and population health management, have exhibited high innovation but lower integration.

Traditional players have an opportunity to integrate innovative new technologies and offerings to transform and modernize their existing business models. Simultaneously, new (and often non-traditional) players are well positioned to continue to drive innovation across multiple sub-segments and through combinations of capabilities (roll-ups).

Pharmacy value chain—emerging shifts in delivery and management of care

The profit pools within the pharmacy services vertical are shifting from traditional dispensing to specialty pharmacy. Profits earned by retail dispensers (excluding specialty pharmacy) are expected to decline by 0.5 percent per year through 2022, in the face of intensifying competition and the maturing generic market. New modalities of care, new care settings, and new distribution systems are emerging, though many innovations remain in early stages of development.

Specialty pharmacy continues to be an area of outpaced growth. By 2023, specialty pharmacy is expected to account for 44 percent of pharmacy industry prescription revenues, up from 24 percent in 2013. 13 Fein AJ, The 2019 economic report on U.S. pharmacies and pharmacy benefit managers , Drug Channels Institute, 2019, drugchannelsinstitute.com. In response, both incumbents and non-traditional players are seeking opportunities to both capture a rapidly growing portion of the pharmacy value chain and deliver better experience to patients. Health systems, for instance, are increasingly entering the specialty space. Between 2015 and 2018 the share of provider-owned pharmacy locations with specialty pharmacy accreditation more than doubled, from 11 percent in 2015 to 27 percent in 2018, creating an opportunity to directly provide more integrated, holistic care to patients.

Challenges emerge for the US healthcare system as COVID-19 cases rise

A new wave of modalities of care and pharmaceutical innovation are being driven by cell and gene therapies. Global sales are forecasted to grow at more than 40 percent per annum from 2019 to 2024. 14 Evaluate Pharma, February 2020. These new therapies can be potentially curative and often serve patients with high unmet needs, but also pose challenges: 15 Capra E, Smith J, and Yang G, “ Gene therapy coming of age: Opportunities and challenges to getting ahead ,” October 2, 2019, McKinsey.com. upfront costs are high (often in the range of $500,000 to $2,000,000 per treatment), benefits are realized over time, and treatment is complex, with unique infrastructure and supply chain requirements. In response, both traditional healthcare players (payers, manufacturers) and policy makers (for example, the Centers for Medicare & Medicaid Services) 16 Centers for Medicare & Medicaid Services, “Medicaid program; establishing minimum standards in Medicaid state drug utilization review (DUR) and supporting value-based purchasing (VBP) for drugs covered in Medicaid, revising Medicaid drug rebate and third party liability (TPL) requirements,” Federal Register , June 19, 2020, Volume 85, Number 119, p. 37286, govinfo.gov. are considering innovative models that include value-based arrangements (outcomes-based pricing, annuity pricing, subscription pricing) to support flexibility around these new modalities.

Innovations also are accelerating in pharmaceutical distribution and delivery. Non-traditional players have entered the direct-to-consumer pharmacy space to improve efficiency and reimagine customer experience, including non-healthcare players such as Amazon (through its acquisition of PillPack in 2018) and, increasingly, traditional healthcare players as well, such as UnitedHealth Group (through its acquisition of DivvyDose in September 2020). COVID-19 has further accelerated innovation in patient experience and new models of drug delivery, with growth in tele-prescribing, 17 McKinsey COVID-19 Consumer Survey conducted June 8, 2020 and July 14, 2020. a continued shift toward delivery of pharmaceutical care at home, and the emergence of digital tools to help manage pharmaceutical care. Select providers have also begun to expand in-home offerings (for example, to include oncology treatments), shifting the care delivery paradigm toward home-first models.

A range of new models to better integrate pharmaceutical and medical care and management are emerging. Payers, particularly those with in-house pharmacy benefit managers, are using access to data on both the medical and pharmacy benefit to develop distinctive insights and better coordinate across pharmacy and medical care. Technology providers, together with a range of both traditional and non-traditional healthcare players, are working to integrate medical and pharmaceutical care in more convenient settings, such as the home, through access to real-time adherence monitoring and interventions. These players have an opportunity to access a broad range of comprehensive data, and advanced analytics can be leveraged to more effectively personalize and target care. Such an approach may necessitate cross-segment partnerships, acquisitions, and/or alliances to effectively integrate the many components required to deliver integrated, personalized, and higher-value care.

Creating and capturing new value

These materials are being provided on an accelerated basis in response to the COVID-19 crisis. These materials reflect general insight based on currently available information, which has not been independently verified and is inherently uncertain. Future results may differ materially from any statements of expectation, forecasts or projections. These materials are not a guarantee of results and cannot be relied upon. These materials do not constitute legal, medical, policy, or other regulated advice and do not contain all the information needed to determine a future course of action. Given the uncertainty surrounding COVID-19, these materials are provided “as is” solely for information purposes without any representation or warranty, and all liability is expressly disclaimed. References to specific products or organizations are solely for illustration and do not constitute any endorsement or recommendation. The recipient remains solely responsible for all decisions, use of these materials, and compliance with applicable laws, rules, regulations, and standards. Consider seeking advice of legal and other relevant certified/licensed experts prior to taking any specific steps.

Before the COVID-19 pandemic, our research indicated that profits for healthcare organizations were expected to be harder to earn than they have been in the recent past, which has been made even more difficult by COVID-19. New entrants and incumbents who can reimagine their business models have a chance to find ways to innovate to improve healthcare and therefore earn superior returns. The opportunity for incumbents who can reimagine their business models and new entrants is substantial.

Institutions will be expected to do more than align with growth segments of healthcare. The ability to innovate at scale and with speed is expected to be a differentiator. Senior leaders can consider five important questions:

• How does my business model need to change to create value in the future healthcare world? What are my endowments that will allow me to succeed?
• How does my resource (for example, capital and talent) allocation approach need to change to ensure the future business model is resourced differentially compared with the legacy business?
• How do I need to rewire my organization to design it for speed? 18 De Smet A, Pacthod D, Relyea C, and Sternfels B, “ Ready, set, go: Reinventing the organization for speed in the post-COVID-19 era ,” June 26, 2020, McKinsey.com.
• How should I construct an innovation model that rapidly accesses the broader market for innovation and adapts it to my business model? What ecosystem of partners will I need? How does my acquisition, partnership, and alliances approach need to adapt to deliver this rapid innovation?
• How do I prepare my broader organization to adopt and scale new innovations? Are my operating processes and technology platforms able to move quickly in scaling innovations?

There is no question that the next few years in healthcare are expected to require innovation and fresh perspectives. Yet healthcare stakeholders have never hesitated to rise to the occasion in a quest to deliver innovative, quality care that benefits everyone. Rewiring organizations for speed and efficiency, adapting to an ecosystem model, and scaling innovations to deliver meaningful changes are only some of the ways that helping both healthcare players and patients is possible.

Emily Clark is an associate partner in the Stamford office. Shubham Singhal , a senior partner in McKinsey’s Detroit office, is the global leader of the Healthcare, Public Sector and Social Sector practices. Kyle Weber is a partner in the Chicago office.

The authors would like to thank Ismail Aijazuddin, Naman Bansal, Zachary Greenberg, Rob May, Neha Patel, and Alex Sozdatelev for their contributions to this article.

This article was edited by Elizabeth Newman, an executive editor in the Chicago office.

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Hospital Business Planning Best Practices

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By Jamie Frew on Feb 29, 2024.

Fact Checked by Ericka Pingol.

Starting a healthcare practice

Starting a healthcare business practice can be a bit of a tricky thing, as there are a lot of aspects involved in its operations. Without a business plan, it can get complicated very quickly, so to avoid becoming entrapped in the common pitfalls of healthcare, it’s best to plan out every process and procedure. Making a plan is essential, and quite simply, is part of healthcare startup 101 . With techniques such as predictive modeling , you can have more effective preparations in place to face any challenge posed to you, as well as better understand where to make adjustments, improvements, and allocate your resources. With the right plan implemented, you can take off in no time, and work on expanding and prioritizing growth in addition to your client's needs. 

Reasons why your healthcare business must have a strong business plan

There are multiple reasons why your healthcare business should have a strong business plan in place, including the following. 

To understand your step-by-step strategy for future

A business plan outlines all the resources you need across business operations and can provide a solid backbone to prepare you for potential future challenges. A plan provides a clear direction for all business areas and allows you to know what steps to take in regard to growth and expansion. 

To effectively manage your cash flow

Every healthy business needs a positive cash flow to secure investments and ensure there’s enough to be able to supply resources to meet client needs. A business plan can help you avoid breaking even and allow more transparency when it comes to seeing money flows, and can also improve your receivables and payables. Any delays can be accounted for, and when it comes to external financial services, you can appropriately receive reimbursements on time. 

To get additional funding for expansion

Continuing with the theme of finances, if successful, you’re likely to face important investment decisions to promote growth and expansion within your business. Sometimes cash flow isn’t enough, and additional funding is needed to accommodate more resources, such as a data warehouse . Having a detailed, and well-outlined business plan can contribute to a higher likelihood of being awarded the right funds to generate higher cash flows through expansion. 

