Home Care Business Plan Template
You will have a clear, concise idea of what the business is about and how the founder and current president, [owner name], intends to start, grow and continue strong and steady growth.
The purpose of a business plan is to create a plan, a blueprint or roadmap on paper to follow. It’s for you to really think through how your business will operate and about areas of the business you haven’t thought about. You’ll be most successful when you put in the effort and really THINK about it. Your goal is to develop a fairly simple plan first to start your Home Care Agency which often is enough for most small businesses getting started using their own capital. If you’re seeking one or more investors, a different, more comprehensive plan will serve you better with much more consideration in which case.
The Executive Summary is a summary of the highlights of your business plan. While it appears first in the layout of your plan, most find it easiest to complete the Executive Summary last. It should be succinct and no more than 2 pages.
The Business Description provides a complete overview about your business idea/concept/ service/ etc. It differs from the Executive Summary in that it goes into detail about the description. Challenge to yourself to truly THINK about what you see your business described as. Your business should be unique, differing from your competition. Describe who, what, why, where and how it’s different. Use the example to help get you started.
Your Home Care
provides [medical / non-medical] care services to [elderly, disabled and people of all ages physical conditions and cognitive abilities] who would like to remain living at home, yet require assistance with certain daily or weekly activities. Working closely with clients and their families we provide personalized assistance in client’s own home, the hospital, long-term assisted living facilities and other places of residence with things like:
- Warm Companionship
- Meal Preparation
- Incidental Transportation
- Light Housekeeping
- Errands & Shopping
- Medication Reminders
- Laundry & Linen Washing
- Recreational Activities
- Personal Hygiene & Dressing Assistance
- Senior Information Resource
- Alzheimer’s care / Dementia care
- Respite Care
Home Health Care Services (Medical)
- Professional Nursing
- Personal care
- Senior care
- Pediatric nursing
- IV therapy
- Physical Therapy
- Occupational Therapy
- Speech Therapy
To be known as the crème-de-la-crème of home care providers in our market, providing the very best, first-rate care to clients in our geographical market by employing only proven, hard-working, professional, honest, compassionate and ethical home care providers in the market who are dedicated provide outstanding home care services and improving the quality of clients’ lives.
To assist every client with improving their quality of life, encouraging independence and allowing them to be comfortable with excellent care in their own homes by providing first-class, professional care with respect, dignity, compassion, the highest ethical standards and honor
What makes your home care agency services/products better than all the others? This shouldn’t be price – it will be difficult to defend and by differentiating yourself solely by price, it sets your business up as a commodity driven service – often suffering with poor service in lieu of charging a fair price for excellent services .
What does the home care industry look like? Are there trends in your geographic area? What do your target clients buy, eat, education, income, habits, health levels, lifestyles, etc. The more detail you have the better your chances of success. This is an opportunity to find a specific niche that may be present in your own backyard. No example is provided in this area because you should know this. If you don’t – you need to do the homework to know and understand your market and the industry if you plan to enter it.
Who are your competitors? Specifically, by name, location, age of the agency, what they specialize in and how they are different from you. What market share do they have? Are there any other service companies that could be considered competitors? (i/e: really inexpensive care homes, private caregiver market, etc). Even if there are no “direct” competitors, there will ALWAYS be some that are close
How will you get your product into the marketplace? Think of non-conventional (viral Marketing) methods that are cheaper than traditional (TV, radio, print) and have a higher Impact. Examples:
Networking –meeting people and creating the relationships with the many faces who refer clients to various home care service providers. By attending the opportunities for networking, meeting business leaders and more.
Website. Develop an informative website and will include the website address in all online and offline marketing collateral.
Press Releases. Work with online press release distribution firms to generate awareness of our services by issuing press releases to leading search engines and online news sites.
Social Media Marketing. Promote your agency on Facebook, Twitter, LinkedIn and other social media channels that may be frequented by your target market. All social sites will be used to generate a buzz about your services and build your agency’s image. The goal is solely to build connections with the health care industry and consumers and convince them to avail your services.
E-mail Marketing. Implement an e-mail marketing campaign to target local health care facilities and professionals that could provide client referrals to agency.
E-mail Program. Regularly distribute a newsletter to highlight new services, employees, agency certifications and home care industry news. Include links to lure subscribers to visit your website for further information.
- Cold Calls. Develop a list of local health care facilities, senior organizations and social centers to cold call in an effort to gain client referrals.
- Brochures/Flyers. Develop informational (postcard) brochures and flyers and distribute via a targeted direct mail campaign.
- Press Releases. Share press releases highlighting news about our agency to print news outlets in our target area.
- Business Cards. Distribute business cards in high-profile gatherings and share them indiscriminately to spread word of mouth regarding your services.
- Exhibitions. Participate in health care industry trade shows and events hosted by senior organizations and other relevant industry events, workshops and seminars to generate buzz about your agency.
- Organization Affiliation – Joining local and regional organizations like Health Care Industry Orgs, and Insurance company orgs.
- Public Speaking – By speaking to organizations, senior centers, doctor, nurse and discharge planner meetings, etc. we’ll become seen as experts in our given niche.
Business & Health Fairs – Attending and showing the presence at these shows brings more
Barriers to Entry
What will stop you from entering your market place? Regulations, competition, cost of entry, monopoly, syndication? Also, how will your setup your own barriers to entry for other potential entrants into the marketplace?
State and county laws can thwart certain services from being provided by increasing the requirements and certification levels. Are there any present in your area? Maybe it’s obtaining the State Survey sign off or Medicare certification. List the obstacles that could keep you from getting started and growing.
How will you get your services/product to your market? For example – if you cover 3 counties – how will you manage logistics? Who will provide the care? Who will do the follow up visits and ensure care quality? Will you team with another company that provides a complimentary business where you can team with one another?
Often this can be the most important part of your business plan. Who else believes in the idea of you entering the home care industry and the experience of your team in the various areas? (Technical, business, marketing, operations, HR, etc.)
You will initially hire four staff members to manage the agency’s operations. Each hired staff member will meet the state of Colorado educational and training requirements. Additional recruiting will occur as the agency enters the expansion phase.
Organizational Hierarchy (example):
- CEO/ Administrative Director
- Administrative Assistant
- Home Care Aide
The Administrative Director will be responsible for planning, implementing, organizing, and developing in-home care services. This work includes, but is not limited to: operations administration, community/client education and staff supervision. This individual also will assume all social work services during the agency’s initial phase.
The Administrative Assistant will perform routine clerical and organizational tasks. This individual will organize files, draft messages, schedule in-home care appointments and support other staff.
Home Care Aides will administer in-home client services. These individuals will assist with activities such as bathing and dressing, and will provide services such as light housekeeping, errand services, personal care and companionship.
Insert all the financial projections and forecasts here. Cash flow, income statements, balance sheet, as well as start-up income required. This is arguably the most important part of your business plan, spend plenty of time on this and be able to justify any assumptions.
S trengths W eaknesses O pportunities T hreats
Consider the conditions in which your service business will operate. What are your Strengths and Weaknesses? These are internal (team, company, service). Opportunities and threats are external (local, regional and national market place, trends, etc.)
- Comprehensive Home Care and Geriatric Services. Custom home care and geriatric services aimed at enabling staff to deliver reliable, responsive care.
- Experienced, Well-Trained Staff. Staff members will undergo initial and continuing education and training programs required by the home care industry.
- Long Operational Hours. Provide service during normal business hours and also will be available for on-call emergencies 24 hours, seven days a week.
- Lack of Brand Identity and Image. As a start-up business, currently lack a brand identity and image. Will need adequate time to create awareness of your agency.
- Low Staffing Numbers. Professionals hired to manage the agency’s initial operations will be experienced, yet you may not have enough staff to effectively cover the needs of the market. This could cause slow growth of your operation, which management could not afford.
- Small Marketing Budget. A sizable marketing budget is required to get the most out of the agency’s initial launch. Anticipate needing a larger budget to make a substantial impact on the market.
- Growing Market. The home care market is rapidly increasing which presents extensive opportunities for new agencies entering the sector.
- Aging Population. As the U.S. population continues to age, the demand for personal home care and companionship is expected to significantly increase.
- Affordability and Comfort. Home care services are less expensive than nursing homes and assisted living facilities. Studies show that most people would prefer to receive care in their own homes versus a facility or hospital.
- Expandable Business Model. Home care agencies have the ability to expand into other markets as consumer needs grow.
- v Local Competition. Several local competitors have national, well-recognized and trusted brands.
- v Professional Staff. Recruiting, hiring and retaining quality, professional staff pose substantial risks. You will conduct extensive candidate research and background checks to eliminate some of the risks associated with employee recruitment and retention. Because studies predict patients will outnumber caregivers in the near future, you will need to position the agency as an attractive place to work with competitive and fair pay and benefits.
- v Business Cash Flow and Funding. While the owner is using personal cash flow to cover start-up expenses, continuing to maintain adequate cash flow and solicit funding from outside sources presents a challenge you must overcome to succeed.
- v Regulatory Changes. Federal health care laws like the Affordable Health Care Act and changes to Medicare and Medicaid payments can greatly affect your agency. In addition, state home care aide certification laws also could impact your business.
Goals and Objectives
What are your overall business goals? Your financials should include a lot of the income and expense goals. These goals/objectives are about identifying what you plan to accomplish with your business. It could be as simple as create a new career of owning a business or more in depth like using 10% of net profits going to a certain cause you believe in. The possibility of these things
Critical Success Factors
What needs to be achieved that will enhance chances of your agency’s success? Identify what the possibility of these things happening are.
How will you (or any investors) exit out of this project (if you want to) and make excellent return or to move onto your next “big idea”?
What future plans do you have for your services (and products, if any)? As your company grows, what other plans do you have for your services? Do you want to grow into a regional or state-wide provider? Maybe you want to expand into medical and non-medical. The sky is the limit to what you’d like to do.
Add any additional information here that may not fit into the sections above (quotes, Recommendations, statistics, etc.). Your completed financials & projections should be included in the Financial Projections, however, you could place them in this section.
Crafting Your Home Care Business Plan: 8 Essential Steps for Success
The demand for quality home care services is skyrocketing as the global population ages. The worldwide home healthcare market, valued at an astounding $299 billion in 2020 , shows no signs of slowing down. For visionary entrepreneurs, this presents a golden opportunity to make a positive impact in the lives of many while building a thriving business. Whether you are considering starting a home health care service from scratch or partnering with an established franchise, one essential element you cannot overlook is a meticulously crafted home care business plan.
A home care business plan is not just a document; it is the blueprint that guides your business decisions, impresses potential investors, and lays the foundation for your agency’s success. Securing financing, in particular, hinges on your ability to demonstrate a well-thought-out plan that promises profitability and sustainability.
In this guide, we’re here to walk you through the eight critical steps for creating a successful home care business plan. With these insights, you’ll be equipped to navigate the complexities of the home care industry and launch a business that promotes both profit and purpose .
Understanding the Importance of a Home Care Business Plan
Defining a home care business plan.
A home care business plan is a vital document that guides the establishment and management of a home health care business. It lays down the objectives, strategies, financial projections, and market analysis that are essential for the smooth operation of your business.
This roadmap is essential for ensuring that your business is well-positioned to offer a range of home care services, such as post-operative care , Alzheimer’s care , and skilled-nursing services .
The Critical Role it Plays
Why is a home care business plan so indispensable? Firstly, it forms the foundation for your business operations. Your business plan acts as a blueprint for managing cash flow and resources, essential for providing top-notch services. It also outlines the legal structure of your home health care agency, ensuring compliance and seamless operations.
Secondly, a solid business plan helps in securing bank loans and attracting investors. By demonstrating your commitment to providing affordable home health care and showcasing your business’s financial health, you present yourself as a viable investment .
Laying the Groundwork: The Pre-Planning Stage
Setting clear goals.
Before you dive into the specifics of your home care business plan, it’s super important to know what you really want to achieve with your home health care business. Think about it like a roadmap – you need to know where you’re going! Here’s what you should consider:
Helping the Community: A lot of people want to start a home health care business because they care. With more senior citizens in the neighborhoods, there’s a huge need for services that help them lead a happy and healthy life.
Offering Different Services: Maybe you want to provide a range of services. Like, not just basic care, but also physical therapy, skilled-nursing care, or end-of-life care . This way, you can help all sorts of people with different health needs.
Making Connections: It’s a great idea to team up with hospitals and doctors. By building strong relationships with other medical professionals, you can make your services even better. Plus, it’s always good to have friends in the business.
