Key considerations when opening an independent practice

The American Medical Association laid out seven key tips for starting a private practice in an Oct. 24 blog post

1. Pick an ideal location

Location is a key first step to a successful practice, the post reads. Considerations like population needs, market differences and choosing an experienced commercial realtor are critical. 

2. Arrange licensing and credentials

Because licensing takes several months to complete, physicians should look into a state's licensing and credentials as soon as possible. 

3. Consult professional advisors

Physicians should have a basic understanding of business operations when engaging with professional advisors, which can help their practice flourish. 

4. Navigate payer contracting

Physicians must identify the correct payers to contract with when establishing a private practice. Working with a healthcare attorney can be helpful, the post reads. 

5. Ensure your practice is covered

Physicians may want to consider insurance policies available to business owners, such as overhead insurance and disability buyouts. 

6. Order medical equipment and supplies

Medical equipment and supplies, including furnishing, uniforms and durable medical equipment, are critical. AMA suggests physicians partner with vendors and compare price points. 

7. Build your team

Industry benchmarks can help physicians determine how to best staff their practices. The number of support team members depends on the number of full-time staff employed.

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