To help identify any potential weaknesses

Plans are a great way to outline all your ideas and resources, and presenting information through this clarified format can often highlight areas that you may need to spare additional attention to. Using plans can identify areas of weakness that you may need external support and advice on, and having everything viewable from one place can allow for more valuable discussion. 

To communicate your ideas with stakeholders

Businesses are highly concerned with stakeholders and investors, and having a business plan in healthcare serves as a great communication tool for liaison with important institutions. You can use it to hire additional staff, as well as apply for credit and loans for investment purposes. This doesn’t need to be a complicated plan, but if stakeholders are to have a share in your operations, having an outline of your ideas and plans is the least you could do for their peace of mind. 

What should your business plan include?

You may be wondering about what needs to be included in a business plan; after all, they can be very detailed, and serve very different purposes depending on your business. Fortunately, we’re here to help, and every business plan should include the following. 

Executive summary

Your executive summary should be a concise description of your plan, including summarized details of every core aspect. This may include short descriptions of your market analysis, your value set, as well as finances. Keep in mind that this is a summary, and so it should be written after the plan is fully completed. 

Marketing strategy

Your marketing strategy should focus on answering the four Ps of product, price, promotion, and place. You should clearly describe the product or service that you are selling, in addition to the fees you charge. Promotion should outline all the marketing healthcare strategies that you’ll employ, and the place describing where you’ll be located.  

Competitive analysis

One of the most important aspects of a plan is considering your competitors, and how your service offers value that differentiates and sets you apart. Ideally, you should discuss your direct competitors and your indirect competitors, or those who target a different market within the same realm of healthcare. 

Description of your healthcare practice

Naturally, you should describe your healthcare practice in terms of its operations, mission, and how you’ll run. It should cover all the basics, so all clients and stakeholders who read it can grasp the essentials of what you’re about. 

Financial goals

Because investors and lenders will need to see evidence of your financial plans, it’s absolutely vital that you include this aspect. This is one of the most important sections of any business plan, as information such as income and cash flow statements, as well as balance sheets, all need to be included. Profitability should be emphasized at every point, and in regard to a future exit strategy. 

Organization and management policies

You should include details concerning your management teams, or any managerial type staff, as well as outlines concerning how you will manage your business data. Data security solutions are important , and so it’s important to make sure that you have considered this in regard to every operation. Regulatory compliance also ensures that you have the right organizational policies in place. 

Customer analysis

Similar to a target market, you need to crack down on the specifics of your service, and what exact demographic you’re catering to. 

Healthcare business plan template

To help you get started, we’ve covered all of the basics and compiled it into one business plan for you to follow and implement in your business practice and overcome revenue . For success in your business, consider expanding on the following aspects. 

1. Executive Summary

• Business Overview
• Products Served
• Customer Focus
• Success Factors
• Financial Highlights

2. Company Overview

• Who You Are
• Your History
• Your Products/Services

3. Industry Analysis

4. Customer Analysis

• Demograpic profile of target market
• Customer segmentation

5. Competitive Analysis

• Direct and Indirect Competitors
• Competitive Pricing
• Compeitive Advantage 

6. Marketing Plan

• Promotions Strategy

7. Operations Plan

• Functional Roles

8. Management Team

• Management Team
• Hiring Plan

9. Financial Plan

• Revenue and Cost Drivers
• Capital Requirements and Use of Funds
• Key Assumptions

Take home message

Every successful healthcare business must implement a business plan to be held accountable and to have a clear direction for the future of its services. Plans can help you have an outline according to your resources and aids in a better understanding of where to allocate your time and energy in improving business operations. You can identify your strengths and weaknesses, and gain a closer relationship with your business procedures and processes to further growth and expansion in the future. Additionally, having a business plan can help you understand your target market, and prioritize client needs. Plans enable you to do what you do best and capitalize on healthcare technology trends to promote growth and learning in the long term.

Get Carepatron for free today and show us your business plan love!

Further reading:

• How to Start a Healthcare Business: The Ultimate Guide
• Four Reasons Why Your Company Must Have A Strong Business Plan At Any Phase

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StatPearls [Internet]. Treasure Island (FL): StatPearls Publishing; 2024 Jan-.

StatPearls [Internet].

Healthcare business budgeting.

Rui Zhang ; Julie Bohlen .

Affiliations

Last Update: January 7, 2023 .

• Definition/Introduction

Complex organizations are tasked with utilizing limited resources to create goods and services; a healthcare organization is no exception. The resources that serve as inputs to a healthcare organization include clinical and administrative staff, medical supplies and equipment, and government and private health insurance. The goods and services that serve as outputs of a healthcare organization include patient care outcomes, patient satisfaction, and community and population health.

Therefore, whether it is the director of a national health system (e.g., National Health Services in the UK), the CEO of an academic hospital (e.g., the Mayo Clinic), or the manager of a local urgent care center, they must understand how to design, modify, and implement a business budget. [1]  A budgeting system is typically composed of five components. [2]  These are the following:

• Budget objectives : This component is the why behind a budgeting system and includes overarching organizational goals and specific programming efforts. For example, suppose a local hospital plans to set up a new dialysis center to better serve its patients with dialysis-dependent kidney diseases. In that case, managers should detail how such an initiative would impact next year's budget.
• Capital budget : This component typically includes equipment and infrastructure such as a robotic surgical system, CT/MRI machine, or new off-site clinic office space. Whenever a capital investment is considered, managers should go through a thorough evaluation process to determine whether the net benefit outweighs the net cost over the project's lifespan.
• Statistical projections : This component serves as the weather forecast function of a budgeting system with estimates of the volumes of services and procedures required during a budgetary period. This forecast will not only help with revenue projection but will also help with staffing and resource planning to ensure supply meets the demand.
• Revenue budget : This is the estimated gross revenue from various output streams. For example, an ophthalmology clinic may estimate its gross income by combining revenues from in-office clinical care and operating room surgical care.
• Operating budget : This is the expense side of the budget, composed of personnel salaries, supply and material costs, and administrative overhead. To accurately estimate the total expenses, one must understand the nature of the fees, i.e., fixed cost vs. variable cost.

The capital budget is often a big-ticket item throughout the budgeting process; therefore, it warrants further discussion. As stated above, the capital budget in the healthcare setting includes technologies, equipment, and sometimes physical buildings and facilities, which could require the investment of millions of dollars in any of the categories. Two financial models that could help managers evaluate whether a capital project is worth investing in are the weighted average cost of capital (WACC) and the discounted cash flow (DCF)  models. [3] [4]

The WACC model is based on the concept of opportunity cost,  computed by plugging in several variables to generate a percentage rate of return. These variables include the cost of capital before tax, the cost of equity, the cost of debt, the corporate tax rate, the value of equity shares, and the market value of debt. [3] After plugging in these variables, the WACC equation will produce a percentage (e.g., 12%) representing the threshold rate of return that a capital investment needs to demonstrate to be profitable. In other words, if a project is estimated to return 5%, the organization will most likely experience a loss on the investment.

The DCF model considers the time value of money by projecting the value of an investment over its lifespan. With this model, the yearly revenue from a project (cash flow) is projected, and each annual revenue projection is then discounted by the interest rate (i.e., the discounted cash flow). All the discounted values are added together to reflect the cumulative current value, and finally, the initial capital investment is subtracted from the cumulative current value. The resulting figure is the net present value (NPV), which could be positive (i.e., resulting in a profit), zero (i.e., resulting in net even), or negative (i.e., experiencing a loss). [4]  

Both WACC and DCF only estimate financial rates of return. Sometimes decisions to proceed with certain capital investments are also dictated by non-financial needs such as governmental mandates.

• Issues of Concern

In "Budgeting for Results," Ross writes that instead of viewing budgeting merely as a tool to estimate revenues and expenses, organizations should utilize budgeting as a process to translate organizational values into operational roadmaps. [1]

Further, this process can be completed through joint efforts among senior leadership, mid-level management, and corporate finance departments. Ross discusses the five fundamental budgeting systems as listed below:

• Incremental budget : This budgeting system estimates the total cost of production based on current and historical expenditures. This system adjusts the budget based on the estimated changes in the price of inputs and outputs and the estimated changes in the quantity of the results. The primary focus of the incremental budget is to control the total cost to be within budget. Also known as the fixed or static budget, the incremental budget commonly induces the "use it or lose it" mentality among sub-division managers. For example, the nursing staff of an inpatient unit is allocated an annual budget of $10,000 for all social events; if the team doesn't use all of the $10,00 that year, the remainder will not carry over to the following year. The staff either uses it or loses it.
• Flexible budget : In contrast to the incremental budget, the flexible budget acknowledges that future output could fluctuate; therefore, the budgeted amount could also change. Managers of this budgeting system need to know their operations' fixed and variable costs so the budgeted output can be updated as circumstances evolve. The primary focus of the flexible budget is to control the average cost per unit of output to be within budget. For example, an ophthalmology surgical center newly offers an advanced cataract surgery procedure and thus adjusts its budget based on fluctuating levels of output (i.e., surgical cases).
• Zero-based budget : This budgeting system rejects the assumption that historical expenditures should dictate future budgets. The primary focus of the zero-based budget is to minimize the marginal cost of production, which is measured by changes in total cost over changes in total output. In zero-based budgeting, managers are required to answer three questions: (1) whether a product needs to be produced, (2) how it should be produced, and (3) at what scale it should be produced. In other words, the zero-based budget aims for the optimal product mix, production method, and quantity. For example, an in-house wellness clinic at a large manufacturing company adjusts its product offerings (e.g., physical therapy, weight management, smoking cessation) based on its employees' utilization.
• Program budget : This budgeting system is distinguished by its long-term, multi-department, and top-down approach to budgeting. This budgeting system starts at the executive level of an organization based on overarching objectives, then is passed down to mid-level management to produce department-level budgets. The primary focus of the program budget is to use the budget process to achieve organizational goals. For example, the National Health Service (NHS) in Great Britain allocates funding for its functions of direct medical care, public health endeavors, and medical research based on the organization's priorities in a given budget year.
• Activity-based budget : This budgeting system is the most operationally focused budget. Budget planners examine the step-by-step activities required to produce a specific output and estimate the costs generated from such activities. Activity-based budgeting is the composite summation of the cost associated with each production activity multiplied by the quantity of each production activity. The primary focus of the activity-based budget is to maximize effectiveness, efficiency, and throughput. For example, an outpatient surgical center conducts value stream mapping by illustrating a patient's care experience from initial referral to surgery to post-operative care; the center then estimates the cost associated with each step.

