How to Start a Virtual Counseling Business

Counselors can work remotely via phone, instant messaging, or video conferencing. These methods provide greater flexibility for both the client and therapist. They also allow people to seek help discreetly. 

Among other things, virtual counselors specialize in assisting clients with grief, relationship struggles, addictions, or depression. Online physical therapy is possible as well. Some of the people who most need these services don't feel comfortable visiting a traditional office. By becoming a virtual counselor, you can ensure that individuals with severe anxiety or limited mobility can access beneficial therapy.

Learn how to start your own Virtual Counseling Business and whether it is the right fit for you.

Ready to form your LLC? Check out the Top LLC Formation Services .

Virtual Counseling Business Image

Start a Virtual Counseling Business by following these 10 steps:

  • Plan your Virtual Counseling Business
  • Form your Virtual Counseling Business into a Legal Entity
  • Register your Virtual Counseling Business for Taxes
  • Open a Business Bank Account & Credit Card
  • Set up Accounting for your Virtual Counseling Business
  • Get the Necessary Permits & Licenses for your Virtual Counseling Business
  • Get Virtual Counseling Business Insurance
  • Define your Virtual Counseling Business Brand
  • Create your Virtual Counseling Business Website
  • Set up your Business Phone System

We have put together this simple guide to starting your Virtual Counseling Business. These steps will ensure that your new business is well planned out, registered properly and legally compliant.

Exploring your options? Check out other small business ideas .

STEP 1: Plan your business

A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:

What will you name your business?

  • What are the startup and ongoing costs?
  • Who is your target market?

How much can you charge customers?

Luckily we have done a lot of this research for you.

Choosing the right name is very important. Read our detailed guide on how to name your business . We recommend checking if the business name you choose is available as a web domain and securing it early so no one else can take it.

Want some help naming your Virtual Counseling Business?

Business name generator, what are the costs involved in opening a virtual counseling business.

You may need to upgrade equipment or make other changes to your home office. Privacy is crucial; you ought to have a keyed door lock and locking file cabinet. Suitable two-drawer cabinets start at under $80. New office equipment can cost hundreds or thousands of dollars depending on the features, capacity, quality, and materials. If you subscribe to an office supply store's email list, you'll probably receive valuable coupon codes. These retailers also have free reward programs, but they're really only worthwhile when you plan to spend at least $250 in one store.

Ensure that no one can easily hear through your room's windows or walls. You might have to replace a drafty single-pane window. Soundproofing or insulation could also prove necessary. Fortunately, some of these enhancements reduce heating and cooling costs. You may need financing to afford a major project. Home improvement loans have interest rates ranging from 4.5% to 36%, according to NerdWallet . You'll pay a lower rate if you have a high credit score.

What are the ongoing expenses for a Virtual Counseling Business?

You will need to pay for malpractice insurance, marketing, and internet access. Anti-virus software helps maintain confidentiality; it only costs small businesses around $35 to $85 per year. Services like Hushmail provide encrypted email and online forms at an annual cost of about $70. If you don't have a suitable office, you'll need to rent commercial space or a larger home.

Who is the target market?

Virtual counseling has become popular among military personnel, young people, and disabled individuals. Women undergo therapy more frequently than men, according to the American Psychological Association. While many men suffer from serious problems like addiction, anxiety, and depression, they find it harder to discuss emotions or reveal a need for help.

How does a Virtual Counseling Business make money?

Some clients directly pay for each session. Others purchase weekly or monthly memberships. Insurance companies and employee assistance programs frequently cover online counseling; you'll need to submit claims to them. Demand for this service may rise when inclement weather discourages outdoor activities and makes travel more difficult.

Some well-known services charge around $150 to $450 per month. People pay the highest rates for live interactions. A single session costs $75 to $180 for therapy and closer to $300 for psychiatry.

How much profit can a Virtual Counseling Business make?

This occupation has the potential to achieve a rather high profit margin. Unlike most businesses, it won't require you to travel, rent a building, or purchase many supplies. You can live in a rural or small-town location with low housing costs. Profits will differ depending on your specialty. Estimates vary widely; some sources indicate that you could earn a net income as high as $100,000 per year. This becomes easier to accomplish when you have mental health expertise.

How can you make your business more profitable?

Additional education could give you the credentials needed to serve higher-paying clients. However, this takes time and would probably result in substantial student loans. An alternative is to find ways to minimize expenses. For example, you can shop around for better deals on internet access. Customers who use the same company for a long period of time tend to pay higher rates. Your current provider might offer a discount if you inform them of a lower price you found elsewhere. The same strategy can help you save money on insurance, billing services, and advertising.

Want a more guided approach? Access TRUiC's free Small Business Startup Guide - a step-by-step course for turning your business idea into reality. Get started today!

STEP 2: Form a legal entity

The most common business structure types are the sole proprietorship , partnership , limited liability company (LLC) , and corporation .

Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your Virtual Counseling Business is sued.

Form Your LLC

Read our Guide to Form Your Own LLC

Have a Professional Service Form your LLC for You

Two such reliable services:

You can form an LLC yourself and pay only the minimal state LLC costs or hire one of the Best LLC Services for a small, additional fee.

Recommended: You will need to elect a registered agent for your LLC. LLC formation packages usually include a free year of registered agent services . You can choose to hire a registered agent or act as your own.

STEP 3: Register for taxes

You will need to register for a variety of state and federal taxes before you can open for business.

In order to register for taxes you will need to apply for an EIN. It's really easy and free!

You can acquire your EIN through the IRS website . If you would like to learn more about EINs, read our article, What is an EIN?

There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.

STEP 4: Open a business bank account & credit card

Using dedicated business banking and credit accounts is essential for personal asset protection.

When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil .

Open a business bank account

Besides being a requirement when applying for business loans, opening a business bank account:

  • Separates your personal assets from your company's assets, which is necessary for personal asset protection.
  • Makes accounting and tax filing easier.

Recommended: Read our Best Banks for Small Business review to find the best national bank or credit union.

Get a business credit card

Getting a business credit card helps you:

  • Separate personal and business expenses by putting your business' expenses all in one place.
  • Build your company's credit history , which can be useful to raise money later on.

Recommended: Apply for an easy approval business credit card from BILL and build your business credit quickly.

STEP 5: Set up business accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.

Make LLC accounting easy with our LLC Expenses Cheat Sheet.

STEP 6: Obtain necessary permits and licenses

Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.

STEP 7: Get business insurance

Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.

There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance . This is the most common coverage that small businesses need, so it’s a great place to start for your business.

Another notable insurance policy that many businesses need is Workers’ Compensation Insurance . If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.

STEP 8: Define your brand

Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.

If you aren't feeling confident about designing your small business logo, then check out our Design Guides for Beginners , we'll give you helpful tips and advice for creating the best unique logo for your business.

Recommended : Get a logo using Truic's free logo Generator no email or sign up required, or use a Premium Logo Maker .

If you already have a logo, you can also add it to a QR code with our Free QR Code Generator . Choose from 13 QR code types to create a code for your business cards and publications, or to help spread awareness for your new website.

How to promote & market a Virtual Counseling Business

Despite the obstacles mentioned above, you can successfully advertise your service to clients of both genders. Some men have a greater openness to counseling if it's completely private. Your service may appeal to them when you use different promotional language that emphasizes confidentiality and leaves out the word "therapy."

Consider paying for a listing in a respected database of online counselors, such as GoodTherapy.org . Try to exchange referrals with fellow professionals who have related but different specialties. For instance, some people with addictions might benefit from marriage counseling (and vice versa). You can also attract customers by writing a newspaper column about your topic of expertise.

