DPC startup cost breakdown.
Three physician planning scenarios with every major assumption visible.
Inside the breakdown
The honest number
Start with a model, then replace every assumption with evidence.
DPC startup cost is the capital required to prepare the practice for opening and fund its modeled operating reserve. It can include lease deposits, build-out, equipment, professional fees, technology, insurance deposits, and pre-opening marketing. Freedom's three planning scenarios model $55,000-$180,000+ in physician-funded startup capital, depending on space, build-out, equipment, staffing, and runway. These are planning models, not an industry-average claim.
Use the tables as a structure, not a quote. Replace each line with current local estimates, separate business runway from household runway, and test what happens when opening or enrollment takes longer than expected.
Three planning shapes
Lean solo, standard solo, and two-provider.
These are illustrative models, not case studies, vendor quotes, or industry averages. Each one connects startup capital, monthly operating expenses, owner compensation, membership price, and the members required to meet the displayed revenue target.
01
Lean solo
Small leased space with no onsite staff
- Startup
- $55,000
- Revenue target
- $14,000
- Membership
- $100/mo
- Members for target
- 140 members
02
Standard solo
Moderate leased space and one onsite staff role
- Startup
- $110,000
- Revenue target
- $20,700
- Membership
- $125/mo
- Members for target
- 166 members
03
Two-provider
Larger leased space with two providers and onsite staff
- Startup
- $180,000
- Revenue target
- $38,600
- Membership
- $135/mo
- Members for target
- 286 members
Startup capital allocation
| Use of capital | Lean solo | Standard solo | Two-provider |
|---|---|---|---|
| Lease deposit + build-out | $8,000 | $18,000 | $35,000 |
| Equipment + furniture | $7,000 | $13,000 | $30,000 |
| Legal, licensing + insurance deposits | $4,000 | $7,000 | $10,000 |
| Technology setup | $2,000 | $4,000 | $7,000 |
| Pre-opening marketing | $4,000 | $8,000 | $13,000 |
| Business operating reserve | $30,000 | $60,000 | $85,000 |
| Total startup capital | $55,000 | $110,000 | $180,000 |
Illustrative allocations, not vendor quotes. Tenant allowances, equipment choices, deposits, and local build-out costs can materially change the mix.
Monthly cash requirement, compared
| Expense | Lean solo | Standard solo | Two-provider |
|---|---|---|---|
| Freedom Practice System | $2,800 | $4,800 | $9,000 |
| Lease | $800 | $1,800 | $4,000 |
| Malpractice insurance | $350 | $500 | $1,000 |
| EHR + technology | $500 | $600 | $900 |
| Onsite staff | $0 | $3,200 | $7,500 |
| Supplies & labs | $1,200 | $1,800 | $3,000 |
| Phone/internet/utilities | $350 | $500 | $800 |
| Miscellaneous/contingency | $500 | $800 | $1,200 |
| Operating expense subtotal | $6,500/mo | $14,000/mo | $27,400/mo |
| Owner compensation target | $7,500/mo | $6,700/mo | $11,200/mo combined |
| Monthly revenue target | $14,000 | $20,700 | $38,600 |
Every column adds to the displayed total. Members required for the monthly revenue target equal target ÷ membership fee: $14,000 ÷ $100 = 140; $20,700 ÷ $125 = 165.6, rounded up to 166; and $38,600 ÷ $135 = 285.9, rounded up to 286. Because each target includes owner compensation, these counts are not accounting break-even. Debt service, taxes, benefits, and physician household expenses are not included.
Funding the plan
Size the capital request from the practice model.
Settle the location, build-out, equipment, staffing, business reserve, and conservative enrollment assumptions before choosing a funding structure. Depending on the plan and lender, a physician may evaluate self-funding, conventional or SBA-backed lending, equipment financing, or a line of credit.
Freedom Healthworks does not make or approve loans. When financing is part of a launch plan, the team can coordinate introductions to third-party lenders; each lender controls eligibility, underwriting, terms, timing, and approval. Review the responsibilities and tradeoffs in the Practice Financing Guide.
Frequently Asked Questions
What is the lowest-cost scenario shown?
The lean planning scenario uses $55,000 in startup capital for a small leased space, basic equipment, technology, professional setup, pre-opening marketing, and a business operating reserve. It is an illustrative model, not a minimum or industry benchmark. Local quotes and the physician's launch scope determine the actual requirement.
Can a physician finance a DPC startup?
Depending on the plan and lender, a physician may evaluate self-funding, conventional or SBA-backed lending, equipment financing, or a line of credit. Freedom Healthworks does not make or approve loans; it can coordinate introductions to third-party lenders, and each lender controls eligibility, terms, timing, and approval.
How many members do these scenarios require?
At the displayed membership fees, the three scenarios require 140, 166, and 286 active paying members to meet monthly revenue targets that include both operating expenses and the stated owner-compensation target. That is model output, not an industry average or a forecast of enrollment timing.
Which startup costs are easy to miss?
Confirm any tail-malpractice obligation with the current carrier and employment agreement, and obtain local estimates for build-out, lease timing, deposits, professional fees, equipment, and pre-opening marketing. The business operating reserve shown below is separate from the physician's personal household runway.
Is this really cheaper than a traditional practice?
DPC can require less billing and coding infrastructure than an insurance-based practice, but there is no universal percentage savings. Compare the same lease, build-out, equipment, staffing, owner-compensation, and runway assumptions before drawing a conclusion.
Know Your Numbers Before You Launch
Review the launch scope, local cost assumptions, operating reserve, and monthly revenue target with the Freedom Healthworks team.
Request a Practice ConsultationEvidence standard
How to read this guidance.
The displayed scenarios are transparent planning models built from the line items shown on this page. They illustrate how startup capital, monthly operating expenses, owner compensation, membership price, and the members required for a monthly revenue target interact. They do not predict enrollment timing or represent a statistically derived industry average.
Reviewed August 3, 2026. Educational and operational guidance only. Not legal, tax, financial, or medical advice.