Stay Compliant, Stay Confident!
Ensure your medical aesthetics practice is legally sound.
If there is one area of operating a medical aesthetics practice that can lead to big problems, it is compliance. Unlike most things, recovering from regulatory compliance sanctions can be extremely difficult. Worse than the potential fines, the reputational damage can be devastating to a practice, its providers, and the medical director.
As Stephen R. Covey once said, “It isn't the snake bite that does the serious damage; it's chasing the snake that drives the poison to the heart.” The negative press that results from the sanctions can lead to a feeling of distrust in the marketplace and questions about the overall management of the practice.
Overcoming such perceptions can prove to be highly challenging. In addition to clients raising questions, staff members may also begin to question ownership’s intentions, integrity, and ethics, leading to difficulties in retaining and attracting top talent. Ultimately, these doubts can accelerate the practice's decline.
While there is no doubt that the vast majority of medical aesthetics practice owners are people of integrity and operate in a regulatory compliant manner, there may be occasions where the practice unknowingly operates in a non-compliant manner.
Below are some areas to reflect over as you assess your practice to ensure you are doing everything you can to stay compliant, stay confident and stay off the evening news.
Corporate Practice of Medicine (CPOM)- CPOM doctrine is intended to ensure that physicians are able to exercise professional medical judgment without financial or other outside pressures. As such, in most states a non physician cannot own a medical practice. Therefore, having a medical director oversee the medical side of the practice may not make you compliant. Similarly, having an advanced practice nurse oversee the medical side of the practice may not make you compliant either. If you doubt you are compliant with CPOM laws, it would be wise to consult legal counsel. Don’t take your colleague’s word that a management services organization (MSO) is not necessary. Such an argument may not bode well with the regulatory bodies.
Medical Director - A medical director must be qualified to provide oversight. What does qualified mean? In most states the medical director must specialize in, or at least have experience and training in, aesthetic medicine. What this means is that your dentist, podiatrist, or OBGYN is likely not qualified to serve as a medical director for the practice if they do not have experience in aesthetic medicine. It is also important to note that a medical director should be involved in the medical side of the practice. Involvement is much more than providing their license to the practice. If you have questions about who is qualified to be a medical director, it would be wise to consult legal counsel.
Good Faith Exam - A good faith examination is a necessary step taken prior to a patient undergoing a treatment. The objective is to evaluate their current health status, review their medical history, and confirm their suitability for the procedure. The purpose of this examination is to establish a diagnosis and develop an appropriate treatment strategy for the patient. A good faith exam must be conducted by a qualified healthcare provider. Usually, the provider needs authorization from their supervising or collaborating physician to perform such exams. Good faith reexaminations should be conducted periodically and are not intended to done once and forever. If you have questions about who is qualified to perform such examinations, it would be wise to consult legal counsel.
Delegated Authority - Delegation encompasses the assignment of particular duties from a physician to non-physician providers within established guidelines. These duties range from conducting the Good Faith Exam (GFE) or initial assessment, diagnosing conditions, and creating treatment plans. It may also involve the execution of medical procedures. Proper delegation is essential and necessitates careful adherence to legal standards and regulations to uphold patient safety and comply with licensing protocols. If you have questions about who is qualified to receive delegated authority, it would be wise to consult legal counsel.
Blood Safety - Besides the requirements around managing bloodborne pathogens, practices providing non-surgical platelet-rich plasma (PRP) or platelet-rich fibrin (PRF) injections or micro-needling PRP or PRF into the surface of the skin may be required to obtain a blood bank license. If you have questions about the requirements around blood bank licensure, it would be wise to consult legal counsel.
Documents and Forms - While not all the documents and forms we discuss are legally required, all are recommended because they represent good business practices. Each are important for ensuring your med aesthetics practice is compliant and operationally sound. Such documents and forms include, but are certainly not limited to, standard operating proceeds (SOP) for your key operating practices, medical protocols and informed consents for all of your medical services, provider licenses, laser safety, employee training and certifications, and regulatory licensing. If you have questions about required documents, it would be wise to consult legal counsel.
Operating a medical aesthetics practice is an all encompassing endeavor and much more than being highly effective at the fundamentals of business (i.e., creating a great client experience, developing a strong organizational culture, sales and marketing, and exceptional outcomes). It requires managerial diligence with regard to regulatory requirements. It requires dotting the “i”s and crossing the “t”s on all aspects of owning and operating a medical practice. Yes, med spas are technically medical practices. Don’t find your practice getting snake bit by non-compliance. Be sure you are aware of the regulatory requirements.
💌 Are you ready to take on an investment partner to help you grow your medical aesthetics practice? If so, we are here to partner with you every step of the way. Fill out the contact form or send us an email at info@baraesthetics.com and we will schedule a call to discuss the possibilities.
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