How to keep customers coming back

To gain new clients, emphasize your credentials as well as approachability. You should appear qualified but not intimidating. Think about offering a discounted or complimentary first session . This will give the customer a risk-free opportunity to evaluate your service.

You can retain clients by maintaining a high level of quality. Don't overwork yourself; people will notice the difference if you're exhausted, sick, or distracted. It's better to put off working until you have enough energy to concentrate and provide helpful responses. If customers stop scheduling appointments, give them some time before asking why. Try using a different contact method.

Privacy holds great importance for many clients; always treat it as a high priority. Send mail in security envelopes with a return address that doesn't reveal the nature of your business. Ask to speak with the client when you initiate a phone call and use a corded telephone. Don't rely on standard unencrypted email or insecure public WiFi connections.

STEP 9: Create your business website

After defining your brand and creating your logo the next step is to create a website for your business .

While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.

Here are the main reasons why you shouldn’t delay building your website:

  • All legitimate businesses have websites - full stop. The size or industry of your business does not matter when it comes to getting your business online.
  • Social media accounts like Facebook pages or LinkedIn business profiles are not a replacement for a business website that you own.
  • Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.

Recommended : Get started today using our recommended website builder or check out our review of the Best Website Builders .

Other popular website builders are: WordPress , WIX , Weebly , Squarespace , and Shopify .

STEP 10: Set up your business phone system

Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.

There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use. Check out our review of the Best Business Phone Systems 2023 to find the best phone service for your small business.

Recommended Business Phone Service: Phone.com

Phone.com is our top choice for small business phone numbers because of all the features it offers for small businesses and it's fair pricing.

Is this Business Right For You?

If you'd like to help other people improve their lives, this line of work may appeal to you. Virtual counseling proves desirable for busy parents and therapists who prefer living in rural areas. You need to communicate well, listen patiently, and have a willingness to discuss personal matters.

Want to know if you are cut out to be an entrepreneur?

Take our Entrepreneurship Quiz to find out!

Entrepreneurship Quiz

What happens during a typical day at a Virtual Counseling Business?

Counselors either participate in live discussions or respond to messages left by clients. They primarily have one-on-one meetings, but certain specialties like marital counseling involve multiple people. This profession also necessitates extensive paperwork. Billing tasks can become time-consuming and complicated.

What are some skills and experiences that will help you build a successful Virtual Counseling Business?

The necessary qualifications differ depending on your area of expertise. You'll probably need a bachelor's or master's degree. The Distance Credentialed Counselor certification isn't required but may prove beneficial. One way to get started is to read a book that introduces readers to this field, such as "Online Therapy: A Therapist's Guide to Expanding Your Practice."

What is the growth potential for a Virtual Counseling Business?

Online counseling had already begun to experience moderate growth when the COVID-19 pandemic triggered rapid expansion. Certain virtual therapy companies saw 30% to 80% growth in recent times. If you want to go beyond serving clients on your own, you could start a group practice or agency. California-based BetterHelp provides an example of large-scale expansion. It has more than 3,000 counselors who have assisted over 600,000 clients.

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For fun informative videos about starting a business visit the TRUiC YouTube Channel or subscribe to view later.

Take the Next Step

Find a business mentor.

One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.

Having a support network in place to turn to during tough times is a major factor of success for new business owners.

Learn from other business owners

Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.

Resources to Help Women in Business

There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:

If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.

What are some insider tips for jump starting a Virtual Counseling Business?

Thoroughly screen new clients before sending any bills or arranging long sessions. Make sure you truly have the ability to help them and meet their specific needs. If you don't, refer the customer to a better-qualified specialist.

Carefully review each insurance company's rules prior to submitting a claim. Do this as soon as possible; it can take time to get paid, and the insurer may request further details. Try to verify that you'll receive payment before completing multiple sessions.

It often becomes harder to follow laws and insurance rules when serving out-of-state clients. Focus on attracting customers who live in your region. If a nearby state has a much larger population, consider moving there before starting a practice.

How and when to build a team

It's not essential to hire employees. You'll probably find it easier to maintain confidentiality without a staff. Nevertheless, a billing specialist could prevent payment delays and help you focus on the things you do best. These advantages become especially significant when you need to collect money from multiple insurers. Billing experts often request a fraction of your income rather than a wage or salary. If you attract more customers than you can serve, you could also hire counselors as contractors. These professionals receive around 60% to 70% of the fees paid by clients.

Have a Question? Leave a Comment!

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How To Create an Online Mental Health Counseling Business Plan

By alex ryzhkov, resources on online mental health counseling.

  • Financial Model
  • Business Plan
  • Value Proposition
  • One-Page Business Plan
  • SWOT Analysis
  • Business Model
  • Marketing Plan

Welcome to our blog post on how to write a business plan for online mental health counseling! In today's fast-paced and digital world, the demand for accessible and convenient mental health support is growing rapidly. According to the latest statistics , the online counseling industry is projected to reach a market value of $1.9 billion by 2026, with a compound annual growth rate of 24.6%. This demonstrates the immense potential and untapped opportunities within this sector.

Now, let's dive into the 9 essential steps to create a comprehensive business plan for your online mental health counseling venture!

  • Research the market and identify the target audience: Gain insights into the current demand for online counseling services and identify your ideal client base.
  • Determine the legal and regulatory requirements: Understand the licensing, privacy, and compliance obligations associated with operating an online counseling business.
  • Analyze the competitive landscape: Identify the key players in the market and assess their strengths, weaknesses, and strategies.
  • Conduct a SWOT analysis: Understand your business's internal strengths and weaknesses, as well as external opportunities and threats.
  • Define the unique value proposition: Clearly articulate what sets your online counseling services apart from others and how it addresses the needs of your target audience.
  • Determine the pricing strategy: Set competitive and sustainable pricing for your services, taking into account factors such as market demand and operational costs.
  • Identify the necessary technology infrastructure: Explore the platforms, software, and security measures required to deliver reliable and confidential counseling sessions online.
  • Develop a marketing and branding strategy: Create a comprehensive plan to attract and retain clients, utilizing various channels such as social media, search engine optimization, and content marketing.
  • Assess the operational requirements: Determine the staffing needs, security measures, and data protection protocols necessary to ensure smooth operations and client confidentiality.

By following these steps, you'll be well on your way to creating a solid business plan for your online mental health counseling service. Stay tuned for our upcoming blog posts where we'll delve into each step in more detail.

Research The Market And Identify The Target Audience

Before launching an online mental health counseling business, it is crucial to thoroughly research the market and identify the target audience. This step will help you understand the demand for your services, identify any gaps in the market, and tailor your offerings to meet the specific needs of your target audience.

Here are some key steps to consider when conducting market research and identifying your target audience:

  • Define your niche: Determine the specific area within mental health counseling that your business will focus on. For example, you may specialize in counseling for adolescents, couples, or individuals with specific mental health conditions.
  • Identify the target market: Research and gather data on the demographics, psychographics, and behavior patterns of your potential clients. This information will help you tailor your services and marketing efforts to effectively reach and engage your target audience.
  • Conduct competitor analysis: Analyze the existing online mental health counseling providers in the market. Understand their strengths, weaknesses, pricing strategies, and unique value propositions. This will help you position your business in a way that stands out and offers something different.

Tips for identifying your target audience:

  • Utilize market research tools and resources to gather data on consumer preferences, trends, and demand for mental health counseling services.
  • Engage in surveys, interviews, and focus groups to gain insights directly from your potential clients.
  • Consider collaborating with mental health professionals or organizations to gain access to their networks and potential client base.

