Med spa services · One-time project

Accounting setup for a new med spa

You have the lease, the build-out schedule and the funding. Before the first syringe is sold, the entity, tax IDs, bank accounts, POS, payroll and sales tax registration must be set up in the right order, and pre-opening spending recorded so it is deductible. We build that with you and your health-care attorney, then run the books from day one.

In short

Accounting setup for a new med spa is for funded practices about to open: entity and tax-ID sequencing coordinated with your health-care attorney, a chart of accounts built for aesthetics, POS and payroll selection and integration, sales tax and payroll registrations, pre-opening cost capitalization, an opening budget and runway, and the first close. The setup is scoped in writing after the fit call and rolls into Med Spa Core from $1,500 a month once you open. The service is national; Florida appears below as an example.

This is for you if

  • You have signed a lease or are in build-out, have an SBA loan, investor money or your own capital committed, and plan to open within about six months.
  • You are an NP, PA, RN or physician leaving a hospital or another practice and have never set up a business entity, a payroll or a sales tax account.
  • Your attorney is forming a professional entity and a management company because of your state's corporate-practice-of-medicine rules, and you need the accounting to follow the structure.
  • You are choosing between Aesthetic Record, Boulevard, Zenoti, Vagaro or another POS and want to know which reports the accountant will need before you sign.
  • You have already spent $50,000 or more on deposits, training, legal fees and marketing from a personal account and are not sure how any of it gets deducted.

Not a fit for

  • Pre-revenue solo startups without a funded opening plan. A business plan and a lease you have not signed are not yet a practice.
  • Owners who want an entity formed and nothing more. We do not form entities; the value here is the setup that follows.
  • Owners shopping on price alone, and other accounting firms seeking capacity. We work directly with practice owners.

We say so on the fit call and point you somewhere better suited.

What you receive

Deliverables, not hours.

Entity and tax-ID sequencing with your attorney

Which entity is formed first, which gets which EIN, whether an S-corp election is filed and when (Form 2553), and how a professional entity and management company, if your state's corporate-practice-of-medicine rules call for them, will bill each other. The attorney decides the structure; we make sure the tax IDs, elections and books follow it.

Chart of accounts built for aesthetics

QuickBooks Online set up with revenue and cost of goods sold by service line, package and membership liability accounts, injectable and retail inventory, provider wages separated from front-desk wages, and pre-opening cost accounts, before the first transaction rather than after.

POS and payroll selection and integration

Which of Aesthetic Record, Boulevard, Zenoti, Vagaro, Mindbody, Nextech, PatientNow or Jane produces the outstanding-balance, production and tax reports the close depends on; sales categories and tax codes configured; Gusto, ADP, Paychex or QuickBooks Payroll connected and mapped to the ledger.

Sales tax registration and POS tax codes

Registration in your state before the first retail sale (Form DR-1 in Florida), retail skincare and home devices coded taxable, treatments coded exempt where your state exempts them, and a filing calendar set from the first month.

Payroll and employer registrations

Federal EIN, state withholding and unemployment accounts, new-hire reporting, workers' compensation (required in Florida for non-construction employers with four or more employees) and the W-4, I-9 and direct-deposit process in place before the first injector's first day.

Pre-opening cost capitalization

Lease deposits, build-out, devices, opening injectable inventory, training, legal fees and marketing each classified correctly: start-up costs under Section 195 (the $5,000 first-year deduction, reduced once total start-up costs pass $50,000, the rest amortized over 180 months), depreciable assets, inventory and prepaid expenses.

Opening budget and runway

A month-by-month budget for the first year built from provider capacity, pricing and expected ramp, and a 13-week cash view for the first quarter so you know how many months of overhead the funding covers before memberships carry it.

Banking and money flow

Operating, payroll and tax-reserve accounts opened under the right entity, the merchant processor settled to the right bank account, owner contributions and loan proceeds documented, and personal spending kept out of the practice from day one.

