Business lawyer > Starting a business > Business ideas > How to open a veterinary clinic from scratch: recommendations
It’s paradoxical, but at business trainings various business options are discussed, from a burritos stand to opening a nightclub, but almost nothing is heard about such a profitable project as opening a veterinary clinic. Is it relevant in our time to resort to the implementation of this business project? Will it bring the required profit, or will it become a bondage, sucking all the money out of the pocket of a budding entrepreneur?
Oddly enough, in the 21st century there are few sources telling about the benefits of investing in this area of activity. And there are even fewer step-by-step instructions showing the correct sequence of building a profitable business providing medical services for pets.
Opening a veterinary business: is it profitable?
The answer to this question will be provided by statistical indicators - for 2,500,000 pets living in the metropolis, there are only 100 clinics. This indicates both the relevance of this idea and the low level of competition.
If an animal gets sick, the owner is unable to help him. Moreover, he does not have the opportunity to diagnose the illness of his furry family member. Both require special equipment, as well as examination by a professional veterinarian.
There is an opinion that only specialists with appropriate education open a veterinary clinic. As practice shows, there are organizations whose directors are people who have nothing to do with animal healing. In order to start a business providing services to pets, there is no need to become a veterinarian. It is enough to hire an experienced chief physician.
Vet clinic
It definitely seems more profitable to treat a person than a pet, but there is one point that guarantees a flow of clients. Many municipal and private hospitals have been built for people. For animals, very few of them were built (remember the statistics), and in each of the existing branches. There is a long queue at the clinic.
As for the financial side, the prevailing principle is that the more you invest in equipment and personnel, the higher the level of profit in the future. Veterinary clinics in the city differ significantly from each other. Some may have old equipment and provide inadequate care that requires supplementation in other clinics. Others are equipped with the latest technology and provide services of any complexity.
There are “folk clinics” where grandmothers line up to euthanize their cats, and there are modern institutions where VIP clients come who don’t skimp on money in order to improve the well-being of their furry friends. The status and type of clients depend solely on the entrepreneur’s ideas and financial capabilities.
Naturally, at first you will have to work at a “minus” in order to compensate for your investments. The payback period ranges from 1 to 3 years, depending on the measures taken to improve the establishment. To answer the question “How to open a veterinary clinic,” you should consider in detail all aspects of the matter.
How much can you earn from a veterinary clinic?
A veterinary business from scratch does not bring in a profit of more than 90 thousand rubles. per month. Even in order to receive this amount, at least 35 clients must come to the clinic every day and pay for services from 350 rubles. This stops many people from opening similar veterinary offices.
The payback period for a business is at least two to three years. This is a very long period, which is a consequence of the high cost of services.
People are not ready to pay a lot of money for the treatment of their pets. At least, there is an opinion that providing medical services to animals cannot be more expensive than to people. Therefore, you should not expect big profits in this area.
How to register a business
The best option for registering a business of this specific nature is an LLC. This will make it possible to carry out expansion activities without any problems in the future, because legal entities can open new branches.
Like an individual entrepreneur, an LLC can choose a suitable taxation system - the simplified tax system. Key indicators of the simplified tax collection system:
Clinic registration
- The payment of net income is 6% - local authorities, citing the regulatory framework, can reduce the rate to 1%.
- Income - expenses. The figure is 15%, but it can be reduced by the regional authorities.
In order to choose a suitable taxation system, you should familiarize yourself with all the rates in force in the region. It is also necessary to carry out appropriate economic calculations.
We should not forget about such an event as monitoring the regulatory policy of the Sanitary Service. This department is responsible for issuing licenses to offices and clinics that practice veterinary medicine. The need to follow the rules inherent in this service is expressed in constant changes in the conditions for obtaining a license - the deadlines and requirements for veterinary clinics change.
Preparatory work for opening an LLC occurs as follows:
- Choosing a name for the clinic.
- Determination of the legal address (may coincide with the official registration of the founder).
- Listing all the founders of the business and collecting their documents (as a rule, passport data is enough).
- Collection of authorized capital. The minimum amount is 10,000 rubles.
- Distribution of shares of the authorized capital between the founders.
- Determination of the type of economic activity OKVED. In the case of opening a veterinary clinic, this is “Veterinary Services”.
- Instructions from the General Director. It may be a person who is not on the list of founders.