Making Money While Doing Good: Yes, you want to help people, but you also need to make a living. So, part of your goal might be to create a business that makes money. That way, you can keep the doors open and continue to provide awesome care for a long time.
Franchising: Some people don’t want to start from scratch—and that’s OK! You can get in on a franchise and use a name that people already know and trust. This can be a kick-start for your business.
Personal Touch: For some, the heart of the home health care business is in giving clients that personal touch. It’s not just about healthcare; it’s about making someone’s day better.
Don’t forget; it’s smart to make sure your goals are SMART – which means Specific, Measurable, Achievable, Relevant, and Time-bound. It’s like a checklist to make sure your goals aren’t just dreams, but something you can really achieve!
Knowing your audience.
Another essential pre-planning step is knowing who will read your business plan. Will it be potential investors, banking officials, or medical professionals looking for collaboration? Tailoring your home care business plan to suit the interests and concerns of the audience reading your business plan is vital for effective communication.
Staying Informed About the Industry
Staying informed about the home health care industry is fundamental to your business’s success. Engaging in market research will equip you with insights into the demands, challenges, and opportunities in the industry. Here are three reputable sources to get you started:
- Home Health Care News for the latest updates, data, and trends, covering policy changes to innovations.
- National Association for Home Care & Hospice (NAHC) for educational materials, research, and networking opportunities.
- The Joint Commission for resources on quality and safety standards.
Use this information to identify market strengths, weaknesses, and gaps that your business can address, ensuring that your home care business plan remains adaptable and responsive to the evolving industry landscape.
Crafting Your Home Care Business Plan: Key Components
1. executive summary: capturing attention from the get-go.
Your executive summary is the opening act of your home care business plan and should be designed to capture attention immediately. Within this section, succinctly outline your business mission, the home care services you’ll be offering, and how your business will fill a specific need in the market.
For instance, you might focus on providing skilled home health services to seniors or specialize in Alzheimer’s and dementia care. Remember that with an aging population, the home care industry is competitive. A compelling executive summary will set your business apart and entice readers to dive deeper into your business plan.
2. Company Description: Defining Your Home Care Business Identity
In this section of your home care business plan, provide a detailed description of your home health care company. Discuss the types of home health care services you aim to provide, be it personal care, nursing services, or occupational therapy. Be sure to mention how your services cater to the demands of the aging population.
Outline your goals, target market, and how your home care agency will stand out from others. If you have a unique approach, highlight that as part of your competitive advantage.
3. Industry Analysis: Navigating the Home Care Market
An in-depth industry analysis is vital for understanding the landscape of the home health care market. This section should include market research, trends in the health care industry, and an analysis of competitors. Identify the needs of your target customers and the gaps in the services provided by existing home health care agencies.
Are there unmet needs in terms of physical therapy or end-of-life care services? Knowing the industry inside out will enable you to position your home care business strategically within the market.
4. Management and Organization: Building a Strong Team
A successful home health care business relies on a strong team. In this section, describe the structure of your home health care agency. Detail the roles of the healthcare professionals, including skilled nurses, caregivers, medical social workers, and any other medical professionals involved in providing in-home services.
Define the qualifications and experience needed for each role. Explain how your home health care team will contribute to the success of your business and the provision of high-quality care to your clientele. It’s essential to portray the strength and competence of your team in fulfilling the growing needs of the aging population.
5. Service Offerings: Detailing Your Home Health Care Services
In this part of your home care business plan, provide a comprehensive list of the home health care services that your business will offer. These might include skilled nursing care, physical therapy, speech therapy, and personal care, among others. Describe how your home care business will meet the diverse needs of the aging population, and specify how your services will differ from those provided by other home health care businesses.
For instance, if you plan on including specialized skilled-nursing services or employing occupational therapists, make it a point to highlight these as part of your unique service offerings.
6. Marketing Plan: Reaching Your Target Audience
Your marketing plan is crucial for the success of your home care business. Begin by identifying your target market – is it seniors, clients recovering from surgery, or individuals requiring companionship? Next, outline your marketing and recruitment strategies.
How will you reach your target customers? What channels will you use? Consider both traditional avenues and digital platforms. Mention any partnerships with medical professionals or hospitals that could drive referrals. Additionally, discuss how you plan to brand your business and communicate the value of your home health care services effectively.
Take us, for example. Here at Nurse Next Door, we wear our hearts on our sleeves. Our mantra, “Happier Aging™,” is the heartbeat of our branding . We’re all about connecting with families and sprinkling some joy in the mix. Our popping pink? That’s the color of positivity, love, and care. But we know it’s not just about looking pretty – it’s about action.
Our dedication is to create tailor-made experiences that fill our clients’ lives with happiness. By marrying our vibrant spirit with a deep commitment to care, we like to think we’ve made Nurse Next Door a little piece of home in the home care industry.
7. Financial Projections: Mapping Out Your Financial Future
Financial projections are a critical aspect of your home care business plan, as they give potential investors or lenders insight into the financial viability of your home health care agency. In this section, outline your revenue model, pricing structure, and expected expenses, including salaries for medical professionals and costs for any expensive medical equipment.
Provide detailed financial statements, including projected income statements, balance sheets, and cash flow statements. By giving a clear picture of your expected cash flow, you will demonstrate that your home care business is a sound investment.
8. Appendix: Supporting Documents and Additional Resources
The appendix of your home care business plan should contain all the supporting documents that provide additional details not included in the main sections. This might include resumes of your home health care team, details of your legal structure, licenses, and permits, contracts with medical professionals, or hospital insurance information.
Also, if you have any endorsements from industry associations, certificates, or awards, include them here. This section adds credibility to your home health care business and acts as a repository for information that interested parties may seek for further understanding or validation of your business operations.
Implementing Your Home Care Business Plan for Long-Term Success
Implementing your home care business plan is an ongoing process that doesn’t end once the plan is written. It’s crucial to monitor, evaluate, and adapt your business plan according to the changing market conditions in the home health care industry.
Monitoring and Adapting Your Business Plan
Regularly review your home health care business plan to ensure that your business operations are aligned with your goals. Keep an eye on the cash flow and make necessary adjustments to stay financially healthy. Monitor your marketing plan’s effectiveness and adapt strategies as needed. Stay informed about changes in the home care industry, and be ready to pivot your services or approach to meet new demands or regulatory requirements. This adaptive approach is essential to ensure the sustainability of your home health care business.
Seeking Professional Advice and Mentorship
Embarking on this fulfilling journey as a business owner in the home health care business is an exciting step, and it’s always wise to have some expert advice along the way. Tap into the wealth of knowledge that industry veterans possess by engaging with them, and consider joining local groups or enlisting the guidance of a qualified clinical supervisor. These interactions are like having a knowledgeable GPS guiding you through the twists and turns of running a thriving home health care agency.
Additionally, let’s not forget the magic that happens when professionals collaborate. Building connections with other medical professionals is like adding extra horsepower to your business engine. It provides you with invaluable insights and helps establish a robust network for your home health care company. And if you’re looking for an extra boost, considering a partnership with a franchise could be just the ticket.
Partnering with an established franchise such as Nurse Next Door offers you a supportive backbone enriched with resources and expertise to help you make a real difference in your community through exceptional home health care services. Let’s make lives better, together!
In a nutshell, starting and running a successful home health care business requires careful planning, continuous monitoring, and adaptability to industry changes. Your home care business plan serves as the compass guiding your journey. Ensure it includes a concise executive summary, a comprehensive company description, a thorough industry analysis, clearly defined service offerings, an effective marketing plan, and realistic financial projections.
Remember the value of networking and seeking guidance from experienced professionals in the home health care services field. Stay focused on your goals, embrace innovation, and be passionate about delivering high-quality care. By doing so, you can make a meaningful difference in the lives of seniors and establish a thriving home health care business.
Are you ready to embark on a mission of providing exceptional care to seniors or those in need of care in your community? Don’t wait any longer! Take the first step today by exploring the Nurse Next Door franchising opportunities.
As a Nurse Next Door franchisee, you’ll have the support and resources of a trusted brand behind you, empowering you to make a positive impact on the lives of seniors while building a successful business. Join us in creating a healthier and happier community where you live.
Together, let’s make a difference!
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How to craft a successful home care business plan
As a home care provider, you run your business with compassion and knowledge of the job and the local community you work with. After you’ve learned more about how to become a caregiver and how to start a home care business , you’re ready to formalize your ideas with a business plan.
How to create a home care business plan
Your business plan is an essential part of the portfolio you’ll present to banks, investors, and partners before launching your company. Every entrepreneur can benefit from a business plan that helps you turn your vision into action and strategize for success. For home care professionals, there are unique additions and considerations for your business plan. From determining your core local clients to developing the marketing plan to reach them, this guide will walk you through nine sections for your home care business plan.
1. The executive summary
The executive summary kicks off your business plan and hooks whoever’s reading it to learn more about your company and your proposal. Think of it a little like a sales pitch for your business and a preview of everything you lay out in your business plan.
A home care business summary should include:
- Your mission and the populations your business will serve
- A list of your primary services
- The demand for these services in your community
- What sets your home care business apart from competitors
- Your vision
- A summary of funding needs
2. The company description
As a home care business working with clients in need, your professional background should be front and center. Your company description offers a snapshot of you and your business, and should include:
- The registered (or intended registered) name of your business
- The location of your company headquarters, and the neighborhoods, area, or city your business will reach
- Management, primary personnel, and their professional backgrounds
- Any licenses or certifications your staff has
Different types of home care services will need different certifications, like medical home care companies compared with senior transportation providers, for example. Make sure to research and include the requirements in your county, city, and state.
If you’re in the preliminary stages of creating your home care business and haven’t secured the required licenses yet, mention any certifications you’re pursuing in this description.
3. Your business mission and goals
The mission and goals section of a business plan outlines the primary objectives of your company and how you plan to achieve them.
As more Americans advance into the senior age bracket, demand for credible home care businesses is rising. This need can help position your business for success and give you more opportunities to refine your mission and select specific populations to focus on.
The need for home care help for senior relatives in particular has grown. As home care professional Christine Friedberg reflects, “I used to get on the phone and talk with clients about home care being an option for them or for their loved one, but it was like a new concept…For a long time, we were trying to educate the community about what home care was. Demand is greater than ever now.”
Medicare’s Triple Aim program may provide general inspiration for your own company goals. Their three pillars are :
- Centering and improving patients’ experience of care
- Improving health outcomes of patients served
- Mitigating the cost of care for individuals
From a business perspective, working with specific demographics may give you a leg up on funding. Based in Alexandria, VA, Griswold Home Care works with the area’s large population of aging veterans. To reach more of them, Griswold joined the cross-regional VA Community Care Network to provide in-home services to veterans needing extra support at home.
Not only was Griswold able to reach a specific community in need, but the program also helped this local home care business secure funding directly from the Department of Veterans Affairs . “We’ll see anywhere from 5 to 20 hours a week that the VA is covering, in terms of actually contracting with us directly. They pay us directly…so it’s very easy for the veteran to get in, take advantage of this program and take advantage of this care.”
In the home care industry, other demographics include:
- LGBTQ senior citizens
- People with Alzheimer’s
- People living with disabilities
- Non-seniors living with disabilities
- Adults whose first language isn’t English
Keep your demographic in mind as you refine your company’s identity and plan for growth. It will determine the steps you’ll take to fund your business and reach the neighbors who need you most.
4. Your services
The services section of your home care business plan sets the vision for what your business will specifically do. There are two main types of home care companies and services:
- Non-medical home care services – This type of home care business is not licensed to administer medical services or healthcare to its clients. Instead, they provide support, companionship, and home assistance. Services may include driving clients to doctor’s appointments, taking them to the park, or preparing meals.
- Medical home care services – Medical home care providers are staffed by nurses or other medical professionals licensed to administer medical care to their clients.
With the growing need for at-home healthcare businesses, some of the most common home care services include:
- Assistance with dressing, bathing, and using the toilet
- Companionship and diversion
- House cleaning and support with daily chores
- Hospice care
- Continued education for older adults
- Physical therapy and rehabilitation
- Prescription fulfillment services
- Administering medication
- Tracking vital physical or psychological health
- Senior citizen relocation assistance
- Specialty nursing for a long-term illness or disability
- 24-hour emergency services
Get specific about what caregiver duties you’ll provide your clients, narrowing down your list with the most needed services in your local community. With 1 in 3 U.S. households on Nextdoor , you’ll be able to connect with neighbors, and your most important clients, with a free business page.
