Start-up vs Purchase

When determing whether to purchase an office or start one from scratch, there are a lot of factors that must be considered.  While it is true that with a start-up, you will have the opportunity to design the office, purchase the equipment and structure the practice as you may dream, it is important to think about the other intangibles and risks that could affect your short and long-term success.

 

Just to start, its important to note that many start-up practices fail due to undercapitalization or because new doctors struggle to build cash flow while battling location or econmic hardships.  Additionally, without consistent patient flow it becomes dificult to build management skills or make sound business decisions.  Business ownership takes experience; missteps and miscalculations can be devastating.  While success is certainly attainable, the path to having to close your doors permaturely is only accelerated by poor planning, flawed strategy and uninformed decision making.