A subset of the activity-based budget is time-driven activity-based costing (TDABC), which is important in the era of value-based care. [5]

In value-based care, healthcare organizations are judged by the outcome of care divided by the cost of delivering the care. Medicare designed prospective payment rates based on diagnostic-related groups (DRGs) in the 1980s for hospital reimbursements. The DRG-based payment system is a version of value-based care in which the cost of care is directly tied to the diagnosis and the severity of the illness. [6]

As a result, TDABC has emerged as an all-encompassing yet relatively efficient cost-accounting method that examines the entire care delivery process. Kaplan and Porter developed the 7-step method of TDABC that examines the care delivery roadmap, incorporates direct and indirect costs, estimates time spent per activity, evaluates capacity cost rate, and ultimately generates the cost of the entire care process. [5] [7]

• Clinical Significance

Individual Level

For individual patients, a well-budgeted healthcare operation can positively impact their care experience, quality, and outcome. In wound care management, 15% of costs are from dressings and materials, 35% are from nursing care time, and 50% are from hospitalization. [8]

If a wound care clinic erroneously increases the budget for dressings and materials but reduces the budget for nursing staff, then this budgetary decision would directly reduce nursing wound care time, worsen wound healing, and ultimately increase hospitalization and associated costs.

Organizational Level

Ross emphasizes that budgeting is an important management tool that enables a healthcare organization to translate its visions into actions. [1] Rather than viewing budgeting as a tedious cost-control mechanism, Ross argues that organizations should evaluate whether their budget reflects their long-term objectives at the executive level, whether the budget process successfully performs and functions at the management level, and whether the process honors the constraints and opportunities at the finance level. A well-budgeted healthcare organization enables buy-in from its employees at all levels.

Community Level

If healthcare budgeting is considered complex for a single organization, one could imagine how interwoven and intricate the process can be for a local government or state. The State of Maryland, for example, has been operating under an all-payer global budget system since 2014, which has led to cost savings and demonstrated collaboration among stakeholders, including hospital leaders, state and federal regulators, and payers. [9]

National Level

At the national level, healthcare budgeting directly impacts access, delivery, staffing, and quality of care. In the United Kingdom, the National Health Service (NHS) is tasked with delivering care to the public. In 2021, the NHS announced that it would add £5.9bn ($8.1bn) to its annual budget to tackle the long waiting time for diagnostic studies and elective medical care. [10] Regardless of the level and scale of budgeting, the same principles mentioned above still apply.

• Nursing, Allied Health, and Interprofessional Team Interventions

Healthcare budgeting is an extensive interprofessional process in any healthcare organization. When performed well, healthcare budgeting invites interdisciplinary participation from clinical staff (e.g., physicians, advanced practitioners, nurses, and pharmacists), operational staff (e.g., clinical engineering, environmental services, and nutrition services), and administrative staff (e.g., executives and managers). Nurse managers play a vital leadership role in budgeting, as evidenced by Baker, Lindholm, and Searle, because they can combine clinical experiences with operational understanding to make sound budgetary decisions. [2] [8]

Given the importance of budgeting to patient care, organizational success, and public health, it is ever more critical for healthcare professionals to understand the fundamental principles of budgeting.

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Disclosure: Rui Zhang declares no relevant financial relationships with ineligible companies.

Disclosure: Julie Bohlen declares no relevant financial relationships with ineligible companies.

This book is distributed under the terms of the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International (CC BY-NC-ND 4.0) ( http://creativecommons.org/licenses/by-nc-nd/4.0/ ), which permits others to distribute the work, provided that the article is not altered or used commercially. You are not required to obtain permission to distribute this article, provided that you credit the author and journal.

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How to Start a Healthcare Consulting Business

Below you will learn the key steps to starting a healthcare consulting business.

10 Steps to Starting a Healthcare Consulting Business

1. conduct market research to determine demand.

An important step to starting a healthcare consulting business is conducting market research. To begin, you must learn what services your clients want and how much they are willing to pay for them. There are two ways you can go about conducting this research:

• Survey your target market . This can be done through online surveys, focus groups, or interviews with potential clients.
• Perform a competitive analysis . This involves studying your competition and understanding the consulting services they offer, as well as what prices they charge.

Once you have analyzed the survey data, determine which types of businesses are likely to hire you and how much they are willing to pay. Use this information to set your consulting prices.

2. Name Your Healthcare Consulting Firm

Once you have analyzed your market and determined what services clients want, it’s time to name your business. While naming a business can be difficult, there are a few rules of thumb to keep in mind:

• Keep it Short : Your business name needs to be short enough for clients to remember and say.  
• Keep it Relevant : Your business name should be relevant to the healthcare consulting services you offer and your ideal client’s needs.
• Keep it Memorable : Using clever ideas and words, help your audience connect with your business.
• Focus on Your Target Audience :  Make sure that whoever sees or hears your company name understands who you are targeting as clients.

Read our article about choosing the right business name .

3. Choose Your Business Structure and Set-Up Your Company’s Legal Entity

As with any business, the type of legal entity you set up is critical.  After all, you want your company to be treated as a separate entity, not just an extension of yourself.  There are several types of structures in which you can start your healthcare consulting company. Three popular options are sole proprietorship, S-corporation and LLC (limited liability company).

• Sole Proprietorship :  A sole proprietorship is one in which the business and the owner are considered to be one entity. Therefore, you are personally responsible for all debts and liabilities your healthcare consulting firm may incur. One benefit of this type of structure is that it’s easy to set up and there are no formal filings required.
• S-Corporation : An S corporation is a type of C Corporation that was designed by the IRS to help small corporations minimize their paperwork while still gaining many of the tax benefits of incorporating. It also offers protection for business owners in case of lawsuits and other liabilities.
• Limited Liability Company (LLC) :  An LLC is a structure in which the company is considered a separate legal entity from its owners. This means that the company is responsible for its own debts and liabilities. This type of structure offers protection for business owners in case of lawsuits.

Read our article comparing the most common consulting business structures .

4. Write a Healthcare Consulting Business Plan

A business plan is a document that outlines your business goals, strategies, and how you plan to achieve them. For a healthcare consulting company, your business plan should include the following:

• Business Description : Describe what your company does, who your target market is, and how you will differentiate yourself from the competition.
• Industry & Market Analysis : Detail your research on the healthcare industry and what consulting services clients are most likely to want.
• Financial Plan : Outline your estimated income and expenses for the next three to five years.

Other sections of your plan will answer other key questions such as the following:

• What are your areas of expertise?
• What services can you offer your clients?
• Who is your target audience?
• How will you differentiate yourself from the competition?

Your business plan should also include several sections that detail your company’s history, current financial situation, and future goals. These sections will allow an investor to learn more about your company before they commit to investing in it.

Read our article about how to write a consulting business plan .

5. Apply for a Business License and Necessary Health Licenses

You must register your healthcare consulting company as a legal entity with the state in which you plan to do business.

To file your business with the state, obtain the necessary forms from the Secretary of State’s website or local County Clerk’s office. You will be required to pay a small fee for filing your business with the state.

Registering with the federal government may or may not be required. You can register your business on the federal level by obtaining an Employer Identification Number (EIN) from the IRS.

Read our article about obtaining the proper consulting business licenses .

6. Determine Your Budget & Apply for Funding as Needed

As with any business, you will need to use your own capital to finance the initial stages of your health consulting business.  Your budget may also include several other costs including marketing expenses and the salary you wish to pay yourself.  

After determining how much money you will invest in starting your business, review some options for financing your business.  Here are several financing options that may be available to you:

• SBA Loans : The Small Business Administration (SBA) is a government agency that provides financial assistance to small businesses in the U.S.  
• Bank Loans : Many small business owners are able to secure loans from their local banks. Often, you can borrow money for any purpose that relates to the growth of your company.
• Friends and Family : You can consider getting loans and/or equity investments from friends and family members..
• Angel investors : Angel investors may provide debt or equity funding to you.

Read our article about the costs associated with starting a consulting business to help you determine if funding is needed.