By conducting thorough market research and identifying your target audience, you will be able to develop a business strategy that effectively caters to the needs of your clients, positioning your online mental health counseling business for success.

Determine The Legal And Regulatory Requirements For Operating An Online Counseling Business

Operating an online counseling business requires adherence to various legal and regulatory requirements to ensure the safety and well-being of both clients and counselors. It is crucial to familiarize yourself with these requirements and take the necessary steps to comply with them.

  • Licensing and Certification: Research the licensing and certification requirements for mental health professionals in your jurisdiction. Determine if there are any specific qualifications or credentials needed to provide online counseling services.
  • Privacy and Confidentiality: Protecting client privacy and confidentiality is of utmost importance. Familiarize yourself with data protection laws, such as the Health Insurance Portability and Accountability Act (HIPAA) in the United States, and ensure that your platform and counseling practices meet the required standards.
  • Informed Consent: Obtain proper informed consent from clients before providing counseling services. This includes explaining the nature of the counseling relationship, the limitations of online counseling, and ensuring that clients have a clear understanding of the potential risks and benefits.
  • Professional Liability Insurance: Consider obtaining professional liability insurance to protect yourself and your business from potential legal claims or allegations of malpractice.
  • Consult with a legal professional specializing in healthcare or online counseling to ensure compliance with all applicable laws and regulations.
  • Stay informed about any changes or updates to relevant laws and regulations to ensure ongoing compliance.
  • Consider joining professional organizations or associations that provide guidance and resources specific to online counseling.

Analyze The Competitive Landscape And Identify Key Competitors

When starting an online mental health counseling business, it is crucial to analyze the competitive landscape and identify key competitors in the market. This step allows you to gain insights into what other businesses are offering and how you can differentiate your services to stand out.

Begin by researching existing online counseling platforms and providers. Look for businesses that offer similar services and target the same audience as your business idea. Take note of their unique selling points, the range of mental health concerns they address, and the therapeutic approaches they use.

  • Identify their strengths and what makes them successful in the market.
  • Analyze their weaknesses to understand potential areas for improvement and differentiation.
  • Look for opportunities that might be untapped or underserved in the market.
  • Assess the threats they pose to your business, such as their market share or established client base.

By conducting a comprehensive analysis, you can refine your business strategy and find unique ways to position your online counseling services. Differentiation could involve offering specialized services for specific demographics, focusing on a niche mental health concern, or leveraging innovative technology to enhance user experience.

  • Consider conducting a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis for each key competitor.
  • Explore online forums, social media platforms, and review websites to gather customer feedback about these competitors.
  • Look for gaps or limitations in their services that you could address in your own business.
  • Keep an eye on emerging trends and new entrants in the market to stay ahead of the competition.

Identifying key competitors and understanding the competitive landscape is crucial for building a successful online mental health counseling business. It allows you to find your unique position in the market and develop strategies that will attract and retain clients.

Conduct A SWOT Analysis To Understand The Business's Strengths, Weaknesses, Opportunities, And Threats

A SWOT analysis is a valuable tool for understanding a business's internal strengths and weaknesses, as well as external opportunities and threats. By conducting a SWOT analysis, we can gain crucial insights into our online mental health counseling business and make informed decisions to maximize our chances of success.

  • Be honest and objective while assessing your business's strengths and weaknesses.
  • Consider both current and potential future opportunities in the market.
  • Identify potential threats that may challenge your business's growth and sustainability.
  • Collaborate with key members of your team to gather diverse perspectives and insights.

Strengths: To effectively assess our business's strengths, we need to identify the unique qualities and capabilities that set us apart from our competitors. It could include factors such as our highly trained and empathetic counselors who deliver evidence-based interventions, our user-friendly and secure digital platform, and our emphasis on accessibility and confidentiality for clients seeking mental health support.

Weaknesses: Identifying weaknesses helps us understand areas where we can improve and take measures to mitigate potential risks. For instance, we may need to address challenges such as the need for significant initial investments in technology infrastructure, potential limitations in counselor availability during peak times, or addressing any initial skepticism from potential clients regarding online counseling as an effective alternative to traditional in-person therapy.

Opportunities: Opportunities are external factors that can benefit our business and contribute to its growth. These could include the increasing demand for online mental health counseling services, the potential to reach a wider geographical and demographic audience, and the ability to partner with other healthcare providers or employee assistance programs to expand our client base.

Threats: Threats are external factors that may pose challenges or risks to our business. Examples could include intense competition from existing online counseling platforms, potential regulatory changes or legal implications, and the potential for negative online reviews or customer satisfaction issues that could harm our reputation and credibility.

By conducting a thorough SWOT analysis, we can gain a deeper understanding of our business's internal and external factors. This analysis will guide us in making strategic decisions that leverage our strengths, address our weaknesses, capitalize on opportunities, and mitigate potential threats to ensure the long-term success of our online mental health counseling business.

Define The Unique Value Proposition And Differentiate The Online Counseling Services

Defining a unique value proposition is crucial for any business, and online mental health counseling is no exception. In an increasingly crowded marketplace, it is essential to identify what sets your services apart from the competition and how you provide value to your clients.

One way to differentiate your online counseling services is by highlighting your team of highly trained and empathetic counselors. Emphasize their expertise and experience in evidence-based interventions, such as cognitive-behavioral therapy and mindfulness techniques. This demonstrates that your counselors have the knowledge and skills to address a wide range of mental health concerns effectively.

Additionally, consider offering specialized counseling services targeted at specific populations or unique mental health concerns. This can help you cater to specific needs that may not be adequately addressed by general counseling services. For example, you could offer counseling services specifically designed for LGBTQ+ individuals, veterans, or individuals struggling with eating disorders.

  • Clearly communicate your unique value proposition on your website and marketing materials. Highlighting what makes your online counseling services different from others can attract potential clients who are looking for specialized or evidence-based interventions.
  • Collect client testimonials. Positive feedback from satisfied clients can serve as social proof and reinforce your unique value proposition.
  • Stay up to date with the latest research and evidence-based practices in mental health counseling. This allows you to continuously enhance and differentiate your services based on the most effective and cutting-edge approaches.

To further differentiate your online counseling services, focus on providing a secure and user-friendly digital environment for your clients. This can include implementing robust data protection measures, offering encrypted communication channels, and ensuring compliance with healthcare regulations regarding privacy and confidentiality. By prioritizing the security and ease of use of your online platform, you can instill trust and confidence in your clients.

Ultimately, your unique value proposition should demonstrate how your online counseling services offer convenience, accessibility, expertise, and a personalized approach. Clients should feel confident that they are receiving high-quality care from licensed professionals in a secure and user-friendly environment.

By defining a compelling unique value proposition and effectively differentiating your online counseling services, you can attract and retain clients who are seeking reliable and personalized mental health assistance in the digital age.

Determine The Pricing Strategy And Develop A Financial Model

One of the crucial aspects of starting an online mental health counseling business is determining the pricing strategy and developing a financial model that ensures sustainability and profitability. Here are some important steps to consider:

Conduct thorough market research: Research the pricing benchmarks within the industry and analyze the pricing models of your competitors. This will help you determine a competitive yet sustainable pricing structure for your services. Consider the value and expertise: Assess the unique value proposition of your online counseling services and determine the appropriate pricing based on the expertise and qualifications of your licensed professionals. Consider the value and impact of the services provided to clients. Offer different pricing plans: Develop different pricing plans or tiers that cater to the diverse needs and budgets of potential clients. This may include options for individual sessions, package deals, or monthly subscriptions. Factor in operation costs: Estimate the operational costs involved in running the online counseling platform, such as technology expenses, marketing efforts, and staff salaries. These costs should be taken into account when setting the pricing for your services. Create a financial model: Develop a comprehensive financial model that projects the revenue and expenses of your online counseling business over a specific period. This model should consider the pricing strategy, anticipated client base, and operational costs to give you a clear picture of your financial goals and sustainability.