First close and handoff to Core

The opening balance sheet, the first month closed by the 10th business day with the package liability tracked from the first sale, and the practice moved onto Med Spa Core without a second onboarding.

How it works

From first call to a monthly rhythm.

01

Fit call

Twenty minutes on your opening date, funding, state, your attorney's structure and the systems you are considering. The earlier the better; ideally before the lease is signed.

02

Launch plan and written scope

A dated pre-opening checklist that says who does what in what order, and a written scope covering the setup work and the Med Spa Core engagement that follows it.

03

Setup

Entity documents and EINs from your attorney, bank accounts, POS and payroll administrator access, invoices for everything spent so far, the lease and any loan documents. We build the ledger, file the registrations with you and configure the systems.

04

Open, then the monthly rhythm

The first close by the 10th business day after your first month, the budget compared with actuals, and from then on the Core calendar: close, report pack, sales tax, payroll coordination, quarterly estimates and year-end planning.

Pricing

What it costs

Launch engagements begin with the same fit call and written scope as every Balance Partners engagement. Once the practice opens, it runs on Med Spa Core, which starts at $1,500 a month and is month-to-month after onboarding with thirty days' written notice. The pre-opening setup is quoted as a one-time fixed project alongside it, in writing, after the fit call; we do not publish a price for the setup because it depends on entities, systems and registrations.

A practice that opens with an MSO and a professional entity, or with several locations planned from the start, may be scoped for fractional controller or CFO work instead, quoted as a flat monthly fee after a diagnostic. Your attorney's fees for entity formation are separate and are paid to the attorney. See how pricing works.

Pre-opening setup
Fixed fee

scoped in writing after the fit call


  • Depends on entities, systems and registrations
  • Then Med Spa Core from $1,500 a month once you open
  • Month-to-month after onboarding
  • Thirty days' written notice, either way
How pricing works →

Why the order matters before the doors open

Most new med spas are set up in the order things become urgent: the LLC because the landlord wants a tenant name, the bank account because the contractor wants a deposit, the POS because the vendor offered a discount, payroll the week the first injector starts. Each decision is made alone, and the accountant inherits an EIN on the wrong entity, a merchant account settling to a personal checking account, a POS with one revenue category and a payroll company that does not know the practice sells memberships.

The right order is the one the tax and regulatory rules impose. The entity comes first, and in a state with corporate-practice-of-medicine rules it may be two entities, a professional entity for clinical services and a management company for everything else, formed by a health-care attorney licensed in your state. The EIN follows the entity. The bank account follows the EIN. The merchant processor and POS settle to that bank account. The sales tax registration precedes the first retail sale, and the payroll registrations precede the first hire. We do not form entities and we do not give legal advice; we make sure every number that follows the attorney's structure lands in the right place. Our guide to MSO and professional-entity accounting explains what the books look like when there are two of them.

The pre-opening sequence

Weeks before openingStepWho
20–16Entity structure decided (single entity, or professional entity plus management company); entities formed; EINs obtained; S-corp election consideredHealth-care attorney; Balance Partners on the tax election and EIN sequencing
16–12Bank accounts opened under the right entity; owner contributions and loan proceeds documented; QuickBooks Online chart of accounts built; pre-opening spending moved onto the business booksOwner and Balance Partners
12–8POS chosen on the reports it produces; sales categories and tax codes configured; merchant processor settled to the operating account; sales tax registration filedOwner, POS vendor, Balance Partners
8–4Payroll provider connected; state withholding, unemployment and workers' compensation in place; medical director agreement and provider pay plans reviewed for W-2 versus 1099 treatmentOwner, payroll provider, attorney, Balance Partners
4–0Opening inventory counted and booked; devices recorded with placed-in-service dates; opening budget and 13-week cash view finalizedOwner and Balance Partners
Month 1First close by the 10th business day; package liability tracked from the first sale; budget compared with actualsBalance Partners