7. Get the Technology & Software Needed to Run Your Healthcare Consulting Company Efficiently

As a healthcare consulting firm, you will need different types of technology to complete projects and keep track of your company’s operations. To simplify the process of starting a consulting business, we’ve provided a list below detailing some items that you’ll need:

Computers : Even if most of your work is done remotely with clients on the other side of the country or world, you will need at least one computer that is dedicated to your healthcare consulting company.

Software : Software is an essential component of any consulting business. The right software can help you manage projects, track expenses, and communicate with clients more effectively.

Here are some popular software platforms that may be beneficial to your business:

• Microsoft Office : This software suite includes a variety of applications that can help you manage your company, including Word, Excel, and PowerPoint.
• QuickBooks : This software is designed for small businesses and can help you track income and expenses, create invoices, and manage payroll.
• Basecamp : This project management software can help you manage multiple projects simultaneously and keep track of deadlines and milestones.
• Gmail : Google’s email platform offers several features that can be helpful for consulting firms, including the ability to access the same email from multiple devices.
• CRM : Customer relationship management software can help you track customer communication, manage leads, and create reports that detail your sales activities.

Additional software specific to healthcare consulting may include:

• EHR software : This software is used by healthcare providers to manage patient data.
• HIPAA compliance software : This software helps organizations comply with the Health Insurance Portability and Accountability Act (HIPAA).
• EMR software : This software is used by healthcare providers to manage patient information and track medical appointments.

Read our article about the technology and software you need to run a consulting business .

8.  Market Your Healthcare Consulting Firm to Potential Clients

Once you’ve established your healthcare consulting company, the next step is to market it to potential clients.

Here are some common marketing strategies used for healthcare consulting firms:

• Website : A website is an essential component of any marketing strategy. It provides potential clients with information about your company, including the consulting services you offer and the team of professionals who work for you.
• Online marketing : Marketing your business online, such as through a business website and pay-per-click and/or social media marketing, can help you reach a larger audience looking for your services.
• Direct Mail : Direct mail is a traditional marketing strategy that can be used to reach potential clients. You can send flyers, brochures, or letters to potential clients that provide information about your company and the services you offer.
• Trade Shows : Trade shows are a great way to connect with potential clients in person. You can exhibit at healthcare-focused trade shows or attend trade shows in other industries to reach potential clients who may need your services.
• Networking Events : Networking events are a great way to meet potential clients and connect with other professionals in your industry. Attending events such as Chamber of Commerce meetings or breakfast meetings can help you build relationships with potential clients.

You should also consider ways to incentivize potential clients to choose you over another healthcare consulting firm. Some incentives that work well include:

• Lower rates : Many healthcare consulting firms offer lower rates on their consulting services to attract new clients.
• Discounts on services : Offering discounts on certain projects may help you win bids against other healthcare consulting firms.
• Free consultation : Providing potential clients with a free consultation can help them determine if your company is the best one for their needs.

Learn more about how to market your consulting business .

9.  Establish a Price Structure and Billing System

There are a few factors to consider when establishing your price structure:

• Hourly rates : Charging by the hour is a common way to price consulting services. This allows clients to budget for your services and gives you the flexibility to charge more for complex projects.
• Project rates : Charging a flat fee for a project can be beneficial for both the client and the consultant. It ensures that clients know what they are paying up front, and it allows healthcare consultants to charge more for more complex projects.
• Retainers : A retainer is a set amount of money that the client pays upfront for consulting services. This can be a good option for clients who need regular consulting services.

No matter which pricing structure you choose, be sure to clearly communicate it to your clients. Additionally, have a detailed invoice template that includes all the healthcare services you provided so the client knows exactly what they are paying for.

10.  Manage Client Relationships and Deliver Projects

After finding new clients and marketing your healthcare consulting business, you should begin delivering the projects and getting paid. This means managing client relationships and making sure that clients are happy with your work. Some of the ways to manage relationships with your healthcare clients include:

• Regular communication : Make sure to stay in touch with your clients, even if there is not a lot of work to be done. By keeping in touch regularly, you can ensure that they know you are available and that they will be the first ones you contact when new projects arise.
• Project updates : Keep your clients updated on the progress of each project. This can be done in a variety of ways, such as through emails, reports, or presentations.
• Frequent contact : In some cases, it may be necessary to contact your clients more often than usual. If there are major changes to the project, for example, or if you need additional information from them.

Delivering projects on time and within budget is essential for a healthcare consulting business. It can be beneficial to create a project management plan that outlines how each project will be completed. This will help ensure that all deadlines are met and that the client is happy with the final product.

Learn more about how to effectively manage client relationships .

Starting a Healthcare Consulting Business FAQs

Why start a healthcare consulting business.

Healthcare consulting is a growing industry, and there are many reasons why starting a healthcare consulting business might be the right move for you. Some of the benefits of owning a healthcare consulting company include:

• You get to be your own boss
• The work is interesting and varied
• There is potential for high income
• You can help people 

What is Needed to Start a Healthcare Consulting Business?

There are a few things you will need in order to start a healthcare consulting company. These include:

• A clear understanding of the healthcare industry
• Marketing materials
• An office space or home office
• Healthcare consulting software

What are Some Tips for Starting a Healthcare Consulting Company?

The following tips can help you to start a healthcare consulting company:

• Do your research : Before you launch your business, be sure to do your research and understand the industry inside and out. This will help you to develop a strong strategy and provide valuable services to your clients.
• Establish relationships with healthcare professionals : One of the best ways to grow your business is to establish relationships with healthcare professionals. Attend conferences, meet-ups, and other events where you can network with these individuals.
• Offer a range of services : In order to be successful, it is important to offer a variety of services to your clients. This will help you to meet the needs of a wider range of clients.
• Keep up with industry changes : The healthcare industry is constantly evolving, so it is important to keep up with the latest changes. This will help you to stay ahead of the competition and provide valuable services to your clients.
• Market your business : Marketing is key when it comes to a successful healthcare consulting company. Be sure to create a strong marketing strategy and use a variety of marketing channels to reach your target audience.

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Our sample business plans are examples of what one business owner did. That doesn't make them perfect or require you to cram your business idea to fit the plan structure.

Use the information, financials, and formatting for inspiration. It will speed up and guide the plan writing process.

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Successful business planning for new programs in health care organizations

Affiliation.

• 1 University of Florida.
• PMID: 10111952
• DOI: 10.1177/016327879101400104

Health care organizations implement business strategies through programs and services, and success depends on careful program design and execution. A conscientious design requires thorough efforts in organizing the planning process, conducting the decision analysis, and obtaining approval for a program. Weak methods and processes in the management of these efforts can result in faulty assumptions and costly errors in the development of new health care ventures, thus preventing the achievement of financial and operating goals. This article reviews the stages of business planning, and the points at which success may be impaired.

• Capital Expenditures
• Commerce / organization & administration*
• Decision Making
• Forecasting
• Hospital Restructuring / standards*
• Organizational Objectives
• Planning Techniques*
• Product Line Management / methods*
• United States

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Home >> #realtalk Blog >> Manage a business >> The Benefits of Offe…

The Benefits of Offering Employee Healthcare and How to Build a Plan

By Christine Umayam

All small business owners know that today’s job market is extremely competitive and it can take a lot of effort to attract and retain top talent. But one great way to get that talent in the door and keep them on your team for as long as possible is to offer healthcare benefits. Employees want to know they are valued at your company and that you see them as more than just another cog in the wheel.

Truth be told, navigating the complex world of benefits administration can be daunting, with various plan options, costs, and compliance requirements to consider. We want to provide a deep understanding of healthcare benefits for small businesses, the advantages of offering them, different plan types and costs, legal obligations, and best practices for effective benefits administration. So, let’s dive in!

Get your team in sync with our easy-to-use, all-in-one employee app.

Demystifying the process

As a small business, if you have less than 50 full-time employees, you are not legally required to offer healthcare benefits to your employees. However, investing in your team’s health and happiness, helps build a stronger and more loyal workforce.

Healthcare packages play a vital role in providing your team members and their families with access to health services like annual exams, unexpected hospital visits, and medication. 

As a small business owner, ensuring the well-being of your employees should be a priority. They help contribute to your company’s success, so offering health benefits and a streamlined benefits administration process is a meaningful way to express gratitude for their hard work. 

Small business owners have the flexibility to customize benefits packages to suit both their own and their employees’ needs. With a variety of plan options available, the standard elements typically include coverage for:

• Dental 
• Family and Medical Leave Act (FMLA)
• Paid time off
• Workers’ comp
• Life insurance
• Retirement plans
• Overtime pay

Not every benefits package has to include all of these elements, but some are legally required by certain states such as workers’ compensation and unpaid medical leave. 

So now that you know what to expect out of benefits packages, let’s talk about why they are valuable to small businesses like you and how to manage your benefits administration.

Advantages of offering healthcare benefits

Small businesses need good employees to thrive, and that’s no secret. But attracting and retaining top talent can be a lot of work, especially because today’s job market is ultra-competitive and job seekers are on the hunt for companies that align with their values and meet all their expectations.

One of those expectations is the availability of healthcare benefits, particularly because the cost of medical care in the US is so high. In fact, US healthcare spending reached a whopping $4.5 trillion in 2022, averaging $13,493 per person. That is a huge financial burden on the average working American. 

