LBC Urgent Care

Jimmy Vu, Lawrence Nguyen, Daniel Bernabe, Yenifer Diaz, Erika Herrera, Jonathan Tran
Overview

❖ Company Profile
❖ Industry Overview
❖ Service Overview
❖ Competitive Analysis
❖ Pricing and Strategy
❖ Service Delivery Plan
❖ Human Resources
❖ Advertising
❖ Finances
Our Business Proposal
❖ Provide professional medical services to the Long Beach, CA community
❖ Provide services to work with low-income patients
❖ Expected to spend an estimated $100,000 for our marketing startup
➢ Budget 4% of our total revenue for the marketing department
❖ Investing money towards social media advertisements such as Facebook,
Instagram, and YouTube
Company Profile
LBC URGENT CARE
Who are we?

❖ Urgent care facility that delivers high quality medical service properly at a
professional level
❖ Treat acute and chronic illnesses
❖ Offer swift medical attention between 24 to 48 hours of injury/illness
❖ Differ from emergency rooms because they treat immediate medical
problems
❖ Shorter wait times and cheaper than emergency rooms
 Where can you find us?

Location:

3447 Atlantic Ave, Long Beach, CA 90807

Hours:
Monday, Saturday, and Sunday : 8:00 A.M. -12:00 A.M.
Tuesday- Friday: 8:00 A.M. -10:00 P.M.
Services We Provide
❖ Flu shots
❖ School/ Work physicals
❖ Examinations and lab-test
❖ Physical examinations
❖ Well child exam
❖ Treatment of minor illness and injuries
❖ Minor burns
❖ I.V therapy
❖ TB skin test
❖ Sprains/ strains and bruises

* This Does NOT include all our services

Target Market

❖ People of all ages

➢ medical conditions that are
NOT emergencies
❖ Long Beach community
❖ Residents of surrounding cities
Industry
Overview
 Social Changes Economic/ Reimbursement Changes
❖ The urgent care industry saw an increase ❖ The drive for cost control, are among the
of 8% in 2018 (UCAOA, 2018) factors driving up the number of urgent
❖ Now, more than ever, patients are looking care centers (Burns, 2019)
for convenience (Experity, 2019) ❖ 47% of patients seen in urgent care
➢ Shorter wait times
centers are covered by commercial
➢ Quicker way to get treatment
rather than visiting primary care insurance (Managed Care, 2019)
physician
❖ Millennials leading the way in driving
demand and increased utilization of
urgent care (UCAOA, 2018)
 Demographic Changes
❖ People of ages 31-to-40 used urgent care
the most in 2018
❖ Pediatric patients are the second highest
demographic to use urgent care (Modern
Healthcare, 2019)
Healthcare Delivery Changes
❖ Direct patient contracting
❖ Accept insurance
❖ Increased staff and spacing
❖ Online services
 Regulatory/ Political Changes
❖ We accept medicaid and medicare
insurance funded by the government
❖ We take insurance offered by your
employers
Key Success Factors

❖ Customer Service: Provide care for patients when they need it

❖ Regulatory Compliance
❖ Having hours that are usable for patients
❖ Focus on patient experience and good outcome measures
❖ Patient satisfaction will turn into patient loyalty
Barriers

Barriers to Entry Barriers to Exit

❖ Location ❖ Customer loyalty

➢ Competition between other ❖ Investment in equipment
urgent cares can be too high
➢ Making the company stand-out
❖ Start-up costs
 Service
Overview
LBC Urgent Care’s Benefits

❖ Convenience
➢ Long hours
➢ Open 7 days a week
❖ Online services (Website)
➢ Chat for quick questions/concerns
➢ Virtual waiting room
❖ Lower costs
LBC Urgent Care’s Values

❖ Dedication to patient safety

❖ Friendly welcoming staff
❖ Operational efficiency
❖ Integrity; perform with the highest ethical
standards
❖ Quality urgent care services with convenient
hours
Competitive
Analysis
Long Beach Urgent Care vs the Competition

