The overall range
Short answer: most new medical practices cost somewhere between about $70,000 and $500,000 to open, plus three to six months of operating costs held back as working capital. A lean solo or telehealth practice can come in under $100,000. Procedure, surgical or imaging-heavy practices often pass $300,000 to $500,000, and a practice with its own surgery center can reach $1 million to $3 million. Physicians Thrive
These are industry estimates, not survey data, so treat them as a sense check. Your own budget should be built line by line from quotes.
Fixed fees you can count on
| Item | Cost | Source |
|---|---|---|
| EIN (federal tax ID) | Free | IRS |
| DEA registration, per practitioner | $888 for three years | DOJ OIG, 2026 |
| CLIA Certificate of Waiver | $248 every two years | CMS fee schedule |
| CLIA provider-performed microscopy certificate | $297 every two years | CMS fee schedule |
| CAQH provider data portal | Free | DataSpring |
| State license, entity filing and state registrations | Varies by state | See your state guide |
One-time startup costs
The SBA’s startup cost checklist is a good frame for any new business, and every item applies to a clinic: space, equipment and supplies, phones and internet, licenses and permits, insurance, legal and accounting, inventory, early salaries, advertising and marketing, market research, printed materials and a website. SBA For a clinic, the big lines are usually:
- Build-out of the space. Treatment rooms, plumbing, accessibility and finishes. Get contractor quotes based on your floor plan.
- Medical equipment. From exam tables and diagnostics to lasers or imaging, which is where procedure clinics jump in cost.
- Technology. EHR, practice management, phones and scheduling. ONC’s long-standing estimate is $15,000 to $70,000 per provider to buy and install an EHR, based on studies from 2003 to 2011, so get current quotes. Many systems are now monthly subscriptions. HealthIT.gov
- Legal and accounting. Entity setup, ownership structure, contracts and compliance review.
- Pre-opening marketing. Brand, website, Google Business Profile, opening ads and content, so you open with patients booked.
- Pre-opening payroll. Staff hired and trained before the first patient.
Monthly costs to plan for
Staffing is usually the largest ongoing cost. MGMA benchmarks practice costs across business office, front office, clinical and ancillary staff, general operating costs and billing. MGMA Plan for:
- Salaries, benefits and payroll taxes
- Rent, utilities and maintenance
- Malpractice and business insurance
- EHR, software, phones and IT
- Billing and collections
- Medical supplies and inventory
- Marketing and ad spend
- Loan repayments
Working capital: the line people forget
Insurance pays slowly. Physicians Thrive suggests holding three to six months of operating costs before opening, because reimbursement typically lags 60 to 90 days. In its example, a practice expecting $500,000 in first-year revenue would carry about $80,000 to $125,000 in unpaid claims at any time. Physicians Thrive Cash-pay clinics collect faster, but need more marketing to build volume.
Paying for it
- SBA 7(a) loans go up to $5 million and can cover working capital, equipment, furniture, build-out and real estate. SBA
- Practice loans and equipment financing from banks that specialize in healthcare.
- Partners and investors, within your state’s ownership rules. Check the corporate practice of medicine section of your state guide first.
Where new clinics save money, and where they should not
- Save: lease second-generation medical space, finance or lease expensive equipment, start with the services that need the least equipment and add others once revenue comes in.
- Do not save: on working capital, on credentialing help, or on pre-opening marketing. A slow first quarter costs more than any of them.
Want a budget built for your clinic? Our clinic launch consulting includes a startup budget and a month-by-month path to break-even.