Pre-opening money: deductible, capitalized or inventory

Money spent before opening falls into four buckets, and the tax law treats each differently. Start-up costs, such as market research, training, pre-opening marketing, pre-opening rent and consultant fees, can be deducted up to $5,000 in the first year, with that amount reduced once total start-up costs pass $50,000 and the remainder amortized over 180 months beginning the month the practice opens (IRS Publication 583). Organizational costs, meaning the attorney's entity-formation fees and the state filing fee (in Florida, $125 to file articles of organization for an LLC), follow a parallel rule. Equipment, build-out and furniture are depreciable assets; qualified property acquired and placed in service after January 19, 2025 is eligible for 100% bonus depreciation, and Section 179 is available up to the practice's taxable income, which in an opening year is often small. The opening order of neurotoxin, filler and retail skincare is inventory, deducted as it is used.

The classification matters for cash as much as for tax. An owner who expects to deduct $270,000 of build-out and devices in her first year, and then has a first-year loss, needs to know in advance how that deduction interacts with the loss, her other household income and her basis in the entity, rather than finding out in April. We model it before the money is spent, and the Section 179 and bonus depreciation guide covers the choice in detail.

An illustrative opening

An illustration, not a client. A nurse practitioner in Pasco County, Florida has $350,000 committed, $250,000 from an SBA loan and $100,000 of her own, to open a two-room practice. The budget: $120,000 of build-out, $150,000 of devices, $20,000 of opening injectable and retail inventory, $30,000 of pre-opening costs (training, legal fees, marketing and two months of rent before opening) and $30,000 of working capital.

In the books, the build-out and devices are recorded as assets with their placed-in-service dates, eligible for bonus depreciation in the year the practice opens. The $20,000 of product is inventory. Of the $30,000 of pre-opening costs, the attorney's formation fees are organizational costs, the pre-opening rent, training and marketing are start-up costs under the $5,000-and-amortize rule, and the $30,000 of working capital is simply cash, the number the 13-week view watches. Her first retail sale carries Florida sales tax of 6% plus the county's 1% surtax, so the sales tax account must be registered before it. Her first injector hire puts her on the path to Florida's workers' compensation requirement for non-construction employers with four or more employees, and her reemployment tax account opens at the new-employer rate. And her first Sunbiz annual report is due the following May 1, with a $138.75 fee for an LLC and a $400 late fee after that date.

After opening: the first ninety days

The first three months decide whether the books will ever be right. Package and membership sales start in week one, often as opening promotions, and have to be recorded as liabilities from the first ticket or the first P&L will show a profit that does not exist. The first inventory count sets the baseline for every month after it. The first payroll establishes whether commission is paid on sales or on redemptions, a decision far easier to make before the first injector has a pay stub. And the budget built before opening meets reality: visits per provider, retail attach rate, how quickly memberships carry the rent. Our opening checklist lists every item, and the first-hire payroll checklist covers the employment side.

Launch engagements move onto Med Spa Core at the first close, with the same CPA, the same chart of accounts and the same report pack, and no second onboarding. For an owner who opens a second location two years later, the structure built here is what makes the practice scalable: service-line reporting from day one, a POS that produces the reports the close depends on, and a payroll that already knows what a provider is.

Questions

Owners ask

When should I bring in an accountant for a new med spa?

Before you sign the lease if you can, and no later than the day the entity is formed. The expensive mistakes, such as the EIN on the wrong entity, the merchant account on a personal bank account and the POS with one revenue category, happen in the first eight weeks and cost far more to unwind than to avoid.

Do you form my LLC or professional entity?

No. Entity formation and the corporate-practice-of-medicine question are legal work for a health-care attorney licensed in your state, and we do not give legal advice. We coordinate with your attorney on sequencing, EINs and the S-corp election, and we build the books to match the structure the attorney chose.

Do I need an MSO and a professional entity?