5. Your management structure
This section of your business plan establishes the legal status of your company, which affects other details, from the extent of your liability as the owner to how you’ll file taxes.
The most common business structures for home care providers are:
- Limited liability company (LLC)
- Sole proprietorship
To choose the right business structure for you, consider:
- Liability – Every business is financially and legally liable to compensate for injuries committed on their watch. Consult with an accountant to take stock of your personal assets to choose a framework that gives you adequate protection.
- Taxes – Your home healthcare business structure will determine how the profits you earn are taxed, whether through your business, on your individual tax returns, or a hybrid of both. As a general rule, the larger your company is, or the more shareholders it has, the more complex the tax process will be.
- Growth expectations – Whether your home care company will focus on your neighborhood or expand nationwide, your business structure should reflect your desired administrative capacity and set the stage for investors who want to scale alongside you.
While S corporations and C corporations are often better suited for larger-scale companies, it’s possible to change the legal structure of your organization as it grows. Consider hiring experts, like a lawyer and an accountant, to help you with this stage of the process, especially if they have advised other local businesses in your area.
6. Your marketing plan
Show potential funding partners you know the modern home care market and set your local business up for success with marketing goals that cover the following bases:
- Digital marketing - In a job as intimate as home care, any new caregiver business begins on the local level. Sign up for a free business page with Nextdoor to instantly unlock a network of verified neighbors near you. Keep your business page updated with your story, photos, and contact information so local clients can find you and easily get in touch. Introduce yourself, share job listings, and keep neighbors updated on your business with free posts or hyperlocal advertising tools to reach more clients in specific ZIP codes you want to grow your business in.
- Partnerships – Qualified home care providers may be eligible to partner with care networks already plugged into local consumer demand. If properly licensed, apply to enroll as a Medicaid or Medicare partner.
- Word-of-mouth marketing – Since home care professionals are a part of their clients’ and families’ lives, your local reputation will be important. Build trust in you and your services with testimonials on your website and recommendations on Nextdoor. 72% of neighbors there have been influenced by a business recommendation and 71% have shared one. Consider sharing your website and Nextdoor page with former clients to ask them for a recommendation.
Anything that makes your home care business unique, include in this section of your business plan. With a growing population of aging Americans, entrepreneurs are getting creative about the types of care they offer to suit different lifestyles.
Take Dr. Bill Thomas . He thought there should be a senior care option in place of the traditional nursing home so he created Minka, a company that builds small dwellings tailormade for seniors who want extra assistance, community, and autonomy in their advanced years. Says Thomas, “I think there will continue to be congregate housing, but the more choices people find in front of them, the more they’ll find something that suits them best.”
7. Your core financials
The next two sections cover your financial history with projections for your home care business’s future. This will be important for your business strategy, as well as for potential lenders, investors, or partners.
The finance section of your home care business plan should include:
- Income statement
- Balance sheet
- Expected revenue
- A list of your assets and debts
- A summary of company expenses
- Desired loans
If you plan to enroll as a provider through a network like Medicare, mention in this section of your business plan.
8. Financial projections
This section of your home care business plan is important if you’re asking for an investment of any kind as it covers the funding you’re requesting, what you’ll use it for, and your plan to pay it back.
Financial projections should cover at least three years. Fortunately, the home care industry is slated for financial growth in the coming years. In the U.S. alone, the compound annual growth rate for home health care is projected to be 14.2% between 2021 and 2027.
However you plan to grow your company, speak with your local bank to discuss the full spectrum of financial options before finalizing your business plan.
You can also connect with fellow home care professionals through Nextdoor for more information on the local home care industry in and around your neighborhood. This will help you get a realistic sense of your financial plan and the next few years operating your business.
Your business plan’s appendix is where you’ll include any supporting or miscellaneous information for your business goals that didn’t have a place in the earlier sections.
- The resumes or educational and professional backgrounds of you, the owner, and your core staff
- Medical or non-medical licensing, or the licenses you plan to secure
- Any legal permits your business needs or the ones you plan to secure
- Bank statements, loans, and personal or professional credit history
- Real estate information about your business’ headquarters, if applicable
Make local connections through Nextdoor
As more Americans age, local caregivers are increasingly integral to the health of their communities. An effective home care business plan should tell this compelling narrative, sharing why there’s a need for your services and what you’ll do to fulfill them in your area.
If you’re just building your local home care business, start close to home with a Nextdoor Business Page. Signing up is free, takes just a few minutes, and will help you spread the word, turning your neighbors into your first clients.
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Home Health Care Business Plan Template
Written by Dave Lavinsky
Over the past 20+ years, we have helped over 10,000 entrepreneurs and business owners create business plans to start and grow their home health care businesses. On this page, we will first give you some background information with regards to the importance of business planning. We will then go through a home health care business plan template step-by-step so you can create your plan today.
Download our Ultimate Business Plan Template here >
What Is a Business Plan?
A business plan provides a snapshot of your home health care business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategy for reaching them. It also includes market research to support your plans.
Why You Need a Business Plan
If you’re looking to start a home health care business, or grow your existing home health care business, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your home health care business in order to improve your chances of success. Your home health care business plan is a living document that should be updated annually as your company grows and changes.
Sources of Funding for Home Health Care Businesses
With regards to funding, the main sources of funding for a home health care business are personal savings, credit cards, bank loans and angel investors. With regards to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business.
The second most common form of funding for a home health care business is angel investors. Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding, or, like a bank, they will give you a loan. Venture capitalists will not fund a home health care business. They might consider funding a home health care business with a national presence, but never an individual location. This is because most venture capitalists are looking for millions of dollars in return when they make an investment, and an individual location could never achieve such results.
Finish Your Business Plan Today!
Home health care business plan template.
If you want to start a home health care business or expand your current one, you need a business plan. Below are links to each section of your home health care business plan template:
Your executive summary provides an introduction to your business plan, but it is normally the last section you write because it provides a summary of each key section of your plan.
The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of home health care business you are operating and the status. For example, are you a startup, do you have a home health care business that you would like to grow, or are you operating a chain of home health care businesses.
Next, provide an overview of each of the subsequent sections of your plan. For example, give a brief overview of the home health care industry. Discuss the type of home health care business you are operating. Detail your direct competitors. Give an overview of your target customers. Provide a snapshot of your marketing plan. Identify the key members of your team. And offer an overview of your financial plan.
In your company analysis, you will detail the type of home health care business you are operating.
For example, you might operate one of the following types of home health care businesses:
- Nursing care business : this type of home health care business is the most common, where the patient is given a doctor-approved plan of care specific to the patient’s clinical needs and delivered within the comfort of their home.
- Physical home health care business : this type of home health care business provides physical therapy to patients who need help regaining their muscle and joint strength.
- Home health care aides : this type of home health care business provides patients with home health care aides who assist them with basic daily tasks, such as bathing, cooking, and dressing.
In addition to explaining the type of home health care business you will operate, the Company Analysis section of your business plan needs to provide background on the business.
Include answers to question such as:
- When and why did you start the business?
- What milestones have you achieved to date? Milestones could include the number of home health care patients, growth year over year, etc.
- Your legal structure. Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.
In your industry analysis, you need to provide an overview of the home health care business.
While this may seem unnecessary, it serves multiple purposes.
First, researching the home health care industry educates you. It helps you understand the market in which you are operating.
Secondly, market research can improve your strategy, particularly if your research identifies market trends.
The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.
The following questions should be answered in the industry analysis section of your home health care business plan:
- How big is the home health care industry (in dollars)?
- Is the market declining or increasing?
- Who are the key competitors in the market?
- Who are the key suppliers in the market?
- What trends are affecting the industry?
- What is the industry’s growth forecast over the next 5 – 10 years?
- What is the relevant market size? That is, how big is the potential market for your home health care business? You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.
The customer analysis section of your home care agency business plan must detail the customers you serve and/or expect to serve.
The following are examples of customer segments: parents of elderly individuals, retired seniors, senior community program managers, etc.
As you can imagine, the customer segment(s) you choose will have a great impact on the type of home health care business you operate. Clearly, parents of elderly individuals would want different service options and would respond to different marketing promotions than senior community program managers, for example.
Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, include a discussion of the ages, genders, locations and income levels of the customers you seek to serve. Because most home health care businesses primarily serve customers living in their same city or town, such demographic information is easy to find on government websites.
Psychographic profiles explain the wants and needs of your target customers. The more you can understand and define these needs, the better you will do in attracting and retaining your customers.
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Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.
Direct competitors are other home health care businesses.
Indirect competitors are other care options that people have that aren’t direct competitors. This includes hospitals, nursing homes, and people who help relatives with home health care needs. You need to mention such competition to show you understand that not everyone who needs healthcare assistance will utilize a home health care company.
With regards to direct competition, you want to describe the other home health care businesses with which you compete. Most likely, your direct competitors will be home health care businesses located very close to your location.
For each such competitor, provide an overview of their businesses and document their strengths and weaknesses. Unless you once worked at your competitors’ businesses, it will be impossible to know everything about them. But you should be able to find out key things about them such as:
- What types of patients do they help?
- What types of services do they offer?
- What is their pricing (premium, low, etc.)?
- What are they good at?
- What are their weaknesses?
With regards to the last two questions, think about your answers from the customers’ perspective. And don’t be afraid to ask your competitors’ customers what they like most and least about them.
The final part of your competitive analysis section is to document your areas of competitive advantage. For example:
- Will you provide superior services?
- Will you provide services that your competitors don’t offer?
- Will you make it easier or faster for customers to use your services?
- Will you provide better customer service?
- Will you offer better pricing?
Think about ways you will outperform your competition and document them in this section of your plan.
Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a home health care business plan, your marketing plan should include the following:
Product : In the product section, you should reiterate the type of home health care business that you documented in your Company Analysis. Then, detail the specific products you will be offering. For example, in addition to home health care, will you provide superior customer service, 24/7 call centers, or emergency services?
Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of your marketing plan, you are presenting the services you offer and their prices.
Place : Place refers to the location of your home health care business office. Document your location and mention how the location will impact your success. For example, is your home health care business office operated remotely, located near a main highway, near public transportation, etc. Discuss how your location might provide a steady stream of customers.
Promotions : The final part of your home health care marketing plan is the promotions section. Here you will document how you will drive customers to your location(s). The following are some promotional methods you might consider:
- Advertising in local papers and magazines
- Reaching out to local websites
- Social media marketing
- Local radio advertising
While the earlier sections of your home health agency business plan explained your goals, your operations plan describes how you will meet them. Your operations plan should have two distinct sections as follows.
Everyday short-term processes include all of the tasks involved in running your home health care business, including hiring quality home care professionals, training employees, and administrative tasks.
Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to serve your 100th patient, or when you hope to reach $X in revenue. It could also be when you expect to expand your facility or launch in a new location.
To demonstrate your home health care business’ ability to succeed, a strong management team is essential. Highlight your key players’ backgrounds, emphasizing those skills and experiences that prove their ability to grow a company.
Ideally you and/or your team members have direct experience in managing home health care businesses. If so, highlight this experience and expertise. But also highlight any experience that you think will help your business succeed.
If your team is lacking, consider assembling an advisory board. An advisory board would include 2 to 8 individuals who would act like mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing home health care companies or successfully running small businesses.
Your financial plan should include your 5-year financial statement broken out both monthly or quarterly for the first year and then annually. Your financial statements include your income statement, balance sheet and cash flow statements.
Income Statement : an income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenues and then subtracts your costs to show whether you turned a profit or not.
In developing your income statement, you need to devise assumptions. For example, will you assist 50 patients per month or 100? And will sales grow by 2% or 10% per year? As you can imagine, your choice of assumptions will greatly impact the financial forecasts for your business. As much as possible, conduct research to try to root your assumptions in reality.
Balance Sheets : Balance sheets show your assets and liabilities. While balance sheets can include much information, try to simplify them to the key items you need to know about. For instance, if you spend $100,000 on building out your home health care business, this will not give you immediate profits. Rather it is an asset that will hopefully help you generate profits for years to come. Likewise, if a bank writes you a check for $100,000, you don’t need to pay it back immediately. Rather, that is a liability you will pay back over time.
Cash Flow Statement : Your cash flow statement will help determine how much money you need to start or grow your business, and make sure you never run out of money. What most entrepreneurs and business owners don’t realize is that you can turn a profit but run out of money and go bankrupt. For example, let’s say a local senior living community approached you with a $50,000 partnership contract to provide home health care services for their occupants. Let’s further assume the contract would cost you $50,000 to fulfill in terms of increased staffing costs. Well, in most cases, you would have to pay that $50,000 now for employee salaries, utilities, etc. But let’s say the company didn’t pay you for 180 days. During that 180-day period, you could run out of money.
