A medical supplies business is one of the most rewarding and diverse industries there is. There are plenty of opportunities for growth, plus many different types of equipment to use to meet the needs of your customers. The benefits and challenges facing a small-owned medical supplies business are not well understood by those outside the industry. Many people think that this type of business only involves things like defibrillators or wheelchairs, but in reality, there are dozens of products available on the market today to suit any need imaginable. Your customers' needs can be met in a number of different ways, including the following:
The industry is growing and there is still an opportunity to get involved at a lower level. The most important step for you to take is to find out everything you can about your industry and then develop a plan that will allow you to become successful. The following are some key factors that will help you succeed in the medical supplies business:
Medical supplies have been a booming industry in the United States for years. These days, people are living longer and better lives than ever thanks to healing advancements like new surgical procedures and advanced drugs. The US medical supplies industry has grown exponentially as a result, reaching a huge valuation in sales last year alone.
In this post, we'll explore how the industry is doing--from where hospitals buy supplies to how much money patients spend on these products--and what we can expect from this expanding sector of our economy in 2021 and beyond.
Hospital Supply Purchasing and Distribution
Large hospitals purchase their medical supplies from wholesalers, which buy products from manufacturers, usually in bulk. Supplies are then stored in warehouses until they are needed by hospital staff. The largest purchasers of medical supplies for hospitals are often the pharmacy departments.
Wholesalers can also distribute medical supplies directly to patients, or they can sell these products to retail pharmacies and other smaller buyers. Smaller local providers and clinics tend to purchase most of their supplies from wholesalers directly. These facilities will have smaller storage areas than large hospitals, so they stock fewer total products.
Patient Care and Out-Of-Pocket Expenses
While hospitals are responsible for supplying their employees with everything they need to carry out the treatment and care of patients, patients often have to purchase medical supplies or pay out-of-pocket for these products. While some of these items are given directly to patients by hospital staff, many patients must purchase supplies like bandages or crutches on their own. These products add up quickly, especially if a patient is in the hospital for a long time--and so do their out-of-pocket expenses.
Why is Healthcare Spending Rising?
The United States spends significantly more on healthcare services than any other developed country. In 2017 the US spent around $3.5 trillion on healthcare, which equals approximately 17% of the GDP. The second highest spender on healthcare was France, with a spend of $2.8 trillion, or 16% of their GDP. The most significant difference between these two countries is that France provides almost universal healthcare to their citizens, while the United States does not.
While American's health clearly isn't worse than France's (in fact it is often better), they do pay significantly more out-of-pocket for health services, and they don't receive any financial support from the government for their out-of-pocket medical expensesÂ
The most important part about starting any business is making sure that there is a need for what you are selling. In the case of medical supplies, this means showing a clear need among your customers before getting involved.
Another positive aspect of working in the medical supplies business is that there are a number of delivery options on the market. This means that you will not have to worry about taking time off from your regular job to deliver products, as you can hire a delivery service to do it for you. Some of the following delivery options are used in the industry today:
The range of products sold in this industry also means that there are many different ways to get involved and receive payment. This is a growing industry with high demand for its products, so if you are interested in starting a medical supplies business, it is important to begin planning right away.
