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Starting a Home Healthcare Business – 8 Questions and Answers!
Let us answer your most urgent questions about starting your home healthcare business. Learn how to launch your startup and the benefits of doing so now.
Why start a home healthcare business?
You should start a home healthcare business because it’s the fastest-growing market.
As more and more baby boomers reach senior age, the number of people needing home health care services is increasing.
Sources say that the demand for home health services could double by 2050. That means the risk of starting a home health business is very low right now!
Who should start a home healthcare business?
Anyone can start a home care business. However, people who have a background in healthcare have the upper hand.
That’s because these people have the knowledge and understanding of what goes into this type of care. Intimately understanding the ins and outs of healthcare makes a business owner appear more trustworthy and intelligent.
These people are more likely to land employees and clients. However, if this is not you, go above and beyond in showing people you have the empathy to stand out among the competition.
If you can demonstrate your understanding of the trade and that you care about people, you will have business success.
What are the different services and types of home healthcare businesses?
There are several different types of services that you can provide in your home healthcare business. Which services you offer to people will depend on the employees you hire and the type of home health business you are creating.
The following services can be offered to your potential clients.
- Doctor care – A doctor will visit the patient at home to diagnose, treat, or perform check-ups.
- Nurse care – Nursing care is the most common form of medical home care services. Nursing care varies depending on the patient’s needs. They can help with wound care, IV therapy, pain management, and overall monitor the patient’s health.
- Physical, occupational, and/or speech therapy – Physical therapists help patients gain strength and mobility. Occupational therapists help patients be able to complete their everyday tasks on their own. Speech therapists help patients communicate with others more effectively.
- Medical social services – Social services provide patients with counseling and support in recovery. They also provide patients with resources so that they have access to everything they need to recover.
- Nurse Aides – Personal assistance usually comes from health aides. They help the person get out of bed, walk, bathe, and get dressed. Some may perform more than basic needs, based on instructions from the resident’s medical team.
- Homemaker – A homemaker comes out to a person’s house to help them with their household while being medically cared for. They help with meal preparation, housekeeping, laundry, and basic household chores.
- Companionship – Human beings are social creatures. As we age, we start to lose people we love. This can be hard. Providing companionship to senior citizens that need comfort is another great service to offer in your home health agency.
- Medication services – Medical equipment and medication can be delivered at home.
- Transportation – You may or may not offer transportation services for patients to and from their appointments, or even for social gatherings at senior centers.
- Nutritional support – A dietician comes out to a person’s house to assess their nutritional habits. They will come up with a plan to help the person meet their health goals through the foods they choose.
- Lab & imaging – Urine and blood tests can be easily taken from the home. X-rays can also be taken from the comfort of home with the help of portable x-ray machines.
- Home-delivered meals – Meals made and delivered to patients or the elderly. Churches normally provide this service, but it is something you can add to your business.
Types of Business
Now that you understand what services home health care agencies can offer, it’s time to understand the types of businesses you can have with those services.
- Non-medical – A non-medical business would be ideal for those who don’t have a background in healthcare, at least as a starting point. As a non-medical business, you can offer homemaking, companionship, transportation, and/or home-delivered meals.
- Medical – A medical home care business can offer services their employee is certified in. Let’s say you hire a dietician. That dietician can do what they are certified to do. This is sometimes also referred to as skilled home care.
- Short-term – You offer short-term services to your clients (less than 60 days).
- Long-term – You offer long-term services to your clients (more than 60 days).
You will need to double-check your state requirements for how long you can service your clients. Some states require you to be certified for long-term home health.
What are the benefits of starting a home healthcare business?
There are a lot of benefits to starting a home healthcare business.
One is that you will truly make a difference in the lives of others.
Allowing patients to receive healthcare from home truly makes their lives a whole lot easier. People heal faster in the comfort of their homes. Plus, it’s a lot more cost-effective for the patient because they aren’t paying to rent out a hospital bed.
This business changes lives. Not just the lives of your clients, but also the lives of your employees.
You’re creating more opportunities for health professionals to continue doing what they love.
How it affects you…
If you have an entrepreneurial spirit, building and sustaining a business will change how you think and problem solve.
But, I know what you’re looking for is how much you can make from starting a business in this market. Home health care is one of the most profitable businesses. While most home health care businesses profit over $100,000 per year, many have annual profits in the millions!
How much to start up a home healthcare business?
The average start-up costs for a non-medical home healthcare business total about $80k. The average cost of a medical-based healthcare facility is around $350k. The difference is in the types of employees and the equipment needed.
How do I start my home healthcare business?
Starting a home health business has steps like any business. The steps are…
Step 1. Create a business plan. Plan for at least the next 5 years. What do you need to do to grow your business? Take external forces into consideration where you can.
Step 2. Create a business entity. An LLC is recommended for small business owners.
Step 3. Get an employer ID from the IRS. It’s like a social security number, but for your business.
Step 4. Register with your state. States need a record of businesses that are established in their state.
Step 5. Get any licenses needed. Check with your state licensing requirements for operating a home health business.
Step 6. Prepare finances. Creating a home health business is an investment!
Step 7. Create or outsource your procedures manual. Your patients are going to need a handout about what they expect when using your services.
Step 8. Hire employees & fill up the schedule. As long as your business meets the proper requirements and you have the employee help, you can start taking clients.
Step 9. Build a website & market online. Registering with local and online business directories is very helpful in getting discovered via the web. Create a blog about your services!
Step 10. Buy or lease an office. An office isn’t necessarily the top priority in a traveling business like this. However, you’ll eventually want a space to go to work on different aspects of the business and dispute anything going on.
Step 11. Do what you can to grow! It won’t be long before your business is earning a substantial profit.
When should you start a home healthcare business?
Home health trends are up. The sooner you start your business or agency the better. The senior population is rapidly growing, which means the sooner you can take advantage of the demand, the better for you and your business!
Where is the best place for home health startups?
The best place to start your home health business is near senior housing, 55+ communities or age-restricted apartments. You can even start up near hospitals and try to market yourself in the area.
Starting up your business near one of these communities allows you to easily market your services to people who could benefit from your services.
Starting a home healthcare business can be extremely profitable and fulfilling, regardless of whether you’re starting a medical or non-medical agency.
Hopefully, this post helped you find what you need. If you have another question, please comment below. Feel free to help others out with their home health care questions.
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