Revised and updated January 21, 2020.
In 2020, Americans will spend close to $4 trillion on healthcare and that figure is not expected to stop rising any time soon. Just the diagnostic testing segment of healthcare is worth close to $60 billion. Entrepreneurs who want to tap into a slice of that spending can do so with no medical training through one of these top 3 laboratory services franchises of 2020.
Nearly three-quarters of all medical decisions are based on the results of clinical laboratory tests, but it’s not always easy for patients to get the tests they want when they want them, especially considering all the red tape they have to cut through in traditional healthcare settings. Finding out if you have a particular vitamin deficiency shouldn’t require an act of Congress. This is why independent lab companies have been popping up everywhere in recent years.
Consumers can get a variety of clinical laboratory tests and then share results with their healthcare providers. As an industry, this is often called the “direct-to-consumer laboratory testing” market. Many Americans find themselves with high-deductible health insurance plans, which means they’d have to pay out of pocket for many tests, so they’re interested in finding lower-cost options. Another major service area for laboratory franchises is providing various kinds of testing such as drug and alcohol tests for companies who require them for their employees.
Whether the testing is for individual consumers or for businesses, some of the actual tests are not performed on-site. Instead, the franchise location acts as a link between the consumer and the actual laboratory by collecting the needed sample (blood, urine, DNA swab, etc.) and sending it on to the lab and then receiving the results. Some tests must be ordered by a primary care physician, but many others do not require a doctor’s order.
Here are the 3 best laboratory services franchises of 2020:
1. Any Lab Test Now
Any Lab Test Now offers customers a way to be more proactively involved in their own healthcare with its huge range of lab tests that can be ordered. It calls its approach private, affordable, and convenient. Most customers are in and out within a 15-minute timeframe. Consumers can search the database of available tests on the company website and, after selecting the test and the nearest location, see what it would cost (because prices vary by location). These prices are firm, with no hidden fees.
Major categories of tests include general health, drug/alcohol tests, DNA tests, STD tests, and many more outside these broad categories – thousands of tests! Walk-ins are always welcome with no appointment needed and each location has work-friendly hours that include Saturdays.
Founded by Dr. David Perlow in Atlanta, Georgia in 1992 and franchising since 2007, the number of locations has grown only slightly in recent years and currently stands at 177 (up from the previous year’s total of 172), of which none are company-owned and all are located in the US.
2. ARCpoint Labs
ARCpoint Labs also uses three words to describe its offering: accurate, reliable, and confidential lab testing. ARCpoint does conduct some of its lab tests on-site, which helps explain why it puts a big emphasis on its services for workplace testing since it can offer faster turnaround times than places not doing the tests on-site. Primary testing categories at this chain include drug/alcohol, health and wellness, STD, DNA, and much more.
The company also has an array of home testing options where consumers get a kit and can collect their own samples at home, send it off to the lab, and get the results sent to them directly via email. Franchisees are free to develop relationships with area employers, local courts, physicians, and consumers to meet a wide array of testing needs.
Founded by Felix Mirando in Greenville, South Carolina in 1998 and franchising since 2005, the number of locations has grown steadily in recent years from 21 in 2009 to the current total of 99 (down from the previous year’s total of 104), all of which are located in the US and only two of which are company-owned.
3. Fastest Labs
Fastest Labs has a three-word slogan like the other companies on this list: clean fast testing. It also has a narrower niche focus in the variety of tests offered because it focuses on drug, alcohol, and DNA tests. Because of this narrower focus, it promotes its testing to specific niche customer segments, including employers, state and federal departments of transportation (DOT), athletic testing, government testing, military testing, immigrant testing, student testing, and court admissible testing. Individuals are also among their clientele.
As the company name implies, it focuses on an optimal mix of speed and accuracy. Part of that speed comes from conducting the actual laboratory tests on-site. This chain will help the human resources departments of area employers develop ongoing testing programs that fit their company policies and will help manage those programs.
Founded by Dave Claflin in San Antonio, Texas in 2008 and franchising since 2010, the number of locations has grown from just one in 2010 to the current total of 40 (up from the previous year’s total of 32), of which one is company-owned and all are located in the US.
An Important Note About Our Methodology
The franchises on this list were ranked according to the number of units in the franchise system. If you are a prospective franchisee searching for franchise opportunities that meet or exceed certain performance benchmarks for sales, profits, and return on investment, please check out this list of America’s Most Lucrative Franchises.