In developing your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a home health care business:
- Cost of equipment like standard nursing supplies, sanitary products, and emergency medications
- Payroll or salaries paid to staff
- Business insurance
- Taxes and permits
- Legal expenses
Attach your full financial projections in the appendix of your plan along with any supporting documents that make your plan more compelling. For example, you might include your Medicaid and Medicare certifications.
Putting together a business plan for your home health care business is a worthwhile endeavor. If you follow the example template above, by the time you are done, you will have an expert home health care business plan; download it to PDF to show banks and investors. You will really understand the home health care industry, your competition, and your customers. You will have developed a marketing plan and will really understand what it takes to launch and grow a successful home health care business.
Home Health Business Plan FAQs
What is the easiest way to complete my home health care business plan.
Growthink's Ultimate Business Plan Template allows you to quickly and easily complete your Home Health Care Business Plan.
What is the Goal of a Business Plan's Executive Summary?
The goal of your Executive Summary is to quickly engage the reader. Explain to them the type of home health care business you are operating and the status; for example, are you a startup, do you have a home health care business that you would like to grow, or are you operating a chain of home health care businesses?
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How to Start a Home Health Care Business
Home care providers are among the fastest-growing industries in healthcare in the United States. Every year, patients save billions of dollars by receiving care at home instead of in a hospital.
The Actual Definition of a Home Health Care agency
What services do home health care businesses offer, step 1. decide where to start, step 2: create a home health care business plan, step 3. file with the secretary of state, step 4. obtain an employer identification number (ein), step 5. choose the business name, step 6: certifications for medicare and medicaid, step 7. create policies and procedures, step 8. staffing and management, step 9. get adequate insurance, 10. open a business bank and 30 accounts and get credit cards, step 11. marketing and sales, step 12. develop a solid financing plan, home health care business plan writing service, how to start a home health business: faqs:.
Aging populations, chronic disease prevalence, physician acceptance of home care, medical advancements, and cost-effective treatment options from public and private payers are all driving industry revenue growth.
The industry is likely to grow in this area of healthcare over the next few years, which will allow it to compete effectively with institutional care providers, such as hospitals.
According to IBIS-World , Over the five years to 2026, as the Coronavirus pandemic subsides, industry revenue is expected to grow at an annualized rate of 5.1% to $140.8 billion.
Let’s take a look at what services home healthcare agencies offer and then check out the 12 steps you need to follow to start a successful home health care business.
Home health care is a relatively straightforward concept. It means medical professionals or professional caregivers visit people at home to provide some kind of assistance or care.
Home health care covers a wide range of services that can mean different things to different people. Home health care may include physical therapy, speech therapy, and skilled nursing. It might include assisting older adults with activities of day-by-day living, for example, bathing, dressing, and eating.
Home health care refers to medical treatment or assistive care for patients who do not need hospitalization or facility care but do need help to live safely at home. A medical professional or professional caregiver visits an individual at home to provide some sort of help or care.
Even though home care might involve medical treatment, the majority of health care is assisting people with daily tasks like bathing, dressing, and eating.
Medical Home Care vs. Non-Medical Home
- Medical Home Care: The medical home care industry provides wound care and other nursing services, such as monitoring blood pressure and mental health. Senior citizens and recently discharged hospital patients usually need this type of care.
- Non-Medical Home Care: Home care that is not medically oriented , such as non-medical staff or caregivers, is aimed at providing essential day-to-day assistance. Among their services are helping individuals prepare meals, cleaning the house, changing or dressing them, or driving them to doctors’ appointments. They may also play cards or board games with them to keep them active.
12 Steps to Start a Home Health Care Business
“Running or Starting a home health care business can be challenging and fast-paced, which can be stressful.
In this article, we will discuss the details of every step of starting a medical home health business outside of a hospital or clinic.
How do you get into this business? Each model has its pros and cons:
- Start a business from scratch . There may be lower startup costs, but more risk. It is important to have business experience. Thorough research of the industry is essential.
- Purchase an existing company. The cost is higher in mature businesses, there is less risk, and high diligence is required. Need to buy a company? An M&A business plan is essential before acquiring an existing company.
- Invest in a franchise. This business model has a higher entry fee but is proven. Consult a business broker and lawyer who specializes in franchise law. Investing in a franchise can be hassle-free with our franchise business plan to give you peace of mind.
Starting any kind of business starts with this step. As the basis of your company, you will need to create a home health care business plan . It will guide you through each step of the process.
A home health care business plan includes the following elements:
No matter what format you choose, there are some things you should keep in mind. Here are a few:
Equipment and starting costs
Home health care requires sophisticated and expensive medical equipment. For a successful start, you’ll need a detailed list of everything you’ll need.
Key expenses will include:
- Office equipment
- Office supplies
- Nursing supplies
- Business development
- Rental expenses
Finance and cash flow
After you compile your list of expenses, you need a capital-raising strategy. Traditional routes include bank loans, small business loans, and angel investors. There may also be grants for emerging health care businesses at the state level.
For the first three to six months of your business, you are almost certain to lose money while your clientele grows and you are on a regular billing cycle with Medicare and Medicaid. So make sure you have a carefully thought out cash flow plan in place to ensure you can make it through these crucial first few months.
Conduct market research and identify your competitors.
Your greatest weapon when it comes to raising capital is a bullet-proof analysis proving that yours is a great local market for this business and that you can serve a need that is unmet by your competitors.
Although this is a growing industry on a national and global scale, if your community is oversaturated, you will have a difficult time competing.
A strong competitive analysis can also help you with marketing and recruitment strategies when you identify where others have failed to penetrate the market.
Remember: Our guide on how to write a business plan will give you more information about the process if you’ve never written one before.
Free: Home Health Care Business Plan Pdf
To write a home health care business plan, you don’t need to be an expert. You can just download our proven health care business plan pdf to get a better idea.
Depending on your location and business structure , you will need to register your business . There are various types of business structures available, including Sole Proprietorship , Partnership, Corporation , and Limited Liability Companies (LLC) .
Generally, registering your business involves filing your business name with the state and local government.
You can check for business name availability on the Secretary of State’s website in your area and see if the domain name is available for your website. Once your business name and entity have been approved, you can order letterhead, business cards, and brochures.
Recommended: Learn how to start an LLC in your state in our free guides or choose Wise Business Plans to make the LLC registration hassle-free for you!
Need to get a License for Home Health Care Business?
We have simplified the process for you. Wise Business Plans can help you obtain business licenses, tax registrations, and seller’s permits in a hassle-free manner.
As you prepare to incorporate your company and set your business name, you might want to check domain names to ensure something you want is not already taken. When your business name is decided and availability is confirmed, create letterheads, business cards, and brochures.
Recommended: How to Choose a Business Name
In the United States, the first step to navigating the certification process is filling out the state’s home care license application and all documentation required for the home care business license.
Obtaining a Tax ID and NPI number for your home health care business is part of this process. Home care license requirements and standards vary from state to state.
If you need assistance, you should contact the Department of Health in your state.
If a patient is eligible for Medicare Part A (Hospital Insurance) and/or Medicare Part B (Medical Insurance), they will receive skilled nursing care, physical therapy, speech-language pathology services, occupational services, and others.
Medicare and Medicaid will be your primary sources of revenue unless you have an unorthodox business model. Make sure your business obtains all the necessary Medicare and Medicaid certifications.
Accreditation by Medicare:
A three-day Medicare survey is required for the accreditation process and is an audit of your business’ operations and clinical records.
The patient must meet the following criteria to be eligible for Medicare home care coverage:
- The patient must be under a physician’s care and follow a prescribed and reviewed the treatment plan
- A physician must certify that the patient requires at least one of the following services: Continuous occupational therapy Speech therapy Physiotherapy Skilled nursing care (more than drawing blood)
- Home care providers must be Medicare-certified and must determine that the patient is homebound
- The patient may not need more than intermittent or part-time nursing care
Be sure to research your own state’s jurisprudence requirements if you are planning on starting a home health care business.
The following needs to be addressed in your policies and procedures:
- Payroll and employee records
- Practices related to hiring
- The orientation
- The training process
- Billing for clients
- Customer rights and responsibilities
- New client admissions
- Plans for care
- Planned schedules
With a home health care business, unlike most other businesses where employees sell or facilitate your product, your staff is your product.
Choosing the right people is crucial because ultimately the person who walks into the home represents your company and is the face of your business. The greatest challenge for a home care business is finding good staff.”
What kind of staff do you need?
Your first hire will be a qualified clinical supervisor if you are not a physician. Medicare (and most states) require that a physician or registered nurse with more than one year’s experience serve as a clinical supervisor.
The supervisor should always be available to provide support to the employees providing home health care services.
Additionally, most states require a certified administrator to be in place, but this role can be performed by the clinical supervisor if they are certified in both capacities.
You have two options when it comes to frontline service providers.
- You can hire your own staff if you have the resources right away. Starting this business will require serious cash infusions as your salary demands will outweigh your income in the first months.
- A second option is to contract out the work to another physiotherapy, occupational therapy, or skilled nurse agency or association. The most common approach is to hire a qualified nurse and a physiotherapist on an as-needed basis (and hire the rest of the field as needed).
Your insurance coverage must be adequate. At the very least, you’ll need:
- Professional liability insurance – protects you from negligence, malpractice, or incompetence claims. It is also known as “errors and omissions” insurance.) Depending on the services you provide, you may also need:
- General liability insurance – Insures you against claims involving third-party bodily injury or property damage resulting from your product or operation.
- Cybersecurity insurance – Protects you from some HIPAA penalties resulting from breaches or hacks that expose PII (Personal Identifiable Information).
Personal asset protection is enhanced when you open specialized business banking and credit accounts. When your personal and professional accounts are mixed, your personal assets (your home, automobile, and other valuables) are vulnerable if your company is issued.
Furthermore, learning how to establish business credit may assist you in receiving credit cards and other financial resources in your company’s name (rather than yours), improved interest rates, greater lines of credit, and more.
Set up a business bank account
Apart from being a requirement when applying for business loans, establishing a business bank account has several benefits.
- Separates your personal belongings from your company’s assets, which is critical for personal asset protection.
- Makes tax preparation and accounting simple.
- It makes tracking expenses easier and more organized.
Recommended: To discover the greatest bank or credit union, read our Best Banks for Small Business review.
Open net 30 account
Net 30 payment terms are used to establish and grow firm credit, as well as enhance company cash flow. Businesses purchase products and pay off the whole amount within a 30-day period using a net 30 account.
Net 30 credit vendors are reported to the major business credit bureaus (Dun & Bradstreet, Experian Business, and Equifax Business Credit). This is the way businesses build business credit to qualify for credit cards and other lines of credit.
Recommended: Read our list of the top net 30 vendors guide to start getting business credit or simply open your net 30 accounts with wise business plans in seconds.
Get a business credit card
It’s exciting to open a business credit card for your firm. A business credit card can assist you to establish credit, safeguard your company financially, access rewards (such as cashback), and simplify cash flow. It can also assist you to manage your expenditures.
Recommended: Check out our list of the 11 best business credit cards and decide which one is best for you.
Once you have your home health care business plan in place and your ideal staff lined up, you’re ready to find clients and get started operating your business. This is a challenging step for anyone who owns a business, particularly a service-based company like a home health care agency.
Identify the best referral sources in your area, including discharge planners, medical home care companies, existing client references, elder law attorneys, estate planners physicians, physical rehabilitation centers, churches, bank trust officers, and geriatric care managers.
Your business’s success depends on marketing and sales. Obtaining clients requires effective marketing strategies. Here are some marketing ideas you can implement to get your business off the ground:
- Make a website: If you want clients for your home healthcare business, Make sure you have a simple website that will promote your name and information. Create your promotional materials and learn specific sales techniques for home care.
- Make Google aware of your existence. Ensure that Google has access to your address, office hours, and phone number so you can reach potential clients. This is simple, but first, you need a website.
- Know what makes you different. Tell your prospective client what makes you different and better than the competition. Make sure that your employees know this and that it is clear on your website.
- Join a community organization. Join local groups and associations, such as the National Association for Home Care & Hospice, to show your professionalism and get your name out there.
Your Business Marketing isn’t Working?