By carefully determining the pricing strategy and developing a financial model, you can ensure that your online mental health counseling business not only meets the needs of your target audience but also remains profitable in the long run.

Identify The Necessary Technology Infrastructure And Platforms Required For Online Counseling Services

When establishing an online counseling business, it is crucial to identify the necessary technology infrastructure and platforms to ensure seamless and secure service delivery to clients. Here are the key considerations:

  • Video Conferencing Platforms: Select a reliable video conferencing platform that supports high-quality and encrypted video calls. Look for features such as screen sharing, virtual whiteboards, and recording options for effective therapy sessions.
  • Instant Messaging and Chat Tools: Choose a secure instant messaging platform that allows clients and therapists to communicate in real-time while maintaining confidentiality. Ensure that the platform encrypts messages and provides adequate measures for data protection and privacy.
  • Virtual Waiting Rooms and Client Management Systems: Consider implementing a virtual waiting room system that enables therapists to manage client appointments efficiently. Look for client management systems that facilitate scheduling, billing, and record-keeping to streamline administrative tasks.
  • Secure Document Sharing: Utilize a secure file-sharing platform that allows therapists and clients to exchange documents securely. Ensure that the platform adheres to privacy regulations and offers encryption for confidential files.
  • Electronic Health Records Systems: Implement an electronic health records (EHR) system to securely store and manage client information. Choose an EHR platform that meets industry standards for data security and privacy.
  • Choose technology platforms that align with HIPAA (Health Insurance Portability and Accountability Act) compliance standards to ensure the protection of client data.
  • Test the technology infrastructure thoroughly before launching the online counseling services to identify any potential technical issues and ensure smooth service delivery.
  • Provide clear instructions to clients on how to access and use the technology platforms to minimize any confusion or technical difficulties they may encounter.
  • Regularly update and maintain the technology infrastructure to stay updated with the latest security patches and upgrades.

By carefully selecting the appropriate technology infrastructure and platforms, online counseling businesses can create a secure and user-friendly environment for clients to receive the mental health support they need. These tools and systems play a crucial role in ensuring effective communication, confidentiality, and efficient management of therapy sessions and client information.

Develop A Marketing And Branding Strategy To Attract And Retain Clients

Once you have established your online mental health counseling business, it's crucial to develop a robust marketing and branding strategy to attract and retain clients. The following steps will guide you in creating an effective plan:

  • Identify your target audience: Conduct market research to understand the demographics, preferences, and needs of your potential clients. This will help you tailor your marketing efforts and messaging accordingly.
  • Create a strong online presence: Invest in a well-designed and user-friendly website that showcases your services, counselors' credentials, and a secure platform for therapy sessions. Use search engine optimization (SEO) techniques to improve your website's visibility on search engines.
  • Utilize social media: Leverage popular social media platforms to engage with your target audience and raise awareness about your services. Share valuable content, success stories, and mental health tips related to the issues your business addresses.
  • Build relationships with referring professionals: Collaborate with physicians, psychiatrists, and community organizations to establish referral networks. Offer informational sessions or presentations to educate them about the benefits of online mental health counseling.
  • Offer incentives for referrals: Implement a referral program that rewards current clients for referring others to your services. This can include discounts on sessions or additional services.
  • Engage in online advertising: Use pay-per-click (PPC) advertising on search engines and social media platforms to target specific keywords and audiences. This can help drive traffic to your website and generate leads.
  • Provide educational resources: Develop informative blog posts, e-books, or videos that address common mental health concerns. Share these resources through your website and social media platforms to establish yourself as a trusted source of information.
  • Consider partnering with influencers or bloggers in the mental health field to reach a wider audience.
  • Offer a free initial consultation or session to entice potential clients to try your services.
  • Collect and use client testimonials to build trust and credibility.
  • Regularly monitor and analyze your marketing efforts to identify areas for improvement.
  • Establish a strong brand: Develop a unique brand identity that reflects your values, mission, and the benefits clients can expect from your services. Use consistent branding elements across all your marketing materials and channels.
  • Focus on customer experience: Provide exceptional customer service and prioritize client satisfaction. Implement feedback mechanisms to gather insights and continuously improve your services.
  • Retain clients through ongoing support: Offer follow-up sessions, workshops, or group therapy options to keep clients engaged and supported throughout their mental health journey.

By implementing a comprehensive marketing and branding strategy, you can effectively reach your target audience, establish your online mental health counseling business as a trusted resource, and retain clients for long-term success.

Assess The Operational Requirements, Including Staffing, Security, And Data Protection Measures.

When establishing an online mental health counseling business, it is crucial to assess the operational requirements to ensure a safe and secure environment for both clients and counselors. Staffing, security, and data protection measures play a pivotal role in maintaining confidentiality and trust. Here are some essential considerations to address in this step:

  • Staffing: Determine the number of counselors needed based on the projected demand and develop a comprehensive recruitment process. Look for licensed professionals with expertise in various mental health concerns to provide personalized and evidence-based interventions. It may also be beneficial to consider the availability of counselors in different time zones to accommodate a diverse client base.
  • Security: Implement robust security measures to safeguard client information and maintain confidentiality. This can include utilizing secure video conferencing platforms, encrypting communication channels, and regularly updating software to protect against potential cyber threats. Performing regular security audits and educating staff about best practices can further enhance the overall security posture.
  • Data Protection Measures: Ensure compliance with relevant data protection regulations, such as the Health Insurance Portability and Accountability Act (HIPAA) in the United States. Establish policies and procedures for collecting, storing, and handling client data securely. Regularly train staff on data protection protocols to prevent accidental breaches or unauthorized access.

Tips for Assessing Operational Requirements:

  • Conduct thorough background checks and verification of credentials for potential counselors to ensure their qualifications and expertise.
  • Establish a clear code of conduct and ethical guidelines for counselors to follow, promoting professionalism and adherence to industry standards.
  • Consider implementing a two-factor authentication process for both counselors and clients to enhance security measures.
  • Maintain regular communication and collaboration with IT professionals to stay updated on the latest security practices and address any vulnerabilities promptly.
  • Encourage open dialogue with clients regarding their privacy concerns and ensure transparency about how their data is handled and protected.

By carefully assessing the operational requirements, including staffing, security, and data protection measures, you can establish a reliable and trustworthy online mental health counseling platform that prioritizes the well-being and confidentiality of clients. Continuously monitor and update these requirements to adapt to evolving technological advancements and industry standards.

In conclusion, writing a business plan for online mental health counseling requires thorough research and careful consideration of various factors. By following the nine steps outlined in this checklist, aspiring entrepreneurs can establish a solid foundation for their online counseling business. By understanding the market, competition, and legal requirements, defining a unique value proposition, developing a pricing strategy, and implementing the necessary technology and operational measures, businesses can effectively attract and retain clients in this growing field of online mental health counseling. Additionally, a well-crafted marketing and branding strategy will help create awareness and credibility, leading to a successful and impactful online counseling business.