Documents that will be needed to register an LLC:
- Statement P11001
- Receipt confirming payment of the state duty
- Minutes of the meeting of founders (if there are none, then a decision of one person is necessary)
- Agreement reflecting equity participation (if more than one person)
- Ownership of premises
If the premises where it is planned to open a veterinary clinic are rented, then it is necessary to provide a letter of guarantee from the landlord confirming his consent.
Documents are transferred personally or through authorized representatives. It is possible to do this by mail, enclosing them in a registered letter.
Today, representatives of special companies that provide assistance in registering business activities are appointed as authorized representatives. Mediation is not free, and prices for these services vary from 5 to 12 thousand rubles, but it saves time and eliminates errors in the technical process.
Pros of opening an LLC:
- Transparency of relations with co-founders (description in the Charter of the intricacies of cooperation, amount of contributions and distribution of interest)
- All founders bear financial responsibility only with the authorized capital
Disadvantages of opening an LLC:
Opening of the clinic
- Large fines in case of violation of that part of the legislation that is reserved for veterinary activities
- Fines for violations in the financial sector
- The need to have a bank account in which all funds received in excess of the limit must be stored
If we are talking about opening a veterinary clinic by a veterinarian, then the ideal registration option would be to register an individual entrepreneur.
Advantages of registering as an individual entrepreneur:
- Quick registration
- Providing a minimum of documents to the tax service (passport and receipt of payment of state duty)
- The status of an individual, eliminating the need to have a special bank account where funds received in excess of the limit should be kept
Disadvantages of registering as an individual entrepreneur:
- Stiff fines (in amounts exceeding those addressed to legal entities) An individual entrepreneur is not required to have a seal, but it is recommended to have one in order to certify contracts with suppliers.
As for activity codes according to OKVED, for both LLCs and individual entrepreneurs it is OKVED 85.2 “Veterinary.
Registration and registration of business
The veterinary clinic should be registered as an LLC. To obtain a license to provide veterinary services, an entrepreneur must contact the registration chamber with a corresponding application. The application must be accompanied by:
- copies of documents from the tax office;
- papers confirming the right to open;
- documents confirming the classification of all company employees.
Each employee must have a valid medical record and permission to carry out veterinary activities. A prerequisite is that employees have appropriate education.
The entrepreneur will have to enter into an agreement for waste disposal, security of the premises, disposal of other waste, including hazardous waste, and possibly an agreement with the crematorium. The rented premises must be inspected by representatives of the sanitary and epidemiological service and fire service personnel. Since the building of the veterinary clinic will store various, including dangerous, medications, the building must be inspected by the Ministry of Internal Affairs.
It is extremely important to decide on the taxation method. It is preferable to focus on a simplified taxation system. It is equally important to have documents for each of the medications used and permission to store them in a special safe.
Suitable premises
After registering documents, the second most important event is the choice of premises. It should be noted right away that the success of the enterprise depends on how correctly the location for veterinary practice is selected.
The law prohibits posting vets. clinics in a residential building. Moreover, the clinic where animals are received must be located at a distance of 50 meters from residential buildings. If there is a hotel for animals, a shelter or a hospital for temporary keeping of pets, then at a distance of 150 meters.
If the clinic has X-ray equipment, and the building has premises where people live, then you will have to build an extension for the office, as well as go through the procedure of legalizing it. Both events turn out to be expensive for a novice entrepreneur.
An ordinary small clinic can be located in a free-use area of no more than 60 square meters. m. Its structure will include:
Clinic hall
- Small lobby/reception desk
- Examination room
- Procedural
- Bathroom
- Staff room
For a more specialized institution, at least 100 square meters will be required. In addition to the listed premises, a clinic of this size will have:
- Pharmacy
- Animal hospital
- Outpatient rooms
- Operating
- X-ray room
- Photo development room
- Big hall
In order to open a pharmacy, you need to take care of the premises, which will serve as a warehouse. A certain temperature must prevail in it and there must be special shelving.
As for the internal appearance of the premises, the Center for State Sanitary and Environmental Protection puts forward a number of requirements here too. Particular emphasis should be placed on the decoration of treatment rooms and operating rooms. The walls, ceiling, and floor must be made of washable materials.
Choosing the location of the building is another crucial moment. There is no point in trying to locate your clinic in the center, because this implies:
- Enormous costs.
- A large number of administrative regulations.
- High level of competitors.