But in comes your company with your attractive healthcare benefits packages, and potential employees’ ears will perk up. And not only is employer-provided healthcare attractive because of the financial savings, but it shows current and potential employees that you value them and their commitment to your company. 

Too many employees in today’s workforce are dissatisfied with their current employer and you don’t want to be part of that statistic. Offering appealing healthcare benefits helps improve overall employee satisfaction, boosts productivity, and builds a strong foundation of loyalty between you and your team.

And if that’s not enough of a draw, you can also receive potential tax benefits for providing health insurance to employees. The money you spend on health insurance premiums is considered a tax-deductible business expense by the IRS, which lowers how much you pay for taxes. You might also qualify for the Small Business Health Care Tax Credit if you have less than 25 employees, which could cut your cost of health insurance by up to 50%.

Understanding healthcare plan options

Now we’ll dig into the specifics and discuss what options are available to you. Let’s start with group health insurance plans.

• Health Maintenance Organization (HMO) — Employees with HMO coverage pay for health services in monthly premiums and get access to a designated network of providers and medical facilities. This limited network means HMO plans are often more affordable than other types, but it also means that employees receiving care out of network will have to pay in full.
• Preferred Provider Organization (PPO) — PPO coverage is similar to an HMO plan, but it offers more flexibility in that employees can see providers outside of their network without paying the whole bill. They will likely have higher co-pays and service costs with out-of-network care, but they have more freedom to choose their provider and location.
• High-Deductible Health Plan (HDHP) — This type of coverage is set up to have lower premiums with higher deductibles. Employees will have to pay much more out-of-pocket before coverage kicks in, but monthly premiums stay low which is a bonus for team members who use minimal medical services.
• Point of Service (POS) — POS plans combine some elements of PPO and HMO health insurance, and fall somewhere in between on the cost scale. When employees need medical care, they can decide whether or not to stay in the network, and costs all depend on that particular instance of service.

On the other side of employer health plans live self-funded plans with the help of third-party administrators (TPAs). The responsibility of a TPA is to function as a support center for self-insured plans that would normally be included under a fully-insured plan, such as processing medical and pharmacy claims and other administrative services.

Across all these types of plans, most typically have three cost-sharing structures: deductibles, copayments, and coinsurance. Here’s what you need to know about them:

• A deductible is the amount that an employee must pay before the insurance starts paying its portion of covered services.
• A copayment is a fixed amount that employees must pay toward the cost of a medical service or item and the rest is then covered by the insurance plan. This is typical with pharmacy prescriptions.
• Coinsurance is the fixed percentage of an employee’s share of the allowed amount of health care service costs. They must pay the coinsurance and any deductibles they owe. If they have reached their deductible, they only pay the coinsurance percentage (e.g., 20%).

Navigating compliance and legal requirements

To keep up with compliance and small business regulations, your plan must meet employer requirements under the Affordable Care Act (ACA). As a small business with less than 50 employees, you must withhold and report an additional 0.9% of employee wages over $200,000, report the value of health insurance coverage on each employee’s W-2, and file an annual return reporting certain employee information if you are self-insured. It also requires you as a provider to report coverage information with the IRS and give a statement to individuals.

Small businesses like you can also enroll in the Small Business Health Options Program (SHOP) to help purchase insurance. You can either enroll through an insurance company or with the help of a SHOP-registered agent or broker. Going through SHOP allows you to control your coverage and how much you pay toward employee premiums as well as being able to start coverage any time of the year. Sounds like a pretty sweet deal!

It’s also important to stay on top of government regulations like HIPAA and COBRA. You’re probably familiar with HIPAA—personally identifiable information managed by healthcare insurance companies must be protected from fraud and theft. As a small business owner, you’re limited to the medical information you can access, but you might be able to see summary information to help make informed decisions about your insurance provider.

COBRA, on the other hand, is a continuation of health coverage for a certain amount of time following a loss of benefits, whether that’s because of job loss, reduction in hours, job transitions, and other similar events. Your employees can elect for COBRA and you as an employer must provide notice of end of coverage scenarios.

Building a comprehensive benefits package

Here’s where you decide what options to include in your healthcare coverage, like medical, dental, and vision, and how those decisions will impact your employees and their families. Plus, you’ll want to consider the types of retirement plans you will offer (401(k), SEP IRA, and SIMPLE IRA) to best benefit your team members’ long-term financial success. You can also include supplemental benefits like life insurance, disability, and flexible spending accounts .

After you’ve clearly identified what you want to include in your healthcare plan, the most important part is clearly communicating the benefits to your employees and establishing enrollment and management processes. Lucky for you, there are great built-in messaging tools employers can use to keep communication open and seamless.

Now that you’ve got what you need to put a perfect healthcare plan into place for your team, consider using an automated tool like Homebase to help with benefits administration, controlling costs, and meeting compliance requirements. Get started today!

How do the healthcare plan options differ in terms of costs and coverage?

Healthcare plan options range from group coverage to self-insured coverage with the help of a third-party administration. In 2022, the average share of insurance coverage employers contributed for group insurance was 73% for families and 83% for individuals. Depending on what benefits you decide to include, the dollar amount you pay will fluctuate.

What are the primary compliance requirements for small businesses offering benefits?

Your small business plan must meet the requirements of the Affordable Care Act (ACA), HIPAA, and COBRA. Use the Small Business Health Options program (SHOP) to help you choose a plan and remain compliant.

How can small businesses control healthcare costs and manage their benefits budget?

By understanding the factors that impact your health benefit costs, you’ll have more control over your healthcare budget. Your costs will depend on the insurance carrier you choose, the plan type, network of providers, cost-sharing options, and your contribution amount. Considering all these factors will help you choose the right plan and manage your benefits budget.

What resources are available to help with benefits administration and selection?

If you need an all-in-one tool to help you manage benefits administration, HR & compliance, and other small business tasks, turn to the Homebase everything app designed for small business owners.

Remember:  This is not legal advice. If you have questions about your particular situation, please consult a lawyer, CPA, or other appropriate professional advisor or agency.

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Certification of Health IT

Health information technology advisory committee (hitac), health equity, hti-1 final rule, information blocking, interoperability, patient access to health records, clinical quality and safety, health it and health information exchange basics, health it in health care settings, health it resources, laws, regulation, and policy, onc funding opportunities, onc hitech programs, privacy, security, and hipaa, scientific initiatives, standards & technology, usability and provider burden, draft 2024-2030 federal health it strategic plan.

The U.S. Department of Health and Human Services (HHS), through the Office of the National Coordinator for Health IT (ONC), released the draft 2024-2030 Federal Health IT Strategic Plan for public comment. The draft plan was developed in collaboration with more than 25 federal organizations that regulate, purchase, develop, and use health IT to help deliver care and improve patient health. 

2024-2030 Draft Federal Health IT Strategic Plan [PDF - 2.3 MB]

The draft plan defines a set of goals, objectives, and strategies the federal government will pursue to improve health experiences and outcomes for individuals, populations, and communities while also promoting opportunities for improving health equity, advancing scientific discovery and innovation, and modernizing the nation’s public health infrastructure. The draft plan also places an emphasis on addressing the policy and technology components essential for securely catering to the diverse data requirements of all health IT users. 

The final 2024-2030 strategic plan will serve as a roadmap for federal agencies and a catalyst for alignment outside the federal government. Federal organizations will be able to utilize the final plan to prioritize resources, align and coordinate efforts across agencies, signal priorities to the private sector, and benchmark and assess progress over time. 

ONC encourages review and comments on the draft plan. Please submit your comments via our feedback form . Attachments should be in Microsoft Word, Excel, PPT, or Adobe PDF format. The comment period is open for 60 days and the deadline for submission is May 28, 2024 at 11:59:59 PM ET .  

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Oklahoma City Council to decide on new county jail location on East Grand

A decision on the site for the new Oklahoma County jail now rests in the hands of the Oklahoma City Council.

Oklahoma City's planning commission voted narrowly Thursday to send an approval recommendation to the City Council on a special use permit request for a new jail at 1901 E Grand.

At-large Commissioner Rusty LaForge put forward the recommendation, saying a future jail's location would draw opposition, no matter where it might be.

"Nobody wants it anywhere," LaForge said. "Oklahoma City is in the center of the county. This (location) is relatively in the center of the city. The experts (HOK, the jail project's lead architect) have looked at it and deemed it to be the best location. We can talk about the factors — the negatives and the pros — but the fact is, this came out the highest rated spot.

"We have got to get moving, have got to build a new jail."

LaForge's motion was was supported by Ward 5 Commissioner Bobby Newman, Ward 8 Commissioner Don Noble and Ward 3 Commissioner Jeremy Meek.

Camal Pennington, the Commission's Ward 7 representative and its chairman, voted against the motion, saying he felt like the city and county did not work together to find a location everyone could support.

"I am for putting the public first, and I think a more robust and transparent public process — and a greater collaboration between our city and county leaders — should have been done prior to this application being made," Pennington said.

"That having been said, I am adamantly opposed to a continuance because I think that a matter of this urgent concern is worthy of our elected officials to be immediately taking action.

"No neighbors in Del City, or in the great city of Oklahoma City, want to be subjected to having to wait any longer to find out what is going to happen with this situation."