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Home > Blog > Setting up a Counseling Business From Home

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Setting up a Counseling Business From Home

Angela Doel

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Starting a counseling business from home allows you to provide virtual or in-person therapy to clients while maintaining a flexible work-life balance. In recent years, telehealth has gained popularity, enabling psychotherapists to provide remote counseling services. You may choose to offer in-person appointments as well, depending on your preferences and the needs of your clients.

There are many advantages to running a counseling practice from home, including:

  • eliminating the need for a separate office space.
  • reduced overhead costs.
  • flexibility to set your own schedule.
  • reduced expenses related to commuting, parking fees, and so on.

Whether you are a seasoned therapist or just starting your career, establishing a successful counseling business from home requires careful planning and preparation. This article outlines some essential steps to help you set up a thriving home-based counseling business.

Define Your Counseling Niche

Defining the population you wish to serve allows you to focus your efforts, tailor your services, attract the right clients, and effectively market your practice. Consider the following:

Personal Interests and Expertise

Reflect on your personal interests and the areas of counseling you are passionate about. Assess your experiences, training, expertise, strengths, and skills. By leveraging your existing knowledge and experience, you can establish yourself as an expert in your chosen niche.

Research the Market

Understand the demand and competition in different counseling niches, while exploring gaps in services, underserved populations, emerging trends, and specific needs.

Target Clients

Determine the specific population or demographic you want to serve and their unique challenges, issues, and preferences. Tailoring your services to meet your targets’ needs will help you attract and retain clients.

Specialized Training and Certifications

Evaluate the qualifications, training, or certifications required to specialize in your chosen niche. Explore opportunities for continuing education and workshops to enhance your knowledge and skills. Specialized training not only boosts your credibility but also equips you with the tools necessary to address the unique needs of your clients.

Flexibility and Adaptability

Remain flexible and open to adjusting your niche as your home-based practice evolves. As you gain experience and receive client feedback, you may discover new interests or areas of expertise.

Since you will be working from home, it’s natural to experience a sense of isolation and even loneliness. When you prioritize networking efforts, you may experience professional growth and reduced isolation.

Here are some key reasons why networking is important:

Peer Support and Collaboration

Networking allows you to connect with colleagues who understand the challenges and joys of the profession. Sharing experiences, sorting out professional dilemmas, discussing best practices, and seeking advice from like-minded professionals provides valuable insights and support.

Referral Partnerships and Collaborative Opportunities

You’ll receive referrals from your network, and you can refer clients to trusted colleagues whose specialties align with their needs. Collaborating on joint projects or research endeavors can expand your professional reach and enhance the quality of your services.

Mentorship and Guidance

Establishing mentorship relationships can provide professional guidance, support, and career advice.

Professional Visibility and Reputation

Active participation in networking events, online forums, and professional associations establishes you as a knowledgeable and engaged professional. Sharing your expertise, insights, and research findings enhances your credibility and attracts potential clients or professional opportunities.

Emotional Well-Being

Having a strong network of colleagues alleviates isolation. Engaging in professional discussions can provide a sense of camaraderie and connection. Sharing challenges, successes, and self-care strategies can help you maintain a healthy work-life balance.

Remember, networking is a two-way street, so be willing to offer support and guidance to others as well. By fostering genuine relationships and a spirit of collaboration, you can create a robust professional network that ultimately benefits your home-based practice.

Create a Business Plan

Your business plan is essentially an outline for your counseling practice. It should include all the details of your business, such as:

  • your mission statement.
  • your ideal client.
  • a summary of the services you offer.
  • your marketing plan.
  • financial, legal, and other logistical practice concerns.

To understand the regulations within your state, meet with an attorney to discuss the regulatory requirements that may affect your home-based counseling practice.

Legally Set Up Your Business

Registering your business is an important step in establishing your practice and ensuring its legal and professional status. Consult with an attorney or seek guidance from professional counseling associations or regulatory bodies to ensure you fulfill all the necessary legal obligations specific to your business.

Consider the following:

Business Structure and Registration

Determine the appropriate legal structure for your counseling business, such as a sole proprietorship, partnership, limited liability company (LLC) , or corporation. Each structure has its own legal and tax implications, so consult with an attorney or a tax professional to understand the best option. Registering your business may involve filing registration documents, paying fees, and obtaining permits or licenses.

Employer Identification Number (EIN)

If you plan to have employees or operate your counseling practice as anything other than a sole proprietorship, request an Employer Identification Number (EIN) from the Internal Revenue Service (IRS) .

Register Your Business Name

Choose a distinctive name for your practice, and check whether the name is available in your state by reviewing your state's business directory or conducting a name search through the Secretary of State's office.

Insurance Provider Considerations

If you plan to accept insurance, request a National Provider Identifier (NPI) from the National Plan and Provider Enumeration System (NPPES). This unique identification number is used for billing and claims purposes, and it allows your clients to submit insurance claims for reimbursement.

Additionally, decide whether you want to become an in-network provider with specific insurance companies or operate as an out-of-network provider. Paneling with insurance companies involves additional paperwork and contracts, while being an out-of-network provider allows you to set your own fees.

Legal and Regulatory Compliance

Understand and adhere to the ethical guidelines and standards of your profession, maintain client confidentiality, and keep accurate and secure records.

Open a Business Bank Account

When choosing a bank for your practice, consider fees, accessibility, online banking capabilities, and the availability of additional financial services, such as lines of credit. A business bank account is beneficial for the following reasons:

Financial Separation

By opening a dedicated business bank account, you create a clear separation between your personal and business finances – essential for accurate record-keeping and financial management.

Professional Image

Maintaining a separate business bank account adds credibility and professionalism to your practice. It reinforces the legitimacy and integrity of your services.

Tax Compliance

Your tax obligations are streamlined when you have a clear record of your business income and expenses.

Update Your Insurance Coverage

It’s essential to protect yourself and your home-based practice from potential risks and liabilities. Obtaining the appropriate insurance coverage helps safeguard your practice and provides peace of mind. Here are the different types of insurance you may consider:

Professional Liability Insurance (Malpractice Insurance)

Professional Liability Insurance (Malpractice Insurance) protects you if a client claims they suffered harm or damage related to your professional services. This insurance provides coverage for legal defense costs, settlements, or judgments related to claims of negligence, errors, or omissions in your practice.

General Liability Insurance

General Liability Insurance provides coverage for accidents, injuries, or property damage that may occur at your office location. This insurance protects you from liability if a client, visitor, or vendor sustains bodily injury or property damage while on your premises. It can cover medical expenses, legal defense costs, and potential settlements or judgments resulting from such incidents.

Professional Indemnity Insurance

Professional Indemnity Insurance provides coverage for claims arising from professional errors, negligence, or breaches of duty. It extends beyond malpractice claims and can protect you in situations where a client alleges financial loss or harm due to your professional advice, actions, or recommendations. It’s particularly important if you offer consulting services or provide expertise beyond traditional counseling sessions.

Public Liability Insurance

Public Liability Insurance provides coverage for claims that arise from third-party injuries or property damage that occur outside of your office location. For example, if you conduct counseling sessions in clients' homes or at other locations, it protects you from potential liabilities that may arise during those sessions.

Home Insurance Amendments

Home Insurance Amendments are necessary since you will be operating your counseling practice from your home. You may need to amend your policy or obtain additional coverage. This coverage ensures your home and its contents are adequately protected.

Income Protection Insurance

Income Protection Insurance , also known as disability insurance or income replacement insurance, provides coverage if you are unable to work due to illness, injury, or disability.