The best option is to locate a veterinary clinic in a residential area of the city. Care must be taken to ensure that competing organizations are located within a distance of 5 kilometers. If it is not possible to find such a place, then the maximum allowable distance for competitors is 2.5 kilometers.
Observation room
It should be noted that 70% of the first clients are local residents. Therefore, it is necessary to calculate the approximate workload on the doctor. To do this, you will need to determine the approximate number of residents within the clinic's service range (from 2 to 5 kilometers). According to statistics, every fourth resident has a pet. By dividing the number of residents by 4, you can get the approximate number of future customers.
Studies show that one veterinarian can take on no more than 2,000 clients. If calculations show that there are about 4,000 animals in the clinic’s service range, then it should have 2 doctors on staff. Hence the need for two examination rooms. This is important when choosing a room.
If it was not possible to find a place with the specified distance to competing organizations, then the calculation should be made as follows: the number of animals is divided by the number of veterinary clinics located within a range of 2.5 kilometers.
The best option for opening a veterinary clinic is to build your own building. This will make it possible to provide for all possible nuances. Modern construction technologies will allow you to erect a building in a short time, but buying land can seriously hit your pocket.
If you plan to carry out veterinary practice in rented premises. The term of the lease agreement must be at least 10 years.
Where to begin?
It is recommended that the future veterinarian starts with proper self-assessment. Does he really want to devote his life to treating animals? Does he love his potential patients? Is his level of qualification sufficient to start a practice on his own?
You can count on hired specialists, but if the owner of an office or clinic does not understand veterinary medicine, he will have a hard time. Firstly, he will depend on his employees, and the situation is preferable when the opposite is true. Secondly, only another specialist with equal, and preferably higher, qualifications can supervise the work of a doctor.
So just loving animals is not enough - you need to know the business. The consequence of unsuccessful treatment will be the farrier's reputation, and it will ruin the business. Veterinarians are trained in agricultural, food, agricultural universities and academies - there are many of them in Russia: in Siberia and Chuvashia, from Moscow to Kaluga. After receiving a diploma, a young doctor must work for at least a year in his specialty.
Having acquired qualifications and knowledge, the future doctor decides on the type of institution, and then attracts the necessary initial capital. The story about its minimum size is ahead. Everyone has their own sources of funding.
A marketing measure such as an analysis of the market for services similar to those planned is also necessary. Opening a veterinary clinic is possible only in case of a positive result indicating good commercial prospects.
Necessary equipment and facilities
If everything is clear with the premises and repairs, then you should approach the next important point - equipping the veterinary clinic. For a business to be profitable, it is necessary to provide a wide range of services, which means you should purchase:
- Analyzer. Necessary for taking general and biochemical blood and urine tests. Semen and enzymes are also collected. You should not resort to buying used equipment. It is better to take a high-quality universal model. The cost varies from 30 to 200 thousand rubles.
- ALV – artificial lung ventilation. The device is only available in elite clinics that provide expensive services. It is necessary to maintain the animal’s vital processes during surgery, or to preserve its life in emergency cases. Approximate cost: 550 thousand rubles.
- MRI.
Magnetic resonance imaging is necessary to examine the brain of pets. Used exclusively in modern expensive clinics. The cost is more than 500 thousand rubles. Equipped office - Coagulator. The device allows you to stop bleeding in a timely manner in emergency cases. Often used in any type of veterinary clinic. Its cost is 40 thousand rubles or more.
- Anesthesia apparatus. If it is impossible to administer an injection, then resort to the use of this type of equipment. The design includes special masks for inhalation anesthesia. The price of an anesthesia machine is from 100 thousand rubles and above.
- Monitor. Necessary for monitoring changes in the animal's vital signs during surgery. The minimum cost is 50 thousand rubles.
- X-ray. Despite the frequent need for its use, many clinics are in no hurry to purchase it due to its high cost. Therefore, he is only in expensive hospitals. Cost – 260 thousand rubles and more.
- Operation table. Mandatory in clinics with an operating room. Price – from 40 thousand rubles.
- Ultrasound scanner. Essential even in the most budget veterinary clinic. The initial cost is 150 thousand rubles.
- Electrocardiograph. A device for monitoring changes in the cardiovascular system of an animal. Its presence is important in any type of clinic. Cost – 40 thousand rubles and more.
- Auxiliary equipment. This type of equipment includes: centrifuges, otoscopes, injectors, flask heaters, thermometers, laboratory baths, detectors, heart rate monitors, tonometers. As well as other consumables and tools. The total cost is from 300 thousand rubles.