Ward 2 Commissioner Janis Powers and Ward 4 Commissioner Mike Privett also voted against LaForge's approval recommendation. Two other commissioners, Nate Clair representing Ward 1 and Dan Govin representing Ward 6, did not attend the meeting.

Commissioners took their vote Thursday after watching presentations from David Box, the attorney representing owners of the land — Willowbrook Investments LLC and Garrett & Co. Resources — and HOK, the lead architect hired to design the jail.

Commissioners also were addressed by representatives of the City of Del City , Rick Cobb, superintendent of Midwest City-Del City Public Schools, criminal justice advocates and concerned neighbors.

Representatives of businesses located closest to the jail's location did not appear to either support or oppose the permit request.

The recommendation will be introduced to Oklahoma City's council when it meets later this month, but it won't actually vote on the special use permit request until it meets in mid-May.

HOK explains rationale for choosing 1901 E Grand location

Box made brief remarks on the behalf of Willowbrook and Garrett before introducing Curt Pardee, a principal with HOK, who told the planning commission it recommended the Grand Boulevard location as the best available spot for a jail after looking at 20 different sites.

HOK evaluated each site by ranking its size, topography (flat is better than hilly), soil quality, its number of owners, its purchase cost, the availability of water, sewer, electrical and natural gas services, its accessibility to nearby roads and if it had sufficient room, Pardee said.

To start with, it needed to be large enough to allow for the new jail to be designed and built out horizontally, eliminating the need for elevators to move detainees inside the new jail from one area to another. A horizontal design also would give detainees in each 56-person detention unit access to an outdoor area for recreation, plus allow room for an adjacent behavioral health center on the same land.

Design plans also currently call for including programming space where detainees could take classes or attend meetings to help them further their educations or work on improving their life skills and at least two courtrooms inside the building, where judges and court staffs could handle routine matters on-site instead of at the courthouse downtown.

A jail of that type, he said, also would take less time and less money to build, plus be less expensive to operate than the jail Oklahoma County has today.

Beyond that, the county needs room to expand the jail in the future as its population and potential detainee housing needs grow.

"This facility will be there a long time, so having proper planning is really important for that," Pardee said.

Jeff Bradley, the director of HOK's justice practice, told commissioners a single-story jail also is desirable because it can be designed to allow a maximum amount of natural lighting into the building.

Natural lighting, he and Pardee told them, would be beneficial for jail detainees, their guards and particularly to patients who agree to voluntarily be treated inside the adjacent behavioral health center.

Currently, county jails are the largest provider of mental health services in the nation, he remarked.

"Our overall goal is to make this (jail) a dramatically more humane environment," Bradley said.

Del City makes case a new jail's impact doesn't end at map's end

Del City Mayor Floyd Eason said he was struck that maps prepared both by the city's staff and the applicant ended with the border of Oklahoma City on Bryant Avenue.

Eason said there are 1,000 single family homes on Bryant's east side that has Del City residents his community seeks to protect.

"The developers end their world at Bryant, but that is where our world begins, and we are looking out for the citizens who live in that area — that's what we are trying to do," he said.

Scott Tatom, a member of Del City's city council, said the planning commission should delay hearing the request, asking whether Oklahoma County was conceptually trying to set up a transitional living center with its adjacent behavioral health center.

A transitional living center at that site would violate state restrictions designed to keep those away from schools, he argued. Further, he questioned why the county was not required to request a special use permit for the mental health center simultaneously, given that it technically would not be part of the jail.

"Decisions made today could impact our communities for many years and generations to come, so this decision should not be made in haste," Tatom said.

Kellie Wilbanks, assistant to Del City's city manager, told commissioners Oklahoma City shouldn't grant a special use permit until it is assured Oklahoma County officials won't make the same mistakes they did more than 30 years ago when they built the current jail.

Plus, she said the jail's current operations are concerning, and said she worried those wouldn't be solved by just a new building.

"To think we would naively approve something without having these things addressed is just crazy to me," Wilbanks said.

Blaine Nice, an attorney with Fellers Snider who has served as Del City's municipal judge for many years, told commissioners that while Box was correct in his summation a jail would be a good zoning fit for 1901 E Grand, he argued its impact would be pronounced because people who live nearby don't want it.

"This is not about the facility itself — it's great. It is about the location," Nice said.

Walter Jacques told commissioners he is a big supporter of public transportation, working with an alliance that helped bring street cars back to downtown Oklahoma City, and said he's tried to garner support in Del City for a regional transit authority that could bring rail transport to various communities around Oklahoma City.

Jacques noted that Del City and Midwest City recently dropped out of those discussions.

"I feel very strongly that placement of this jail by Oklahoma County on the border of Del City will create very bad blood and a lot of animosity, and I don't think the regional transit authority will ever see Midwest City and Del City come back into the fold as long as that jail is there."

Detainee releases concern nearby health services business, residents and planning commissioners

What would happen once a detainee is released from the jail was a constant concern brought up Thursday by Del City officials, a longtime planner who worked decades for Embark, the representative of a nonprofit who operates a half dozen care centers for developmentally disabled adults in Del City and planning commissioners themselves.

Larry Hopper, an urban planning consultant for both transit systems and land, told commissioners he would expect a bus route operating 16 hours a day between that site and downtown could cost between $300,000 and $500,000 annually.

"Who would pay those expenses?"

Commissioner Powers asked why the special use permit simply couldn't be modified to require that detainees be released downtown, instead of at the building itself.

Box explained to her he had been told that decision is made by the county's presiding judge and district attorney.

Powers said she recognized that the commission's job Thursday was to decide whether 1901 E Grand would be appropriate for a jail, not about how it functions.

"But we certainly do take cognizance of the fact this is very close to a residential area ... the idea of releasing detainees between 7 a.m. and midnight does not seem like a good idea to me this close to a residential area," she said.

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Health Insurers’ Lucrative, Little-Known Alliance: 5 Takeaways

A private-equity-backed firm has helped drive down payments to medical providers, drive up patients’ bills and earn billions for insurers.

By Chris Hamby

Large health insurers are working with a little-known data company to boost their profits, often at the expense of patients and doctors, a New York Times investigation found. A private-equity-backed firm called MultiPlan has helped drive down payments to medical providers and drive up patients’ bills, while earning billions of dollars in fees for itself and insurers.

To investigate this largely hidden facet of the health care industry, The Times interviewed more than 100 patients, doctors, billing specialists, health plan advisers and former MultiPlan employees, and reviewed more than 50,000 pages of documents, including confidential records made public by two federal judges after petitions from The Times.

Here are five takeaways.

The smaller the payout to doctors, the bigger the fees for insurers and MultiPlan

When patients see medical providers outside their plans’ networks, UnitedHealthcare, Cigna, Aetna and other insurers often send the bills to MultiPlan to recommend a payment amount.

MultiPlan and the insurers have a powerful incentive to keep the payments low because their fees get bigger as the payments get smaller.

Here’s how it works.

The most common way Americans get health coverage is through an employer that pays for workers’ medical care itself and uses an insurance company to administer the plan. Providers in the plan’s network have agreed-upon rates, but out-of-network providers often must negotiate payments.

By using MultiPlan’s frugal recommendations, insurers say they are saving employers money. But insurers and MultiPlan also benefit because their fees are typically based on the size of the declared “savings” or “discount” — the difference between the original bill and the amount actually paid.

In some instances, insurers and MultiPlan have collected more for processing a claim than the provider received for treating the patient.

UnitedHealthcare, the largest U.S. insurer by revenue, has reaped about $1 billion in fees annually in recent years from out-of-network savings programs, including its work with MultiPlan, according to legal testimony.

Patients could be on the hook for the unpaid bills

Patients have seen their bills rise after their insurers began routing claims to MultiPlan, as providers charge them for the unpaid balance.

Some patients said they have scaled back or ceased long-term treatment as a result. The predicament can be especially punishing for people who depend on out-of-network specialists, including for mental health or substance abuse treatment.

Patients have limited recourse. If they want to sue, they usually must first complete an administrative appeals process, and even if the case goes forward, they stand to collect relatively modest amounts.

Self-funded plans are mostly exempt from state regulation, and the responsible federal agency says it has just one investigator for every 8,800 health plans.

Some medical providers face big pay cuts

MultiPlan and insurers say they are combating rampant overbilling by some doctors and hospitals, a chronic problem that research has linked to rising health care costs and regulators are examining. But low payments also squeeze small medical practices.

Kelsey Toney, who provides behavioral therapy for children with autism in rural Virginia, saw her pay cut in half for two patients. She has not billed the parents of those children, but said she would not accept new patients with similar insurance.

Other providers said they have begun requiring patients to pay upfront because appealing for higher insurance payments can be time-consuming, infuriating and futile.

Former MultiPlan employees said they had an incentive to lock in unreasonably low amounts: Their bonuses were tied to the size of the reductions.

Employers are charged hefty fees

Insurance companies pitch MultiPlan as a way to keep costs down, but some employers have complained about large and unanticipated fees.

For a New Jersey trucking company called New England Motor Freight, UnitedHealthcare used MultiPlan to reduce a hospital bill from $152,594 to $7,879, then charged the company a $50,650 processing fee.

