Renting is the best way to go for private practice. It minimizes your stake if the endeavor goes south, and the top rental providers offer fully furnished offices that greatly lower your startup costs while remaining HIPAA compliant.
However, there’s a big problem with rental offices: Lease commitments.
Lease commitments and private practices simply don’t work well together, and lease commitments often act as just another obstacle for medical professionals to struggle against on top of normal business obstacles.
Let’s go over why lease commitments are horrible for private practices and the best solution to get away from them.
1: They Negate the Minimization of Personal Risk
We’d love to sit here and tell you that every private practice will take off and make its owner’s dreams come true. Unfortunately, that’s not how it is.
Business startups of all kinds have a high failure rate. In the first year alone, 21% of businesses are forced to close. That percentage only gets higher as the years tick by. By the tenth year of business, more than 70% of startups fail. Private practices are subject to these same statistics.
If you’re locked into a lease agreement, and you’re one of those unlucky cases, you’ll be held responsible for finishing out your lease or paying the fee for breaking your lease.
In short, you can end up paying for expensive office space even though you can’t use it. In the best-case scenario, you’ll be left with a hefty fee for breaking your contract during a time that is bound to be financially difficult for you as-is.
2: Lack of Growth Opportunities
Let’s take a more positive route with this one. Let’s say your private practice skyrockets. You make all the right decisions, your marketing pays off, and you have tons of happy and loyal patients. However, that little office space you rented to get started no longer supports the size of your quickly growing business. Now, you want to move on to something a bit bigger to provide a better experience for yourself, your employees, and your patients.
Well, if you’re stuck in a lease agreement, that isn’t a possibility. You can’t just get a new office and move your business a few blocks down the street. You have to continue paying your rent for your initial office even if you move out of it. That can offset any profits you make from upscaling, and it’s a ton of stress.
3: Zero Leveraging Power
Let’s say you sign a lease agreement that’s a bit more costly than you expected just so you can get started, but later on, you need to reduce costs to stay open. Your rent is simply too high.
Well, you signed a lease agreement, and the property owner has every right to charge you exactly what you agreed to or take you to court. You don’t have anything working in your favor to help you negotiate a lower price.
The Solution is Texas Med Healthcare Solutions
The solution to bypassing all of these potential issues is to rent from a reputable company that doesn’t lock you into lease agreements. A company such as Texas Med Healthcare Solutions.
We offer fully furnished office spaces that are HIPAA compliant, and we don’t have any lease agreements or initial fees. You pay your rent, and when it’s time to move on, you’re free to go.