When selecting insurance policies, carefully review the coverage limits, exclusions, and deductibles. Consider consulting with an insurance professional that specializes in professional liability insurance for counselors, as they can help you assess your specific risks and tailor an insurance plan that meets your needs.

Set Up Your Home Office

Creating a dedicated and comfortable workspace within your home is crucial for a successful home-based counseling business. Here are some important aspects to consider:

Choose the Appropriate Space

Ideally, your home office space is a quiet area that provides privacy and minimal distractions. Consider dedicating a specific room solely for your practice. Choose a room with a door that can be closed during sessions.

Create a Calming Atmosphere

Choose soft, neutral colors to create a calming environment. Incorporate artwork, plants, or soothing lighting to enhance the atmosphere. Additionally, ensure that the room is well-ventilated and at a comfortable temperature.

a ) Invest in Quality Furniture. Invest in comfortable and ergonomic furniture. Start with a desk and chair that promote good posture and provide adequate support. Look for adjustable options that can accommodate clients of different heights and body types.

b ) Ensure Adequate Lighting. Proper lighting creates a welcoming and uplifting environment. Natural light is ideal, so, if possible, choose a room in your home that allows ample sunlight. If natural light is limited, supplement it with soft, warm-toned artificial lighting. Avoid harsh fluorescent lights, as they create a clinical and unwelcoming atmosphere.

c ) Acoustics and Soundproofing. Ensure your office has minimal noise interference. Thick curtains, carpets, or soundproofing materials can help absorb excess noise and create a more serene environment.

d ) Privacy and Confidentiality. Ensure that your home office provides a secure space for your sessions. Install a lock on your office door to prevent unwanted interruptions. Use a white noise machine or play soft background music so conversations cannot be overheard. Make sure shared living spaces, such as kitchen or bathroom areas, are located away from your office.

f ) Ensure Accessibility: To comply with the Americans with Disabilities Act (ADA), remove barriers that would prevent clients with disabilities from accessing your home office. Private counseling practices, including telemental health businesses, must apply ADA compliance to websites, making them accessible to clients with visual and hearing impairments.

g ) Acquire Necessary Software and Equipment: Invest in a reliable computer or laptop, a high-quality webcam, a headset with a microphone, and a stable internet connection. Consider using secure, HIPAA-compliant video conferencing platforms that prioritize client privacy and confidentiality. Explore electronic record-keeping systems to efficiently manage client files and maintain confidentiality.

h ) Consider using generative AI tools such as Mentalyc : This platform will save you a great deal of time with the documentation process. Mentalyc allows you to record sessions and transcribe the progress notes in less than two minutes – increasing accuracy and efficiency, providing details you might otherwise miss. Try this tool by signing up for Mentalyc here .

Following these suggestions as you set up your home-based counseling business allows you to create an environment that promotes trust, relaxation, and confidentiality for your clients. By following these suggestions, you can establish a successful and thriving counseling practice that meets the needs of your clients while maintaining a flexible work environment.

The Bottom Line

Starting a counseling business from home offers the flexibility to provide virtual or in-person support while maintaining a balanced lifestyle. This can be achieved through telehealth services and, if desired, in-person appointments. Advantages include cost savings by eliminating the need for separate office space and the ability to set your own schedule.

To establish a successful home-based counseling practice, defining a niche is crucial. Consider personal interests, research the market, identify target clients, and acquire specialized training and certifications.

Networking is vital for professional growth, collaboration, and referral opportunities. Creating a business plan, ensuring legal compliance, opening a business bank account, updating insurance coverage, and setting up a dedicated home office are essential steps.

Using tools like Mentalyc can also streamline documentation and transcription processes, saving time and improving accuracy. With careful planning and implementation, a thriving counseling business can be established from the comfort of your home!

All examples of mental health documentation are fictional and for informational purposes only.

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Start a Virtual Counseling Business

Becoming a Guiding Beacon: The Allure of Starting a Virtual Counseling Business

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VIRTUAL COUNSELING BUSINESS

Related business ideas, discover your perfect domain, virtual counseling mini business plan, expected percent margin:, earnings expectations:, actions to hit those numbers:, service offerings:, marketing and customer acquisition:, customer experience:, cost control:, business operations:, not what you had in mind here are more ideas, grab your business website name, step 1: determine if starting a virtual counseling business is right for you, breakdown of startup expenses, breakdown of ongoing expenses, examples of ways to make money, step 2: naming your business, step 3: develop a business plan, outlining your business goals, establishing your target market, developing a marketing plan, step 4: obtain necessary licenses and permits, researching local requirements, applying for licenses and permits, step 5: choose your business structure, sole proprietorship, limited liability company, corporation, step 6: set up your business finances, opening a business bank account, establishing a bookkeeping system, step 7: develop your virtual counseling platform, choosing the right software, setting up your payment system, step 8: market your business, creating a website, utilizing social media, networking with professionals, step 9: monitor your business, tracking your finances, evaluating your performance, explore more categories, take the next steps.

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How to Start an Online Counseling Business: Steps, Benefits and Tips

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By Happy Sharer

online counselling business plan

Introduction

As technology advances, more and more mental health professionals are turning to online counseling services as a way to reach their clients. Offering counseling services online can provide greater flexibility and cost savings, as well as increased access to clients from all over the world. This article will explore the steps, benefits, licenses, certifications, and credentials necessary for starting an online counseling business, as well as tips for developing a successful business plan.

Steps Needed to Start an Online Counseling Business

Steps Needed to Start an Online Counseling Business

Before you can begin offering online counseling services, there are several steps you must take. These include understanding the regulations and requirements for offering online counseling services, developing a business plan, obtaining necessary licenses, certifications, and credentials, setting up a business website, and marketing and advertising your services.

Understand the Regulations and Requirements for Offering Online Counseling Services

The laws and regulations governing online counseling vary from state to state, so it’s important to research the requirements in the state in which you plan to offer your services. In addition, many professional organizations have specific guidelines for providing online counseling services, so make sure to check with any relevant organizations for additional information.

Develop a Business Plan

Creating a detailed business plan is essential for any business, and this includes online counseling businesses. A good business plan should include information on your target market, pricing structure, marketing strategy, and more. It’s also important to create a budget and financial plan that takes into account any startup costs and ongoing expenses.

Obtain Necessary Licenses, Certifications, and Credentials

In order to operate an online counseling business, you must meet certain licensing, certification, and credentialing requirements. Depending on the state in which you are operating, you may need to obtain a state license, professional certifications, and malpractice insurance. Make sure to research the requirements in your state before offering online counseling services.

Set Up a Business Website

Having an online presence is essential for any business, and this includes online counseling businesses. You will need to set up a website that details your services, rates, contact information, and other relevant information. You may also want to include a blog or other content to help boost your search engine rankings and attract new clients.

Market and Advertise Your Services

Once you have your business set up, you will need to market and advertise your services. This can include creating social media accounts, optimizing your website for search engines, creating content such as blog posts or videos, and utilizing paid advertising methods. Researching the best methods for marketing and advertising your services is essential for success.

Benefits of Offering Online Counseling Services

Offering online counseling services can provide numerous benefits. These include increased flexibility, cost savings, and greater access to clients from all over the world. Additionally, online counseling services can be more comfortable and convenient for clients who may not feel comfortable visiting a traditional office setting.

Necessary Licenses, Certifications, and Credentials for Operating an Online Counseling Business

In order to legally operate an online counseling business, you will need to obtain certain licenses, certifications, and credentials. Depending on the state in which you are operating, you may need to obtain a state license, professional certifications, and malpractice insurance. Make sure to research the requirements in your state before offering online counseling services.

