Purpose Plan Summary Company information For ex- The purpose of this business plan is to raise Rs23,00,00,000 for the development of a 100 bedded Obstetrics and Gynaecology boutique hospital in Jaipur, while showcasing the expected financials and operations over the next 5 years. This format requires lower capital, thus offer a better ROI. Medicare. Inc (“the Company”) is a US based corporation that will provide comprehensive birthing facilities in its targeted market. The Company was founded in 2008 by Mr. John in 2014. Executive Summary
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PurposePlan SummaryCompany information
For ex- The purpose of this business plan is to raise Rs23,00,00,000 for the development of a 100 bedded Obstetrics and Gynaecology boutique hospital in Jaipur, while showcasing the expected financials and operations over the next 5 years. This format requires lower capital, thus offer a better ROI. Medicare. Inc (“the Company”) is a US based corporation that will provide comprehensive birthing facilities in its targeted market. The Company was founded in 2008 by Mr. John in 2014.
Executive Summary
Our vision is to be a leading women and child health care provider, offering memorable birthing experience with a promise of delivering healthcare of the highest standards.
Vision
To continuously innovate and expand our services portfolio that constantly maintains our leadership status as a comprehensive women and child healthcare service provider.To be the benchmark for ethical practice and for setting the standard of care in premium birthing, antenatal and neonatal healthcare services in India and internationally.
Mission
Company Profile :Registered Name – Mothercare HospitalDate of formation – 24/10/2014Location – Malviya Nagar, JaipurStartup
To make available in Jaipur, a modern, well-equipped and efficient health care facility that provides a much higher standard of patient care than that which was previously available to women and children
To make available to women and children 100 beds for Obstetrical, Neonatal care
To make available to women and children, diagnostic Laboratory facilities as well as a Blood Bank for emergencies.
To make available Ultrasound and visual monitoring facilities.
To make available treatment for Gynaecological problems including Management of Infertility, as well as the diagnosis and treatment of Sexually Transmitted Diseases including testing for HIV/AIDS and providing counselling as appropriate.
SWOTStrengths-Management team with rich experience in the hospital sectorState of the art technologyFocus on patient experienceMotivated staff
Weakness-Brand yet to establish itself like the market leadersLack of skilled Human ResourceHigh Cost
Opportunities-Increasing per capita health expenditureIncreasing urban populationPatient experience to be used as a differentiation strategyEmerging Insurance marketMedical Tourism
Threats-Entry of established players.Lack of awareness
Founder (Professional and Educational Background)
CEO(Professional and Educational Background)
Top Management(Professional and Educational Background)
Management Team
Prove market need2.7 crore babies delivered – annuallyBirthing and maternal care industry - $4-billion (focus)15% CAGR, $8 billion in the next five years.Burgeoning middle class & changing spending behavior - premium birthing format gaining popularity.MNCs - Insurance deals.
Industry Analysis
Demonstrate substantial market sizeThe PwC report says, Over 150 million Indians have annual incomes of more than $1,000, and many who work in the business services sector earn as much as $20,000 a year.“
Show industry trends that support strategyAccording to a McKinsey's report, the growth can be attributed to the rising rates of infertility in India, Expecting Parents today puts in all efforts to take extra care with respect to birthing.
Industry Analysis
• Healthcare expenditure = USD 90.4 billion
• Hospital share = 71%
• CAGR = 11%
• Per Capita expenditure = USD 61
• Government share = 33.1%
• Hospital beds per thousand population = 0.9
• Health insurance penetration = 15%
Healthcare Analysis
• Total fertility rate: 4.88
• Crude birth rate: 23.1
• Crude death rate: 5.9
• Maternal mortality rate: 264
• Infant mortality rate: 55
• Neonatal mortality rate: 39
• Under five mortality rate: 74
• Contraceptive prevalence rate: 62.4%
HEALTH INDICATOR
COMPETITOR ANALYSIS
MARKETING PLAN
• Focus on high-value obstetrics & gynecology specialty
• Strengthen presence in key markets – New Delhi & NCR
• Leverage on technology
STRATEGY ANALYSIS
Jaipur has a per capita income of capita income 1537 which is increasing at 8.3%. Per capital expenditure on health is approximately Rs. 761 (urban population)
With major players in healthcare sector expanding into Tier II and Tier III cities in India, Jaipur is an attractive destination for a Obstetrics and gynaecology hospital
Jaipur is well connected by road, rail and air to the major markets of the country. It has proximity to Delhi/NCR region.
Economic outlook
Workload analysis
Key assumptions-
• Crude birth rate of Jaipur taken to be 23.1(no. of births per 1000 population in a year)• Annual growth rate of population to be taken at 3%• The population considered here is the "Urban population" of Jaipur• Target population is 0.5% of the total deliveries in the first year, 0.6% in the second year, 0.7% in the third year
and so on.• At 100% utilization we will be catering to 0.8% of total deliveries (Approx 700 deliveries per month)• 10% of total number of deliveries will be Caesarean section. 90% normal deliveries
Capital expenditure required- Rs. 700,000,000
@Debt:Equity ratio of 2:1
Equity of Rs. 230,000,000 to be raised from investors
Bank interest to be charged at 1 lakh per crore per month
Required Funds
Cost of Project
Total cost of the project (approximately) 700,000,000
Cost of the Land (@5000 per Sq. foot) 220,000,000
Civil works, Interior works, electrical works etc. 260,360,000
Equipment (Medical and Non medical) 130,000,000
Water treatment plant 1,000,000
Sewage treatment plant 1,000,000
Contingency cost, Consulting fees 72,514,243
Pre operative expenses 15,000,000
SALES FORECASTSDepartments OPD IPD
Physician ConsultationsLaboratory
Diagnostics (X-ray, USG, mammography)
Operation theater
Pharmacy
10 consultation rooms, 3 consultations per hour
Approx. 40% of the OPD visits
Doctor visits
Room Offered
General wardTwin sharing roomsSingle roomsDeluxe roomsICUNICULDRP suitesNursery
