Complete guide to launching your medical practice: credentialing timeline, billing setup, compliance requirements, financial projections, and avoiding common startup mistakes. Free expert consultation.
Launch Your Medical Practice With Confidence
Your comprehensive roadmap to starting a successful medical practice. From credentialing to billing setup, compliance to financial planning - we have got you covered. Typical timeline from planning to opening: 6-12 months. Average startup capital needed: $150K-$500K. Credentialing timeline per payer: 90-120 days.
Why Choose Medtransic for Your Practice Launch
We specialize in helping new practices get off the ground quickly and profitably. Our launch package includes everything you need for billing success from day one.
120+ Practices Launched
30 Days Average Setup Time
95%+ First Pass Claim Rate
$0 Setup Fees
Your Practice Launch Timeline
A structured timeline to guide your practice from planning through opening day and beyond.
Pre-Launch (3-6 Months Before) - Business entity formation and tax registration, Obtain NPI numbers, Apply for state medical licenses, Secure malpractice insurance, Choose and contract with EHR/PM system, Begin payer credentialing process
Setup Phase (2-3 Months Before) - Complete CAQH profile for all providers, Submit credentialing applications to major payers, Set up billing and coding workflows, Establish fee schedule and charge master, Configure clearinghouse connections, Develop compliance and privacy policies
Launch Preparation (1 Month Before) - Train staff on billing procedures, Test claim submission workflows, Set up patient registration processes, Configure eligibility verification, Establish payment processing, Conduct compliance training
Go-Live and Beyond - Begin seeing patients and submitting claims, Monitor claim submission and payment posting, Track key performance indicators, Address initial denials promptly, Refine workflows based on results, Complete remaining credentialing applications
Essential Services for New Practices
The key services every new medical practice needs to establish a solid operational and financial foundation.
Provider Credentialing - Complete credentialing with Medicare, Medicaid, and commercial payers. CAQH profile setup, application submission, follow-up and status monitoring. Typical timeline: 90-120 days.
Billing System Setup - Configure practice management and billing workflows. EHR/PM system selection, fee schedule configuration, clearinghouse integration, charge capture workflow design.
Compliance Foundation - Establish policies and procedures for regulatory compliance. HIPAA privacy and security policies, compliance training, Business Associate Agreements, incident response procedures.
Revenue Cycle Setup - Build efficient processes for maximum revenue capture. Eligibility verification, point of service collection, denial management workflows, patient billing and statements.
Financial Projections & Benchmarks
Key financial metrics and benchmarks for new medical practices to plan around.
Credentialing Timeline: 90-120 days per payer (Best Practice: Start 6 months before opening)
Initial Claim Payment Lag: 30-60 days from submission (Best Practice: Budget for 90-day cash flow gap)
First Year Collection Rate: 60-75% for new practices (Best Practice: 85-95% with experienced RCM support)
Startup Capital Needed: 6-12 months operating expenses (Best Practice: Include credentialing, technology, and working capital)
Time to Profitability: 12-18 months (Best Practice: 9-12 months with optimized billing)
Common Startup Mistakes to Avoid
Learn from the most common mistakes new medical practices make and how to avoid them.
Starting Credentialing Too Late - Cannot bill insurance for 3-6 months, losing significant revenue. Begin credentialing 6 months before opening.
Underestimating Startup Costs - Cash flow problems in first 6-12 months. Budget for 6-12 months of operating expenses.
Poor Front-End Processes - High claim denial rates, delayed payments. Invest in staff training for registration and eligibility verification.
Inadequate Technology - Manual inefficiencies, coding errors. Choose proven EHR and practice management systems.
No Compliance Program - Risk of audits, fines, and legal liability. Establish HIPAA policies before seeing patients.
Trying to Do Everything In-House - Overwhelmed staff, billing errors, owner burnout. Partner with experienced RCM providers.