If you are interested in starting a business in the medical cum healthcare industry, one of the options open to you especially if you are not a doctor, a nurse or someone who owns a degree in the medical line is to go into medical courier services.
A Sample Medical Courier Business Plan Template
Table of Content
- 2. Executive Summary
- 5. Job Roles and Responsibilities
- 6. SWOT Analysis
- 7. MARKET ANALYSIS
- 13. Startup Expenditure (Budget)
1. Industry Overview
Medical courier delivers medical equipment to patients and healthcare providers, and they also deliver specimens to medical laboratories for testing. Some medical couriers carry donor organs and recipient patients to hospitals. Couriers are distinguished from other medical distributors by features such as speed, security, tracking, specialization and individualization of services.
This industry excludes courier companies that do not primarily serve healthcare industries or patients. Medical courier and delivery companies generally provide services between metropolitan areas or urban centers and form a network that includes local, national and international pickup and delivery to serve customers’ needs.
Research conducted by IBISWorld shows that the Medical Couriers industry transports medical equipment, specimens and organs for participants in the healthcare and pharmaceutical sectors. As a result of the industry’s connection to the healthcare space, revenue for the industry tends to be somewhat resistant to economic downturn.
Demand for medical courier services relies heavily on healthcare utilization rates, which IBISWorld determines by looking at the number of physician visits and total health expenditure.
Fortunately for industry participants, the number of physician visits and total health expenditure have increased over the five-year period to 2014, as a result of increased healthcare coverage and the prevalence of chronic diseases. With healthcare utilization rates increasing over the five years to 2014, IBISWorld estimates that industry revenue has grown at an annualized rate over the period, including growth in 2014 alone.
Any aspiring entrepreneur or investor that is considering starting this type of business whether on a small or large scale should ensure that he or she conducts thorough market survey and feasibility studies so as to get it right. The truth is that this type of business does pretty well when it is strategically positioned. Places with huge presence of clusters of health centers and medical laboratories are ideal for this type of business.
The medical courier services industry is a profitable industry and it is open for any aspiring entrepreneur to come in and establish his or her business; you can choose to start on a small scale in one or two public facilities and operating on a local and national level or if you have the capital and business exposure, then you can start on a large scale with several outlets in key cities and delivering medical packages on both at national and international levels.
2. Executive Summary
Mason Grey® Medical Courier Services, Inc. is a registered and licensed international medical courier and delivery company. We have been able to secure all the required documentation and a standard office facility that is suitable for the kind of business we are into.
Our corporate head office will be situated in Los Angeles – California and we hope to, sometime in the nearest future, have branches scattered all across major cities in the united states.
Mason Grey® Medical Courier Services, Inc. will be involved in the delivery of medical equipment to patients and healthcare providers, specimens to medical laboratories and carry donor organs and recipient patients to hospitals. Our business goal is to become one of the leading medical courier companies in Los Angeles – California and we will make sure that every delivery we handle compete favorably with the best in the industry.
Much more than safe delivery, our customer care is going to be second to none in the whole of Los Angeles – California. We know that our customers are the reason why we are in business which is why we will go the extra mile to get them satisfied when they patronize our services.
Mason Grey® Medical Courier Services, Inc. is a family business that is owned and managed by Mason Grey and his immediate family members.
The business will be managed by his son Trent Grey, a graduate of Business Administration who has extensive experience working with one of the leading global medical courier and delivery companies in the United States of America.
3. Our Products and Services
Mason Grey® Medical Courier Services, Inc. is in the medical courier and delivery services industry for the purpose of making profits and we will position our business to favorably compete for available market in the industry. We are going to do all that is permitted by the laws in the United States of America to achieve our business goals. Here are some of our service offerings;
- Involved in the delivery of medical equipment to patients and healthcare providers, specimens to medical laboratories for testing and carry donor organs and recipient patients to hospitals
- Providing air, surface or combined medical courier delivery services
4. Our Mission and Vision Statement
- Our vision is to build a medical courier and delivery company that will have active presence all over the United States of America and the globe.
- Our mission is to establish a standard medical courier and delivery company that will make available a wide range of services in the medical courier and delivery industry at affordable prices to players in the healthcare and pharmaceutical sectors in and around Los Angeles – California.
