Is Medical Staffing Profitable
Is Medical Staffing Profitable
By Roy Vera, R.T., MBA
I wanted to set the record straight and tell all my readers that indeed the medical staffing industry is very profitable. Infact, no other industry has such an ease of entry with low
startup capital.
So how much can you make? Ok, let's look at the numbers.
Let's say you start your medical staffing agency specializing in either nursing staffing, radiology staffing or any field in the medical staffing industry.
With less than a couple of thousand dollars you can basically have your entire business up and running. Profit begins almost instantly once you begin to provide staffing.
The industry standard for gross profit is between 15% to 25%. The gross profit margin is what you use to pay yourself, pay your rents/utilities, pay internal staff and any legal or marketing expenses you may have.
It is not impossible for a new medical staffing agency to begin billing after one year one million dollars.
The gross margin then will be roughly $250,000 and say you use $100,000 for internal expenses. That means you are left with $150,000.
A company I helped consult for after five years doing business was billing 5 Million dollars a year. She paid herself $200,000 a year and used the rest of the money to rent a nicer office, hire recruiters and hire more internal staff.
So is medical staffing profitable? Yes, it is.
Is the business easy to run? No more easy than any other business you may own.
Is it challenging? Any business you run has its challenges.
Is there risk? Any business has risk.
What I have learned from running other businesses is that you will not find the perfect business to start that has no problems associated with it. The best thing you can do it start a business that you know something about,enjoy and can be profitable.
Combine all three areas and you will have a successful Business
Knowledge + Enjoyment + Cash Potential = Success
By Roy Vera, R.T., MBA
I wanted to set the record straight and tell all my readers that indeed the medical staffing industry is very profitable. Infact, no other industry has such an ease of entry with low
startup capital.
So how much can you make? Ok, let's look at the numbers.
Let's say you start your medical staffing agency specializing in either nursing staffing, radiology staffing or any field in the medical staffing industry.
With less than a couple of thousand dollars you can basically have your entire business up and running. Profit begins almost instantly once you begin to provide staffing.
The industry standard for gross profit is between 15% to 25%. The gross profit margin is what you use to pay yourself, pay your rents/utilities, pay internal staff and any legal or marketing expenses you may have.
It is not impossible for a new medical staffing agency to begin billing after one year one million dollars.
The gross margin then will be roughly $250,000 and say you use $100,000 for internal expenses. That means you are left with $150,000.
A company I helped consult for after five years doing business was billing 5 Million dollars a year. She paid herself $200,000 a year and used the rest of the money to rent a nicer office, hire recruiters and hire more internal staff.
So is medical staffing profitable? Yes, it is.
Is the business easy to run? No more easy than any other business you may own.
Is it challenging? Any business you run has its challenges.
Is there risk? Any business has risk.
What I have learned from running other businesses is that you will not find the perfect business to start that has no problems associated with it. The best thing you can do it start a business that you know something about,enjoy and can be profitable.
Combine all three areas and you will have a successful Business
Knowledge + Enjoyment + Cash Potential = Success