Opening a top-quality medspa requires a lot of prep work, from researching licensing requirements to creating marketing plans

If you’re thinking about opening a medspa, you’re in good company. There are currently more than 10,000 medspas in the United States, and the industry has been growing by about $1 billion per year. At the same time, you’ll be entering a crowded field. To succeed in the long run, start laying the groundwork now.

In addition to being businesses, medspas are also full-fledged medical facilities. So in addition to familiar steps like finding a location, creating a brand, and developing a marketing plan, you’ll also have to think about getting a license, hiring medically trained staff, and complying with healthcare regulations. Before you commit to owning a medspa, here are 10 things you need to know.

1. Understand licensing requirements

The first thing you’ll need to run a medspa is the proper paperwork. In the United States, though, the licensing requirements for medspas can differ drastically depending on your location. For example, some states, such as New York, allow only licensed physicians to own medspas. In other states, such as Oregon, a nurse practitioner could also open one. A handful of states, including New Hampshire, let anyone own a medspa, so long as licensed professionals provide the services.

Since licensing requirements vary so much by state, it pays to have a small business consultant or attorney help you out. Your local Chamber of Commerce can also be a great resource

2. Choose the right treatments

Since they employ trained medical specialists, medspas offer treatments that regular spas can’t. Such services include:

• Medical-grade skincare that delivers potent, targeted results for optimal skin health and rejuvenation with products formulated with the highest quality and clinically proven ingredients

• Injectables that smooth wrinkles and enhance facial definition using safe, effective techniques for a refreshed and youthful appearance

• Body contouring that refine body shape and contours through targeted fat reduction, skin tightening, and muscle toning via advanced procedures

• Laser treatments that deliver long-lasting hair removal and visibly reduce acne scars through precise, non-invasive technology

Medical doctors (MDs), physician assistants (PAs), nurse practitioners (NPs), and registered nurses (RNs) can generally perform these services. Your treatment menu is what will make or break your medspa’s appeal, so take some time to figure out what you want to offer — and don’t forget to look into what kind of staff you’ll need to provide it.

3. Build your brand

With so many medical spas opening up each year, the best way to set yours apart is to have a specific vision in mind. Every good medspa should offer a luxurious client experience while providing effective medical-grade treatments. You can make your business unique by specializing in a niche. For example, you could focus on noninvasive treatments, such as skincare and facials. Clients will know to expect casual, relaxed experiences. Or you could focus on minimally invasive treatments, such as laser therapy and injectables. Clients will be ready for something a little more involved. Either way, consider developing a signature treatment that your clients can’t get anywhere else.

4. Find a location

Your medspa’s ideal location will probably be within commuting distance of your home. Beyond that, though, you’ll want to build your business near your target market. If you want to sell treatments to busy professionals on their lunch breaks, for example, you can set up shop in a bustling urban area. If you prefer a more relaxed weekend crowd, you could consider the outskirts of a suburb, or even a quiet rural neighborhood. Learn about the demographics in every nearby neighborhood with some available real estate space. Try to pick a location that’s convenient for both your staff and your prospective clients.

5. Buy the equipment you need

Like any other self-care business, medspas need specialized gear. Before you open your doors, you’ll need to buy your equipment and set it up. Depending on the services you plan to offer, you may need:

• Medspa treatment chairs or beds

• Medical supplies

• Treatment machines and devices

• Adjustable lights

• Cleaning supplies

You’ll also need technology that supports your business operations. That means computers for your staff, digital tablets for your clients, and Wi-Fi routers for the whole office. You’ll also need furniture for your waiting room. Figure out a realistic budget for each piece of equipment you need, and remember that you’ll have to restock some supplies each month.

6. Set your pricing

At the end of the day, your medspa needs to make money. You don’t want to be greedy, but you do have to pay your staff, your bills, and yourself. That means setting reasonable — but profitable — prices for your services. What you charge will depend on your location, your clientele, and the treatments you offer. Seeing what your competitors charge can be a good place to start. But bear in mind that competing solely on pricing is a race to the bottom. Instead, focus on offering the best client experience possible with the staff and equipment you have on hand. Consider offering membership packages, since these can guarantee recurring revenue for your business. If you’ve bought any expensive medical devices, memberships for the treatments they provide can help offset the cost.

7. Create a marketing plan

Simply opening a medspa and hoping that people come isn’t a reliable business strategy. Instead, take some time to create a marketing plan beforehand. Pre-launch marketing can be incredibly valuable, as it’s a time to gather feedback from your clients before your business plan is set in stone.

First, build hype for your medspa through word of mouth and social media. You can offer early bird promotions, such as reduced prices or additional services, especially if your clients agree to give you feedback afterward. A soft launch can give you an idea of what to expect on a busy day; a waitlist can build your client base while getting the locals interested. You could even plan a special opening event to create excitement in your community. Special events are a great way to get people talking about your business, both in-person and online. They also give you a chance to presell memberships and treatment packages to a receptive audience.

8. Hire certified staff members

If you’ve researched medspa licensing requirements in your state, you probably learned something about the hiring requirements, too. Generally speaking, only trained medical professionals can perform medspa treatments. Depending on what you’re offering, you may need multiple RNs, PAs, and physicians on your staff. Check your state’s medspa laws and make sure that your staff members have the right qualifications.

9. Comply with healthcare regulations

As medical offices, medspas have to comply with regulations that don’t apply to regular spas and salons, such as malpractice insurance. Patient information is covered under the Health Insurance Portability and Accountability Act (HIPAA), which specifies how offices can use and store personal data. Medical waste can’t go out with the regular trash, particularly if it contains needles. Be sure you understand the full breadth of regulations and responsibilities your state requires, and have a plan of how you’ll meet them. A medical director can help evaluate and sign off on a medspa’s procedures.

10. Invest in your tech stack

While you can manage your medspa with standard emails, spreadsheets, and databases, that creates a lot of extra work. Instead, look for specialized medspa software. These programs combine everything you need to run your business:

• Scheduling

• Client profiles

• Inventory tracking

• Marketing

• Payments

• Data reporting

Specialized software will save you time and money in the long run, which means you can focus your efforts on fine-tuning your treatments and delighting your clients.

Opening a medspa requires some legwork, but it doesn’t have to be overwhelming. Research your requirements, build your brand, and select the right software, and you’ll be well on your way to a strong opening — and a steady stream of clients.