Here is a sample business plan for starting a medical billing company.
Medical billing is one of the many healthcare-based business ideas with significant growth opportunities.
For a lot of entrepreneurs, profitability is central to their desire to launch any business idea. However, more important is the need to get things started the right way.
This is where the planning process comes under focus.
MEDICAL BILLING BUSINESS PLAN GUIDE
Planning for the successful takeoff of your medical billing business will require a crucial tool. The business plan holds the blueprint for the launch and growth of your medical billing business idea.
While this is true, writing a good plan seems elusive to many entrepreneurs with many finding it overwhelming.
This medical billing business plan addresses such problems by serving as a guide. You only need to carefully follow and model your plan after this template to get the expected outcomes.
Medical Billing Business Plan Example: Outline
To commence writing your medical billing business plan, what you need to figure out is the structure around which the plan will have to be developed.
These are made up of key sections that cannot be skipped. They include the executive summary, company description, and products & services sections.
Others include the market analysis section, the strategy & implementation section, organization & planning, as well as the financial plan & projection sections. Now, how do you develop each of these sections?
You’ll need to know about the specific information to be included in each as shown below.
i. Executive Summary
The executive summary offers an overview of the entire medical billing business plan. It’s a summary or a condensed version of the plan that briefly highlights key areas.
It helps the reader to have a quick view of the most important aspects of the plan. Your executive summary must be written in such a way as to hold your reader’s attention.
In other words, it must be interesting enough to make your audience want to learn further about your medical billing business ideas. The executive summary appears first for a reason.
Investors are unlikely to have the time to go through your entire business plan document. The summary section helps present a concise format of the plan.
All the major sections of the business plan and more are briefly discussed here.
You’ll also need to include details like the business name and location, products and services, mission and vision statements, as well as the specific purpose of the plan.
Your medical billing business must have an identity.
This is represented by the name which must be carefully chosen. With this information provided, further introduction of the business concept is made by stating its location.
Your preferred location is likely to impact sales which speak volumes about viability.
The mission statement of your medical billing business plan should define the line of business you’re in as well as the purpose it serves. In a nutshell, your mission statement should unveil your corporate strategy.
The vision statement is written alongside the mission statement.
It should state the current and future objectives of your medical billing business. It should be in the form of an aspirational statement that clearly articulates where the business will be at a certain time in the future.
Also, it needs to be inspirational enough for your workforce.
What’s the purpose of writing your medical billing business plan? Here, clarity is needed on what you intend on achieving.
For example, a lot of entrepreneurs seek to attract funding for their business ideas while others write them for purposes of strategy.
ii. Company Description
This is where you get to describe your medical billing business. You’ll need to point out who you are, as well as how you operate and more importantly, the goals you plan on achieving.
These are represented by information such as the legal structure of the business, as well as detailed information on how you plan on making a profit.
Other vital details to add to your business description include a summary of short and long-term goals, a brief history of the nature of the business, as well as the demands or needs you intend to meet.
Provide a summary of business growth with additional details on financial or market highlights.
Your business description won’t be complete without having an overview of services and products with customers and suppliers.
iii. Products & Services
Through your products and services section, you get to provide a detailed presentation of what your business offers.
Here, your services and products should be well presented in addition to information on how these benefit your customers. Identify the market role of products with clear advantages it has over those of competitors.
iv. Market Analysis
Through your market analysis, your audience gets an idea of your industry knowledge. Of course, this will require thorough market research that covers areas such as industry description and outlook with supporting statistics.
Provide a sketch of your target customer segments with size and demographics included.
You’ll need to also evaluate your competitor’s strengths and weaknesses. Historical, current, and projected marketing data for services and products is needed.
v. Strategy & Implementation
Sales and marketing strategies for your medical billing products are key additions to this plan. You’ll need to explain how you plan on promoting these products and services and also how you’ll enter the market and attract medical billing clients.
Provide details on pricing, costing, and promotions in addition to naming your labor sources.
vi. Organization & Planning
Organization & planning is crucial to the success of your medical billing business plan. Here, different aspects need to be looked at ranging from information on owners, as well as management team provides.
You’ll need to begin with an organizational chart showing or describing departments as well as key employees.
For the owners, details such as names, percentage ownership, the extent of involvement in the business, as well as their biography need to be provided.
For the management team, details to be included are names, positions, main responsibilities, and experience are necessary.
vii. Financial Plan & Projections
The financial plan and projection are best developed by an expert. An accountant is in a better position to develop your financial plan.
The key areas analyzed include the historical data (for existing medical billing businesses), realistic prospective financial information, as well as an analysis of financial data.
All of these put together make for a great plan. You’ll have to include information unique to your situation to have expected outcomes.