Plan the work before opening day
Allow at least seven months to start a new private practice, with nine to twelve months preferred in PPS’s planning guidance.
This is a planning window, not a guaranteed opening date. Your specialty, state, financing, location and payer requirements can change the schedule. Several steps run at the same time, so the estimates below should not be added together.
Request the free start-up checklistStarting your own practice is a significant decision. Give yourself time to evaluate options, coordinate the work and resolve delays before committing to an opening date. Physician-owned practices, therapy clinics and nurse practitioner practices share many of these tasks, but their requirements can differ.
Before you begin: establish the business
Work with a CPA and an attorney familiar with healthcare to choose an entity and tax treatment appropriate to your state, ownership and circumstances. A PLLC or S corporation election is not the right choice for every practice. An eligible entity can use IRS Form 2553 to elect S corporation tax treatment; that election does not itself create the state business entity.
Coordinate entity formation and your federal tax ID before submitting applications or signing agreements that depend on those details. Our free checklist breaks the start-up work into tasks and planning stages.
01 · Planning estimate: 3–6 months
Secure a practice location
Spend time narrowing down your future location. Whether you buy or lease, choose somewhere you can see the practice operating over the next five years. Consider:
- Competition and referral sources
- Parking, accessibility and room to expand
- Nearby hospitals and proximity to your home
- Build-out needs, costs and lease terms
Confirm each payer’s location requirements early. Enrollment may depend on an established practice address and an operational site. Discuss a rent-free or deferred-rent period with the landlord while the space and payer applications are being prepared. Do not use a temporary address simply to start the clock; confirm that any shared or subleased location meets the applicable requirements.
02 · Planning estimate: 3–5 months
Complete credentialing and contracting
The time frame varies by state, payer and your current status with the health plan. Gather provider records and confirm malpractice coverage requirements early. Credentialing approval and an executed contract or enrollment effective date are separate milestones.
Do not assume that services provided before approval will be payable. Medicare has limited retrospective billing provisions with specific conditions; Medicaid and commercial payer rules vary. Confirm effective dates and billing requirements with each payer before scheduling insured patients on that basis.
03 · Planning estimate: 2–3 months
Select your EHR, billing and vendors
Work on systems while credentialing is underway. Selecting the right billing and EHR partners helps establish the foundation for daily operations. Allow time for configuration, training and testing; confirm an implementation schedule with each vendor instead of waiting until the last two weeks before opening.
Alongside EHR and billing, plan for internet service, medical supplies, phones, payment processing, IT equipment, biohazard disposal and payroll. Check how the systems work together and who will support your team after launch.
PPS can help you evaluate options for your specialty and workflow. Explore medical technology consulting.
04 · Planning estimate: 3–4 months
Build your brand, website and marketing
Begin this work alongside credentialing. A clear brand and useful website help prospective patients understand your practice and take the next step. Prepare a high-resolution logo before designing the website, business cards and appointment materials.
If your EHR includes a patient portal, plan how patients will reach it from the website. Confirm contact details, service descriptions and scheduling instructions before launch, then test the patient journey on a phone as well as a computer.
Explore website design support, or read our guide to the cost of starting a medical practice.
Request the free start-up checklist and guide
Use the checklist to organize tasks and understand what needs to happen before the next step. Request the resources by email using the PPS form below.
More than a start-up checklist
- A customizable Excel practice pro forma template
- A location analysis example to help evaluate potential sites
- A credentialing checklist for new and established groups
What’s included in the checklist?
- Start-up tasks and supporting resources
- Suggested timing and task dependencies
- An Excel checklist and Word guide
- Negotiation tips and strategies
- A framework to adapt to your practice type and specialty