How to Open a Med Spa in Texas

It has often been said that if you look good, you will feel good, and the Medical Spa industry has used this to its advantage. The global medical spa market was worth around $16.51 billion in 2022 and is predicted to grow to around $49.1 billion by 2030, with a compound annual growth rate of roughly 14.61% between 2023 and 2030. With Texas being the second largest state in the United States and the popular motto, everything is bigger in Texas, the growing popularity of medical spas creates great business opportunities for many. Medical Spas are opening up on every corner and will only continue to experience robust growth. Consumers love them because they are a place to receive various medical-grade aesthetic services under the supervision of a physician in a relaxing, spa-like environment. But for a medical spa to be successful, it must be properly and compliantly set up from the beginning. So, how do you open a medical spa in Texas? We have created a quick guide on the basics and where to begin.

Get Started

Plan and Visualize Your Business

Create a business plan and decide what you want the business to look like in 1, 5, and 10 years. Select a name, create a logo, and select your target audience. Proper planning from the start will help you create goals for the business and obtain financing if needed.

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Understand Ownership Rules in Texas

In Texas, only physicians can own a medical spa under the corporate practice of medicine doctrine, through a professional limited liability company (PLLC) or professional association (PA). The only exceptions to this are podiatrists, chiropractors, optometrists, and sometimes physician assistants. A layperson can own a management services organization through a limited liability company (LLC) and enter into a management services agreement with a physician and manage the day-to-day, non-medical aspects of the business. If you don’t have a practice lawyer helping you set this up – reach out to us. We can help!

2

Hire and Document Properly

Select a medical director and hire medical professionals. Make sure all proper legal documentation is in place, including the medical director agreement, independent contractor agreements or employment agreements, and supervisory agreements for any midlevel practitioners. Provide proper training for all medical professionals to stay on top of the latest procedures and to make your business competitive.

3

Secure Necessary Insurance

You will need to obtain general liability insurance to protect you and your business from lawsuits related to accidents and property damage, malpractice insurance, for protection from lawsuits due to the various services and procedures you perform, and workers’ compensation insurance, to cover lost wages or medical expenses for your employees in the case of a work-related accident.

4

Choose Your Service Mode and Prepare Your Space

Decide whether you will provide mobile services or if you will have a physical location. Check with your local town hall to see if local permits are needed to open your medical spa. An updated certificate of use and certificate of occupancy for your space may be necessary if you are leasing a physical space. Make sure to make your space inviting with a cozy, relaxed feel. You want clients to feel welcomed and for the experience you provide to be memorable. Your space must be approved for medical use and if you plan to provide cosmetology services and hire an esthetician, the Texas Department of Licensing and Regulation requires a Salon license.

5

Select Services and Equip Your Spa

Select which services you will provide and purchase/lease the necessary equipment to provide those services. It may be a good idea to start with just a few popular services so you are not over-expanding your medical spa business’s capabilities too quickly. You also want to ensure the personnel handling certain pieces of equipment have the proper licenses to do so. For example, non-healthcare persons performing Laser hair removal in Texas need a permit from the Texas Department of License and Regulation.

6

Sales Tax Registration

Sales Tax Registration is required if you plan to sell a taxable good or service, like skin care products.

7

Create a User-Friendly Website

Create a website for potential customers to view and book services. Make this as easy and convenient as possible for customers. A tricky or hard-to-navigate website can discourage potential customers. Have a clear concise call to action, including services offered, how to book services, and spa location, and hours.

8

Build Vendor and Supplier Relationships

Establish relationships with vendors and suppliers in the industry to order supplies for the medical spa. This could potentially lead to training from the vendor.

9

Effective Marketing Strategies

The key to growing your clientele will be marketing. Join social media groups on Facebook and start a business page on both Facebook and Instagram to advertise your business. Use buzz hashtags that make your business easily searchable.

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Establish Comprehensive Documentation

Ensure the medical spa has documented protocols and procedures in place, a well-drafted employee handbook, and procedure consents for all services you plan to provide.

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Ready to Serve Clients

Once all this is complete, you are ready to start seeing clients and enjoying the fruits of your labor. Owning a medical spa can be a fun and rewarding business to partake in.

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We hope this guide helps you get started, and for any questions regarding starting your medical spa in Texas – Lengea is here to help!