Medical Aesthetics Business Plan Template

Medical Aesthetics Business Plan

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We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Medical Aesthetics companies.

Below is a template to help you create each section of your Medical Aesthetics business plan.

Executive Summary

Business Overview

Solar Aesthetics is a new medical aesthetics spa located in Indianapolis, Indiana. Our mission is to help residents restore their natural beauty with the help of noninvasive medical treatments. We offer a variety of medical aesthetics services, including microdermabrasion, laser hair removal, and body contouring. We aim to be the #1 medical spa that the residents of Indianapolis can depend on for all their beauty care needs.

Solar Aesthetics is led by Nadia Greene, who has been in the medical aesthetics industry for ten years. Throughout this time, she worked for other local medical spas, providing a variety of treatments to hundreds of clients. Her experience, skills, and pre-existing client base will prove invaluable and guarantee that our spa will be successful.

 

Product Offering

Solar Aesthetics provides a variety of services to keep our customers looking and feeling their best. Some example services that we offer include, but are not limited to:

• Body contouring
• Chemical peels
• Laser hair removal
• Cellulite reduction
• Wrinkle reduction
• Skin tightening
• Microdermabrasion

In addition to these services, there will be a selection of beauty products for sale by the front reception that will help our customers maintain their beautiful appearance.

 

Customer Focus

Solar Aesthetics will primarily serve residents living in Indianapolis and the surrounding areas. The city has a large population of middle and upper class residents who have the disposable income to spend on aesthetic treatments. The area also has significantly more women than men and a median age of 34 years.

These demographics serve our company well. Traditionally, the customers that are most interested in medical spas are upper-class females who are middle-aged or older. The demographics of Indianapolis show that many residents fall into our target customer markets.

 

Management Team

Solar Aesthetics is led by Nadia Greene, who has been in the medical aesthetics industry for ten years. Throughout this time, she worked for other local medical spas, providing a variety of treatments to hundreds of clients. This has given her the experience and skills to succeed in her own medical spa business.

Many of Nadia’s pre-existing clients have agreed to frequent her new business, which gives Solar Aesthetics a solid starting client base. Though she has never run a medical spa of her own, she will hire personnel to help her manage the operations, financing, and marketing sides of the business.

 

Success Factors

Solar Aesthetics will be able to achieve success by offering the following competitive advantages:

• Location: Solar Aesthetics’ location is near the center of town in a location that is easily accessible by car, foot, or public transportation. We also offer adequate parking making it easy for customers to patronize us.
• Great service at an affordable price: The services offered by Solar Aesthetics are of similar quality to its most premium-positioned competitors. Solar Aesthetics will offer these services at a much more affordable price.
• Management: Our founder has years of experience as a medical aesthetician, so she knows how to operate and market this kind of business. She also is very skilled at her services and provides better quality care than services offered by most competitors.
• Relationships: Having worked as a medical aesthetician for ten years, Nadia Greene has developed a loyal client base, with many former clients already agreeing to frequent the business once it opens.

Financial Highlights

Solar Aesthetics is currently seeking $600,000 to launch. The funding will be dedicated towards securing the office space and purchasing equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and marketing costs. Specifically, these funds will be used as follows:

• Office design/build: $250,000
• Medical equipment and supplies: $100,000
• Office equipment, supplies, and materials: $10,000
• Three months of overhead expenses (payroll, rent, utilities): $150,000
• Marketing costs: $50,000
• Working capital: $40,000

The following graph below outlines the pro forma financial projections for Solar Aesthetics.

 

Company Overview

Who is Solar Aesthetics?

Solar Aesthetics is a new medical aesthetics spa located in Indianapolis, Indiana. Our mission is to help residents restore their natural beauty with the help of noninvasive medical treatments. We offer a variety of medical aesthetics services, including microdermabrasion, laser hair removal, and body contouring. We aim to be the #1 medical spa that the residents of Indianapolis can depend on for all their beauty care needs.

Solar Aesthetics is led by Nadia Greene, who has been in the medical aesthetics industry for ten years. Throughout this time, she worked for other local medical spas, providing a variety of treatments to hundreds of clients. Her experience, skills, and pre-existing client base will prove invaluable and guarantee that our spa will be successful.

 

Solar Aesthetics’ History

After conducting the research needed to establish a medical spa, Nadia Greene incorporated Solar Aesthetics on January 1st, 2023 as an S-corporation.

