Medical Supply Business: How to Start a Medical Supply Business

Medical Supply Business is under healthcare services. The job is profitable however it involves some measure of specialized knowledge and functions. The scope of work is huge and it services different professionals in the healthcare industry.

The niche market supplies various sectors like opticians, pediatrician, general PD by providing medical supplies. The business format is retail and they handle medical equipment such as disposable needles, safety gloves and other medical equipment.

The niche market is highly competitive however there is room for small industries within the supply chain. Interested in the medical supply industry here are a few tips to launch your business.

Source Funds

Medical equipment is costly so you need at least $9000-$30,000 to start the enterprise. The cost depends on the niche market and type of equipment.  Laboratory equipment like Perri-dishes, stainless steal bows, towels or large supplies like wheel chairs have different costs.

You might need bank loans to start a medical supply business. If you can secure a supply contract from an established Hospital or healthcare facility present it to a bank.

Once the profit and loss including contract and payment schedule is confirmed they will consider your application. . The banks will also ask for collateral such as landed property or blue-chip Company shares.

Select a Niche

The medical supply chain is vast and competitive. To make any impact or get regular supply orders you need to narrow your products.

Select a niche and target a certain market. This allows proper management of inventory and specialization. The common medical supplies are cleaning agents, mechanized equipment and disposable items.

Register your Enterprise

Every serious enterprise needs proper documentation, organization and management structure. The first step to starting your business is company registration.

The type of registration you choose conveys the company structure and management.  Some type of equipment might require license and certification.

There are different provisions for medical supplies according to demography. Some equipment does not require any licensing while others are regulated.

Contact the health department in your county to get a list of items that need licensing. Other permits depend on your country such as reseller rights, employment identification umber and tax.

Lease a Large Store or Warehouse

You need proper inventory management and storage for your supplies. The storage space should conform to strict hygienic provisions. This is because without proper handling and storage they items might become contaminated.

The size of your inventory, type and supply contract determines the quantity stocked. If you can’t afford a commercial property convert a spare room into a store room.

Apart from your storage facility you need an administrative building. The office is where you transact your business and receive contracts. Locate your company close to hospitals and clinics for better patronage.

Having a visible office and contact information is important to the success of your business. Another useful resource is a bus to transport your medical supplies. This will reduce transportation costs and shipment.

Build a Website

You can sell lots of medical equipment through your website contact information. Target your website to your local market and demography.

A website is an effective marketing tool if properly used. Highlight the products your medical supply business handles and add images.

You can include pricing or not depends on you business plan. Reach lots of customers through targeted advertisement on Google Adwords and Facebook adverts.

Add your company to yellow pages and Google business.
Related Reading How to Start a Medical Diagnostic Center

Network with Manufacturers

Medical products are manufactured by specialized companies. You can buy directly from manufacturers or use wholesalers.

Some manufacturers have contract distributors who handle certain demography. If they have such arrangement then the manufacturers will refer you to the wholesalers and distributors.

Buy your equipment wholesale and use available resources to connect with distributors. Ways to connect with distributors are through referrals, find contact information on yellow pages and networking.

A simple Google search with keywords will produce lots of medical manufacturers and wholesalers.

Hire Staff

Your administrative office needs staff such as a secretary and inventory officer. You can run your business alone or hire help.

Your job is based on contracts so you need to be in the field to get them. You can network with hospitals in your area offer discounts and lower prices. Offer free delivery, promotions and bundle prices.

Procurement officers are the best people to seek in such organizations. If your price is competitive then you stand a chance of breaking into the industry.

Marketing

Seek medical conventions, seminars and events to market your service. Provide handbills, business cads and posters to further your campaign.

You can target medical associations, hospitals, clinics and medical professionals. The types of medical supplies you specialize in dictate your marketing strategy.

more on medical supply business