In the Phoenix area, trustees managing an electricians’ union health plan were surprised to learn that the fees charged by Cigna had risen from around $550,000 in 2016 to $2.6 million in 2019, according to a lawsuit the trustees later filed.

Employers trying to verify the accuracy of insurers’ charges have sometimes faced challenges getting access to their own employees’ data.

Private equity is playing both sides

For years, insurance companies have blamed private-equity-backed hospitals and physician groups for hiking bills and making health care more expensive. But MultiPlan is also backed by private equity.

MultiPlan’s annual revenues have climbed to about $1 billion thanks to its embrace of more aggressive approaches to reducing costs. Its premier offering is an algorithm-driven tool called Data iSight , which consistently recommends the lowest payments to doctors — typically resulting in the highest processing fees.

MultiPlan became publicly traded in 2020, and its largest shareholders include the private equity firm Hellman & Friedman and the Saudi Arabian government’s sovereign wealth fund, regulatory documents show.

Chris Hamby is an investigative reporter for The Times, based in Washington. More about Chris Hamby

Lawmakers press US regulators to scrutinize Optum plan to acquire Steward’s physicians network

“i approach this with a deeply skeptical eye,” says sen. elizabeth warren.

The state’s congressional delegation is urging US regulators to scrutinize the proposed sale of Steward Health Care’s doctors network to UnitedHealth’s Optum unit — and block the deal if they find it would harm patient care, drive up costs, or reduce competition.

In a letter to top officials at the Federal Trade Commission and the Department of Justice’s antitrust division Friday, the two senators and nine House representatives from Massachusetts asked both agencies to take a hard look at the deal, announced last month.

“I approach this with a deeply skeptical eye,” Senator Elizabeth Warren said in an interview.

She warned that a UnitedHealth buyout of the physicians network, called Stewardship Health, could further weaken Steward’s eight hospitals in Massachusetts, including St. Elizabeth’s Medical Center in Brighton and Carney Hospital in Dorchester.

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Warren said the lawmakers’ top priority is to keep the financially troubled hospitals open. The cash-strapped hospital system, which moved its headquarters from Boston to Dallas in 2018, has fallen behind in paying vendors and is seeking new owners for its hospitals in the state.

“Steward and Optum are trying to sell this deal as a savior for the hospitals,” Warren said. “But I’m concerned this deal would not help and would potentially make things worse . . . There’s no guarantee that any of the money [from the sale] would be used to strengthen the hospitals.”

In the letter, the lawmakers noted that Steward, which operates 31 for-profit hospitals in eight states, faces a “deep cash crunch” because of what they called mismanagement by executives who cashed in millions in dividend payments after selling the hospital buildings and leasing them back from an Alabama real estate investment trust.

“Steward’s threat to close hospitals should not prevent DOJ and FTC from conducting a close and careful review of the proposed UnitedHealth acquisition,” the delegation members wrote.

A spokeswoman from the FTC declined to comment on the lawmakers’ letter. The agency is required to conduct a preliminary review of any merger with a value topping $101 million to determine if it raises anticompetitive issues that merit a deeper review.

Representatives from the Justice Department didn’t respond to an inquiry on whether they plan to review the Steward-Optum deal.

Steward and UnitedHealth filed a nonbinding letter of intent on March 26 with the Massachusetts Health Policy Commission, which will also conduct a preliminary review of the proposed acquisition. The filing did not list a purchase price.

Neither Steward nor UnitedHealth would comment on the delegation’s call for a review of their purchase plan. The parties also didn’t respond to questions about the ownership of Stewardship or how many doctors are part of the Stewardship network.

Members of the Massachusetts delegation have been deeply critical of Steward and its chief executive, Ralph de la Torre, lambasting him for declining an invitation to testify at a Senate field hearing in Boston last Wednesday. The hearing also focused on the role of Steward’s former private equity backer, Cerberus Capital Management, which cashed out of its investment in the hospital system in 2020.

But in their letter to the DOJ and FTC, the lawmakers were equally critical of UnitedHealth, the nation’s largest and most profitable health care conglomerate, noting that it owns multiple assets, including a pharmacy benefit manager, a claims processor, a bank, and home health care operations in addition to its insurance and physicians businesses.

They said Optum’s expansion in Massachusetts was particularly concerning because it employs or has affiliations with about 10 percent of all US physicians, giving it a “stranglehold” over the market.

“UnitedHealth can, and indeed does, force doctors to limit networks, cut services, and see more patients per day to pad its profits,” the letter said.

Robert Weisman can be reached at [email protected] .

Student-loan forgiveness through Biden's new repayment plan faces another lawsuit from 7 GOP states

• Another group of GOP states filed a lawsuit to block the SAVE income-driven repayment plan.
• The lawsuit argued the SAVE plan diminishes the value of PSLF and harms MOHELA's revenue.
• It's the second lawsuit so far to block the student-loan repayment plan.

Another lawsuit to block President Joe Biden's new student-loan repayment plan has arrived.

On Tuesday, Missouri's Attorney General Andrew Bailey led six other GOP states in filing a lawsuit to block the new SAVE income-driven repayment plan. The lawsuit argued that the plan, established in July 2023 to give borrowers more affordable monthly payments, is unconstitutional and is in "defiance of the Supreme Court" decision that blocked Biden's first attempt at broad debt relief at the end of June.

Specifically, the Education Department implemented a provision of SAVE ahead of schedule in February: $1.2 billion in debt relief for 153,000 borrowers who originally borrowed $12,000 or less and made as few as 10 years of qualifying payments.

Related stories

That provision was originally set to be implemented in July, and the lawsuit said there is "no justification for the early implementation of this provision."

"This latest attempt to sidestep the Constitution is only the most recent instance in a long but troubling pattern of the President relying on innocuous language from decades-old statutes to impose drastic, costly policy changes on the American people without their consent," the lawsuit said.

This student loan lawsuit is personal for me. I paid for my education in blood, sweat, and tears in service to my nation, as did so many others. It’s a slap in the face to every working American to be left with the tab for someone else’s Ivy League debt. pic.twitter.com/E67qx1RMsP — Attorney General Andrew Bailey (@AGAndrewBailey) April 9, 2024

This lawsuit comes just a couple of weeks after a separate group of 11 GOP state attorneys general filed a lawsuit also targeting the SAVE plan. An Education Department spokesperson said at the time that the department doesn't comment on pending litigation. However, the spokesperson noted that "Congress gave the US Department of Education the authority to define the terms of income-driven repayment plans in 1993, and the SAVE plan is the fourth time the Department has used that authority."

One of the key distinctions between Bailey's lawsuit and the other lawsuit to block SAVE is Bailey's argument that the SAVE plan would hurt the revenue of student-loan company MOHELA, which is based in Missouri.

It's a similar argument to the lawsuit Biden v. Nebraska, which the Supreme Court ruled had standing to strike down Biden's first broad debt relief plan. Missouri was one of the plaintiffs in that lawsuit and argued that any debt relief would harm MOHELA's revenue because it would service fewer accounts under any loan forgiveness.

"The Supreme Court determined that MOHELA suffers financial harm whenever loans that it services are discharged," the lawsuit against SAVE said.

"So when student loan balances go to zero, as they will under the Final Rule, MOHELA will lose the revenue from servicing those loans," it continued. "Thus, by accelerating the forgiveness timeline for the typical borrower by as much as 15 years, the Final Rule imposes financial harm on MOHELA, and thus the State of Missouri, by depriving MOHELA of up to 15 years in servicing fees."

The states also argued that the SAVE plan diminished the value of the Public Service Loan Forgiveness program, which forgives student debt for government and nonprofit workers after 10 years of qualifying payments. It said that due to the generosity of the SAVE plan, fewer borrowers will enroll in PSLF, thus undermining states' recruitment efforts into the public sector.

This lawsuit follows Biden's release of new details for his broader student-loan forgiveness plan, which is set to benefit over 30 million borrowers . While that plan will not be implemented until the fall, at the earliest, Bailey wrote on X on Monday that lawsuits will likely come: "See you in court."

Watch: Why student loans aren't canceled, and what Biden's going to do about it

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40 facts about elektrostal.

Written by Lanette Mayes

Modified & Updated: 02 Mar 2024

Reviewed by Jessica Corbett

Elektrostal is a vibrant city located in the Moscow Oblast region of Russia. With a rich history, stunning architecture, and a thriving community, Elektrostal is a city that has much to offer. Whether you are a history buff, nature enthusiast, or simply curious about different cultures, Elektrostal is sure to captivate you.

This article will provide you with 40 fascinating facts about Elektrostal, giving you a better understanding of why this city is worth exploring. From its origins as an industrial hub to its modern-day charm, we will delve into the various aspects that make Elektrostal a unique and must-visit destination.

So, join us as we uncover the hidden treasures of Elektrostal and discover what makes this city a true gem in the heart of Russia.

Key Takeaways:

• Elektrostal, known as the “Motor City of Russia,” is a vibrant and growing city with a rich industrial history, offering diverse cultural experiences and a strong commitment to environmental sustainability.
• With its convenient location near Moscow, Elektrostal provides a picturesque landscape, vibrant nightlife, and a range of recreational activities, making it an ideal destination for residents and visitors alike.

Known as the “Motor City of Russia.”

