The healthcare landscape in India is vast, with clinics playing a vital role in providing accessible medical services. If you want to embark on this rewarding journey, navigating the legalities can seem daunting. But worry not! This guide simplifies the process of “How to start a clinic in India”, ensuring you meet all the necessary regulations.
This article will holistically cover the types of clinics, legal requirements, infrastructure approval, and other necessary considerations that can help you with your question, “How to start a clinic in India.” Before getting into the legal aspects, let us look at the types of clinics and the necessary steps that you can follow from planning to implementation.
Understanding Clinic Types
The first step is deciding the type of clinic you envision. Here’s a breakdown of common options:
- Consultation Clinic: Provides outpatient consultations with doctors.
- Dispensary Clinic: Offers consultations along with dispensing medications.
- Short-Stay Clinic: Allows patients to stay for observation for a maximum of 8 hours. (Clinics exceeding this limit are categorised as nursing homes or hospitals.)
- Diagnostic Clinic: Provides diagnostic services like X-rays or blood tests.
Develop a Business Plan
Creating a business plan is the foundation for establishing a clinic. Key components to involve in your plan include:
- Clearly define the purpose of your clinic. Establish a long-term goal.
- Plan and specify the range of medical specialties and services you provide.
- Research and analyse the local healthcare market to identify demand and competition.
- Make an estimate of startup costs, operational costs, and potential revenue.
- Define the operational plan. Detail the workflow, patient management, and daily operations of the clinic.
- Identify potential risks and strategies accordingly.
How to Start a Clinic in India: Legal Requirements
Registration
The cornerstone of clinic establishment lies in the Clinical Establishments (Registration & Regulation) Act, 2010.
- Remember, healthcare falls under state jurisdiction, and specific procedures for registration may vary from state to state.
- You can register your clinic as a sole proprietorship, private limited company, limited liability partnership, or under the Partnership Act. Each structure offers unique benefits and drawbacks in terms of taxation, liability, and ownership.
Medical Licences
Every doctor practising in your clinic must possess a Medical Practitioner Licence issued by the National Medical Commission of India (NMC) Additionally, register your clinic with the local governing body, such as a municipal corporation or panchayat.
Pharmacy License (Dispensary)
If your clinic dispenses medications, you’ll need a pharmacy licence from the Indian Pharmacy Council and will have to ensure strict compliance with the Drugs and Cosmetics Act, 1940.
Diagnostic Licence
If your clinic deals with X-ray machines, you’ll need to obtain a requisite licence from the AERB (Atomic Energy Regulatory Board). A clinic that is equipped for storing blood will have to undertake its activities in compliance with the Drugs and Cosmetics Act, 1940, etc.
Pre-natal Diagnostic Licence
If you are a genetic clinic, you will need a registration under the Pre-natal Conception and Prenatal Diagnostic Techniques Act, 1994.
Infrastructure and Approvals for Starting a Clinic in India
Location
Pick a location based on accessibility. Ensure that the clinic is easily reachable by public and private transport. Analyse the population, competition, and visibility of your clinic in the area. Choose a well-lit and accessible location with an adequate water supply, creating a safe environment for patients, staff, and visitors. Check with local authorities for minimum space requirements, which vary based on state and clinic type.
Clinic Space
The infrastructure must adhere to all building codes concerning safety, hygiene, and accessibility for people with disabilities. A small clinic typically requires a consultation room of at least 100 square feet.
Ensure sufficient private rooms for confidential consultations, a clean and comfortable waiting area, and a well-equipped examination rooms with basic medical tools. Depending on your services, consider adding a procedure room, a laboratory, or a pharmacy section.
Ensure that you have a certificate for occupancy and a completion certificate if you own the clinic. If it is taken on rent or lease, make sure that the owner has the required building permits.
Equipment
Invest in essential medical equipment like stethoscopes, blood pressure monitors, and specialised tools aligned with your chosen field. Further, opt for quality equipment and check for durability and technological advancement to ensure patient care. Choose a reputable supplier with good after-sales service and a warranty.
Staffing
Ensure proper registration for all medical practitioners you hire. For instance, nurses must be registered with the Nursing Council. Similarly, other medical practitioners need to have proper registration. It includes:
- Registration for physicians by the State Medical Council.
