Healthcare Business Plan
The business plan should include the following components:
A: The name of your business
B: A description of your business. Describe your idea; purpose, mission, vision, background information,
and description of the product and or service. The business must be related to the healthcare field (e.g., a
doctor�s office, a home healthcare practice, a new hospital, etc.) Discuss how your business will meet a
significant marketplace need or solve a problem or challenge that currently exists in the community.
Discuss why you believe it is worth pursuing.
C: Targeted location (Where you would propose to establish this business and explain your reasoning).
D: Market analysis: Define the target market for your idea, why you think it exists, what you believe to be
the size of the market demand for your idea, and who your competitors will be. Discuss how you would
bring your product or service to market (how you would go about building or developing your product,
service or idea into a real, tangible product or service that customers would want and buy). Perform a
S.W.O.T. Analysis.
HEALTHCARE BUSINESS PLAN 2
Mountain Health Services
Starting a heath care business is an idea which came to my mind after I realized how the
local people in my area were suffering from walking for long distances before reaching the
nearest heath center. I had also realized that there were a lot of suicidal cases that were related to
depression because of family problems, when one realizes that they are victims of HIV, and
other problems in life. If these people got a counselor to help them, then they would at least
change their minds and look at life from a positive dimension. The means of transport is a
problem in my local area and some of the people who get sick end up dying on the way before
they reach the hospital (Coates, Jones & Coates, 2012).
The heath center will offer the basic important treatment and social services such as
counseling (Peteani, 2004). The health care center will be in the form of a partnership because
we will be able to help each other and the capital contribution will not be burdened to one
person. In case our contribution is not enough, we will get a loan from a bank (Coates, Jones &
Coates, 2012). As far as the services are concerned, we will combine the traditional healing
wisdom with the current scientific knowledge in order to offer a wide variety of modalities. We
will also work with the mission of accommodating the needs of our patients and improving the
health and wellbeing of the community as a whole.
The business will be named as Mountain Health Services and the aim will be to reduce
the problems the local people are facing due to lack of proper medical care. The vision statement
for the hospital will be the provision of accessible, effective, and gentle natural heath care. We
will offer services such as treatment of diseases like malaria, amoeba, and tuberculosis. We will
also do counseling and testing of HIV and AIDS. We will offer first aid and educate people on
matters on hygiene and living positively (health promotion).
HEALTHCARE BUSINESS PLAN 3
Our target area is the local market and the surrounding villages. The market place will be
a central place as it will be easily accessible to all our target groups. We will also earn more
profits compared to when we establish the health center in the village. We will employ
physicians with enough clinical training. This will be to ensure that the services they will offer to
the patients are effective. These individuals should be competent, caring and well-trained and
should respond well to the patients, families and communities we will be serving. Each staff
member should meet the requirements which we have set in order to secure a job there. We will
also employ subordinate staff who will help in activities like cleaning the health center, cooking,
and offering security.
All the pricing of the products and services offered will be set according to the Medicare,
Medicaid, and other regulations of insurance. We will be reporting to the regional health
authority. We believe that the authority will provide staff with a competitive compensation, a
conducive working environment and finally, a knowledgeable management and direction that is
trustworthy.
The target market will be adults that range between the ages of 40-60. In most cases, the
women outnumber the men in most areas and our local area is not an exception. Those people
who range between 40-60 years normally make up around 37% of the entire population. Women
are believed to be composed of 50% of this group. There is also a large number of people who
are ranging between the age of 30-40 years and that is an assurance that in the future, our target
which is 40- 60 will be available (Coates, Jones & Coates, 2012). We will, however, aim at
treating all the groups. As the people grow old, especially those who are ranging from the age of
65 and above, they experience body problems which are related to their aging cells. These
problems include leg weaknesses, poor eyesight and poor hearing. There are also problems
HEALTHCARE BUSINESS PLAN 4
which are related to falling due to the old age. We will be able to provide at least the basic
treatment for such problems.