❖ Direct Competitor: Memorial Urgent Care

➢ Accepts most major HMO, PPO, and EPO health plans
➢ They have other facilities under MemorialCare
■ allows for patients to be transferred to other facilities to receive
their desired treatment
❖ We offer the same treatment and less busy
❖ We have better hours closing at 10PM on weekdays and 12AM on
weekends compared to their 9AM-5PM hours
❖ Online services
Pricing and Strategy
Place and Pricing

3447 Atlantic Ave, Long Beach, CA 90807

❖ Rent: $28.80/sqft/y
➢ Includes: utilities, building services, property expenses
❖ 5,065 square feet
❖ The office space is right off the 405 freeway
❖ The office space is in close proximity to Long Beach-Daugherty Field Airport
❖ The office space is in close proximity to the Wardlow Transit Station
Service Delivery Plan
Service Delivery Plan
Clinical Protocols and Description of Best
Practices
Best Practices for Safe Care Transitions

❖ Ask patient for name of their PCP (or home care provider)
❖ Send summary clinical information to PCP (or home care provider) immediately after visit
❖ Send summary clinical information to the ED physician upon patient referral
❖ Perform modified medication reconciliation upon visit completion
➢ Identifying which medicine the patient should stop, start, or adjust
❖ Provide patient with effective education
➢ Diagnosis, medication, follow-up
❖ Provide patient with written discharge instructions

(Shamji, H., Baier, R. R., Gravenstein, S., & Gardner, R. L., 2014, p. 322)
 Cost Analysis
Labor Costs of FTEs

● Physician: 20 x $94.00 = 1880 x 52 = $97,760 x 2 = $195,520 ● Physician’s hourly rate is $94.00

● Physician Assistant: 40 x $47.00 = 1,880 x 52 =107,160 x 2 = $214,320 ● Physicians Assistant hourly rate is $57.00
● Nurse Practitioner:40 x $48.00 = 2,230 x 52=127,110 x 4 = $508,440 ● Nurse practitioners hourly rate is $58.00
● Registered Nurse: 40 x $40.00 = 1,600 x 52 = 912000 x 3 = $273,600 ● Registered Nurses hourly rate is $48.00
● Radiologic Technician: 40 x $31.00 =1,240 x 52 =70,680 x 2 = $141,360
● Radiologic Technician hourly rate is $31.00
● Medical Assistant: 40 x $16.00 = 640 x 52 = 36,480 x 4 = $145,920
● Medical Assistant hourly rate is $16.00
● Housekeeping: 40 x $14.00 = 560 x 52 =31,920 x 2 = $ 31,920
●
● Housekeeping hourly rate $14.00
Receptionist: 40 x $12.00 = 480 x 52 = $
27,360 ● Receptionist hourly rate $12.00

$1,834,280

● CEO: $120,000
● CFO: $ 90,000
● Urgent Care Manager: $ 51,000 $1,834,280 + $261,000 + $54,720 = $2,150,000
$261,000

● Housekeeping 20 x $14.00 = 280 x 52 = 15,960 x 2 = $ 15,960 Yearly Labor Cost Total: $2,150,000
● Receptionist: 20 x $12.00 = 240 x 52= 13,680 x 4 = $ 54,720
Monthly Labor Cost: $179,116
$ 54,720
 Cost Analysis (Continued)
Overhead Cost

● Rent: $145,872 / 12 months = $ 12,156 per month

● Phone and Internet Services = $ 120 per month
● Utilities = Included in rent
○ Electricity
○ Water + Gas
○ Garbage Service
● Liability Insurance = $ 600 per month
● Business Insurance = $ 700 per month
● Marketing Expenses = $100,000 initially, 4% afterwards
● Salaries + Wages = $179,116 per month

