Pathology Lab in India

How to grow your own Pathology Lab in India?

July 26, 2022 • 23199 views

If you are planning to expand a business and have a basic understanding of medical procedures, expanding a pathology lab is a lucrative option. With the fast-paced lifestyle and increased healthcare awareness, there is a growing demand for pathology services. 

However, like any business, expanding a pathology lab requires proper strategy and substantial investments. Read on to explore the key aspects, including the pathology lab opening cost, to grow your venture.

Things to Consider While Opening a Pathology Lab

Opening a Pathology lab

Understanding the Investment: Pathology Lab Setup Cost in India

According to a report from the Confederation of Indian Industry (CII), establishing a pathology lab in India typically requires an investment ranging from Rs. 10 Lakh to Rs. 20 Lakh even for a small setup. Thus, securing sufficient funding is crucial, considering not only the initial cost of setting up the pathology lab but also the expenses during the initial operational phases.

The financial commitment for establishing and expanding your pathology lab can vary significantly influenced by factors such as the lab's size, location, equipment choices, and the range of services you intend to provide. This underscores the importance of thorough financial planning as it serves as the foundation for the success of your venture.

Also Read: Benefits of Buying Healthcare Equipments

Things to Consider While Opening a Pathology Lab

To start any business, planning is a necessity. Knowing how to open a pathology lab in India will help you plan effectively. From infrastructure to investment and working capital, everything has to be planned. A few essential things to consider are:

1. Location

To establish a pathology lab, finding a feasible premise is a crucial need. The location must not only be easily reachable and well-connected but, should also maintain cleanliness to prevent sample contamination.

The lab should provide comfortable seating arrangements for patients, sufficient room for medical equipment, proper sample storage, and flexibility for future infrastructure adjustments.

2. Investment

The next prominent factor to consider is finances. Pathology lab requires medium to a high capital amount for factors such as:

  • Setting up a lab
  • Purchase of medical equipment
  • Maintenance and repair of equipment
  • Purchase of software for diagnostic results
  • Utility bills
  • Employee salary, etc

A tentative initial pathology lab set-up cost would be approximately Rs. 20 Lakh, while for mid-scale and large-scale labs, it would be approximately Rs. 50 Lakh and Rs. 2 Crore respectively. To set up a laboratory, manage expenses and grow a business, a Medical Equipment Loan is highly recommended.

Nowadays, the process of getting a loan has been simplified, which will help you with the pathology lab set-up cost.  From the comfort of your home, you can easily apply for an online Medical Equipment Loan and avail the required funds to set up your Pathology business.

3. Appropriate Licence and Registration

Unlike other businesses, the pathology business requires high attention to detail when it comes to licences and certificates. A few important licences are required for the pathology lab registration process:

  • Accreditation from Good Clinical Practices
  • The licence of the National Accreditation Board for Testing and Calibration Laboratories
  • Registration with Shops and Establishments Act
  • Registration with the Clinical Establishment Act
  • Registration with biomedical waste disposal body
  • Approval from the Pollution Control Board
  • NOC from the municipal corporation and fire department.

You can also take a look at the pathology lab registration process online to gain a better understanding before borrowing a loan.

4. Equipment

Equipment and software are core necessities of the pathology business. It is required for diagnosis, report generation, scheduling, and almost all the major operational requirements. Make sure to purchase equipment from certified and trusted suppliers. Also, they should be installed with the latest technology and be easy to operate.

5. Employees

At last, it is not a one-man business. A proper team of lab technicians, pathologists, assistants, receptionists, cleaners, etc. are required to successfully grow this business.

Medical Equipment Loan for Laboratory

The overall cost of your pathology lab may depend on how technologically advanced your lab is. Based on the above estimates, arranging a huge investment can be a tedious task. To help with that, you can avail a professional loan for doctors or a Medical Equipment Loan for setting up laboratories.

They offer huge support in the initial phases of business. A Medical Equipment Loan is just one type of loan offered under Healthcare Loans. They can be sub-categorised as

Since it is a challenging task to anticipate the required investment, few lenders also offer Flexi Business Loans.