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When you bill Medicare, Medicaid, or third-party insurers, you may experience some financial stress due to the time it takes for payments to be received. To bridge the payment gap between periods, home healthcare agencies and businesses use receivable factoring.
Factoring allows you to receive an advance that you can use to pay your employees and grow your business. It will free up cash flow for your business, allowing you to focus on your business operations.
Long-time business planning leader Wise Business Plans is offering an effective home health care business plan for home health care agencies and other entrepreneurs assistance in gaining the market perspective and financial numbers needed to secure startup, business sustainability, and expansion funding, as well as regional consumer information to better guide future expansion options.
We’re dedicated to providing our healthcare clients with the very best home health care b usiness plan , prepared individually to ethically meet all their business planning needs,” said Ferriolo.
All Wise Business Plans include a market analysis summary that will help the business owner and investors, alike, understand the demographics of the community the client is serving.
Download Now: Home Health Care Business Plan in PDF or Visit our Sample Business Plans gallery for over 400+ industries to help you create your plan.
Wise Business Plans (www.wisebusinessplans.com), staffed with MBA professional business plan writers , researchers, and financial experts, is a trusted partner for businesses across a broad spectrum of products and services. Our mission is to empower our clients to make the best possible business decisions, boost company performance and facilitate their funding success by laying the groundwork for strong businesses that excite, inspire and retain talented and exceptional employees.
Free: Non-Medical Home Care Business Plan Pdf
To write a non medical home care business plan, you don’t need to be an expert. You can download our proven health care business plan pdf to get a better idea.
Starting a home health care business typically requires obtaining the necessary licenses and certifications, such as state-specific home health care licenses or certifications for providing medical services. Additionally, having a background in healthcare or hiring qualified staff with relevant qualifications is essential.
Finding clients for your home health care business can be done through various channels. Networking with local healthcare providers, hospitals, and clinics, as well as building relationships with social workers and discharge planners, can help you establish referral sources. Online marketing, advertising in local directories, and building a strong online presence can also attract potential clients.
When starting a home health care business, it is crucial to comply with all legal and regulatory requirements. This may include obtaining the necessary licenses and permits, ensuring compliance with privacy laws (such as HIPAA in the United States), and meeting specific standards set by regulatory bodies in your region. Consulting with a business attorney or healthcare consultant can help you navigate these considerations.
Setting pricing for home health care services requires careful consideration of various factors. These may include the level of care provided, the complexity of services, the geographical location, and the market rates in your area. Researching the pricing structures of other home health care providers in your region can provide insights into industry norms and help you determine competitive rates.
Staffing requirements for a home health care business typically involve hiring qualified healthcare professionals, such as registered nurses, licensed practical nurses, certified nursing assistants, and home health aides. The number and type of staff needed depend on the size and scope of your business, as well as the specific services you plan to offer. Ensuring adequate staffing levels and maintaining a skilled and compassionate team are vital for providing quality care to clients.
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Home Health Care Business Plan Template
Home health care business plan.
You’ve come to the right place to create your Home Health Care business plan.
We have helped over 5,000 entrepreneurs and business owners create business plans and many have used them to start or grow their home health care businesses.
Home Care Business Plan Example
Below is a template to help you create each section of your home health agency business plan.
St. Helen’s Home Care is a new home healthcare business that serves the aging population of Austin, Texas. As individuals age, they are more susceptible to diseases and other conditions and need extra help to receive health care. However, many individuals wish to receive care in the comfort of their homes instead of going to a nursing home or hospital. St. Helen’s will provide this population with the care they need without them needing to travel. Our services include physical therapy, nursing, and other healthcare services that can be conducted in the home. We also provide warmth, compassion, and companionship to create lasting relationships with our clients.
St. Helen’s Home Care is run by Helen Parker, who has been a nurse for twenty years. She has specialized in working with aging populations and has extensive knowledge of the common conditions and needs of this age group. Her experience and connections have helped her find other medical professionals who want to join our company. Furthermore, she was able to establish an initial client base from the list of patients she has been helping for years.
St. Helen’s Home Care offers a variety of home health care services that serve the aging population of Austin, Texas. These services include but are not limited to:
- Physical therapy
- Occupational therapy
- Speech-language therapy
- Personal care and housekeeping
St. Helen’s Home Care will serve the aging population of Austin, Texas, primarily residents over the age of 65. This population is susceptible to many conditions that make daily living difficult such as Alzheimer’s, dementia, arthritis, and diabetes. This population needs more health care than other age groups, but not all services require a visit to the hospital or doctor’s office. St. Helen’s will provide any medical service that can easily be conducted in a home setting.
St. Helen’s Home Care is owned and operated by Helen Parker, a local nurse who has worked at local hospitals for over the past twenty years. She has worked with hundreds of elderly patients and their families and has helped them find adequate and affordable home health care upon being released from the hospital. Helen Parker has realized there is a lack of quality and affordable home healthcare agencies in Austin. She aims to provide the best in-home health care services while also being affordable for the patient and their families.
Aside from the medical professionals she will have on staff, Helen has also employed an Administrative Assistant, Accountant, and Marketing Specialist to help her operate the company.
St. Helen’s Home Care will be able to achieve success by offering the following competitive advantages:
- Compassionate Staff: Helen’s will employ a compassionate and friendly staff of nurses, therapists, aides, and social workers who are highly knowledgeable and experienced in their field.
- Quality Care: Helen’s will provide expert services so that the patients are at the highest comfort level.
- Pricing: Helen’s pricing will be more affordable than its competition. They will also work on payment arrangements with the patient and their family so that the patient won’t have to sacrifice any type of care because the cost is too high. The company is also working to partner with local and national insurance companies so that our patients can have their care partially or fully covered by their insurance plans.
St. Helen’s Home Care is seeking $340,000 in funding to launch the home healthcare business. The capital will be used for funding equipment and supplies, staffing, marketing expenses, and working capital.
The breakdown of the funding may be seen below:
- Equipment and supplies (such as computers and medical equipment): $150,000
- Marketing costs: $50,000
- Staffing costs: $60,000
- Working capital (to include three months of overhead expenditures): $80,000
The following graph outlines the pro forma financial projections for St. Helens’ Home Care over the next five years:
Who is St. Helen’s Home Care?
St. Helen’s Home Care History
Helen Parker has worked with thousands of elderly patients during her career as a nurse. She often found that many people did not need to travel to a doctor’s office or hospital for their care. Instead, these patients often enjoyed a higher quality of life when they received care from their homes. This revelation inspired her to start a business where she and other professionals could provide care to local elderly patients in the comfort of their homes. After conducting the research needed to establish the company, Helen incorporated St. Helen’s Home Care as an S-corporation on May 15th, 2022.
Since incorporation, St. Helen’s has achieved the following milestones:
- Found an office location and signed a Letter of Intent to lease it
- Developed the logo and website for the company
- Finalized list of services the company will be able to provide
- Determined the office equipment and inventory requirements
- Created an initial client base from Helen’s pre-existing patient list
- Started creating partnerships with local and national medical insurance companies
- Began recruiting key employees, including medical and administrative staff
St. Helen’s Home Care Services
According to Grand View Research, the global home healthcare industry was valued at $336 billion USD in 2021. It is also expected to grow at a compound annual growth rate of 7.93% from 2022 to 2030 and reach a value of $666.9 billion USD by 2030. This shows that these services will be in great demand, which means it is a great time to start a home healthcare business.
This growth is primarily driven by a growing geriatric population. People are living longer than ever before, and therefore, they will need comfortable healthcare services for much longer. Furthermore, baby boomers comprise a large population and are now entering their retirement years. It is expected that this enormous population will have a significant need for healthcare (whether in the home or doctor’s office) and may create a strain on the current industry. However, this also means there is an enormous opportunity for healthcare businesses to be extremely profitable in the near future.
This is especially true for home healthcare services, which are increasing in demand. Most aging people would rather receive medical care at home than go to a nursing home or hospital. Therefore, there is an incredible demand for these particular services.
The only challenge affecting the industry is a lack of properly trained staff who can take on a healthcare career. However, this will only mean that home healthcare services will be even more valued. These industry trends will only help boost the popularity and success of St. Helen’s Home Care.
Demographic profile of target market.
St. Helen’s Home Care will primarily target the aging population of Austin, Texas. This includes anyone over the age of 65, especially those who live with diabetes, Alzheimer’s, arthritis, or other conditions that affect their quality of life.
The precise demographics of Austin, Texas, are:
St. Helen’s will primarily target the following customer profiles:
- Aging individuals over the age of 65
- Individuals living with Alzheimer’s and dementia
- Elderly individuals with other health conditions
Direct and indirect competitors.
St. Helen’s Home Care will face competition from other companies with similar business profiles. A description of each competitor company is below.
Travis County Home Health
Travis County Memorial Hospital’s Home Health & Hospice has provided home health services for over a decade. Their staff is composed of dedicated professionals who are committed to providing quality care in the comfort and convenience of their patients’ homes. Their home health aides can assist the patient with grooming and light chores around their home. Home health care will verify if home health aide services are covered by their insurance policy. They accept Medicare, Insurance/HMO/PPO, Medicaid, and Private Pay. The home health care team works closely with the physician to plan the care and monitor the patients’ progress. The nurse will contact the physician with any laboratory results, medication changes, or alterations in their health status.
Elara Caring is one of the nation’s largest providers of home-based care, with a footprint in most regions of the United States. Elara Caring brings together three award-winning organizations – Great Lakes Caring, National Home Health Care, and Jordan Health Services, into one transformational company. They provide the highest-quality comprehensive care continuum of personal care, skilled home health, hospice care, and behavioral health. Their intimate understanding of their patients’ needs allows them to apply proprietary platforms to deliver proactive, customized care that improves quality of life and keeps patients in their homes.
Encompass Health is one of the nation’s leading providers of home health services. They continually set the standard of homecare through their people, their approach, and their outcomes.
The patient experience is at the core of everything they do. That’s why they work collaboratively with the patient’s team of experts to craft a plan of care that meets their specific needs. Their skilled nurses, physical therapists, occupational therapists, speech-language pathologists, medical social workers, and home health aides use a coordinated, interprofessional approach to deliver compassionate, specialized care in the comfort of home. Whether recovering from a surgery, a recent hospital stay, or managing a disease or injury, Encompass Health’s services are designed to meet patients where they are.
Marketing plan, brand & value proposition.
The St. Helen’s brand will focus on the company’s unique value proposition:
- Knowledgeable, friendly, compassionate staff of healthcare professionals.
- Quality level of service and care.
- Offering the best nursing, therapy, social worker, and home aide services at competitive prices.
St Helen’s Home Care will target elderly residents living in the Austin, Texas area. The company’s promotions strategy to reach the most clientele include:
Helen Parker already has great relationships with the local hospitals. She will work to make sure the hospitals send referrals and highly recommend the company to its patients and their families upon releasing them from the hospital.
St. Helen’s has a website that is well-organized and informative and lists all our available services. The website also lists the company’s contact information and information about the medical professionals who provide our services. We will utilize SEO marketing tactics so that anytime someone types in the Google or Bing search engine “Austin home health care” or “Austin health care,” St. Helen’s will be listed at the top of the search results.
St. Helen’s Home Care will have a billboard at a busy intersection where thousands of cars and pedestrians pass daily. The location of the billboard will be in an area of town where there are a lot of doctors’ offices, rehab facilities, and a hospital nearby.
St. Helens will partner with local and national insurance companies so that our patients can be partially or fully covered for the services we provide. We will ask the insurance companies to recommend our services to their customers and have our business listed on their websites.
St Helen’s pricing will be moderate so customers feel they receive great value when purchasing its services. Services will either be charged directly to the patient or to their insurance plan.
The following will be the operations plan for St. Helen’s Home Care.
- Helen Parker will be the Chief Executive Officer of the company. She will be in charge of the operations side of the business and provide home healthcare services until we have a full staff of medical professionals.
- Helen is assisted by her longtime colleague Mary Green. Mary will be the Administrative Assistant and help with all general administration tasks, including taking phone calls and scheduling appointments.
- Keith O’Reilly will serve as the Staff Accountant. He will provide all accounting, tax payments, and monthly financial reporting.
- Betty Lopez will work as the Marketing Specialist. She will run the website, social media, and other marketing efforts.
- Helen will hire a large team of medical professionals to serve our growing client base. So far, some of her former colleagues have agreed to work for her business.
St. Helen’s Home Care will have the following milestones completed in the next six months.
8/1/202X – Finalize lease for the office space.
