Why hire a consultant?

There are many reasons:

• You only need temporary expertise and you do not have the time (do not underestimate the amount of time required to create a business plan, getting appropriate permits, etc.)
• You just don't have the skills
• Gives you an objective view of your business

Key Questions to ask a consultant:

• What skills, expertise, and experience does the consultant have to carry out the project?
• What associations are they a member of? (as you know, all associations have a code of conduct/ethics, the consultant should be a member of an industry association)
• How many Medical Spas have them opened?
• Percentage over budget?
• Get references! and call them!

Finding a Consultant:

• Personal referrals
• Professional association directories
• Award winners identified through professional organizations
• News items in newsletters, newspapers, and magazines
• Consultant calling cards
• Brochures mailed by the consulting firms

Budgeting for Consultants:

You should have an established budget for the entire project and a source of funds from which to pay for the consultant. If you are only "window-shopping" to see how much money it might cost to create a MedSpa, you need to be very honest about that fact in initial conversations with prospective consultants. If you really do not have any idea how much creating your dream MedSPa is going to cost, you should consider hiring a consultant to do short and inexpensive "feasibility study."

Choosing your Consultant:

While you are talking with your prospective consultants, you need to focus on this: "can I work with them? Do they fit with my values?" You need to be comfortable with the person who you will be working with. How do you identify these intangibles? With an interview.

The interview is similar to a typical job interview, in that you are looking for the intangible factors you would consider when hiring an employee. For example, Do they fit within the team? Will they work well with you and other employees you have hired? Do click? Are you comfortable with them? Clearly identify your objectives prior to choosing a consultant.

Another question to ask is "Do you get compensated in any way other than by the consulting fees I am paying you?" Your goal is to get unbiased advice, which may not happen if your consultant is getting paid from the manufacturers or services they recommend.

Here are some more questions to ask your consultant:

• Will they offer an initial consultation that will help you determine if you really should be in the business and if so, what it will really take to succeed.
• Do they offer a retainer, hourly rate, flat rate, etc.
• Can they help you build upon a dream?
• Which suppliers do they use? What kind of discounts can they get from suppliers?
• Have they written for the trade magazines?

Once you have interviewed them, you will want to call their references. They should be references that are similar in scope to your requirements. Get at least three references.

Make a decision!

Formal Agreements:

You will be required to sign formal agreement. As common practice you attorney should review any contracts prior to you signing them. The contract should clearly outline the responsibilities of the consultants, timelines, and costs. If required by your local government, ensure the consultant has all the proper insurance (i.e. Errors and Omissions, property) and permits.

This was only meant to be a summary of some of the steps to keep in mind when choosing a consultant. You should consult with your (legal) advisors prior to making any final decisions, especially prior to signing any contracts.

MedSpa Financing does not get compensated by any equipment manufacturers or service providers.