How Should You Structure Your Med Spa Business?

The growing popularity of Med Spa businesses is reshaping the wellness and beauty industries. These businesses are popping up in communities across the country, offering a variety of services like non-surgical skin and hair enhancements, laser hair removal, Botox, fillers, light treatment, and more.

These companies provide alternatives to traditional hospital visits and lessen the costs associated with going through your insurance or paying medical bills. This is a topic we dove into last month, sifting through the legalities of Med Spa ownership. In many states, these businesses must be owned by certified medical professionals.

So, this begs the question, what about the business side of these ventures? How can they be structured to maximize efficiency and profits while remaining compliant with state laws?

Management Services Organization (MSO) Runs the Business Side of a Med Spa

One of the most common and most successful solutions is to engage a Management Services Organization (MSO). In states mandating certified medical professional ownership, an MSO can adeptly handle the business aspects of your Med Spa. An MSO doesn’t offer medical services, but fulfills a variety of other vital business duties, including:

  • Overseeing financial books to ensure accuracy and compliance.
  • Human resources management, from hiring to maintaining a productive, compliant workplace.
  • Supply chain management to ensure all necessary resources are available.
  • Marketing strategies to introduce your brand and services.
  • Providing C-Suite administrative services for high-level decision-making.
  • Handling client intake, creating a seamless customer experience.
  • Overseeing IT services, ensuring technological needs are met.

Choosing the right MSO is a vital decision. It allows medical professionals to concentrate on their specialties while the “business side of things” is handled with care and professionalism.

Handling the Proceeds of a Med Spa

The financial arrangement with an MSO is another critical aspect that adheres to the necessary laws in states where ownership is strictly governed. Instead of a revenue-sharing model, the MSO is compensated through a contractual agreement.

In many states, the law not only restricts ownership to certified medical professionals but also the earning of proceeds from Med Spas. Only those who are certified medical practitioners are able to be paid out in certain states.

Hiring an MSO protects your Med Spa business from the possibility of non-medical parties profiting directly from the spa’s revenue. This structure allows the medical professionals to pull in the proceeds while paying the MSO separately through a contract that enlists their services.

Structure Your Med Spa with CLARK.LAW

Navigating the legal landscape of Med Spa businesses requires experience and a thorough understanding of state-specific regulations. At CLARK.LAW, we tailor our business practice with an eye toward the future. It’s important to closely track the evolving business landscape and comply with the relevant laws and regulations attached to them.

Our focus is not just on legal compliance but also on aligning business strategies with the future of business law. Embarking on a Med Spa venture demands more than just medical expertise; it requires a keen understanding of business laws and regulations.

Contact CLARK.LAW today to ensure your Med Spa is structured for success.

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At CLARK.LAW, we’ve built a different type of law firm. Our attorneys and staff have impressive educational and professional experience – but, unlike traditional law firms, we embrace modern technology to create efficient workflows and processes. Today’s business leaders should have access to high-quality legal guidance without subjecting themselves to the waste and excessive overhead that plagues traditional law firms.

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