8/15/202X – Finalize personnel and staff employment contracts.
9/1/202X – Begin refurbishment and furnishing of the office space.
9/15/202X – Begin networking at medical industry events.
9/22/202X – Begin marketing campaign to attract the first clients.
11/1/202X – St. Helen’s Home Care opens for business.
Key revenue & costs.
The revenues for St. Helen’s Home Care will come from the fees it will charge the patients and their insurance for the provided health care services.
The major cost drivers for the company will be the staff payroll, marketing expenses, lease, and office equipment.
Funding Requirements and Use of Funds
The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials as well as pay off the startup business loan.
- Number of clients per month: 100
- Annual lease: $50,000
- Overhead costs per year: $100,000
Income statement, balance sheet, cash flow statement, home health care business plan faqs, what is a home health care business plan.
A home health care business plan is a plan to start and/or grow your home health care business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.
You can easily complete your Home Health Care business plan using our Home Health Care Business Plan Template here .
What are the Main Types of Home Health Care businesses?
There are a number of different kinds of Home Health Care businesses , some examples include: Nursing care business, Physical home health care business, and Home health care aides.
How Do You Get Funding for Your Home Health Care Business Plan?
Home Health Care businesses are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding.
What are the Steps To Start a Home Health Care Business?
Starting a home health care business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.
1. Develop A Home Health Care Business Plan - The first step in starting a business is to create a detailed home health care business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.
2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your home health care business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your home health care business is in compliance with local laws.
3. Register Your Home Health Care Business - Once you have chosen a legal structure, the next step is to register your home health care business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.
4. Identify Financing Options - It’s likely that you’ll need some capital to start your home health care business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms.
5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations.
6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events.
7. Acquire Necessary Home Health Care Equipment & Supplies - In order to start your home health care business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation.
8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your home health care business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.
Learn more about how to start a successful home health care business:
- How to Start a Home Health Care Business
How to Write a Home Health Care Business Plan
8 min. read
Updated November 13, 2023
Free Download: Sample Home Health Care Business Plan Template
The world’s population is aging. One in six people worldwide will be 60 years old or older by 2030, and the share of the overall population over 60 will double over the next quarter century, according to World Health Organization estimates .
This demographic shift has driven a surge in demand for custom senior and disability care options. So, if you’re an experienced health care worker with an entrepreneurial streak this presents an opportunity to start your own home health care business.
But the home health care industry is complex and layered—with issues ranging from licensing and staffing to liability concerns. Even with your industry-specific experience, you’ll need to write a business plan to navigate these challenges and focus your time on providing the best care possible.
In this guide, we’ll show you how to tailor your business plan to tackle the complexities of the home health care industry. And you can even download a free home health care business plan template to help get you started.
- Why You Need a Business Plan for Your Home Health Care Business
Do you have a service and staffing plan? Do you know which agency or agencies have regulatory authority over your business? How much funding do you need to pay for equipment?
You’ll need to have answers to these questions and more before launching your business.
That’s why writing a business plan is necessary when starting any sort of health care business. It ensures that you are thinking beyond your expertise as a health care professional and able to easily manage day-to-day operations, insurance and billing snafus, and extensive startup costs.
You can enter this industry with extensive knowledge and the best of intentions. But without a plan in place, you won’t be prepared to run a successful business.
- How to write a home health care business plan
For this guide, we’ll be highlighting specific areas that you should focus on when creating a home health care business plan. You can check out or full step-by-step walkthrough on how to write a business plan for additional guidance for creating a detailed plan.
1. Define your vision
What does your business offer that other health care services in the area don’t?
What’s your biggest business challenge right now?
Answering this question is your first step to lay out a roadmap for your business. And it goes beyond just describing the type of home health care business you will open. This is an opportunity to state your core values , long-term goals and the impact you hope to have on the lives of your clients.
Then, discuss what niche it will fill in the market. For instance, will you open your business to fill a need in an area with few health care options? Or will you round out the offerings in a city with a wide range of services?
Remember to keep this relatively short. This opportunity section can introduce lenders or investors to the unique services you plan to provide, like specialized care offerings, tailored care plans, or uses of advanced medical technology. But you don’t want them to get bored with an overly lengthy statement.
You can always go into greater detail about your services in the products and services section of your business plan.
2. Be specific about your service offering
As a home health care business, you will likely provide a variety of services. But will you have a specific focus—such as elder care or post-surgery care? Or will you offer a wider range of general services like medication management?
Additionally, it’s worth stating if your home health care business will be able to manage requests for specialized services based on individual client needs.
Whatever you choose, the important thing is to make your service offerings clear and to back them up with market and customer data. Make sure you describe why these services are essential and how they will benefit your clients. And remember to make a clear connection between your services and your target market , which we will go over next.
3. Define who your customers are
Not everyone with a medical condition will be interested in home health care services—so it’s essential that you focus on a specific set of people.
A home health care service specializing in senior or disability care will cater to that specific customer base. But a home health care business that provides post-operative or palliative care would likely appeal to an entirely different market.
To start your research, try and get an estimate of the population of residents aged 65 and older in the area you plan to serve—which can be found from sources like the U.S. Census Bureau . You may also be able to find the approximate number of nursing and elderly care beds in your area from sources like state licensing records.
This kind of information will give you a broad sense of how many people you could serve in your area. From there, begin to refine your target audience by taking into account competitors, your services, and what you believe you’ll be able to reasonably handle.
4. Understand pricing and insurance
When pricing your services, it’s helpful to research the prices of other home health care providers in your area. This provides you with a benchmark and allows you to position your business based on the value and/or quality of your services.
Now, another factor to consider before solidifying prices is insurance expenses for both your business and patient coverage.
From Medicare and Medicaid to private insurers, you’ll want to document all relevant insurance providers in your business plan. Then, research their reimbursement policies and rates for home health care services to better understand your potential revenue sources.
Different insurance plans may also cover varying degrees of home health care services—with some offering comprehensive coverage and others only covering specific treatments or services. Identify the limitations and requirements of each plan, such as the need for prior authorization or a physician’s referral, to ensure your services are eligible for reimbursement.
Then, make sure you understand the reimbursement rates offered by insurance providers for the services your business will offer. These rates will directly affect your revenue and should be factored into your pricing strategy.
Just keep in mind that these reimbursement rates may change periodically, so it’s essential to stay up-to-date on the latest information.
5. Identify your staffing and licensing needs
Worker shortages are especially prevalent in the health care industry. Without the right number of employees in the necessary roles, you can expect to see fewer customer visits, worse service quality, and potentially increasing employee expenses. This is why you need to have a well-documented personnel plan that takes into account the roles of your employees, how many you’ll need, and forecast potential expenses.
To start this section, carefully consider the services you plan to offer and the number of clients you expect to serve. That will help determine the number of staff members you’ll need and the qualifications necessary for them to do their jobs well. Additionally, be sure to document any training programs and processes your staff members will receive on topics like client care, safety procedures, and documentation.
Home health care businesses also require a variety of licenses and permits. What’s required may vary depending on your location and the services you plan to offer. So, it’s crucial that you understand the specific requirements in your area to avoid any legal issues down the road. And for your own internal management, it may be useful to detail the local, state, and federal regulations and agencies that will be responsible for regulating your business.
You will need to demonstrate knowledge of the operating requirements in your area to receive a license anyway. So take the extra step of detailing the full range of legal and regulatory issues in your business plan. Otherwise, you raise the risk of facing legal consequences, fines, or even the risk of being shut down.
6. Develop a risk management plan
In such a regulation-heavy industry it’s important to think about–and document–internal and external risks. These can be anything from negligence to malpractice claims and even elder abuse.
Consider conducting a risk assessment that takes into account your location, services offered, and employee qualifications. Once you’ve identified potential risks, outline what you’ll do to minimize or avoid them altogether. For example, you can implement employee training programs to prevent theft or malpractice, or you can invest in insurance to protect your business from liability claims.
By protecting your business from potential risks, you can increase your chances of success and longevity. And you can show lenders, investors, and regulators that you have considered the risks and developed the right strategies if they arise.
7. Marketing and PR
As home health care demand rises competion is bound to rise with it—especially if you plan to operate in an urban area where consumers are more likely to have multiple options. As part of your plan you need to not only take your competitors into account but outline how you will raise awareness and attract customers.
Some strategies to consider include:
- Creating a website or online portfolio that showcases your services and provides potential clients with your contact information.
- Using social media platforms to communicate directly with clients, and keep them informed about your services and any special offers.
- Investing in advertising by targeting your ideal clients through print or digital media.
- Partnering with other businesses, such as senior centers, to expand your reach and offer added value.
- You can also consider hiring a PR consultant, but make sure they have experience with home health care businesses or similar industries.
- Download a free home health care business plan template and example
To help get you started on your home health care business, check out our free home health care business plan template . You can download this document in Word form and use it as a foundation for your own business plan. In addition to these resources, you may want to brush up on how to write specific sections of a traditional business plan. If so, take a look at our step-by-step guide on how to write a business plan .
See why 1.2 million entrepreneurs have written their business plans with LivePlan
Elon is a marketing specialist at Palo Alto Software, working with consultants, accountants, business instructors and others who use LivePlan at scale. He has a bachelor's degree in journalism and an MBA from the University of Oregon.
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Non-Medical Home Care Business Plan
The global home healthcare market is increasing due to the aging population and is only anticipated to grow. You might be the ideal candidate to launch a home healthcare service if you’re an entrepreneur who recognizes the potential of the home care sector. But to start with it, you will need a plan.
Need help writing a business plan for your non-medical home care business? You’re at the right place. Our non-medical home care business plan template will help you get started.
Free Business Plan Template
Download our free business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!
- Fill in the blanks – Outline
- Financial Tables
How to Write a Non-Medical Home Care Business Plan?
Writing a non-medical home care business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:
1. Executive Summary
An executive summary is the first section planned to offer an overview of the entire business plan. However, it is written after the entire business plan is ready and summarizes each section of your plan.
Introduce your business:
- This section may include the name of your non-medical home care business, its location, when it was founded, etc.
Home care services:.
- For instance, you may include meal preparation, companionship, social interaction, medical checkups, etc.
Marketing & sales strategies:
Financial highlights:, call to action:.
Ensure your executive summary is clear, concise, easy to understand, and jargon-free.
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2. Business Overview
The business overview section of your business plan offers detailed information about your company. The details you add will depend on how important they are to your business. Yet, business name, location, business history, and future goals are some of the foundational elements you must consider adding to this section:
- Personal care services
- Companionship services
- Meal preparation
- Home safety evaluation
- Describe the legal structure of your non-medical home care company, whether it is a sole proprietorship, LLC, partnership, or others.
- Explain where your business is located and why you selected the place.
- Additionally, If you have received any awards or recognition for excellent work, describe them.
This section should provide a thorough understanding of your business, its history, and its future plans. Keep this section engaging, precise, and to the point.
3. Market Analysis
The market analysis section of your business plan should offer a thorough understanding of the industry with the target market, competitors, and growth opportunities. You should include the following components in this section.
- For instance, elderly people or handicapped people who needs help are your target audience.
Market size and growth potential:
Competitive analysis:, market trends:.
- For instance, remote monitoring systems are in trend nowadays.
Here are a few tips for writing the market analysis section of your care agency business plan:
- Conduct market research, industry reports, and surveys to gather data.
- Provide specific and detailed information whenever possible.
- Illustrate your points with charts and graphs.
- Write your business plan keeping your target audience in mind.
4. Products And Services
The product and services section should describe the specific services and products that will be offered to customers. To write this section should include the following:
Describe your services:
Mention the services your business will offer. This list may include services like
- Home safety analysis
- Live-in care
- Light housekeeping
Describe each service:
In short, this section of your non-medical home care plan must be informative, precise, and client-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.
5. Sales And Marketing Strategies
Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:
Unique selling proposition (USP):
- For example, advanced care, affordable pricing, flexible schedule, and well-trained staff can be your USP.
Marketing strategies:, sales strategies:, customer retention:.
Overall, this section of your non-medical home care business plan should focus on customer acquisition and retention.
Have a specific, realistic, and data-driven approach while planning sales and marketing strategies for your non-medical home care business, and be prepared to adapt or make strategic changes in your strategies based on feedback and results.
6. Operations Plan
The operations plan section of your business plan should outline the processes and procedures involved in your business operations, such as staffing requirements and operational processes. Here are a few components to add to your operations plan:
Staffing & training:
Adding these components to your operations plan will help you lay out your business operations, which will eventually help you manage your business effectively.
