Med Spa Laws In The US You Should Know

DONNA BELLA LASER MEDSPA® Helps Entrepreneurs Opening Spa Businesses in Med Spa Laws In The US

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With an estimated global value of $27 billion by 2027, the medical spa is a lucrative industry. This is why many people, like Mr. Hansel, want to open up a med spa. But did you know Mr. Hansel together with Dr, Zoolander, a licensed plastic surgeon, faced heavy charges in 2023 for unauthorized practice of medicine in Illinois?

This means opening up a med spa in Chicago or anywhere in the US isn’t as simple as it sounds! Apart from having the initial capital, a rejuvenating space and a trained staff, you’ll also need to ensure that your med spa business is in compliance with the state laws.

It will also protect your business from potential liabilities, and fosters trust among clients as your business demonstrates professionalism and adherence to corporate legal standards.

In this article, we’ll delve into what you need to know about med spa laws, regulations, and best practices to help ensure your business is both compliant and successful. But before that let’s figure out what a med spa is and how it is different from traditional beauty spas.

What is a Med Spa/Medical Spa?

A medical spa, often referred to as a med spa, combines the soothing atmosphere of a traditional spa with medical-grade treatments delivered by certified professionals.

Unlike regular spas that primarily focus on cosmetic procedures and pampering, medical spas offer a range of services such as Botox injections, laser hair removal, and chemical peels to provide long-term skincare solutions.

If you plan to own a med spa or medical spa, you must know and understand the legal landscape. Failure to adhere to local and federal regulations can cause legal complications leading to heavy fines and closure of your business.

Med Spa Laws by State: What You Need to Know

The laws and regulations for opening a med spa vary widely across the states of the US. These laws dictate various aspects of the business such as ownership structures, operational procedures, and the types of services you can offer.

Here we uncover the most common laws of popular US states regarding medical spas so you can make an informed decision.

1. California

In California, only licensed physicians are permitted to own med spas. They must also operate as professional corporations. For instance, if you’re a licensed esthetician with dreams of running a med spa, you’ll need to partner with a physician who can legally hold ownership.

2. Florida

In Florida, non-physicians can own med spas, but they are required to have a licensed physician supervising the operations. If you’re a licensed nurse practitioner in Florida looking to start your own med spa, you can do so, provided you have a physician on your team overseeing medical procedures.

3. Texas

Texas laws restrict ownership of med spas to licensed physicians, and you’ll need to secure an operator’s certificate. If you’re an entrepreneur with an aesthetic background, consider collaborating with a physician to fulfill legal requirements while realizing your business vision.

4. Illinois

As we were discussing the case above, the state requires a licensed physician supervising the operation of the med spa or owning the facility that offers med spa services. In Mr. Hansel’s case, there was a brief period when there was no licensed physician at the facility.

It was the short duration when the previous supervising physician left and Dr. Zoolander was onboarded. This was why Mr. Hansel was penalized by IDFPR for unauthorized practice and Dr. Zoolander for aiding and abetting it by working as a medical director at a med spa facility with no licensed supervising physician.

These variations can have a significant impact on your medical spa practice’s structure, from ownership models to service offerings.

Common Trends in Med Spa Regulations

When starting a med spa, there are some important trends you should know about, especially regarding who can own and supervise your business. Here are some key points for medical spa practices:

Physician Ownership Requirements

Physician Ownership Requirements

Many states require that a licensed medical professional or a physician must own part of the med spa. This means you can’t run the spa entirely on your own if you’re offering medical treatments.

Having a doctor involved ensures that someone makes medical decisions with the right training and expertise. It helps protect both you and your clients.

Medical Supervision Mandates

Understanding the requirements for medical supervision is crucial for ensuring that your med spa operates safely and effectively while complying with industry regulations.

Need for Supervision

In most places, certain treatments (like injections or laser therapies) must be supervised by a medical professional. This means a doctor or nurse must be present or involved in the treatment process.

Keeping Clients Safe

This supervision is essential to ensure all treatments are done safely and effectively, reducing the risk of complications.

Building Trust:

Clients feel more comfortable knowing a qualified medical professional is overseeing their treatments, which helps build trust in your spa.

By complying with these industry standards, you can ensure your med spa operates smoothly and make it a safe and welcoming space for your clients.

Understanding Med Spa Regulations

Starting medical or healthcare practices can be exciting, but it’s crucial to understand the regulations that govern this industry. Familiarizing yourself with the legal landscape helps ensure your business runs smoothly and builds trust with your clients.

Licensing Requirements

Licensing Requirements

Before launching your med spa, obtaining the necessary licenses and permits is critical. You’ll need to secure:

Business Licenses: Every med spa must acquire a business license to operate legally.

Medical Licenses: Depending on your services, you may need specific medical licenses. For instance, if you plan to provide laser treatments, having the right training and certification is essential.

Permits: Certain states may require additional permits for specific procedures, such as operating medical devices.

Scope of Practice

It’s vital to know who can medical spa services at your practice. Regulations differ by state regarding the scope of practice for estheticians, nurse practitioners, and physicians.

Injectables: Many states permit only licensed medical professionals to administer injectables like Botox or fillers. For example, if you’re an esthetician in a state with restrictions, you may need to work with a nurse practitioner or a doctor to offer these services.