Our Business Structure
Our intention of starting a medical courier and delivery services company is to build a standard business with active presence in major cities in the United States of America and the globe. We will ensure that we put the right structures in place that will support the kind of growth that we have in mind while setting up the business.
In putting in place a good business structure, we will ensure that we hire only people that are qualified, honest, customer centric and are ready to work to help us build a prosperous business that will benefit all our stake holders.
As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of ten years or more. In view of that, we have decided to hire qualified and competent hands to occupy the following positions;
- Chief Executive Officer (Owner)
- Admin and Human Resources Manager
- Sales and Marketing Manager
- Transport and Logistics Manager
- Client Services Executive
- Dispatch Riders
5. Job Roles and Responsibilities
Chief Executive Officer – CEO:
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results
- Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for fixing prices and signing business deals
- Responsible for providing direction for the business
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Reports to the board
Admin and HR Manager
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Defining job positions for recruitment and managing interviewing process
- Carrying out induction for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Oversee the smooth running of the daily office activities.
Sales and Marketing Manager
- Manage external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
- Model demographic information and analyze the volumes of transactional data generated by customer purchases
- Identify, prioritize, and reach out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Document all customer contact and information
- Represent the company in strategic meetings
- Help increase sales and growth for the company
Transport and Logistics Manager
- Responsible for coordinating delivery vans and bikes
- Responsible for operating IT systems for the organization
- Responsible for negotiating and agreeing contracts for the organization
- Responsible for developing and confirming schedules
- Responsible for planning for and negotiating technical difficulties
- Responsible for preparing paperwork for regulatory bodies
- Responsible for implementing health and safety standards
- Handles the planning routes and load scheduling for multi-drop deliveries.
- Handles booking in deliveries and liaising with customers.
- In charge of directing all transportation activities.
- Responsible for monitoring transport costs.
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides managements with financial analyses, development budgets, and accounting reports
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensuring compliance with taxation legislation
- Handles all financial transactions for the organization
- Serves as internal auditor for the organization
Client Service Executive
- Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
- Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Manages administrative duties assigned by the human resources and admin manager in an effective and timely manner
- Consistently stays abreast of any new information on the organizations’ products, promotional campaigns etc. to ensure accurate and helpful information are supplied to clients when they make enquiries.
- In charge of dispatching/delivery of medical equipment to patients and healthcare providers
- Providing air, surface or combined medical courier delivery services
- Handle packing and sorting operations
6. SWOT Analysis
Our intention of starting our courier and delivery services business in a strategic location in Los Angeles – California is to test run the business for a period of 1 to 2 years to know if we will invest more money, expand the business and then open collection centers all around key cities in the United States of America.
We are quite aware that there are several medical courier and delivery services companies in the United States and even in the same locations where we intend locating ours, which is why we are following the due process of establishing a business.
We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be equipped to confront our threats.
Mason Grey® Medical Courier Services, Inc. employed the services of an expert HR and Business Analyst with bias in startups to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives. This is the summary of the SWOT analysis that was conducted for Mason Grey® Medical Courier Services, Inc.;
The strategic locations we intend positioning our business, the business model we will be operating on, ease of payment, wide range of reliable dispatching vans and bikes and our excellent customer service culture will definitely count as a strong strength for Mason Grey® Medical Courier Services, Inc.
So also, we have a team that can give our clients value for their money; a team that are trained and equipped to deliver parcels on time.
A major weakness that may count against us is the fact that we are a new medical courier and delivery service and we don’t have the financial capacity to compete with multi – million dollar companies who are key establishments in this industry.
Healthcare utilization rates will grow at a faster rate than in the previous five years, as the Patient Protection and Affordable Care Act increases the number of individuals with healthcare coverage. For this reason, it provides us with unlimited opportunities. So also, technological advancements will boost demand for specialized medical courier services.
Just like any other business, one of the major threats that we are likely going to face is economic downturn. It is a fact that economic downturn affects purchasing/spending power.
Another threat that may likely confront us is the arrival of a new medical courier and delivery services company in same location where ours is located. unfavorable government policies and technology can also pose a threat to our business.
7. MARKET ANALYSIS
- Market Trends
Aided by increased regulation and demand from pharmaceutical companies for a more controlled transportation environment, the Medical Couriers industry has experienced stable demand. Regulations on perishable healthcare cargo specify that when transporting certain products, the internal temperature must remain within a certain range.