7. Management Team
The management team section provides an overview of your non-medical home care business’s management team. This section should provide a detailed description of each manager’s experience and qualifications, as well as their responsibilities and roles.
- It should include, key executives(e.g. COO, CMO.), senior management, and other department managers including their education, professional background, and any relevant experience in the cleaning industry.
Compensation plan:, advisors/consultants:.
- So, if you have any advisors or consultants, include them with their names and brief information consisting of roles and years of experience.
This section should describe the key personnel for your business, highlighting how you have the perfect team to succeed.
8. Financial Plan
Your financial plan section should provide a summary of your business’s financial projections for the first few years. Here are some key elements to include in your financial plan:
Profit & loss statement:
Cash flow statement:, balance sheet:, break-even point:.
- This exercise will help you understand how much revenue you need to generate to sustain or be profitable.
Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.
The appendix section of your plan should include any additional information supporting your business plan’s main content, such as market research, legal documentation, financial statements, and other relevant information.
- Add a table of contents for the appendix section to help readers easily find specific information or sections.
- In addition to your financial statements, provide additional financial documents like tax returns, a list of assets within the business, credit history, and more. These statements must be the latest and offer financial projections for at least the first three or five years of business operations.
- Provide data derived from market research, including stats about the industry, user demographics, and industry trends.
- Include any legal documents such as permits, licenses, and contracts.
- Include any additional documentation related to your business plan, such as product brochures, marketing materials, operational procedures, etc.
Use clear headings and labels for each section of the appendix so that readers can easily find the necessary information.
Remember, the appendix section of your non-medical home care business plan should only include relevant and important information supporting your plan’s main content.
The Quickest Way to turn a Business Idea into a Business Plan
Fill-in-the-blanks and automatic financials make it easy.
This sample non-medical home care business plan will provide an idea for writing a successful non-medical home care plan, including all the essential components of your business.
After this, if you still need clarification about writing an investment-ready business plan to impress your audience, download our non-medical home care business plan pdf.
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Frequently asked questions, why do you need a non-medical home care business plan.
A business plan is an essential tool for anyone looking to start or run a successful non-medical home care business. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.
Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your non-medical home care company.
How to get funding for your non-medical home care business?
There are several ways to get funding for your non-medical home care business, but self-funding is one of the most efficient and speedy funding options. Other options for funding are
Small Business Administration (SBA) loan
Crowdfunding, angel investors.
Apart from all these options, there are small business grants available, check for the same in your location and you can apply for it.
Where to find business plan writers for your non-medical home care business?
There are many business plan writers available, but no one knows your business and ideas better than you, so we recommend you write your non-medical home care business plan and outline your vision as you have in your mind.
What is the easiest way to write your non-medical home care business plan?
A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any non-medical home care business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our business plan software.
About the Author
Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more
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Home Health Care Business Plan Template 
Home Health Care Business Plan Template
If you want to start a Home Health Care business or expand your current Home Health Care business, you need a business plan.
The following Home Health Care business plan template gives you the key elements to include in a winning Home Health Care Agency business plan.
Below is a sample home health care plan, outlining each of the key sections of a successful home care business plan. Once you create your plan, download it to PDF to show banks and investors.
I. Executive Summary
[Company Name] was founded by [Founder’s Name]. [Founder’s Name] is a nurse that has worked in local hospitals for over a decade. Her years of experience has taught her how to care for aging adults in a safe and supportive manner. [Founder’s Name] realizes the need for a quality and affordable home health care company as she has a difficult time placing her patients that are being discharged from the hospital with an agency that is reliable and within the patient’s budget. [Company Name] is a high-quality home health care agency that treats elderly patients with a wide array of illnesses and issues with a friendly and supportive staff that is also affordable and works within the patients budget.
[Company Name] will provide nursing, physical therapy, occupational therapy, home health aides, and social work services to its patient clients. In addition, their team of healthcare specialists will also be able to provide specialized services for Alzheimer’s, dementia, arthritis, and diabetic patients.
[Company Name] will serve the aging community of [company location]. Many of the aging community has diabetes, arthritis, Alzheimer’s, dementia, etc. and would prefer to receive their care in the comfort of their own home rather than the hospital or assisted living facility. The demographics of the target customer profile is as follows:
- 106,727 residents
- Average income of $65,000
- 63.4% married
- 43.2% retired and/or over the age of 55
- Median age: 42 years
You can download our Business Plan Template (including a full, customizable financial model) to your computer here.
[Company Name] is owned and operated by [Founder’s Name], a local nurse who has worked at local hospitals for over the past ten years. She has dealt with hundreds of elderly patients and their families finding adequate and affordable home health care upon being released from the hospital. [Founder’s Name] has realized there is a lack of quality and affordable home health care agencies in [company location]. She aims to provide the best in-home health care services while also being affordable for the patient and their families.
Aside from the nurses, therapists, aides, and social worker she will have on staff, [Founder’s Name] will also employ a receptionist and Office Manager to help with the administration and operation of the home health care agency.
[Company Name] has several advantages over its competition. Those advantages include:
- Compassionate Staff: Knowledgeable and friendly staff of nurses, therapists, aides, and social workers who are highly knowledgeable and experienced in their field.
- Location: [Company Name] will be able to service the entire metropolitan area of [company location] and its surrounding areas.
- Quality Care: [Company Name] will provide expert services so that the patients are at the highest comfort level.
- Pricing: [Company Name]’s pricing will be more affordable than its competition. They will also work on payment arrangements with the patient and their family so that the patient won’t have to sacrifice any type of care they might require because the cost is too high.
[Company Name] is seeking $150,000 in funding to launch its home health care business. The capital will be used for funding capital expenditures, staffing, marketing and advertising expenses, and working capital.
The breakout of the funding may be seen below:
- Capital expenditures (computers, equipment, etc.): $20,000
- Marketing and advertising: $10,000
- Staffing costs: $60,000
- Working capital: $10,000
II. Company Overview
Who is [company name].
[Company Name], is located at [insert location here] is a new home health care agency that provides skilled nursing services and occupational therapy to aging adults.
[Company Name] was founded by [Founder’s Name]. [Founder’s Name] is a nurse that has worked in the local hospital for over a decade. Her years of experience has taught her how to care for aging adults in a safe and supportive manner. [Founder’s Name] realizes the need for a quality and affordable home health care company as she has a difficult time placing her patients that are being discharged from the hospital with an agency that is reliable and within the patient’s budget. Many of her patients frequently use family members or friends that are inadequately trained or knowledgeable about what it takes to care for an elderly person. They have to rely on whomever is available because they can not afford a home health care agency. Most times, the caretaker’s schedule is inconsistent and the elderly person ends up back in the hospital because they are not receiving adequate nursing or therapy care.
A large segment of [Company Location]’s population is retired and/or elderly adults. There are not enough home health care agencies to support the aging population of this community.
[Company Name]’s History
[Founder’s Name] has been consulting with an attorney and CPA over the last few months to understand the business and financial obligations that go with owning their own business. Her lawyer has advised [Founder’s Name] that [Company Name] should be incorporated as an S-Corporation on [date of incorporation].
[Company Name] has identified the home health care office it will use as its headquarters. [Founder’s Name] has begun lease negotiations and began pricing out construction build-out for the facility.
Since incorporation, the company has achieved the following milestones:
- Found office location and signed Letter of Intent to lease it
- Decided on the company name, and developed the logo and website located at www…
- Finalized list of services the company will be able to provide
- Determined the office equipment and inventory requirements
- Began recruiting key employees for the home health care operation
[Company Name]’s Services
Below is [Company Name]’s list of services. All services will be provided by a trained and licensed staff.
- Skilled Nursing Services
- Therapy and Rehabilitation
- Alzheimer’s & Dementia Care
- Diabetes Care
- Arthritis Care
- Home Health Aide
- Medical Social Worker
[Company Name] will be able to provide daily services as well as accommodate on-call services and emergency response.
III. Industry Analysis
Strong and steady revenue growth is expected for the Home Care Providers industry over the five years to 2026 as a result of an aging population, increasing interest in home healthcare and expanded access to Medicare and Medicaid under the Patient Protection and Affordable Care Act (PPACA). The aging population will likely continue to foster revenue growth because this demographic not only requires more healthcare services compared with other age groups, but it also increasingly prefers home care. Payers will progressively shift to home care because it is more affordable than inpatient hospital and nursing home care.
Large companies will grow even larger through mergers and acquisitions. Moreover, home healthcare will evolve to include more chronic disease-management services, and consolidation will help the industry unite to influence policy change and benefit from larger-scale operations. Considering these projections, revenue is forecast to increase to $138 billion in the next five years.
IV. Customer Analysis
Demographic profile of target market.
[Company Name] will serve the community residents of [company location] and its surrounding areas.
The community of [company location] has thousands of retired, elderly adults who require a greater need of attention. Many of the aging community has diabetes, arthritis, Alzheimer’s, dementia, etc. and would prefer to receive their care in the comfort of their own home rather than the hospital or assisted living facility.
Below is a demographic breakdown of this area:
We will primarily target the following four customer segments:
- Elderly patients who are being released from the hospital and their doctors highly recommended daily nursing services and/or therapy.
- Elderly patients who had a recent fall and require physical and/or occupational therapy to heal from their injury.
- Elderly patients who are suffering from Alzheimers or dementia and would prefer to remain in their home rather than an assisted living facility.
- Elderly patients who are diabetic and/or suffer from severe arthritis and need daily assistance with medication, etc.
V. Competitive Analysis
Direct & indirect competitors.
Comanche County Home Health Comanche County Memorial Hospital’s Home Health & Hospice has provided home health services for over a decade. Their staff is comprised of dedicated professionals who are committed to providing quality care in the comfort and convenience of the patients’ home. Their home health aides can assist the patient with grooming and light chores around their home. Home health care will verify if home health aide services are covered by their insurance policy. They accept Medicare, Insurance/HMO/PPO, Medicaid, Private Pay. The home health care team works closely with the physician to plan the care and monitor the patients’ progress. The nurse will contact the physician with any laboratory results, medication changes, or alterations in their health status.
Registered nurses, licensed practical nurses, nutritionists, speech therapists, physical therapists, occupational therapists, home health aides, and medical social workers all work with the patient and their family to develop an individual plan of treatment.
Elara Caring Elara Caring is one of the nation’s largest providers of home-based care, with a footprint in the Northeast, Midwest, and South. Elara Caring brings together three award-winning organizations – Great Lakes Caring, National Home Health Care, and Jordan Health Services, into one transformational company. They provide the highest-quality comprehensive care continuum of personal care, skilled home health, hospice care, and behavioral health. Their intimate understanding of the patients’ needs allows them to apply proprietary platforms to deliver proactive, customized care that improves quality of life and keeps patients in their homes.
Elara Caring leads patients through the post-acute care journey by providing the appropriate level of care, delivered wherever our patients call home. The company’s intimate understanding of its patients’ needs allows it to apply proprietary platforms to deliver proactive, customized care that improves quality of life and keeps patients in their homes.
Encompass Health Serving the Lawton, Oklahoma area, they are one of the nation’s leading providers of home health services and continually set the standard of homecare through their people, their approach and their outcomes. The patient experience is at the core of everything they do. That’s why they work collaboratively with the patient’s team of experts to craft a plan of care that meets their specific needs. Their skilled nurses, physical therapists, occupational therapists, speech language pathologists, medical social workers and home health aides use a coordinated, interprofessional approach to deliver compassionate, specialized care in the comfort of home.
Whether recovering from a surgery, recent hospital stay, or managing a disease or injury, Encompass Health’s services are designed to meet patient’s where they are. They offer cutting-edge specialty programs that focus on patient education, self-management and reducing hospital readmission, resulting in better care and better outcomes for their patients.
- Compassionate Staff: Knowledgeable and friendly staff of nurses, therapists, aides, and social workers who are not only knowledgeable in their field, but place a special emphasis on compassion.
- Quality Care: [Company Name] will provide expert services and their patients will receive quality treatment and care so that the patient is as comfortable as they can be.
VI. Marketing Plan
The [company name] brand.
The [Company Name] brand will focus on the Company’s unique value proposition:
- Knowledgeable, friendly, expert staff of healthcare professionals.
- Quality level of service and care.
- Offering the best nursing, therapy, social worker, and aide services at competitive prices.