Under this loan,

  1. You can make multiple withdrawals.
  2. Prepay the loan.
  3. Pay interest-only EMIs for the initial tenor.

Apply for Medical Equipment Loan

Features and Benefits of Medical Equipment Loan

The following highlights the features and benefits of a Medical Equipment Loan:

  • These loans have very high limits because medical equipment can be expensive. Individuals can borrow as much as Rs. 2 Crore and companies have an even higher borrowing limit.
  • Metropolitan cities offer higher funds as compared to Tier-2 or Tier-3 cities.
  • The general repayment period for these loans can go up to a maximum of 7 years and can differ from lender to lender.
  • The lender may also charge you a processing fee for the loan which tends to be 1% to 2.5% of the loan amount. The processing fee also depends on the lender from where you take the loan.
  • While providing collateral is not mandatory, lenders may ask for it if your loan amount exceeds a limit set by them.
  • With online banking becoming more and more popular, many Non-Banking Financial Companies (NBFCs) allow for applications for these loans to be submitted online.
  • Many institutions have made the loan application process a lot smoother. Understanding the hassle and time it requires, Poonawalla Fincorp offers completely transparent loans with no hidden charges starting at Rs. 1 Lakh at competitive rates
  • We at Poonawalla Fincorp also offer Online Medical Equipment Loan with a seamless verification process, quick approval, and instant disbursal.

Also Read: What Can A Medical Equipment Loan Be Used For?

Eligibility Criteria for Medical Equipment Loans

The following are the eligibility criteria to avail medical equipment loans:

  • Applicants must be Indian citizens.
  • Their ages should be between 25 years and 65 years.
  • For MBBS, MDS, MD, MS, and BDS professionals, a minimum of 1 year of post-qualification experience is required. Other applicants should have a post-qualification experience of at least 3 years.

Note: The provided MEL eligibility list is indicative, and Poonawalla Fincorp may request additional eligibility criteria during the loan processing.

Optimising Resources: Tips to Control Pathology Lab Setup Costs

Follow the tips mentioned below to control pathology lab setup costs:

1. Optimise Space Usage

Efficiently design the lab layout to utilise existing space without the need for extensive demolition. Consider segmented workflows and explore cost-effective alternatives for cabinetry and work surfaces. Various medical equipment sources offer flexible and economical lab tables for adaptable workspaces.

2. Bulk Buying Strategy

Purchase non-perishable lab items in bulk from the same vendor to secure lower pricing. Talk with vendors to understand storage solutions and explore options for clinically equivalent, lower-cost products. Shopping around among suppliers can help ensure you get the best prices.

3. Consider Remanufactured Equipment

Explore remanufactured lab equipment options to achieve state-of-the-art capabilities at a lower cost. Trusted remanufactured equipment providers often offer quick delivery and warranties on products. This contributes to environmental sustainability by reducing the need for new production.

How to Apply for a Medical Equipment Loan Online?

You can apply for a Medical Equipment Loan by following the simple steps mentioned below:

Step 1: Click the 'Apply Now' button.

Step 2: Complete the loan application form by providing the necessary details.

Step 3: Upload the required documents am press the ‘Submit’ button.

To Conclude

With accurate results, swift access to health reports, and the convenience of receiving them at the doorstep, pathology laboratories have become a popular choice when diagnosing various human illnesses. So, you can generate massive profits from this business.

To cover for pathology lab opening costs, consider opting for a Medical Equipment Loan from Poonawalla Fincorp. The interest rate expands at 9.99% p.a. and a flexible repayment tenure is present.


  • Can I open a pathology lab without a degree?

No, you need to provide your degree or qualification certificate to access a Professional Loan for Doctors or a Medical Equipment Loan to expand a pathology lab.

  • How much investment is required to open a pathology lab?

The actual budget required to open a pathology lab depends on a host of factors such as the location of the lab (metro, city, town, etc.), size of the lab, type of equipment required, etc. The budget can range from several lakhs to a few crores of funding depending on these factors.

  • Can I open a pathology lab after BMLT?

Yes, opening a pathology lab is possible after completing BMLT, as it meets the qualification criteria. You only need a license and sufficient funding to set up the lab.

  • How do I start my own pathology lab?

If you are qualified to open a pathology lab in India, all you have to do is get the licence for the same and acquire the necessary funding.


We take utmost care to provide information based on internal data and reliable sources. However, this article and associated web pages provide generic information for reference purposes only. Readers must make an informed decision by reviewing the products offered and the terms and conditions. Medical Equiment Loan disbursal is at the sole discretion of Poonawalla Fincorp.
*Terms and Conditions apply

poonawalla fincorp team

Poonawalla Fincorp Team

Our team of expert writers and editors are passionate about providing authentic and valuable information on finance. Our aim is to simplify financial and finance-related concepts. We strive to help our readers become more aware and empowered to make informed financial decisions.

Trending Topics

Contact Us logo Quick Apply CIBIL Score logo Free CIBIL Whatsapp logo Connect on WhatsApp