Advanced Aesthetics – Legally & Profitably Offer Medical Spa Treatments

Convenient and virtually painless, the microdermabrasion procedure takes only 30 to 60 minutes and is commonly referred to as the “lunch hour facial.” On average, patients should expect to pay between $75 and $100 per microdermabrasion treatment, which considering the time required to administer treatment, equates to high profitability. A patient might need between five and 12 treatments, in total. These are often spaced two to three weeks apart. Many other periodic maintenance treatments might be required subsequent to the initial treatment regimens.

Microdermabrasion can be performed by a plastic surgeon as well as by a registered nurse or aesthetician. Some practitioners recommend an additional individualized skin care program, which might require the patient to buy products such as cleansers, masques and moisturizers. These can cost up to $200.

Typical pain management costs are as follows:
• For mild, shorter-term pain, a provider might recommend over-the-counter drugs such as Acetaminophen and nonsteroidal anti-inflammatory drugs (NSAIDs) such as ibuprofen. These cost anywhere between $5 and$25, depending on the quantity and whether the patient buys a name brand or its generic equivalent.
• Provider prescription medications for relief of ongoing, severe pain can include anticonvulsants , such as carbamazepine or Tegretol. These cost about $53 for 30, 100 mg capsules. Provides might also prescribe antidepressants like Amitriptyline costing $12 for 30, 10 mg tablets. Opiate pain relievers such as hydrocodone (Norco, Vicodin) cost an average $18 for 30, 325 mg tablets.
• A physician may refer a patient to a pain center, in which a team of health professionals create a treatment plan, which might incorporate professionals from different disciplines. According to Marketdata Enterprises, a market-research firm, the average cost of such a pain program is $4,873. Fees are based on the procedures involved and complexity of the problem. For example, an initial consultation might be $225, but required monthly office visit could cost $195 each, and additional treatments might also be needed.
• Equipment and devices used to fight chronic pain differ in cost. For example, carrying a Transcutaneous Electrical Nerve Stimulators (which is a battery-operated units connected to the skin that emit electrical impulses to block pain signals), only cost in the neighborhood of $100.

Medicare suggested costs conducted in doctors’ offices are as follows:
• Injection therapy of vein costs minimum $159
• Injection therapy of multiple veins costs minimum of $181
• Ultrasonic guidance for needle placement costs $209

Medicare costs for procedures conducted within a health care facility are as follows:
• Injection therapy of vein costs minimum $88
• Injection therapy of multiple veins costs minimum of $103
• Ultrasonic guidance for needle placement costs $209

Profit margins for individual procedures vary depending on local reimbursement structures, whether equipment is owned or leased, methods of payment for support staff, and facility utilization contracts. Usually, performing approximately 200 or more procedures a year is associated with a high profit margin. The initial estimated equipment costs is $20,000. Procedures conducted on a few patients can easily recover this expense. Other price suggestions are depicted in the table below:

In this procedure, an abrasive instrument is used to mechanically sand the skin to remove some of the top skin layer (epidermis) and stimulate new skin growth. By removing the outer skin layers and smoothing the treated skin the physician can achieve a rejuvenated appearance.

In a countries with free market economies such as the United States, the charges may vary from provider to provider. For example, the fee for procedures such as ablative skin resurfacing or rejuvenation per patient might be $2,500 and for non-ablative skin resurfacing the minimum recommended charge would be $1,025. Nevertheless some physicians do charge as much as $3,000 and $2,500 for the two procedures, respectively. Rejuvenation machines cost between $500 and $5,000 depending on the quality.

The Harvard Medical School Division of Sleep Medicine claims that unmanaged moderate to severe sleep apnea is estimated to cost an incremental $2,700 to $3,000 in treatment costs, annually. This is the average incremental cost only. But individual provider prices have continued to steadily increase from $1,661 in 1996 to about $4,000 in 2010.

The other most common treatment for sleep apnea applies continuous positive airway pressure or CPAP. A machine is used to deliver air through a mouthpiece all night. For patients who cannot tolerate CPAP researchers at Stanaford University suggest laser-assisted uvulopalatoplasty surgery. But the efficacy of this surgery has received mixed scientific reviews. Some scientists claim that the condition tends to recur a year or so after surgery. The minimum patient cost for the surgery is $3,500. Sometimes people who have had this surgery are also required to procure and use a CPAP machine after all.

The American Sleep Apnea Association places the minimum cost for diagnosing and treating sleep apnea at a minimum of $1,000, but acknowledges that as the treatment is ongoing the cost is also increasing. In some cases treatment using CPAP is between $2,000 and $3,000 per unit cost. The profit margin range is between 25% and 40% depending on the region the patient lives in and the type of provider. With continuous increase in obesity rates, which is a risk factor for sleep apnea, the treatment costs are likely to keep escalating.

• 32 kits of Crest Whitestrips Supreme dispensed per month, (approx. 2 kits x 4 days workweek x 4 weeks a month)
• An average cost to the practice of $31 per kit.
• A recommended cost to the patient of $55 per kit.
• An average net profit of $24 per kit.

Based on these figures, a practice that dispenses 32 whitening kits each month will generate revenues of $21,120 per year (32 kits x $55 patient fee x 12 months). The result is an overall profit of $9,216 (revenue minus overhead) annually for the practice. For a practice that averages $400,000 a year in production, an increase of 12% in revenue from introducing professional whitening kits translates into increased production reaching $448,000 a year, which is a $48,000 increase. Due to the low overhead involved with adding Crest Whitestrips to the service mix, practices can count on more than 50% of that $48,000 as additional profit.