[Company Name] will target all residents of [company location] within a 20-30 mile radius. The Company’s promotions strategy to reach the most clientele include:
Local Hospitals [Company Name] already has great relationships with the local hospitals. She will work to make sure the hospitals send referrals and highly recommend [company name] to its patients and their families upon releasing them from the hospital.
Nursing Homes and Assisted Living Facilities Oftentimes, an elderly patient will be placed in a nursing home or assisted living facility right away. Sometimes they are not happy and would rather go back home. [Company Name] will work with these facilities so that they recommend their agency for when a patient highly desires to receive the care in the comfort of their own home.
Website [Company Name] will have an informative and attractive website that will feature all of its services and referrals from other satisfied patients. The website will be highly informative and be designed in a way that is friendly and eye-catching.
SEO [Company Name] will invest in a high SEO presence so that the agency is listed at the top of the Google or Bing search engine when a family member is researching home health care agencies in [company location].
Billboard [Company Name] will have a billboard in an area of town at a busy intersection where thousands of cars and pedestrians pass daily. The location of the billboard will be in an area of town where there are a lot of doctors offices, rehab facilities, and a hospital nearby.
Advertising [Company Name] will invest in advertisements in featured local publications, such as community newspapers and newsletters that focus on the retired and aging population.
[Company Name]’s pricing will be moderate so customers feel they receive great value when purchasing its services.
VII. Operations Plan
[Company Name] will need to fulfill the following functional roles in order to execute their business plan and ensure the company’s success:
- General & administrative functions including legal, marketing, bookkeeping, tax, etc.
- Staff management and scheduling
- Hiring and training staff
Health Care Functions
- Physical Therapist
- Occupational Therapist
- Home Health Aides
- Social Worker
[Company Name] will achieve the following milestones in the following  months:
- Secure 2,000 square foot office space
- Develop website, logo, and company website
- Secure small business loan bank financing
- Develop and finalize list of home health care services
- Hire and train staff
- Begin advertising campaign with hospitals, nursing homes, billboard, and print publications
- Grand Opening of [Company Name]
VIII. Management Team
Management team members.
[Company Name] is owned and operated by [Founder’s Name], a local nurse who has worked at local hospitals for over the past ten years. She has worked in the Occupational department where there are numerous elderly patients being treated daily. She has dealt with hundreds of elderly patients and their families finding adequate and affordable home health care upon being released from the hospital. [Founder’s Name] has realized there is a lack of quality and affordable home health care agencies in [company location]. She aims to provide the best in-home health care services while also being affordable for the patient and their families.
[Founder’s Name] graduated from the University of ABC with a Bachelor’s Degree in Nursing.
[Founder’s Name] will serve as the agency Founder and Chief Executive Officer. She will hire the following personnel in order to maintain an effective and profitable home health care business:
- Office Manager will assist [Founder’s Name] run the administrative tasks to operate the agency. This person will handle bookkeeping, tax payments, payroll, and office inventory.
- Receptionist will handle all phone calls and web inquiries. This person will also manage the scheduling of the home health care staff.
- Nurses – 2-3 nurses will be on staff to provide the nursing services.
- Occupational Therapist – 1 OT will be on staff to provide occupational therapy services.
- Physical Therapist – 1 PT will be on staff to provide physical therapy services.
- Home Health Aides – 3-4 aides will be on staff to provide basic care to the patients.
- Social Worker – 1 social worker will be on staff to oversee the welfare and care of each patient.
IX. Financial Plan
Revenue and cost drivers.
The revenues for [Company Name] will come from the fees it will charge the patients and their insurance for the health care services it provides.
The cost drivers for the company will be the payroll of the staff, lease on the office building, office supplies and equipment, and marketing and advertising costs.
Capital Requirements and Use of Funds
5 Year Annual Income Statement
Comments are closed.
- Tel: 0161 737 5290
Your Domiciliary Care Agency Business Plan: A Simple Guide
Backed by industry standards
If you’re considering setting up a care agency that supports people in their own homes, then the first task is to write a detailed business plan.
This step-by-step guide to creating a domiciliary care agency business plan will help you to design your dream business. It will include the following:
Step 1: Remind Yourself Why You’re Writing A Business Plan
Step 2: all about you, step 3: overview summary of your business, step 4: your services in more detail, step 5: deep dive on the market.
Step 6: Analyse Your Competition
Step 7: Your Plan for Marketing
Before you put pen to paper or open up your laptop to start typing, first remind yourself why a thorough, considered business plan is so important.
Starting a new business in any sector involves a lot of initial planning and consideration. Scrimp on this and your start-up could fail spectacularly. But put time, effort and attention into the early preparation and your business is more likely to succeed and grow exponentially.
A comprehensive business plan will not only help to ensure success in the long term, it will also aid you in securing funding, as it clearly demonstrates you have done your homework. It will direct your attention and assist you with organising your time. And, in the future, you can refer back to it to help you expand, or guide you back on track if you’ve lost focus.
With this in mind, make sure you put aside dedicated time to research, write and prepare your home care agency business plan . It will make all the difference in the long run.
Now that your mindset is in the right place, start writing your domiciliary care agency business plan . The first step is to introduce yourself.
A detailed section upfront about who you are and why you are qualified to run a business of this kind will reassure potential investors, as well as help you to sell yourself and your business to new clients.
This summary should include the following points:
1. Your career background and experience in the industry
If you, personally, don’t have extensive experience in the industry, then detail how you plan to expand your knowledge. Perhaps you have a mentor, or plan to employ someone who is an expert in the home healthcare field.
2. Your qualifications for adult care
There are many rules and industry regulations when it comes to providing care . And those providing support in people’s own homes must have the required qualifications.
England’s independent regulator of health and social care is called the Care Quality Commission (CQC) . All domiciliary care agencies must be registered, and it carries out regular inspections and enforces high standards. The details of the relevant qualifications required are noted on the website.
If you already have these qualifications, then ensure they’re listed in your business plan. And if you don’t, then include a plan for how you will train to acquire them. Or, if your strategy is to hire qualified staff, then ensure this is explained clearly.
You, and anyone you plan to employ, must have a Disclosure Barring Service (DBS) check to ensure you’re eligible to work in healthcare.
3. Any existing connections you can utilise
Detail here any relationships you have, for example with suppliers or potential clients, that you can leverage for your business.
This section needs to showcase the most important and relevant points about you and your career history. Don’t be tempted to simply copy and paste your three-page CV here. That can be attached to the end of the business plan as an appendix, or supplied if requested.
This executive summary should clearly state what your business is, who you intend to target and how you plan to operate. You can go into more detail in supporting sections later on in the document.
This succinct statement of intent should include the following:
- The name of your business
- What services you plan to offer
- Who you plan to offer those services to (your target market)
- How you plan to operate and staff the business
This section should also contain:
Your business vision
A business vision is future-based and states, at the highest level, what a company wants to achieve in the long term. Its purpose is to inspire the leadership and employees, rather than customers, and give a purpose and meaning to the organisation. It should encapsulate where your business is going and be aspirational.
Business vision statements can feel lofty, but they should be meaningful. A famous example is Disney’s vision ‘to make people happy’.
Your mission statement
This differs from the vision in that it’s all about what you’re doing right now. A mission statement is present-based and should demonstrate how you plan to fulfil your vision. It should be actionable.
For example, if your vision is to ‘make people happy in their old-age’ then your mission might be: ‘by providing around-the-clock high-quality and affordable care to the elderly in their own homes in the city of xxx’.
A SWOT analysis details your business’ strengths, weaknesses, opportunities and threats.
In the strengths section you can detail your unique selling points and what sets you apart from your competition.
Break down your business weaknesses, such as low public awareness, recruitment difficulties or client retention.
The opportunities can highlight the number of potential customers in your target location, or other areas that you can expand to. You can illustrate your plans for future growth by using SMART goals which are specific, measurable, attainable, relevant and timely.
And the threats could include competition, change in government policies meaning expensive re-training or economic downtown impacting the elderly’s spending habits.
How you plan to finance your business
Detail here how you will fund the start-up investment required to launch your new business. Create a detailed budget which includes all the expected expenditures to get up and running. This could include premises rent, utilities bills, website development, travel, insurance, printing business cards, training etc.
Note down if you have already secured funding, for example from personal savings or private loans from family and friends, and what investment you still require. Explain what additional investment or loans you might also require and where / how you plan to acquire these, such as loans from banks or specialist providers.
This section should also include sales forecasts for the first three years, as well as any time period breakdown you would like to include (e.g. monthly, quarterly etc.). You’ll need to project what sales you need to make to cover your regular outgoings (e.g. monthly expenses), and make a profit.
Following your overview summary, this section of your domiciliary care agency business plan should go into depth about your business’ services.
This can include:
The home care services you plan to offer
For example, nursing, companionship, domestic or housekeeping, personal care or emergency care. It might also include mental health counselling or assisting with home medication management.
How you’ll carry out the services
Such as 30-minute appointments, eight-hour shifts, 24-hour live-in care or emergency call outs.
How much the services will cost you to deliver
Detail here the equipment, training, travel, business software etc. that you require to operate effectively.
This strategy includes the rate card prices you plan to charge for all your services. Include whether you will offer payment plans, contracts or pay-as-you-go hourly billing. What the payment options will be (e.g. cash, Direct Debit, mobile card machine) and any discounts for repeat business or longer-term contracts.
The sales strategy determines how you’ll sell these services to customers. For example, customers can book a package of home care visits online through your website, in-person at a physical office, or over the phone etc.
Legal and insurance requirements
As noted above, the home care industry is strictly regulated. You can’t start operating until you’re registered with the CQC and staff have the appropriate qualifications.
Also detail the insurance your business will require to be able to care for clients in their own homes, administer medication and be responsible for their wellbeing.
Essential procedures and policies you’ll put in place
The CQC looks for specific procedures and policies to ensure a high standard of governance.
These could include a grievance policy, a confidentiality policy, a procedure on bullying or harassment, as well as specific policies on showering and bathing clients. You should also consider application forms for new customers, employment contracts and cancellation procedures.
Growth potential for your services
This can include your plans to expand into new locations, upsell or cross-sell different services to existing clients as well as signing up clients to annual contracts.
Following the top-line overview on your target market in your summary, this section takes a deep dive on your ideal customers.
This market evaluation can be pulled together from desk research including online searches and by consuming media such as newspapers. You can also undertake field research in the form of interviewing your potential customers, conducting questionnaires and gathering first-hand feedback on your proposed offering.
This section will help strengthen your home care agency business plan with quotes and soundbites, statistics from credible sources and industry forecasts.
Incorporate the following:
- General standing of the UK domiciliary care market, predictions for growth, industry forecasts
- Who your target customers are e.g. age, gender, location, needs and desires, lifestyle and hobbies etc.
- How many of these customers will your business potentially be able to reach
- Any existing relationships with these target customers that you can leverage
- Why will these customers buy your services over the competition
Step 6: Analyse Your Competition
You might have touched upon your competition in the ‘threats’ part of your SWOT analysis, however this part of your home care agency business plan will further explore your competitors.
As with your market research, scrutinising your competitors will involve desk and field research. By getting out and about in the community you plan to target, you’ll be able to identify other similar companies that operate in the same location. They might advertise in local media or on prominent billboards, or they could have signage outside their offices or branded vehicles.
Evaluate your competition by:
- identifying direct competition to your business and map out their strengths, weakness and differences (e.g. operating in the same target geography, offering the same services, offering similar prices etc.)
- identifying indirect competition (e.g. residential care homes or nursing homes) and identify their strengths and weaknesses
- mapping out how you plan to differentiate from this competition
Having a thorough understanding of your competition will enable you to see clearly any ‘gaps’ e.g. how your business can stand out from the crowd; what services aren’t currently being offered; what price points aren’t available; and what target customers’ needs aren’t being met.
A marketing strategy is an important part of your domiciliary care agency business plan . Effective marketing will target the right audience at the appropriate time and via the most relevant channels. This will ensure that you have customers flocking to your new business.
Your strategy should detail:
- any tasks that need to be completed before marketing begins e.g. creating a logo, setting up a website and business phone number etc.
- when you plan to promote your business, for example during the launch period, and then ongoing activity
- what tactics you plan to use, e.g. advertising, leaflet drops, website, branded vehicles etc.
- proposed budget for marketing activity
You can also detail incentive schemes for clients to prompt word of mouth, and any other ways you plan to promote your business, such as networking.
Write Your Home Care Agency Business Plan Today
Launching a new business takes careful consideration. Dedicating time and focus to creating a comprehensive business plan will ensure your domiciliary care agency booms rather than goes bust.
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