Elektrostal, a city located in the Moscow Oblast region of Russia, earned the nickname “Motor City” due to its significant involvement in the automotive industry.

Home to the Elektrostal Metallurgical Plant.

Elektrostal is renowned for its metallurgical plant, which has been producing high-quality steel and alloys since its establishment in 1916.

Boasts a rich industrial heritage.

Elektrostal has a long history of industrial development, contributing to the growth and progress of the region.

Founded in 1916.

The city of Elektrostal was founded in 1916 as a result of the construction of the Elektrostal Metallurgical Plant.

Located approximately 50 kilometers east of Moscow.

Elektrostal is situated in close proximity to the Russian capital, making it easily accessible for both residents and visitors.

Known for its vibrant cultural scene.

Elektrostal is home to several cultural institutions, including museums, theaters, and art galleries that showcase the city’s rich artistic heritage.

A popular destination for nature lovers.

Surrounded by picturesque landscapes and forests, Elektrostal offers ample opportunities for outdoor activities such as hiking, camping, and birdwatching.

Hosts the annual Elektrostal City Day celebrations.

Every year, Elektrostal organizes festive events and activities to celebrate its founding, bringing together residents and visitors in a spirit of unity and joy.

Has a population of approximately 160,000 people.

Elektrostal is home to a diverse and vibrant community of around 160,000 residents, contributing to its dynamic atmosphere.

Boasts excellent education facilities.

The city is known for its well-established educational institutions, providing quality education to students of all ages.

A center for scientific research and innovation.

Elektrostal serves as an important hub for scientific research, particularly in the fields of metallurgy, materials science, and engineering.

Surrounded by picturesque lakes.

The city is blessed with numerous beautiful lakes, offering scenic views and recreational opportunities for locals and visitors alike.

Well-connected transportation system.

Elektrostal benefits from an efficient transportation network, including highways, railways, and public transportation options, ensuring convenient travel within and beyond the city.

Famous for its traditional Russian cuisine.

Food enthusiasts can indulge in authentic Russian dishes at numerous restaurants and cafes scattered throughout Elektrostal.

Home to notable architectural landmarks.

Elektrostal boasts impressive architecture, including the Church of the Transfiguration of the Lord and the Elektrostal Palace of Culture.

Offers a wide range of recreational facilities.

Residents and visitors can enjoy various recreational activities, such as sports complexes, swimming pools, and fitness centers, enhancing the overall quality of life.

Provides a high standard of healthcare.

Elektrostal is equipped with modern medical facilities, ensuring residents have access to quality healthcare services.

Home to the Elektrostal History Museum.

The Elektrostal History Museum showcases the city’s fascinating past through exhibitions and displays.

A hub for sports enthusiasts.

Elektrostal is passionate about sports, with numerous stadiums, arenas, and sports clubs offering opportunities for athletes and spectators.

Celebrates diverse cultural festivals.

Throughout the year, Elektrostal hosts a variety of cultural festivals, celebrating different ethnicities, traditions, and art forms.

Electric power played a significant role in its early development.

Elektrostal owes its name and initial growth to the establishment of electric power stations and the utilization of electricity in the industrial sector.

Boasts a thriving economy.

The city’s strong industrial base, coupled with its strategic location near Moscow, has contributed to Elektrostal’s prosperous economic status.

Houses the Elektrostal Drama Theater.

The Elektrostal Drama Theater is a cultural centerpiece, attracting theater enthusiasts from far and wide.

Popular destination for winter sports.

Elektrostal’s proximity to ski resorts and winter sport facilities makes it a favorite destination for skiing, snowboarding, and other winter activities.

Promotes environmental sustainability.

Elektrostal prioritizes environmental protection and sustainability, implementing initiatives to reduce pollution and preserve natural resources.

Home to renowned educational institutions.

Elektrostal is known for its prestigious schools and universities, offering a wide range of academic programs to students.

Committed to cultural preservation.

The city values its cultural heritage and takes active steps to preserve and promote traditional customs, crafts, and arts.

Hosts an annual International Film Festival.

The Elektrostal International Film Festival attracts filmmakers and cinema enthusiasts from around the world, showcasing a diverse range of films.

Encourages entrepreneurship and innovation.

Elektrostal supports aspiring entrepreneurs and fosters a culture of innovation, providing opportunities for startups and business development.

Offers a range of housing options.

Elektrostal provides diverse housing options, including apartments, houses, and residential complexes, catering to different lifestyles and budgets.

Home to notable sports teams.

Elektrostal is proud of its sports legacy, with several successful sports teams competing at regional and national levels.

Boasts a vibrant nightlife scene.

Residents and visitors can enjoy a lively nightlife in Elektrostal, with numerous bars, clubs, and entertainment venues.

Promotes cultural exchange and international relations.

Elektrostal actively engages in international partnerships, cultural exchanges, and diplomatic collaborations to foster global connections.

Surrounded by beautiful nature reserves.

Nearby nature reserves, such as the Barybino Forest and Luchinskoye Lake, offer opportunities for nature enthusiasts to explore and appreciate the region’s biodiversity.

Commemorates historical events.

The city pays tribute to significant historical events through memorials, monuments, and exhibitions, ensuring the preservation of collective memory.

Promotes sports and youth development.

Elektrostal invests in sports infrastructure and programs to encourage youth participation, health, and physical fitness.

Hosts annual cultural and artistic festivals.

Throughout the year, Elektrostal celebrates its cultural diversity through festivals dedicated to music, dance, art, and theater.

Provides a picturesque landscape for photography enthusiasts.

The city’s scenic beauty, architectural landmarks, and natural surroundings make it a paradise for photographers.

Connects to Moscow via a direct train line.

The convenient train connection between Elektrostal and Moscow makes commuting between the two cities effortless.

A city with a bright future.

Elektrostal continues to grow and develop, aiming to become a model city in terms of infrastructure, sustainability, and quality of life for its residents.

In conclusion, Elektrostal is a fascinating city with a rich history and a vibrant present. From its origins as a center of steel production to its modern-day status as a hub for education and industry, Elektrostal has plenty to offer both residents and visitors. With its beautiful parks, cultural attractions, and proximity to Moscow, there is no shortage of things to see and do in this dynamic city. Whether you’re interested in exploring its historical landmarks, enjoying outdoor activities, or immersing yourself in the local culture, Elektrostal has something for everyone. So, next time you find yourself in the Moscow region, don’t miss the opportunity to discover the hidden gems of Elektrostal.

Q: What is the population of Elektrostal?

A: As of the latest data, the population of Elektrostal is approximately XXXX.

Q: How far is Elektrostal from Moscow?

A: Elektrostal is located approximately XX kilometers away from Moscow.

Q: Are there any famous landmarks in Elektrostal?

A: Yes, Elektrostal is home to several notable landmarks, including XXXX and XXXX.

Q: What industries are prominent in Elektrostal?

A: Elektrostal is known for its steel production industry and is also a center for engineering and manufacturing.

Q: Are there any universities or educational institutions in Elektrostal?

A: Yes, Elektrostal is home to XXXX University and several other educational institutions.

Q: What are some popular outdoor activities in Elektrostal?

A: Elektrostal offers several outdoor activities, such as hiking, cycling, and picnicking in its beautiful parks.

Q: Is Elektrostal well-connected in terms of transportation?

A: Yes, Elektrostal has good transportation links, including trains and buses, making it easily accessible from nearby cities.

Q: Are there any annual events or festivals in Elektrostal?

A: Yes, Elektrostal hosts various events and festivals throughout the year, including XXXX and XXXX.

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Our commitment to delivering trustworthy and engaging content is at the heart of what we do. Each fact on our site is contributed by real users like you, bringing a wealth of diverse insights and information. To ensure the highest standards of accuracy and reliability, our dedicated editors meticulously review each submission. This process guarantees that the facts we share are not only fascinating but also credible. Trust in our commitment to quality and authenticity as you explore and learn with us.

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New & Custom Home Builders in Elektrostal'

Location (1).

• Use My Current Location

Popular Locations

• Albuquerque
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• Elektrostal', Moscow Oblast, Russia

Professional Category (1)

• Accessory Dwelling Units (ADU)

Featured Reviews for New & Custom Home Builders in Elektrostal'

• Reach out to the pro(s) you want, then share your vision to get the ball rolling.
• Request and compare quotes, then hire the Home Builder that perfectly fits your project and budget limits.

Before choosing a Builder for your residential home project in Elektrostal', there are a few important steps to take:

• Define your project: Outline your desired home type, features, and layout. Provide specific details and preferences to help the builder understand your vision.
• Establish a budget: Develop a comprehensive budget, including construction expenses and material costs. Communicate your budgetary constraints to the builder from the beginning.
• Timeline: Share your estimated timeline or desired completion date.
• Site conditions: Inform the builder about any unique site conditions or challenges.
• Local regulations: Make the builder aware of any building regulations or permits required.
• Land Surveying

What do new home building contractors do?

Questions to ask a prospective custom home builder in elektrostal', moscow oblast, russia:.

If you search for Home Builders near me you'll be sure to find a business that knows about modern design concepts and innovative technologies to meet the evolving needs of homeowners. With their expertise, Home Builders ensure that renovation projects align with clients' preferences and aspirations, delivering personalized and contemporary living spaces.

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