- Registration with the Dental Council for dentists.
- Registration from the Pharmacy Board for Pharmacists.
- Registration with the Nursing Council for Nurses.
- Clinical psychologists’ enrollment with the Rehabilitation Council of India.
Train your staff on emergency protocols to guarantee patient safety. It is essential to ensure that all staff members adhere to ethical standards and regulatory requirements.
Additional Considerations
- Drug Licence: If you operate a dispensary clinic, obtain a licence from the Drug Controller under the Drugs and Cosmetics Act, of 1940.
- Clinics utilising narcotic drugs in any form require approval from the district collector.
- Waste Management: Secure a licence from the State Pollution Control Board for waste generation and obtain a third-party NOC for disposing of biomedical waste.
- Fire Safety: Comply with fire safety regulations and acquire a fire-clearance certificate. Ensure well-marked exit routes lead directly to safe exits outside the building.
- Maintenance of essential records: A proper SOP for data handling and maintenance of the mandatory documentation such as health records, medical certificates issued to the patients, registers for medico-legal cases, registration certificates of the staff, transactional records, etc.
Here is the link to the Application for Provisional Registration of Clinical Establishment.
See Also: Legal Measures For The Prevention Of Violence Against Doctors In India
Take Control of your Clinic with HealTether
The success of your clinic depends on how effectively you manage it. Easy and effective management can be done with the software for appointment scheduling, keeping track of patients’s data, analyzing the data, and organizing other crucial activities.
HealTether provides the software that not only manages all your tasks but also eases your practice with features like digital prescription. HealTether streamlines your clinic’s operations and revolutionise your patient experience.
Important features of the HealTether software include:
Appointment Scheduling System
HealTether provides you with a dynamic approach to scheduling, rescheduling, or canceling appointments in real time. You can manage it online and offline. Further, the latest WhatsApp feature to schedule an appointment reduces the waiting time in your clinic and eases the process for your patients.
Digital Prescription
This feature aids you with improved diagnostic accuracy. Digital prescriptions allow you to make a complete record of a patient’s medical history. It includes previous diagnoses, allergies, lab results, treatments, and medications.
Further, our AI-enabled solution provides you with a possible diagnosis. With this holistic approach, you can provide an accurate diagnosis and tailor the treatment. This digital prescription feature reduces the risk of misdiagnosis and provides personalized patient care.
Data-Driven Insights
Data is one of the most important tools in healthcare organisation and has the capability to improve patients experiences. With the collected data, you can identify individual patients’s unique needs, refine care plans, streamline clinician workflow, and come up with more effective management of public health. Further, data-driven decisions reduce the cost of medical care and provide better service.
Virtual Consultation
Your patient does not need to download an app for a consultation. They can now consult with specialists, manage chronic conditions, and receive ongoing care without the need for in-person visits. The virtual consultation feature is particularly beneficial in rural and underserved areas where healthcare resources may be limited.
Further, our secure clinical management system adapts to your specific needs, with multiple clinic types or specialties. We empower you to digitise daily tasks and provide patients with direct and efficient communication channels. Our cutting-edge technology automates tasks, freeing up your staff and fellow doctors to focus on what matters most: patient care.
Following these steps and adhering to all regulations, you can successfully open and manage your clinic and contribute to India’s robust healthcare ecosystem.
Remember, this guide provides a general overview on opening a clinic in India, and it’s advisable to consult with local authorities and legal professionals to ensure complete compliance with specific state regulations.
Are you ready to transform your clinic? Contact us today to learn more about HealTether’s clinical management system.
Sneha Bhonsle
Sneha is a Supreme Court of India advocate specializing in healthcare law and compliance. A US-certified medical coder with home health and HIPAA expertise, she also brings a strong understanding of pharmaceutical and life science regulations across the US, UK, and Asia-Pacific. As an AMR Advocate, Sneha champions responsible antibiotic use.
Sneha Bhonsle
Sneha is a Supreme Court of India advocate specializing in healthcare law and compliance. A US-certified medical coder with home health and HIPAA expertise, she also brings a strong understanding of pharmaceutical and life science regulations across the US, UK, and Asia-Pacific. As an AMR Advocate, Sneha champions responsible antibiotic use.
