Hospital Setup
Though it may not be easy to establish a Hospital / Clinic in India, we are providing some advice about how to get started, including the licenses and legal requirements you will need.
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Hospital Setup
Every citizen in our country has the need and right to healthcare. However, platforms for this delivery such as hospitals, nursing homes, clinics and medical camps are assisted by doctors, nurses and othermedical staff that Indian unfortunately lacks. For perspective, currently there is one hospital bed for every 879 people living in India. WHO states that India is in dire need of 80,000 additional hospital beds each year to take care of its growing population.This number falls way below the world average of 30 hospitals per 10,000 individuals and sheds light on how many more hospitals need to be constructed rapidly.
Top Requirements for Hospital Setup
Location of the hospital
When searching for the perfect location to build your hospital, you should consider how many other hospitals are in the area. If there are already a lot of hospitals, it will be difficult to attract patients. The hospital should also be close to public transportation or a railway station. Another important factor to consider is cost of real estate; building a hospital is a huge financial investment
Facilities your hospital offers
It’s vital to know what set-up is planned and what infrastructure will be needed. Different structures are required by a pediatric, orthopedic, gynecological, oncology, pathology, imaging, and other hospital departments.
Permits for your hospital
- Land: Building a hospital wing on land designated for agriculture requires clearance from local authorities and approval of several documents, such as the land deed and architect’s plan. An occupation certificate is obtained after all formalities have been completed.
- Electricity & Water: Permission from the local governing body is required to acquire electric meters and water supply in accordance with hospital standards. Water usage must be estimated, which for any installation is about 100 liters each day.
- Sewage: Proper waste disposal necessitates a well-planned sewage and drainage system, which must be authorized by the local board.
- Biomedical Waste: Permission from the municipal corporation is required for incinerators to be used to dispose of medical waste and body parts.
- Fire & Health Licence: It is necessary to acquire a Fire Permit from the local municipal council in order to prove that the hospital will not cause any damage or loss of life and must be acquired. To adequately provide health care, a health license is required.
Planning your hospital infrastructure
Take care of all these:
- The qualified doctors and their registration numbers should be recorded.
- Nurses and their working shifts should be discussed and set
- Purchased medical equipment and instruments
- Computers and other hardware devices set up
- Engineers and staff required for maintenance, plumbing, medical gas pipelines, air conditioning, etc. set
There are a number of medical laws and ethical standards that must be followed at all times. The government has set forth a series of guidelines and eligibility criteria for hospitals that provide services to beneficiaries of the central government health scheme.
Setting up a hospital in India necessitates a lot of planning, substantial money, permits, certifications, and guidelines. It might be worthwhile at the conclusion, but it will take time and significant effort to gather all of the resources that are already in place.
Registration & Legal Requirements
Registration under the clinical establishment act, 2017
The purpose of the Clinical Establishment Act is to provide for the registration and regulation of clinical establishments in India in order to improve the quality of healthcare services provided therein. The act also seeks to standardize minimum essential facilities and services that must be made available at all registered clinical establishments.
Registration under companies Act, 2013
This act only applies when the hospital is owned by a corporation. The requirements for the corporation are that it must be registered and fulfill certain incorporation documents such as a memorandum of association, articles of association, capital structure formation, securities allotment, account audits, etc.
Director Index No (DIN NO) for each director
This falls under the Ministry of Corporate Affairs in India. Each director who wants to join a company must complete this form. It is a one-time registration for directors.
Registration under societies registration act, 2001
If the hospital is being established under the ownership of society, then the registration act from the government is required.
How much does it Cost to Setup a Hospital in India
In India, the cost of establishing a hospital is influenced by two variables:
- The capacity of the health care facility.
- The type of health care the facility plans to offer.
The land and building require about half of the overall capital expenditure. Once you’ve secured funding for the site or construction project, the rest of the setup required to bring the healthcare facility up to full operation accounts for less than one-half of what has previously been spent on acquiring or constructing the premises from the facility.
Though medical equipment, consumables, and ambulatory services don’t make up the majority of the cost associated with setting up a small hospital in India, it is a recurring cost.
Implementing cost-effective purchasing is one of the most important long-term advantages for a company, and it’s also an excellent place to start when it comes to hospital planning.