- Medications. It is extremely important to purchase all medications that may be needed during operations. Particular emphasis should be placed on the purchase of anesthetics. Costs will range from 50 thousand rubles.
If we calculate the approximate amount of investment in equipment necessary for the full functioning of a veterinary clinic and attracting clients, it will be 2,090,000 rubles. If the organization does not plan such a large scale, then costs can be halved by refusing to purchase MRI and ventilators.
Stage 3. What equipment should I purchase for the veterinary clinic?
Equipment is the biggest expense at the initial stage. Loans and leasing most likely cannot be avoided.
When choosing equipment, you need to take into account the range of services and their uniqueness. After all, you can take advantage of the exclusivity of the offer by purchasing a tomograph, X-ray machine or ventilator equipment.
What the veterinary clinic can offer:
- sampling;
- preventive vaccinations;
- examinations;
- procedures in a hospital (injections, IVs, physiotherapy, etc.);
- appointment with specialized specialists (surgeon, orthopedist, ophthalmologist, dentist, dermatologist, etc.);
- operations (castration, removal of hernias, tumors, etc.);
- emergency care (for injuries, fractures, bites, after an accident, etc.);
- obstetrics;
- doctor visiting your home, etc.
Most often, veterinary clinics purchase:
- ultrasound machine;
- anesthetic equipment;
- coagulator;
- laboratory analyzers;
- centrifuge;
- microscopes;
- surgical instruments;
- special inspection kits;
- sterilizers and cabinets for instrument disinfection;
- examination couches;
- operating table;
- refrigeration chambers.
Recruitment
The staff of the veterinary clinic includes specialists:
- doctor (1 or more people)
- assistant (1 person per 1 doctor)
- administrator
- cleaning woman
- driver (if there is a service to visit a sick animal)
Experienced Veterinarian
Particular attention should be paid to hiring a doctor. If the clinic is organized by an experienced specialist in this field, then in most cases the first appointment is carried out by him. On weekends, he may be replaced by a hired specialist from another clinic, or the schedule between them may be divided into 2/2, 3/3, 7/7.
If an entrepreneur has neither education nor experience, then hiring a specialist becomes an obvious fact. A good veterinarian means good pay, which represents a significant expense. But there is also a plus - with such a specialist many clients will come to the clinic. After all, every reputable veterinarian has a large client base.
There is an opportunity to “raise” a good doctor within your own walls. To do this, you will need to provide career growth to that assistant who shows promise. In such cases, management sends a promising employee to advanced training courses. There is a high probability that a specialist will remain working in the clinic, even if he achieves success in the veterinary business. This method, although effective, is incredibly time-consuming.
On the path to entrepreneurship
I’m originally from Kirov, but I worked at a research institute in Moscow for almost 10 years, defended my dissertation and returned to my city. I was embarrassed by the difficulties with housing and the long journey, and besides, it seemed to me that I had already realized myself in science, so I decided to go into practical veterinary medicine - I worked in Kirov for six years in a veterinary clinic, but due to a misunderstanding with the management, I quit and launched her own business.
At first, I went on calls and at the same time looked for a premises in which I could open a clinic in a specific area. I have long wanted to open a clinic in the village of Adyshevo, I shared this idea with my dog handler friend, and he said that he could build a hotel for animals and work there.
The zoo now includes a pet store, an animal hotel and a veterinary clinic.
House call and transportation service
In addition to providing services on the premises of the clinic, you can resort to treating pets while at the clients’ address. This will not only betray the prestige of the organization but will also provide more clients.
Transport for animals
In most cases, this service is provided by clinics operating 24/7. In order for home visits to bring the required profit and gain a foothold in the price list, it is necessary to resort to a large-scale advertising campaign, as well as hiring additional personnel. If we take into account that the duty will be carried out during night shifts, then the salary for them will be calculated at double the rate.
The transport division implies:
- Purchasing personal transport, garage and hiring drivers
- Using a taxi service
- Concluding an agreement with the car owner (freelance driver)
You should not immediately resort to organizing a transport unit within the structure of the veterinary clinic. Feasibility can be determined through experiment.
