What’s the cost to open a medical spa in NY

When starting your medical spa, the cost is one of the most important factors in your decision to open. There are many things to consider when opening your practice, and opening your medical spa is costly. However, the returns from your investment can make the initial startup cost completely worth it.

Whether you’re franchising from an existing spa or starting from square one, there are basic costs every single opening office has to consider: construction and leasing costs. You’ll likely have improvements and enhancements you’ll want to make in the space you’re opening to account for the different services you want to provide in your medical spa. Although there may not be many regulations to comply with, you must also ensure that your staff and clients are comfortable and can access anything necessary for treatments or procedures.

New York is at the top of the “Expensive Real Estate” list, but the cost fluctuates greatly depending on where you’re located (Midtown Manhattan vs. Long Island) and how much space you want.

For a non-ground floor office space in Midtown NYC, you’re looking for a per-square-foot rent of $55-70. If you start with a 1000sf space, your yearly rent will be $55,000 to $70,000 or $4583 to $5833 a month, plus utilities and other expenses. The typical rent for a ground floor space would be 3 or 4 times this amount. A great alternative to paying such high rent fees is looking for a shared space or renting out a single room instead of an entire office. This is an excellent alternative if you are a solo practitioner or don’t plan to hire a large staff right as you start your medical spa.

Your next biggest expense will be staffing your spa. The clinic will need a medical director (which will most likely be you, if you’re reading this article). You’ll want somebody at the front desk and probably have a nurse or two. Your office will need someone to write down initial client information and answer the phone and handle appointment bookings while the medical staff interact with clients personally. You can usually expect to hire two or three full-time employees, and a couple of part-time employees as well. If you are renting a room in a shared space, you may have to handle all of the aspects yourself, or there may be a management company to oversee the administrative aspects, for a fee of course.

Another expense to consider is the equipment and supplies you’ll need to purchase. Depending on the services you want to offer in your spa, you can be looking at at $125,000 or more. This means everything to fill the spa, from treatment tables and chairs, to specialized machines like lasers or CoolSculpting, to Botox and other injectable products.

If you’re franchising your medical spa, there may be a cost included as well – but this cost is typically offset by the established brand recognition and support of the spa you are franchising from. As an example, here are one Medical Spa’s numbers for licensing.

Initial Licensing Fee: $70,000 (this is a fee to be paid to the franchisor or licensor) Investment Needed To Open Location: $50,000
Ongoing Fee: 7% of sales

While these numbers may sound a bit scary, the current anti-aging market is $250 billion, and projected to grow to over $350 billion by 2024. Botox has been the #1 non-surgical procedure since 2000 and is only increasing by the day. If the prices and cost of starting your medical spa are the only things holding you back, we suggest contacting us to learn more about why this can be beneficial.