According to IBISWorld Industry Analyst Daniel Carusotto, “As a result of these specifications, coupled with the sensitive nature of the products industry participants transport, medical couriers have become increasingly important in the healthcare and pharmaceutical sectors’ supply chain.”
As a result of increased demand for industry services from pharmaceutical companies and other customers, profit margins have expanded over the five years to 2014.
In the coming five years, similar trends are expected to persist, resulting in solid demand for industry services. IBISWorld expects industry revenue to grow at an annualized rate in the five years to 2019. While demand for industry services will increase, competition from the general courier industry is expected to intensify as companies such as FedEx continue their push into the healthcare transport space.
8. Our Target Market
Those who need the services of medical courier and delivery businesses are all encompassing, every player in the healthcare, laboratories and pharmaceutical sector are our target market.
In view of that, we have positioned our parcel collection centers in strategic locations to service the residence and businesses in Los Angeles – California. We have conducted our market research and we have ideas of what our target market would be expecting from us. We are in the medical courier and delivery services industry to attract the following clients;
- Health centers
- Pharmaceutical companies
- Organ banks
- Blood banks
- Sperm banks
Our Competitive Advantage
The competition that exists in the courier and delivery services industry is stiff because anyone that has the finance and business expertise can decide to start this type of business. Although, the medical courier and delivery services industry requires some form of training and expertise, but that does not in any way stop any serious minded entrepreneur from starting the business.
The business model we will be operating on, ease of payment, wide range of services and our excellent customer service culture will definitely count as a competitive advantage for Mason Grey® Medical Courier Services, Inc. So also, we have a team that can give our clients value for their money; a team that are trained and equipped to pay attention to details and deliver parcels on time both locally, nationally and at the international level.
Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category in the industry meaning that they will be more than willing to build the business with us.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Mason Grey® Medical Courier Services, Inc. is established with the aim of maximizing profits in the medical courier and delivery services industry and we are going to that we do all it takes to offer our services to a wide range of customers. Mason Grey® Medical Courier Services, Inc. will generate income by offering the following services;
- Delivery of medical equipment to patients and healthcare providers, specimens to medical laboratories and carry donor organs and recipient patients to hospitals
- Providing air, surface or combined medical courier delivery services
10. Sales Forecast
One thing is certain; there would always be players in the healthcare and pharmaceutical sector in Los Angeles – California and in the United States of America who would always need the services of medical courier and delivery companies for the various purposes.
We are well positioned to take on the available market in Los Angeles – California and we are quite optimistic that we will meet our set target of generating enough income/profits from our first six months of operation and grow the business and our clientele base beyond Los Angeles to other cities in the United States of America.
We have been able to examine the medical courier and delivery services industry, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. Below are the sales projections for Mason Grey® Medical Courier Services, Inc., it is based on the location of our business and the wide range of services that we will be offering;
- First Fiscal Year (FY1): $240,000
- Second Fiscal Year (FY2): $450,000
- Third Fiscal Year (FY3): $750,000
N.B: This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown within the period stated above. There won’t be any major competitor offering same services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.
- Marketing Strategy and Sales Strategy
Before choosing locations for our business, we conduct a thorough market survey and feasibility studies in order for us to penetrate the available market and become the preferred choice for players in the healthcare and pharmaceutical sector in Los Angeles – California.
We hired experts who have good understanding of the medical courier and delivery services industry to help us develop marketing strategies that will help us win a large percentage of the available market in Los Angeles – California. In summary, Mason Grey® Medical Courier Services, Inc. will adopt the following sales and marketing approach to win customers over;
- Introduce our business by sending introductory letters alongside our brochure to hospitals, laboratories, health centers, pharmaceutical companies, organ banks, blood banks, sperm banks and key stake holders in Los Angeles and other cities in California.
- Advertise on the internet on blogs and forums, and also on social media like Twitter, Facebook, LinkedIn to get our message across
- Create a basic website for our business so as to give our business an online presence
- Directly market our business
- Join local business centers associations for industry trends and tips
- Provide discount days for our customers
- Advertise our business in community based newspapers, local TV and radio stations
- List our business on yellow pages ads (local directories)
- Encourage the use of Word of mouth marketing (referrals)
11. Publicity and Advertising Strategy
Despite the fact that our office facility and collection centers will be well located, we will still go ahead to intensify publicity for the business.