Possible areas of work
The main types of services prevailing in modern veterinary clinics:
- Castration of cats
- Sterilization of cats/dogs
- Vaccination of animals
- Emergency cases (accidents, falls)
- Consultations
- Acceptance of childbirth
- Euthanasia
Paying attention to the statistics, it can be noted that the average cost for the service ranges from 300 to 600 rubles. If we take elite veterinary clinics as an example, their price lists include the following services:
- A haircut
- Cremation
- Losing excess weight
- Dentistry
- Sale of special paraphernalia (clothing and accessories)
A particularly profitable area in elite veterinary clinics in big cities is the sale of expensive food and toys.
Licenses
Before opening a veterinary clinic, you will have to collect documents, register your activities, and obtain the necessary permits. If you plan to simultaneously organize a veterinary pharmacy or a pet store, you will have to obtain another license. This document will become a permit to conduct veterinary pharmaceutical activities. You can obtain the document from the Rosselkhoznadzor Office, which is available in almost every region.
In addition, certain requirements are put forward to the head of a veterinary clinic. He must have a secondary or higher education. This is only necessary for the manager who will be constantly at the workplace. It happens that the director is simply involved in organizational issues, and a veterinarian works in the clinic. In such cases, the manager will not need to have any education. You just have to get a certificate, which is issued after completing the courses. This document may also be required by a doctor-entrepreneur.
As John Rockefeller said, the main engine of an enterprise is its advertising. You should not save on it, and then the flow of clients will not take long to arrive.
First you need to decide on the budget that will be allocated for advertising. Next, you need to familiarize yourself with the main types of customer acquisition:
Clinic logo
- Purchasing an advertising post on a billboard located on a highway with a large flow of cars
- Installation of advertising signs on roads in close proximity to the veterinary clinic
- Large and bright sign on the facade of the building
- Advertising stickers on transport
- Distribution of advertising leaflets in elevators and mailboxes (special emphasis should be placed on those houses that are located near the clinic)
- Placing posts in telephone directories
- Advertising in the media (newspapers, internet and television)
It is necessary to create an official website on the global network and appoint a specialist responsible for it. It is important that he answers questions from guests, monitors the forum, and also notifies about important events - promotions and discounts.
Advertising for a veterinary office
The best ways to advertise the clinic’s services are the media (newspapers, TV), outdoor advertising and the Internet. The latter advertising channel works especially well in large cities, where prices for outdoor advertising are quite expensive. You can advertise on the Internet by posting information about veterinary services. clinics on message boards, forums, through Yandex Direct and using your own website. The average period for business promotion (reaching design capacity), according to experts, is from one to two years.
Business plan
The list of all the main expenses (with a minimum value) required to open a veterinary clinic is as follows:
- Registration of documents - from 50,000 rubles - must be completed once
- Rent (minimum amount) – from 70 thousand rubles – every month
- Repair work in the premises – 400,000 rubles
- Purchase of equipment – 1,000,000 rubles
- Advertising company – 50 thousand rubles – every month
- Staff salaries are about 80 thousand rubles every month
- Taxes and other expenses – 20 thousand rubles and above – every month
- Purchase of materials and medicines – from 20,000 rubles – every month
Having these indicators, you can calculate the amount that will be required to open a veterinary clinic. The minimum investment will be 2,060,000 rubles. If you strive to open a clinic that provides a wide range of services, the amount will be more than 4 million rubles.
Organizing a veterinary clinic, despite the demand for services of this type, is a labor-intensive undertaking that requires costs, steel acumen and motivation. This is business! And as in every business, you must strive to interest your customers and surpass your competitors. Only complete dedication to the business contributes to decent profits and demand.
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Costs and payback period
On average, a venture will pay for itself 12 to 45 months after opening. As mentioned above, at first the amount of money spent will exceed the amount of income.
In order for a veterinary clinic to pay for itself within the specified time, it is necessary to pay attention to creating your own price list including the following services:
Calling a veterinarian to your home | 2,000 - 3,000 rubles |
Consultation | 1,000 - 1,500 rubles |
Inspection | 1,200 rubles |
Vaccination | 1,000 rubles |
Re-inspection | 400 rubles |
Intravenous injection | 2,000 - 3,000 rubles |
Subcutaneous administration of drugs | 2,000 rubles |
Placing a catheter in the bladder | 1,500 rubles |
Enema | 200 rubles |
Ear cleaning | 100 rubles |
Diagnostics using a fluorescent lamp | 500 rubles |
The greatest income will come from surgical services - about 7 - 8 thousand rubles per operation. At the same time, the purchase of surgical instruments and anesthesia drugs will cause significant expenses.