Millions of Americans take prescription drugs to manage medical conditions. In many cases, these medications alleviate pain, control symptoms and generally allow patients to live normal lives that may not have been possible without the drugs. This is one reason why owning an independent pharmacy is an attractive consideration for those looking for a meaningful business venture.
If you are considering buying a pharmacy, there are some important details to take care of first. You would be wise to learn as much as you can about the business of running a pharmacy and to obtain quality legal advice from a professional with experience in pharmacy sales and acquisitions.
Creating a plan
Even if you have no experience running a pharmacy, some hard work, good advice and a little luck may still bring success. Your first steps are simple but too important to overlook. You must choose a memorable name for your business, and you will decide which type of business structure your pharmacy will be. Choosing S corporation, C corporation or LLC will significantly impact your taxes, personal liability and other issues. The following are also steps to take to get your business off the ground:
- Opening a company bank account to keep your business finances separate from personal funds
- Establishing a business plan that sets long-term and short-range goals, particularly in the area of finances
- Investigating the options for obtaining a small business loan
- Finding a good location for your pharmacy that will be easy for patients to access
- Purchasing insurance for professional liability, workers’ compensation, property coverage and other requirements of California law
- Obtaining vendors and suppliers to provide inventory
- Learning about federal HIPAA laws and other regulations for pharmacies
- Obtaining any necessary licenses or ID numbers, such as from the National Council for Prescription Drug Program and the U.S. Drug Enforcement Administration
On top of the issues most entrepreneurs face when they start and run their own businesses, you may also find yourself dealing with additional legal matters specific to pharmacies since prescription drugs are heavily regulated across the country. Struggling through these complications alone may leave you feeling overwhelmed and defeated before you even open the doors to your first customers. However, with a skilled attorney at your side, you may find that you are quickly on your way to running a business that offers the chance of long-term success.