A SWOT analysis will help us evaluate our plans (Barringer, 2011). Strengths: by
employing a qualified staff, the patients will be receiving effective services. That will encourage
customers. We will also use scientific tools. For example, laboratory blood and stool tests that
will make the services offered be of high quality. The results and the drugs given to the patients
will be reliable after the tests. We will also use promotion strategies which will create popularity
of the Mountain Health Care. These promotion strategies include newspaper advertising and
column writing, advertising in yellow pages, distribution of brochures and flyers to the health
food stores, yoga studios, book stores, and such establishments (Barringer, 2011). We will also
set up a referral network with the other physicians and the health care practitioners. Other
promotion methods will involve weekly speaking engagements, circulating print and e-
newsletters, maintaining websites which link to the popular internet search engines, and holding
frequent open offices at office.
Weaknesses: some of the weaknesses our business may have include lack of support
from the government. The business may, therefore, undergo financial crisis. Opportunities: in
the business we will employ an informed workforce. The business will, therefore, have the
opportunity to come up with more developments which will increase our profits and we will also
be more famous (Zimmerer, Scarborough & Wilson, 2012). Threats: the main threat which we
may face is competition. Though at the present there are only two health care centers in the
market place, there may emerge more. We were aware of the existence of the two health care
centers but we still decided to set the business there because these two charge a lot of money for
the services they offer. We will be cost effective and considerate because the people we will be
HEALTHCARE BUSINESS PLAN 5
dealing with are local and are not financially stable.
The total amount which will be needed will be $ 100000, which includes the cost for
opening the doors to Mountain Health Center (Zimmerer, Scarborough & Wilson, 2012). We
will contribute each $ 20 000 so that we can get a loan of $ 60000. The loan will be paid in 5
years with a 10% interest. We will take around 1 year to get access to that money. The money
will cater for all the expenses for starting the hospital. That will include buying of machines
needed and payment of the staff. As per the building, we will rent a room in the market place.
We will seek for an electron microscope to be used in the laboratory from the vendors
before purchasing. The microscope should be the latest in the market and should have all the
features which will make it provide effective results. The machine should be cost effective. We
will ask for the different costs of these machines so that we can go for quality and cost effective
machines. There might be a problem while getting the loan. As a partnership, the bank might be
reluctant to give us a loan. That can be a big risk to our plan. In case the loan fails, we will seek
for capital from other sources such as increasing the partners’ capital contribution and leasing of
property.
Marketing strategy: our marketing strategy will involve the creation of strong
community presence, educating the potential clients and filling the demands of the patients
(Zimmerer, Scarborough & Wilson, 2012). The pricing strategy will be determined by the
insurance policies. The prices will reflect the time which will be spent with the patients.
Promotion strategy will involve newspaper advertising and column writing, advertising in
yellow pages and distribution of brochures and flyers to health food stores, yoga studios, book
stores, among similar establishments. We will also promote our services online by using the
HEALTHCARE BUSINESS PLAN 6
internet to advertise for our services. That will create a competitive advantage as the number of
customers will increase (Voelker, Rakich & French, 2011).
By the end of our first year in operation, we expect to have earned a profit of around
$150000. That will be after we have paid all the expenses including the rent, salaries and wages,
and other petty annual expenses not forgetting the tax. In the first 3-5 years we approximate to
have at least a profit of $ 500000 since we will have increased the number of customers. I
believe our business will be successful because we have consulted some professionals who have
been successful in the field. Thereby, there is a likelihood of us being successful too.
HEALTHCARE BUSINESS PLAN 7
References
Barringer, B. R. (2011). Preparing effective business plans: an entrepreneurial approach.
Prentice Hall, New Jersey.
Coates, C. R., Jones, A., & Coates, M. W. (2012). Preparing a business plan. Veterinary practice
management, 136-144.
Peteani, L. A. (2013). Enhancing clinical practice and education with high-fidelity human patient
simulators. Nurse Educator, 29(1), 25-30.
Voelker, K. E., Rakich, J. S., & French, G. R. (2011). The balanced scorecard in healthcare
organizations: a performance measurement and strategic planning methodology. Hospital
topics, 79(3), 13-24.
Zimmerer, T., Scarborough, N. M., & Wilson, D. (2012). Essentials of entrepreneurship and
small business management. Upper Saddle River, NJ: Prentice Hall.