Legal, Financial, and Insurance Requirements for Starting an Online Counseling Business

In addition to the licenses, certifications, and credentials needed to operate an online counseling business, there are also legal, financial, and insurance requirements that must be met. This includes researching federal, state, and local laws, financial planning and budgeting, and obtaining necessary insurance coverage.

Tips for Developing a Successful Online Counseling Business Plan

Tips for Developing a Successful Online Counseling Business Plan

When developing a business plan for an online counseling business, there are several key points to keep in mind. This includes identifying your target market, establishing a pricing structure, and creating a marketing strategy that will help you reach your target audience. Additionally, it’s important to create a budget and financial plan that takes into account any startup costs and ongoing expenses.

Starting an online counseling business can be a great way to provide mental health services to clients. This article has outlined the steps, benefits, licenses, certifications, and credentials needed to start an online counseling business, as well as tips for developing a successful business plan. With the right planning, research, and dedication, you can create a successful online counseling business.

(Note: Is this article not meeting your expectations? Do you have knowledge or insights to share? Unlock new opportunities and expand your reach by joining our authors team. Click Registration to join us and share your expertise with our readers.)

Hi, I'm Happy Sharer and I love sharing interesting and useful knowledge with others. I have a passion for learning and enjoy explaining complex concepts in a simple way.

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Are you ready to become the best version of yourself?

Let’s take the first step towards your goals., your personal online therapy education service.

Are you looking to build an online practice?

Navigating the murky waters of technology, ethics and confidentiality can be a challenge without a little helping hand. Let me be that helping hand.

With over 20 years’ experience in counselling, psychotherapy, coaching and training, and with over 16 years’ experience in private practice, I am passionate about helping people find balance in their lives and become their best selves.

Now, you can too.

Located in Wollongong for in-person sessions, with digital sessions available to assist you anywhere in the world, I work with clients both locally and internationally, with additional accreditation to deliver online coaching and counselling.

With my expert guidance, you can set up your own online therapy practice and take your training in psychotherapy, counselling and coaching further than ever before.

Help those who need it. Reach those who otherwise can’t be reached.

Set up an online practice and use your expertise and online therapy to help clients across the world.

What is online therapy?

Often referred to as e-therapy, telehealth, video counselling, or e-counselling, online therapy involves a therapist providing psychotherapeutic support over the internet.

This assistance can be given in various ways, including via email, video conferencing, online chat or instant messaging.

Online therapy can be delivered in real-time (i.e. phone conversations) or in a time-delayed fashion (i.e. emails).

As an evolution of both counselling and psychotherapy, online therapy is an important tool for both professionals and clients with a wide range of benefits to both.

Looking for more personal and professional growth?

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Helps with: Anxiety, bereavement, grief, loss, bullying, mental health, relationships, trauma, stress.

Counselling falls under the umbrella term of ‘talking therapies’.

Counselling gives people the opportunity to talk openly about their challenges and feelings, while being heard and understood. Counselling tends to be short-term and I tend to use solution-focused, existential and person-centred short-term methods. Counselling aims to help you live a more productive life in your own way.

If you are looking to make a positive change in your life, or would like to explore and understand your feelings in more depth, please explore my counselling services further.

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Helps with: Mental health, wellness goals, fear and insecurities, stress, relationships, destructive habits, childhood trauma, grief, loss, anxiety and depression.

Psychotherapy is a collection of therapies designed to help you with the thoughts, feelings and behaviours that are affecting you. I am trained in integrative, existential and humanistic psychotherapies. This means I work with you wherever your headspace is.

Psychotherapy is more long-term work and gives you the necessary skills to cope with challenges in a healthy and empowering way.

If you are looking to take control of your life and move forward with confidence and resilience, please explore my psychotherapy services further.

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Helps with: Confidence, career choices, accountability, goal setting, relationships, meaning, purpose, happiness.

Life coaching is a broad term that includes the support and guidance to live the life you crave.

If you feel disheartened, disillusioned, struggling with self-esteem, or any negative perception of your day to day routine, life coaching can assist.

Like a sculptor seeing a statue inside a block of clay, a life coach can challenge, motivate, support and inspire you.

If you are looking to return the spark to your life and power towards clearly defined goals, please explore my life coaching services further.

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Helps with: Changing workloads, business growth, training, upskilling, performance management, financial planning.

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As an experienced business consultant I’m able to identify markets, bring niche expertise, action change, provide objectivity, and develop lasting professional solutions.

My expertise is in the area of assisting you to gain the best effort from your staff in order to achieve your professional goals.

If you are looking to increase business and achieve success, please explore my business consulting services further.

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Helps with: Productivity, motivation, leadership skills, performance, staff morale, communication, marketing, goal setting.

Business and executive coaching are two methods with the same goal – to solve business related issues and help clients get more from their business.

While business coaching has a focus on the metrics of success for a business: strategy, market needs, organisation and so on; executive coaching deals with personal growth.

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Helps with: Closing skill gaps, engaged employees, industry changes, technological development, job satisfaction.

A business that stands still is one that falls behind its competition.

With your staff the key to your success or failure as a business owner, it’s vital to ensure they experience regular training.

As an experienced coach, psychotherapist and mentor I can assist you to take your business to the next level.

If you are looking to achieve or retain your competitive edge, please explore my corporate training services further.

What is the best way to set up an online therapy practice?

While setting up your own practice may seem daunting, it can also be very rewarding. Here are some simple tips to help make the process run smoothly.

#1 Don’t underestimate referrals

Rather than spending thousands on a lavish advertising campaign, consult your professional network. Your fellow therapists may be a rich source of referrals to help grow your client base.

And, as you establish a good reputation, those clients will spread positive word-of-mouth.

#2 Personalise your space

Maintaining a professional space is important even if it won’t be used to welcome clients. The environment you create will have an impact on your ability to deliver a professional service and will still have an effect on whether your clients feel comfortable.

#3 Believe in your worth

When setting consultation fees, you may feel tempted to offer sliding scales (discounts) or even pro bono (free) sessions. However, it’s important to keep in mind how much time, effort and expertise went into your training.

By charging what you are worth, your clients will truly value your service and trust your experience.

#4 Help clients do the work

As a therapist, it’s your job to create an alliance with your clients. Help them figure out the root of their problems and what they want to change in their lives. Then, help them create a framework to change their thinking and behaviour.

Ensure you factor in the less traditional dynamic where face-to-face is not used to ensure the work you set is both achievable and can be tracked.

How to build an online therapy practice

– join an online therapy platform.

An easy way to jumpstart your online therapy career is joining a virtual clinic, or online therapy platform.

These “mega-clinics” offer you a fantastic virtual environment for e-therapy, along with supreme practice management and security features which can be too expensive to implement on your own.

By using their templates, you can set up your practice and start seeing clients very quickly.

– Launch your own website

If you prefer individuality, and are willing to bear the cost, you can elect to hire a web designer to build you a professional website. This way, you do not have to share clients, and have total control over the look and feel of your web presence.

– Start an email campaign

If you currently offer traditional talk therapy, let your regular clients know that you’re expanding into online therapy. The most effective way to do this is by crafting an effective email campaign.

These emails should explain why online therapy is beneficial for them, and what you will offer them.

– Join my Online Therapy Facebook group

If you’re still having trouble commencing your online therapy practice, why not click here to join my Online Therapy – Connecting and Networking group on Facebook. We share tips and tricks and have information at your fingertips to help jumpstart your online therapy work.