Laser Treatments: Similar to injectables, laser treatments are often subject to specific regulations. In some states, only licensed professionals can operate laser equipment, making it crucial to know your state’s rules.

Scope of Practice
Corporate Practice of Medicine

Corporate Practice of Medicine (CPOM)

The Corporate Practice of Medicine (CPOM) doctrine governs how certain entities can employ physicians. In many states, this means non-physicians cannot own or control a medical practice, including a med spa.

Dr. Zoolander’s case defines the legal pitfalls one may face due to limited knowledge of the CPOM laws. While medical directors’ agreements are drafted to meet the criteria of CPOM laws, these agreements alone can’t always show adherence to the CPOM laws. When opening a med spa or joining one as a governing body, it’s best to consult a lawyer.

However, here we will give you a quick overview of the CPOM laws that every layman should know:

If you’re looking to open a med spa in a state with strict CPOM laws, it’s essential to ensure that a licensed physician is part of the ownership or management structure. This might involve drafting legal agreements outlining the physician’s responsibilities and your management role.

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Requirements for Opening a Med Spa

Opening a med spa involves careful planning and adherence to various requirements to ensure a successful launch. Understanding these essential steps will help you create a solid foundation for your business while providing safe and effective treatments to your clients.

Right Location

Setting Up Your Business

Starting your med spa involves several important steps:

Choosing a Legal Structure:

Decide whether your spa will operate as an LLC, a corporation, or a professional corporation. Each option has its advantages and challenges, so consulting with a legal expert is advisable.

Creating a Business Plan:

Develop a comprehensive plan outlining your vision, target audience, services offered, and financial forecasts. A solid business plan can attract investors and secure financing.

Selecting a Location:

Find a location that aligns with your target market and meets local zoning requirements for medical businesses.

Staffing and Supervision

Hiring qualified professionals is crucial for your med spa’s success. Here are key considerations:

Qualified Staff:

Ensure your team includes licensed professionals, such as nurses, estheticians, and physician assistants, with the appropriate training and credentials. If you hire a nurse practitioner to perform injectables, they should have relevant certifications and experience.

Supervision:

Depending on your state’s regulations, ensure that medical procedures are supervised by a licensed physician. This could involve regular check-ins or training sessions to maintain compliance.

Prioritizing Customer Service
Compliance with Federal Laws

Compliance with Federal Laws

Beyond state regulations, knowing federal laws is also important when opening a med spa. Some of the key regulations that your med spa should be compliant with are:

HIPAA Compliance For Medical Services:

Protecting patient information is paramount. Implement systems to safeguard data and patient privacy. For example, securely store patient records and train staff on HIPAA regulations.

OSHA Standards For Medical Procedures:

Adhering to Occupational Safety and Health Administration (OSHA) standards is essential for workplace safety. Train your staff in safety protocols, particularly when handling medical equipment and hazardous materials.

Steps to Launching Medical Spas

Launching a med spa can be a rewarding endeavor, combining your passion for beauty and wellness with the opportunity to make a positive impact on clients’ lives. By following these essential steps, you can ensure a smooth and successful launch while setting your business up for long-term growth.

View of office setup

Initial Setup

Ready to embark on your med spa journey? Consider these essential steps:

  1. Securing Financing: Determine how you will fund your med spa, whether through personal savings, loans, or seeking investors.

  2. Choosing a Location: Look for a site that suits your target audience and meets zoning regulations for medical facilities.

  3. Obtaining Necessary Licenses: Start the licensing process early, as it can take time to gather all the required documentation and approvals.

Ownership Considerations

Understanding who can legally own a med spa is critical:

Physician Ownership:

In many states, a licensed physician must own the med spa. If you are a physician, you can run the spa as the medical director. However, if you’re not, partnering with a physician is necessary to run a medical spa practice.

Management Service Organizations (MSOs):

Some med spas operate under MSOs, which manage business operations while a licensed physician oversees medical activities. This arrangement can enable non-physicians to have a stake in ownership while staying compliant.

Legal Agreements

Establishing proper legal agreements is vital for your med spa’s operations:

Medical Director Agreements:

If a physician is involved, ensure you have a clear agreement outlining their role, responsibilities, and compensation.

Management Service Agreements:

If you’re utilizing an MSO, a management service agreement will define the relationship between your spa and the management company, clarifying each party's roles and responsibilities.

Are You Ready to Open Your Med Spa In the US?

As you embark on the exciting path of opening a med spa, remember that thorough research and meticulous planning are paramount. Familiarize yourself with the legal landscape in your state, develop a solid business plan, and create a compliant and positive environment for both staff and clients.

The medical spa industry is vibrant, and with the right approach, your business can thrive. Focus on providing high-quality service, adhering to compliance standards, and engaging with your community to differentiate your med spa from the competition. So, are you ready to take the next step in your med spa journey? The opportunities are vast and waiting for you!

If you plan to open a med spa in the future but require advice from the experts, Donna Bella should be your go-to place in the DMV. Owned and operated by a licensed and board-certified doctor of internal medicine, the place offers affiliate programs to upcoming entrepreneurs that give them access to management expertise and a list of some of the best equipment suppliers. So what are you waiting for? Join Donna Bella’s family and open doors to your success and growth.