That depends on your state and on who owns the practice. AmSpa describes the corporate practice of medicine as state law; where it applies, med spas typically use a professional entity owned as the state requires for clinical operations plus a management services organization that provides non-clinical services for a fee. Confirm it with a health-care attorney licensed in your state. Our job is the intercompany accounting and tax once the structure exists.

Which POS should I pick?

The one whose reports let the books close: sales by service and product category, an outstanding package and membership balance report, production by provider, and a sales tax report that separates taxable retail. Aesthetic Record, Boulevard, Zenoti, Vagaro, Mindbody, Nextech, PatientNow and Jane each produce these in some form. We tell you before you sign which reports to check for, and we configure the categories and tax codes.

Does my new med spa have to file a BOI report with FinCEN?

Not if it is formed in the United States. FinCEN's March 2025 interim final rule exempted U.S.-formed companies and U.S. persons from beneficial ownership reporting, and a final rule effective August 14, 2026 made that exemption permanent. Only certain foreign-formed companies registered to do business in a U.S. state still report. We check the status at onboarding in case the rule changes again.

Can I deduct what I have already spent from my personal account?

Usually, once it is documented and moved onto the business books as an owner contribution. Start-up costs are deductible up to $5,000 in the first year, reduced once total start-up costs exceed $50,000, with the rest amortized over 180 months; equipment is depreciated; inventory is deducted as it is used. Bring every receipt, because the classification is where the deduction is won or lost.

When do I register for sales tax and payroll?

Sales tax before your first taxable retail sale; in Florida, by filing Form DR-1 with the Department of Revenue. Payroll accounts before your first employee's first day: federal EIN, state withholding where the state has an income tax, state unemployment, new-hire reporting and workers' compensation, which Florida requires for non-construction employers with four or more employees. We file the registrations with you so nothing is missed.

What does the launch work cost?

The pre-opening setup is quoted as a one-time fixed project after the fit call, in writing, alongside the Med Spa Core engagement that follows it; we do not publish a price for the setup because it depends on entities, systems and registrations. Once the practice opens, Core starts at $1,500 a month, month-to-month after onboarding with thirty days' written notice.

From the library

Guides that go with this work

Opening a Med Spa: Entity Choice, Tax Registrations and Accounting Setup ChecklistA med spa launch checklist: LLC vs S-corp vs MSO structure, EIN and Florida registrations, banking, chart of accounts, payroll, insurance and start-up costs.Structure, cash flow and growthSetting Up a Med Spa Entity in Florida: LLC, PLLC, the Health Care Clinic Act and the MSO ModelHow to set up a med spa entity in Florida: the Health Care Clinic Act, LLC vs. PLLC, the MSO model, Sunbiz fees, EIN, DOR registration and the Annual Report.Structure, cash flow and growthMSO and Professional-Entity Accounting for Med Spas: Management Fees, Intercompany and Clean BooksHow a med spa accounts for an MSO and professional entity: which books hold what, booking the management fee, the monthly intercompany reconciliation and tax.Structure, cash flow and growthBest Accounting Setup for a Med Spa: QuickBooks Online Plus Your POSWhich QuickBooks Online plan a med spa needs, what Boulevard, Vagaro, Mangomint, Aesthetic Record and Zenoti sync, and a worked daily sales entry.Bookkeeping and the monthly closeHiring Your First Injector or Front-Desk Employee: The Med Spa Payroll and Compliance ChecklistMed spa checklist for a first injector or front-desk hire: W-2 vs. 1099, EIN and Florida registrations, I-9 and W-4, workers' comp and overtime on commission.Payroll, injectors and medical directorsDoes a Med Spa Need to File a BOI Report in 2026? The FinCEN Rule After the 2025 ChangesDoes a med spa need to file a BOI report in 2026? FinCEN's August 2026 final rule exempts U.S.-formed LLCs, MSOs and professional entities; who still files.Tax planning and returns

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