How Much Does It Cost to Start a Nursing School?

The minimum budget you should have to start a nursing school in the United States of America should be between $750,000 to over $2 million.

A nursing school is not one of those businesses that just anybody can start. This is so because a nursing school is a well-structured and accredited institution that is highly regulated. As a matter of fact, you can easily count the number of nursing schools in your state.

So, if you desire to start a nursing school, aside from the cost involved, you are required to meet the accreditation requirement in your country and state, and also make sure you have what it takes to run the nursing school.

Arriving at a specific cost when it comes to starting a nursing school can be extremely difficult. This is so because apart from personal preferences, there are major factors that can influence the overall cost of starting a nursing school. Now, let us consider some of the factors that can influence the overall cost of starting a nursing school.

Estimated Cost Breakdown for Starting a Nursing School

1. The total fee for registering the business in the United States of America – $750.
2. Legal expenses for obtaining licenses and permits – $25,500.
3. Marketing promotion expenses (8,000 flyers at $0.04 per copy) for the total amount of – $10,000.
4. The total cost for hiring Business Consultant – $15,000.
5. The amount needed for the purchase of insurance policy covers (general liability, workers’ compensation and property casualty) coverage at a total premium – $30,800.
6. The total cost for the purchase of accounting software, CRM software and Payroll Software – $3,000
7. The total cost for leasing facility for the business – $250,000.
8. The total cost for equipping our lab – $750,000
9. Other start-up expenses including stationery – $10,000
10. Phone and utility deposits – $8,500
11. Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $200,000
12. The cost for the purchase of furniture and gadgets (Computers, Printers, Telephone, TVs, Sound System, snooker board, tables and chairs et al) – $40,000.
13. The cost of launching a website – $600
14. Miscellaneous – $5,000

Going by the report from the market research and feasibility studies conducted, we will need about $2.5 million to successfully set up a medium scale but standard nursing school business in the United States of America.

Factors That Influence the Cost of Opening a Nursing School

1. The Cost of Infrastructure

When it comes to starting a nursing school, a major chunk of your budget will be used to acquire and set up your infrastructure.

The fact that you are starting a physical nursing school means that you will need to either lease or purchase an infrastructure that is suitable for a nursing school. Come to think of it, no one will accredit your nursing school if the school’s facility is not of standard.

As a matter of fact, before your nursing school can gain accreditation and recognition, you are expected to put in place standard facilities such as classrooms, laboratories, simulation centers, administrative offices, libraries, hostels, and other required facilities.

Of course, you should know that it will cost you several thousands of dollars or even millions to have all these facilities in place.

2. The Cost of Hiring Faculty and Staff Members

You cannot start a nursing school without having a budget for hiring experienced and qualified faculty members. As a matter of fact, part of the criteria that will be used to assess if your nursing school meets the requirements for gaining accreditation is if you have experienced and qualified faculty members. Trust me, it will cost you a significant part of your budget to hire experienced and qualified staff members.

3. The Nursing School Curriculum Development

Another area where you are expected to spend your startup capital if you are looking forward to starting a nursing school is developing a comprehensive and up-to-date nursing curriculum. The truth is that, without a comprehensive and up-to-date nursing curriculum, you will find it difficult to get government approval or accreditation to start your nursing school.

In some cases, you may be required to hire an expert to help you put together a comprehensive and up-to-date nursing curriculum, instructional materials, textbooks, and software resources that you can use for your nursing school.

4. The Required Equipment and Supplies

Starting a nursing school demands that you have the required equipment and supplies needed to run a nursing school. As a matter of fact, before you gain approval and accreditation from the government for your nursing school, you will be required to have certain equipment and supplies in place.

Your facility will need medical mannequins, simulation equipment, laboratory supplies, teaching aids, computers, and software for educational purposes. Trust me, the amount you will spend to have all these equipment and supplies in place is much and it will no doubt add significantly to the overall cost of starting your nursing school.

5. The Cost Required for Accreditation and Licensing of the Nursing School

As earlier stated, you cannot legally run a nursing school without first securing the needed accreditation and licensing. In essence, the cost required for accreditation and licensing of the nursing school is a major cost that will influence the overall cost of starting your school.

As expected, there are fees to be paid and processes that must be followed before a nursing school can successfully gain accreditation. You are expected to pay accreditation fees, site visits, and licensing. All these costs are part of what will determine the overall cost of starting your nursing school.

6. Your Operational Expenses

Lastly, another major cost that can influence the overall cost of starting a nursing school is your operational expenses. Come to think of it, in order to keep your nursing school up and running, you must make sure that the facility, and equipment are in good shape.

You must make sure that administrative functions, human capacity building, marketing, sales, maintenance, and repairs, logistics, and everything that should be in place to facilitate the smooth running of your nursing school must be in place.

Please note that the amount you are expected to spend on your operational expenses will be influenced by the capacity and location of your nursing school. For example, if you run a nursing school without hostels for students, you will spend less on operational expenses when compared to a nursing school that has hostels for students.

In conclusion,

From the factors listed above, it will be safe to say that the minimum budget estimate you should have in place if you want to start a nursing school in the United States of America should be between $750,000 to over $2 million. Starting a nursing school is a major project that requires significant investment, and you must be financially ready.