Mason Grey® Medical Courier Services, Inc. has a long – term plan of opening our collection centers in various locations in key cities all around the United States of America which is why we will deliberately build our brand to be well accepted in Los Angeles – California before venturing out.
Here are the platforms we intend leveraging on to promote and advertise Mason Grey® Medical Courier Services, Inc.;
- Place adverts on both print (community based newspapers and magazines) and electronic media platforms
- Sponsor relevant community programs
- Leverage on the internet and social media platforms like; Instagram, Facebook, twitter, et al to promote our brand
- Install our Billboards on strategic locations all around Los Angeles – California
- Distribute our fliers and handbills in target areas
- Position our Flexi Banners at strategic positions in the location where our collection centers are located.
- Ensure that all our workers wear our branded shirts and all our delivery vehicles are well branded with our company’s logo et al.
12. Our Pricing Strategy
At Mason Grey® Medical Courier Services, Inc. we will keep the prices of our medical courier and delivery service below the average market rate by keeping our overhead low and by collecting payment in advance from organizations who would hire our services.
- Payment Options
The payment policy adopted by Mason Grey® Medical Courier Services, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Mason Grey® Medical Courier Services, Inc. will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via online bank transfer
- Payment via check
- Payment via Point of Sale Machines (POS Machine)
- Payment via mobile money
In view of the above, we have chosen banking platforms that will enable our clients make payment for our medical courier and delivery services without any stress on their part.
13. Startup Expenditure (Budget)
From our market survey and feasibility studies, we have been able to come up with a detailed budget for establishing a standard medical courier services business and here are the key areas where we will spend our startup capital;
- The Total Fee for Registering the Business in the United States – $750.
- Legal expenses for obtaining licenses and permits as well as the accounting services (software, P.O.S machines and other software) – $1,300.
- Marketing promotion expenses for the grand opening of the business in the amount of $3,500 and as well as flyer printing (2,000 flyers at $0.04 per copy) for the total amount of $3,580.
- The cost for hiring Business Consultant – $2,500.
- The amount needed for the purchase of insurance policy cover (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
- The cost for payment of rent for 12 months at $1.76 per square feet in the total amount of $125,600.
- The cost for the facility and remodeling – $70,000.
- Other start-up expenses including stationery ($500) and phone and utility deposits ($2,500).
- Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $100,000
- The cost for warehouse equipment (cash register, security, ventilation, signage) – $13,750
- The cost of purchase and installation of CCTVs and car tracker devices: $10,000
- The cost for the purchase of furniture and gadgets for the office: $50,000.
- The cost for the purchase of delivery vans and bikes: $45,000
- The cost of launching a website: $600
- Miscellaneous: $10,000
We would need an estimate of $350,000 to successfully set up our medical courier and delivery services company in Los Angeles – California.
Generating Funds/Startup Capital for Mason Grey® Medical Courier Services, Inc.
No matter how fantastic your business idea might be, if you don’t have the money to finance the business, the business might not become a reality.
Finance is a very important factor when it comes to starting a delivery service. Mason Grey® Medical Courier Services, Inc. is a family business that is solely owned and financed by Mason Grey and his immediate family members. They decided to restrict the sourcing of the startup capital to 3 major sources.
- Generate part of the startup capital from personal savings
- Source for soft loans from family members and friends
- Apply for loan from the bank
N.B: We have been able to generate about $100,000 (Personal savings $80,000 and soft loan from family members $20,000) and we are at the final stages of obtaining a loan facility of $250,000 from our bank. All the papers and documents have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.
14. Sustainability and Expansion Strategy
The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and the business structure. If all of these factors are missing from a company, then it won’t be too long before the business closes shop.
One of our major goals of starting Mason Grey® Medical Courier Services, Inc. is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running. We know that one of the ways of gaining approval and winning customers over is to offer our medical courier and delivery services a little bit cheaper than what is obtainable in the market and also to ensure timely and safe deliveries.
We are prepared to survive on lower profit margin for a while. Mason Grey® Medical Courier Services, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of.
Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing standard photo booths: In Progress
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Leasing of facility for positioning and remodeling the facility: In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Printing of Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of the needed furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business both online and around the community: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Purchase of delivery vans and bikes: Completed
- Establishing business relationship with players in the healthcare and pharmaceutical sectors and third party services providers – shipping companies, and airline companies et al: In Progress