The business is currently being run out of Nadia’s home office, but once the lease on Solar Aesthetics’ spa location is finalized, all operations will be run from there.

Since incorporation, Solar Aesthetics has achieved the following milestones:

• Found a commercial space for the spa and signed a Letter of Intent to lease it
• Developed the company’s name, logo, and website
• Hired an interior designer for the decor and furniture layout
• Determined equipment and fixture requirements
• Begun recruiting key employees

 

Solar Aesthetics’ Services

Solar Aesthetics provides a variety of services to keep our customers looking and feeling their best. Some example services that we offer include, but are not limited to:

• Body contouring
• Chemical peels
• Laser hair removal
• Cellulite reduction
• Wrinkle reduction
• Skin tightening
• Microdermabrasion

In addition to these services, there will be a selection of beauty products for sale by the front reception that will help our customers maintain their beautiful appearance.

 

Industry Analysis

The beauty industry will always be in high demand, and the medical aesthetics market is no exception. As technology improves, more people are clamoring to try new medical treatments that make them look younger, thinner, and more attractive. Hardships, stress, and genetics work against us, especially as we age. It can be hard to watch one’s body become wrinkled and lose its youthful glow. Therefore, people will continue to spend money on medical aesthetic treatments that can make them look youthful with little effort.

This trend is expected to continue as photo editing software and technology continue to advance. Almost anyone with a social media account now uses some photo filters and editing to look more appealing to their followers. Medical aesthetics offer many services to help individuals look youthful and attractive both in real life and on social media.

According to Global Newswire, the current medical aesthetics market is valued at $61 billion and is expected to grow 9.5% from now until 2030. These statistics show that medical aesthetic services are in great demand, and the market is as strong as ever. Therefore, this is a great time to start a new business in this industry.

Customer Analysis

Demographic Profile of Target Market

Solar Aesthetics will serve the community residents of Indianapolis, Indiana and its surrounding areas. The area we serve is populated mostly by the middle and upper classes; as a result, they have the means to pay for higher-quality beauty care and medical services. The population is also predominantly female, which traditionally is a major customer segment for the industry.

The precise demographics for Indianapolis, Indiana are:

	Total	Percent
Total population	1,680,988	100%
Male	838,675	49.9%
Female	842,313	50.1%
20 to 24 years	114,872	6.8%
25 to 34 years	273,588	16.3%
35 to 44 years	235,946	14.0%
45 to 54 years	210,256	12.5%
55 to 59 years	105,057	6.2%
60 to 64 years	87,484	5.2%
65 to 74 years	116,878	7.0%
75 to 84 years	52,524	3.1%

 

Customer Segmentation

Solar Aesthetics will primarily target the following customer profiles:

• Nadia’s current client base
• Millennials
• Women

Competitive Analysis

Direct and Indirect Competitors

Solar Aesthetics will face competition from other companies with similar business profiles. A description of each competitor company is below.

 

Amy’s Medical Spa

Amy’s Medical Spa is the town’s most popular medical spa and has been in business for 32 years. Amy’s offers a wide array of services that you would expect from this type of establishment, including body sculpting and microdermabrasion.

Though Amy’s will continue to thrive, the most common complaint about this business is that it has become too big. It no longer provides the personal customer service touch it once did and doesn’t have a welcoming or warm environment. Solar Aesthetics will be more attractive to customers who are put off by this by offering a friendly environment and developing a client-based business model.

Fresh Faces

Fresh Faces has been one of the most popular spas in Indianapolis for the past five years. Fresh Faces offers extremely high-end beauty treatments that are designed to appeal to the most affluent residents of Indianapolis. This medical spa offers many of the same treatments as other competitors but also adds additional products and extras that bring up the rates significantly.

Though Fresh Faces appeals to the most affluent residents of Indianapolis, the prices keep many interested customers from frequenting the business. The treatments at Solar Aesthetics will be of the same quality but be more moderately priced.

Julie’s Beauty Spa

Julie’s Beauty Spa is a spa for everyone. It includes traditional spa services (such as facials and massages) as well as medical treatments (like body contouring, laser hair removal, and cellulite reduction). It’s a large spa with a giant staff to accommodate the needs of everyone who walks in their doors.

Though Julie’s offers medical beauty treatments, it is only one category of treatments that the business offers. Therefore, the company does not specialize in these services. Customers looking for more skilled aestheticians will be eager to frequent Solar Aesthetics instead.

