Genetics Practice Business Plan, Marketing Plan, How To Guide, and Funding Directory
The Genetics Practice Business Plan and Business Development toolkit features 18 different documents that you can use for capital raising or general business planning purposes. Our product line also features comprehensive information regarding to how to start a Genetics Practice business. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation.
Your Business Planning Package will be available for download after your purchase.
Product Specifications (please see images below):
- Bank/Investor Ready!
- Complete Industry Research
- 3 Year Excel Financial Model
- Business Plan (26 to 30 pages)
- Loan Amortization and ROI Tools
- Three SWOT Analysis Templates
- Easy to Use Instructions
- All Documents Delivered in Word, Excel, and PDF Format
- Meets SBA Requirements
As more and more people are concerned about birth defects, genetics practices have become very important businesses as part of the overall healthcare field. Rapid advancements in genetic sequencing technology allows these professionals to determine what, if any, issues that a patient may have with their own DNA or that of their future child. Although it is still somewhat expensive, many insurance companies are now providing at risk parents with the ability to have their genes tested to make sure that any genetic abnormalities do not impact their offspring.
The barriers to entry for a new genetics practice are extremely high given that the individual practitioner needs to have a masters degree or doctoral degree in genetics in order to properly render the services. Additionally, many states now require substantial licensure in order to be able to render a genetics opinion to a patient or client. The startup costs associated with the new genetics practice can vary substantially and depends on whether or not the practitioner is going to acquire gene sequencing technology in order to provide these services to the general public. If the practitioner is going to outsource the results of genetic testing in these businesses can typically be started from anywhere from $50,000 to $100,000 depending on how many genetics professionals are going to be on staff at the onset of operations. In this case, the operating expenses are somewhat low given that only a an office needs to be maintained and not a laboratory space. For entrepreneurs that are developing genetics practices with laboratory equipment on-site – the startup costs can range anywhere from $250,000 to $500,000 in order to properly develop these facilities. The gross margins generated from rendering genetic services to the general public typically is about 85% and depends on whether or not private insurance is going to be accepted. At this time, Medicare and Medicaid only provide genetics testing services in a very limited scope of medical treatment.
A genetics practice SWOT analysis should be produced that showcases the strengths, weaknesses, opportunities, and threats. As it relates to strengths, genetics practices are always able to remain profitable and cash flow positive given the highly specialized nature of the service of a provide. Expected families are always going to want to have genetic testing done when they are planning on starting a family. The barriers to entry are considered to be very high, and within any given market competition is relatively low. The educational and licensing requirements of these businesses ensures that they are able to operate with a great deal of flexibility.
For weaknesses, like any healthcare related business there are always risks associated with making a misdiagnosis or related liability. As such, it is imperative that the genetics practice maintain extensive liability coverage policies to make sure that in the event that a mistake is made – an insurance company will ultimately pay up a claim. The operating costs associated with these businesses can be somewhat high especially if the company has a number of genetic specialists on staff there rendering services to the general public. However, despite high payroll expenses – billable revenues generated by these companies is substantial.
As it relates opportunities – many genetics practices simply expand by hiring additional personnel that can aggressively increase the billable revenues of the business. Additionally, given the ubiquitous nature of genetic testing these days – more and more private insurance companies are allowing their enrollees to have this procedure done. As such, this is expected to make sure that the field increases substantially over the next 10 to 20 years.
As it relates the threats, these businesses are going to rapidly changing given the fact that DNA and genetic testing are becoming an integral part of life. As such, the regulatory environment regarding genetics practices is frequently changing. This is especially true as relates to the privacy of individual clients that want to have their genetic information tested but not stored and saved for future use. As such, it is going to be incumbent upon entrepreneurs that enter this field to make appropriate arrangements to make sure they remain within the letter of the law as it relates to genetic testing. Given the high gross
Given the high gross margins generated from the services and their economically immune nature – most financial institutions are provided willing to provide the necessary startup capital in order to provide these services to the general public. This is especially true if these funds are going to be principally used for the acquisition of laboratory equipment that is used in conjunction with rendering genetic services. As with all capital raising activities, a genetics practice business plan is going to be required. As standard, a three-year profit and loss statement, cash flow analysis, balance sheet, breakeven analysis, and business ratios page should be developed. The entrepreneur is seeking a business loan than a expansive list of the equipment that is going to purchase with the financing should be included as well. This includes any laboratory equipment that may be purchased with loan proceeds. The business plan should also include an analysis of the percentage of the population that is pregnant at any given time, median household income, median family income, population size, and population density.
These businesses tend to do well in wealthier areas given that many of the expenses relating to genetic testing are paid for on an out-of-pocket basis. As such, a properly developed demographic profile should be included within the business plan to show that the business will be economically viable until such time where insurance as well as publicly funded health systems are willing to pick up a substantial amount of the tab for genetics testing.
The genetics testing industry generates more than $5 billion a year among the 2,000 companies that operate within the United States. At this time, there are approximately 15,000 people that are licensed as genetic specialists that can render the services to the general public.
A genetics practice marketing plan also needs developed and it is usually submitted to a bank along with the SWOT analysis as well as the business plan. For most, a genetics practice benefit substantially by having a number of referrals from physicians especially fertility specialists. This is usually the way that these businesses are able to immediately generate a patient base given that it is fertility specialist that usually request that a genetics test is provided to potential parents. This is especially true among families that are undergoing in vitro fertilization. Outside of referral relationships from physicians and fertility specialists, was all genetics practices maintain a large-scale proprietary website that showcases the biographies of staff specialists, hours of operation, pricing information, and other information pertinent to having gene testing completed. There may also be disclaimers that may be required as it relates to rendering the services to the general public.
A presence on social media is not nearly as important for a genetics practice as it is for other businesses. Again, a vast majority of these companies generate the revenues from referrals from third-party positions. As such, while it may be a modest expense – having a profile on social networking platforms is not really a major necessity pretend provide a little boost of visibility for these types of businesses.
A modest print campaign may be taken out in regional trade journals, or other publications that will increase the visibility of the genetics practice brand name from the onset of operations. Usually, the use print advertisements to focus specifically on medical professionals and allied health professionals that are going to refer their clients to the genetics practice on an ongoing basis. This is the key to thriving within this industry.
Given the ubiquitous nature of gene testing these days, the growth of this industry is expected to mushroom over the next 10 to 30 years. It is going to soon become a way of life that people have an examination of their genes to determine any future health issues that they may have more when they are starting a family. As such, this is an exciting new industry that has substantial potential for rapid growth over the next few decades.