TOTAL: $2,412,912 per year

$ 201,076 per month

 Cost Analysis (Continued)
Margin
● The cost for the treatment and services we provide: Margin= Costs made after cost of good sold. Revenue= Units sold x sell price
● Treatment:
○ Allergies = $ 97 Average amount of urgent care visits are 60-80 patients. Average price per visit 50-150
○ Acute Bronchitis = $127 dollars.
○ Earache = $110
○ Sore Throat = $ 94 Revenue= 70 patients x150 cost per visit= 10,500.
○ Pink Eye = $102
○ Sinusitis = $112 Gross Profit= Revenue-Cost=10,500-1,400(70x20 costs of seeing a patient)= 9,100
○ Strep Throat = $111
○
Margin= Gross Profit/Revenue= 9,100/10,500= 0.866 -> 0.33x 100= 86.66%
Upper Respiratory Infection = $111
○ Urinary Tract Infection = $112
● Vaccination:
○ Tetanus = $ 35
○ Hepatitis B = $106
○ Hepatitis A & B = $135
○ Pneumonia = $ 72
○ Meningitis = $185
○ Seasonal Flu = $ 25
○ Tdap = $ 59
Space Requirements
❖ Comfortable patient-friendly waiting room
➢ Deliberate colors to inspire calmness and tranquility
■ Light blue tones
➢ Soothing lighting
■ Natural light with windows
➢ Proper furnishing and equipment
■ Comfortable seating for approximately 2x the amount of expected patients
❖ Semi-private registration area
❖ Exam rooms
 Human
Resources
Employees

Clinical (full-time vs. part-time) Non-clinical (full-time vs. part-time)

❖ Physician 2 ❖ Housekeeping- 2 full-time, 2 part-
❖ Physician Assistant 2 time
❖ Nurse Practitioner 4 ❖ Receptionist- 1 full time, 4 part-time
❖ Registered Nurse 3
❖ Radiologic Technician 2
❖ Medical Assistant 4
Job Duties

Physician Physician Assistant Nurse Practitioner

❖ in charge of all clinical ❖ works under the direct ❖ follows a patient-centered

operations
❖ oversee all operations of ❖ prevention & health education
the physician’s assistant
❖ care for patients with
more severe medical
conditions.
supervision of the physician
in charge of; conducting
physical examinations, counsel
patients on preventative care,
and writing prescriptions for the
patient
model focused on disease
for the patient,
❖ handle assessments, as well as,
diagnosis treatments
(Barber, 2018)
Job Duties
Registered Nurse
❖ take vitals for patients
❖ observe and record
patient behavior
❖ direct and supervise
medical assistants.
Radiologic Technician
❖ operate and adjust all imaging
equipment
❖ explain the procedures that
the patient will undergo.
❖ follow the physician’s orders
❖ follow safety procedures that
prevent unnecessary exposure
to radiation to patients.
Medical Assistant
❖ Follow orders from the
registered nurses
❖ update and file patient’s
medical records
❖ Collect laboratory specimens
❖ Prepare patient rooms prior
to patient check in.
Employee Compensation
Hourly Rates:

❖ Physician’s hourly rate is $94.00

❖ Physicians Assistant hourly rate is $57.00
❖ Nurse practitioners hourly rate is $58.00
❖ Registered Nurses hourly rate is $48.00
❖ Radiologic Technician hourly rate is $31.00
❖ Medical Assistant hourly rate is $16.00
❖ Housekeeping hourly rate $14.00
❖ Receptionist hourly rate $12.00

(May 2018 National Occupational

Employment and Wage Estimates, 2019)
Benefits

❖ Medical insurance
❖ Life insurance
❖ Disability insurance
❖ Retirement plans
Advertising
Finances
Startup Expenses
Opening Supplies $15,000

EMR Software $163,765

Licenses/ Permits $650

Furniture $6,000

Equipment $200,940

Decor $500

Launch Advertising $100,000

Legal fees $2,000

Accounting fees $2,000

Renovations $15,000
Income Statement
Cash Flow Statement
Balance Sheet
References
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