Competitive Advantage

Solar Aesthetics will be able to offer the following advantages over their competition:

• Location: Solar Aesthetics’ location is near the center of town in a location that is easily accessible by car, foot, or public transportation. We also offer adequate parking making it easy for customers to patronize us.
• Great service at an affordable price: The services offered by Solar Aesthetics are of similar quality to its most premium-positioned competitors. Solar Aesthetics will offer these services at a much more affordable price.
• Management: Our founder has years of experience as a medical aesthetician, so she knows how to operate and market this kind of business. She also is very skilled at her services and provides better quality care than services offered by most competitors.
• Relationships: Having worked as a medical aesthetician for ten years, Nadia Greene has developed a loyal client base, with many former clients already agreeing to frequent the business once it opens.

 

Marketing Plan

Brand & Value Proposition

Solar Aesthetics will offer the unique value proposition to its clientele:

• Convenient location
• Significant personal attention
• Moderate price point
• Comfortable, customer-focused environment

 

Promotions Strategy

The promotions strategy for Solar Aesthetics is as follows:

Website/SEO

Solar Aesthetics will develop a professional website that showcases pictures of the spa and the services we provide. It will also invest in SEO so that the company’s website will appear at the top of search engine results.

Social Media

Nadia Greene will create the company’s social media accounts and invest in ads on all social media platforms. The company will use targeted marketing to appeal to our target demographics.

Customer Loyalty Programs

Solar Aesthetics will create a winning customer loyalty program to keep its best clients coming back again and again. Long-term customers will have the opportunity to participate in the loyalty program, and referrals will be rewarded as well.

Direct Mail

Solar Aesthetics will blanket neighborhoods surrounding its locations with direct mail pieces. These pieces will provide general information on Solar Aesthetics, offer discounts and/or provide other inducements for people to visit the spa.

 

Pricing

Solar Aesthetics’ pricing will be moderate, so customers feel they receive great value when patronizing the spa. Customers can expect to receive quality beauty treatments for a more affordable price than what they pay at ultra-premium competitors.

Operations Plan

The following will be the operations plan for Solar Aesthetics.

Operation Functions:

• Nadia Greene will be the Owner and Manager. She will oversee the general medical spa operations and client relationships and provide services until she hires a team of aestheticians. Nadia has spent the past year recruiting the following staff:
• Jennifer Johnson – Office Manager who will manage the day-to-day operations of the medical spa including overseeing the front desk staff, janitorial staff, and general administrative tasks.
• Dan O’Reilly – Staff Accountant/Bookkeeper who will provide all accounting, tax payments, and monthly financial reporting.
• Sean Thomas – Marketing Director who will oversee all marketing strategies for the company and manage the website, social media, and sales campaigns.
• As our client base grows, Nadia will hire several other aestheticians to provide the spa’s services to customers.

Milestones:

Solar Aesthetics will have the following milestones completed in the next six months.

• 07/202X Finalize lease agreement
• 08/202X Design and build out Solar Aesthetics
• 09/202X Hire and train initial staff
• 10/202X Kickoff of promotional campaign
• 11/202X Launch Solar Aesthetics
• 12/202X Reach break-even

 

Management Team

Solar Aesthetics is led by Nadia Greene, who has been in the medical aesthetics industry for ten years. Throughout this time, she worked for other local medical spas, providing a variety of treatments to hundreds of clients. This has given her the experience and skills to succeed in her own medical spa business.

Many of Nadia’s pre-existing clients have agreed to frequent her new business, which gives Solar Aesthetics a solid starting client base. Though she has never run a medical spa of her own, she will hire personnel to help her manage the operations, financing, and marketing sides of the business.

Financial Plan

Key Revenue & Costs

Solar Aesthetics’ revenues will come primarily from the services rendered and secondarily from the sale of beauty care products.

As with most services, labor expenses are the key cost drivers for spas. Medical aestheticians are paid through a combination of salaries and commissions. This rewards them for their performance and makes them an active part of business retention and development. Additional major cost drivers for the company’s operation will consist of marketing expenses, equipment purchasing and maintenance, and the lease.

 

Funding Requirements and Use of Funds

Solar Aesthetics is currently seeking $600,000 to launch. The funding will be dedicated towards securing the office space and purchasing equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and marketing costs. Specifically, these funds will be used as follows:

• Office design/build: $250,000
• Medical equipment and supplies: $100,000
• Office equipment, supplies, and materials: $10,000
• Three months of overhead expenses (payroll, rent, utilities): $150,000
• Marketing costs: $50,000
• Working capital: $40,000

Key Assumptions

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and pay off the startup business loan.

