How To Start An Acupuncture Practice
five pain in the ass things you have to do first
This podcast is ONLY for the new practitioner, student, or seasoned acupuncturist who may be transitioning to business owner or independent contractor position. In this episode I teach you exactly what steps you need to take as you are finishing up your boards. Most of us can’t wait to get out and start practicing when we graduate, but have no idea that there are a gazillion boxes to tic off before we can even find a snazzy place to call, “Office”. I am going to attempt to put them all in order for you so that you don’t have to muck around in the, “in between space” for very long.
I am going to give you a little heads up. SLOW DOWN! This transition is going to take way more patience than you anticipate. There might be delivery jobs, bartending, Alaskan fishing, massage therapy, or any other job in the “in between space”. Accept it. It kinda sucks and might not be what you had planned on happening. Hang in there! Stay in action and keep jumping through the hoops.
You are basically tilling the soil my AcuSprout friend! Has to be done before you put down those roots!
you’ll learn
I actually start off with a little reminder to check into your state licensing process. My hope is that you do this while you are a student. If it never occurred to you, you need to check NOW! Some states have approval boards that may only meet a couple times a year.
1.) Register your business. LLC? Sole Proprietor? LLP? S Corp? (Independent Contractors and Practice Launchers.)
This is a state thing and your options are many. I suggest you google your state name and “choose a business structure”. THEN you only want to check out the websites that end in .gov. If you need a pretty good explanation and your state is confusing, take a look at Kansas just for basic information.
Do you feel pressured to know what you are going to name your business? Stop it. It doesn’t really matter at this point. The goal here is to jump thru the hoops so you can get to the poking parts.
Use your own name (Just add “Acupuncture LLC” after your name... you can add other business names (DBAs) later if you choose.
2.) Get your Employer Identification Number (EIN)
This is a unique nine-digit number assigned by the Internal Revenue Service (IRS) to business entities operating in the United States for the purposes of identification.
You also need to register for your state tax identification number (for sales tax) if you sell any tangible goods including supplements.
This may have a different name depending on the state.In Texas it’s called a Tax permit. In Missouri it is a sales tax license. In the state of WA we use a UBI. The Unified Business Identifier (UBI) program simplifies Washington's registration and licensing requirements. (So they say…..)
You also want to record what the city sales tax is if you are selling any tangible goods. That way you don’t have to go looking for it when you set up you POS system.
If you are ONLY charging for medical services, most states do not charge sales tax on that BUT if you live in Hawaii, Michigan, New Mexico or Ohio you need to do a deep dive on this, because they have special rules.
Check to see if you need to apply for a city license in the city where you establish your practice.
3.) Open a Business Bank Account
You will need your business license, EIN number, and possibly a minimum deposit of $100.
Ask around on this one. I HATE my bank. The online offerings are clunky and they spam me with ads EVERY time I log on.
While you are at the bank or online with the bank, check into merchant services. You will need this to accept credit cards. Fees vary, shop around before selecting. Beware of hidden contract fees. Ask about cancellation fees.
I use and really like square because I found that not all readers will accept Health Savings Account cards, but I have never had a problem with Square. I also like their reports. Everything is easy to set up and they have a touch-less reader.
4.) Apply for a Business Credit Card
A good start is Costco, but remember to keep your personal and business money separate.
Another good way to establish credit is to purchase and finance your next cell phone thru your LLC.
Remember your business credit is different from your personal. So you have to apply thru your business.
5. Talk to your Banker about a Business Line of Credit
See what you qualify for as this will be critical for a clinic startup.
I am not a huge fan of taking out huge loans, but it is smart to know what you do and do not qualify for. You know, in case the unforseeable happens. Like a worldwide pandemic…..
That’s it! Don’t worry! There will be a follow up with the NEXT 5 pain in the ass things to do, soon!
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Direct Message me on INSTAGRAM. Have questions? I’m happy to help!