• Average number of daily customers:
  • Year 1: 20
  • Year 2: 30
  • Year 3: 50
  • Year 4: 75
  • Year 5: 100
• Annual rent: $100,000

 

Financial Projections

Income Statement

		FY 1	FY 2	FY 3	FY 4	FY 5
Revenues
	Total Revenues	$360,000	$793,728	$875,006	$964,606	$1,063,382
Expenses & Costs
	Cost of goods sold	$64,800	$142,871	$157,501	$173,629	$191,409
	Lease	$50,000	$51,250	$52,531	$53,845	$55,191
	Marketing	$10,000	$8,000	$8,000	$8,000	$8,000
	Salaries	$157,015	$214,030	$235,968	$247,766	$260,155
	Initial expenditure	$10,000	$0	$0	$0	$0
	Total Expenses & Costs	$291,815	$416,151	$454,000	$483,240	$514,754
EBITDA		$68,185	$377,577	$421,005	$481,366	$548,628
	Depreciation	$27,160	$27,160	$27,160	$27,160	$27,160
EBIT		$41,025	$350,417	$393,845	$454,206	$521,468
	Interest	$23,462	$20,529	$17,596	$14,664	$11,731
PRETAX INCOME		$17,563	$329,888	$376,249	$439,543	$509,737
	Net Operating Loss	$0	$0	$0	$0	$0
	Use of Net Operating Loss	$0	$0	$0	$0	$0
	Taxable Income	$17,563	$329,888	$376,249	$439,543	$509,737
	Income Tax Expense	$6,147	$115,461	$131,687	$153,840	$178,408
NET INCOME		$11,416	$214,427	$244,562	$285,703	$331,329

Balance Sheet

		FY 1	FY 2	FY 3	FY 4	FY 5
ASSETS
	Cash	$154,257	$348,760	$573,195	$838,550	$1,149,286
	Accounts receivable	$0	$0	$0	$0	$0
	Inventory	$30,000	$33,072	$36,459	$40,192	$44,308
	Total Current Assets	$184,257	$381,832	$609,654	$878,742	$1,193,594
	Fixed assets	$180,950	$180,950	$180,950	$180,950	$180,950
	Depreciation	$27,160	$54,320	$81,480	$108,640	$135,800
	Net fixed assets	$153,790	$126,630	$99,470	$72,310	$45,150
TOTAL ASSETS		$338,047	$508,462	$709,124	$951,052	$1,238,744
LIABILITIES & EQUITY
	Debt	$315,831	$270,713	$225,594	$180,475	$135,356
	Accounts payable	$10,800	$11,906	$13,125	$14,469	$15,951
	Total Liability	$326,631	$282,618	$238,719	$194,944	$151,307
	Share Capital	$0	$0	$0	$0	$0
	Retained earnings	$11,416	$225,843	$470,405	$756,108	$1,087,437
	Total Equity	$11,416	$225,843	$470,405	$756,108	$1,087,437
TOTAL LIABILITIES & EQUITY		$338,047	$508,462	$709,124	$951,052	$1,238,744

Cash Flow Statement

		FY 1	FY 2	FY 3	FY 4	FY 5
CASH FLOW FROM OPERATIONS
	Net Income (Loss)	$11,416	$214,427	$244,562	$285,703	$331,329
	Change in working capital	($19,200)	($1,966)	($2,167)	($2,389)	($2,634)
	Depreciation	$27,160	$27,160	$27,160	$27,160	$27,160
	Net Cash Flow from Operations	$19,376	$239,621	$269,554	$310,473	$355,855
CASH FLOW FROM INVESTMENTS
	Investment	($180,950)	$0	$0	$0	$0
	Net Cash Flow from Investments	($180,950)	$0	$0	$0	$0
CASH FLOW FROM FINANCING
	Cash from equity	$0	$0	$0	$0	$0
	Cash from debt	$315,831	($45,119)	($45,119)	($45,119)	($45,119)
	Net Cash Flow from Financing	$315,831	($45,119)	($45,119)	($45,119)	($45,119)
	Net Cash Flow	$154,257	$194,502	$224,436	$265,355	$310,736
	Cash at Beginning of Period	$0	$154,257	$348,760	$573,195	$838,550
	Cash at End of Period	$154,257	$348,760	$573,195	$838,550	$1,149,286

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