How to start an online therapy business

✔ research your state’s licencing laws.

Before launching your practice, determine whether your state requires you to be certified and trained in online counselling.

✔ Find the ideal telehealth solution

As technology advances, there are many ways to conduct online counselling. To ensure you and your clients feel at ease, you need to find the right technological solutions for you.

This means deciding whether an instant (i.e. Skype, phone calls, etc.) or delayed response (i.e. email, online chat, etc.) or a combination of the two is most suitable. Above all, choose the technology that you and your clients will be most comfortable with.

✔ Set up your insurance

Online therapy is still relatively new territory. So, when setting up your practice’s insurance, you need to check the current Australian guidelines for virtual therapy. Check whether the insurance broker you’ve partnered with will reimburse for online therapy services.

Also, ensure your insurance company reimburses at the same rate as traditional, in-office therapy sessions.

✔ Set up a website

Although the initial cost may seem excessive, setting up a website for your online therapy practice is absolutely essential. Think of your website as your “online address”. It helps potential clients to find you easily, and choose you over competitors.

Your website also gives you the opportunity to “sell” your counselling services. In other words, through your website, you can present the best image of your practice and what you can offer your clients.

Remember, your website should tell potential clients what you do and how you do it, which services you offer, explain your therapeutic training and background, who you are and your values and beliefs.

This personal touch will help clients connect with you and encourage them to work with you.

Online therapist training course

Becoming an online therapist is easier than you may think.

Based in Wollongong, I provide comprehensive training in the online aspects of counselling and psychotherapy, so you’ll hit the ground running.

By attending my webinar sessions, you’ll learn:

  • What online therapy is
  • How to bridge the digital divide with your clients
  • How to provide professional therapeutic services online

What makes me different?

Unlike other online therapy courses, I am exclusively geared towards professional therapists who are ready to expand their practice.

Through a series of information-packed webinars, I provide you all the training and information you need to start your online practice.

Who can benefit from this training?

As therapy moves into the digital space, online therapy training has become absolutely essential. This training is most beneficial for psychologists, counsellors, psychotherapists and coaches who are looking to expand their current practice and move into the online space.

Why choose us?

The answer is simple.

Unlike other online therapy courses, I am geared solely towards professional psychologists and counsellors who are seeking to launch an online practice.

  • – This allows me to offer an in-depth webinar series covering every aspect of online therapy.
  • – As you’re already an established psychologist/counsellor, the cost is far more affordable than competitors, and;
  • – You’ll complete the course within a few short weeks.

Benefits of my training over competitors

I offer Australia’s most innovative and comprehensive online therapy course.

Unlike competitors, by educating you in the online environment, I fully prepare you to conduct psychotherapy and counselling sessions online.

Skills you will gain

By studying our online therapy program, you will learn:

  • ✓ Exactly what online therapy is
  • ✓ How to provide different types of online services, including: psychotherapy, psychology, couples counselling, family counselling, group therapy, coaching, counselling and more
  • ✓ Tips and pitfalls to be aware of during online therapy
  • ✓ How to be personal, yet professional online
  • ✓ How to be empathetic in the online space
  • ✓ The boundaries of the online space and the importance of privacy
  • ✓ The legalities of online therapy, and more

online counselling business plan

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Expand your therapy practice and reap the benefits of taking your experience, knowledge and expertise to the online space, book your free 15 minute, no-obligation consultation., questions to ask before undertaking an online therapy course.

How much does the online therapy course cost?

I believe online therapy training should be affordable to everyone.

I offer complimentary 15 minute phone consultations to get to know you and your online therapy goals.

Please reach out for free advice and detailed prices.

What’s involved in online therapy training?

My comprehensive training program will give you real insight into everything you need to know about online therapy.

I will teach you everything from:

  • – What online therapy is
  • – The services you can provide
  • – How to provide counselling services in an online environment
  • – How to provide different types of online services
  • – How to empathise with clients across the digital divide, and;
  • – Your contractual and legal obligations as an online therapist.

Why should I pursue online therapy training?

Have you always wanted to make a real difference in people’s lives? Do you find that people are always coming to you with their problems for your good advice? Have you been told that you’re a good listener?

If so, online therapy training is perfect for you. You don’t need to be located in Wollongong, or even NSW. You will learn valuable skills, gain an insight into how the mind works and feel truly satisfied in your work.

How do I book?

To reserve your spot in online therapy training, just click on the “Book Now” button.

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How to Start Your Counseling Business From Scratch

Diana Muresan

counseling business advice

For counselors and therapists looking to start their own business, there couldn’t be a better time, with a rise of  1.5 million  people in the U.S. experiencing mental health issues over the last year.

Read on to learn about the 10 steps you need to follow to get your counseling business off the ground.

Why Consider a Career in Counseling?

This nationwide rise in mental health issues shows the pressing demand for more mental health professionals worldwide. 

In the U.S. alone, more than  two million  young people are suffering from depression. On top of that, over 10 million U.S. adults have serious suicidal thoughts.

Despite these figures, more than 70% of young people and more than 10 million adults aren’t getting the help they need, showcasing the urgent demand for more therapeutic professionals to enter the field.

In this case, you can count on your services being needed within the community. The number of people who see a counselor has increased by over  25%  in the last 10 years.

A career in counseling also offers a wide range of opportunities. 

While you can start your own practice or freelance, it’s also possible to work in schools, hospitals, offices, and religious organizations. You can specialize as a youth counselor, an addiction counselor, a marriage counselor, and more. Plus, there are opportunities to volunteer and work all over the world.

Of course, the main reason to become a counselor is to make a positive change in people’s lives. As a mental health professional, you offer the support that so many people need and don’t really get it.

10 Steps to Starting Your Counseling Business From Scratch

If you’re looking to kick off a career in counseling by starting your own business, follow these 10 steps.

1. Get qualified

counseling-certification

First, you’ll need to complete a bachelor’s degree. While it’s not compulsory to major in psychology, this makes the most sense.

After this, you’ll need a master’s degree in counseling or psychology. This course will bring together lectures and coursework that look into different mental health conditions, counseling techniques, and supervised practical experience. 

Next, you’ll need to take your Counselor Preparation Comprehensive Examination (CPCE), followed by your National Counselor Exam (NCE). That will give you a national counseling certification.

If you want to practice clinical mental health counseling, you need to take the National Clinical Mental Health Counseling Examination instead of the NCE.

2. Decide on your location

psychologist-location

It’s important to decide the location of your practice early on, as this will determine where you get licensed and the business procedures you need to follow.

Remember, you don’t have to open your practice in a physical location. You could also offer online counseling.

91% of people who are in online therapy recommend others to try it. This shows just how successful this kind of remote service can be.

If you decide on a physical location, you need to start looking for a space where you can open your practice. If you’ll be working alone, this space doesn’t need to be large. You simply need an office big enough for you and your patient to sit in and talk.

3. Obtain a license

There’s no national counseling license — they’re issued on the state level.

While there are slightly different processes depending on the state, most procedures follow the same pattern. Once you’re qualified, you need to submit your official college transcript, letters of recommendation, a resume, and documentation that confirms your supervised clinical practice experience.

You can apply for your license from your state’s counseling association.

4. Speak to a lawyer

lawyer

It’s very important to understand the regulations within the state where you plan to open a business. Set a meeting with a lawyer to discuss the regulatory requirements that may affect your practice.

Typical questions you may need answers to include:

  • What zoning law limits where I can practice?
  • What type of insurance do I need?
  • Do I need a business license?
  • Are there any limitations on the scope of my practice?
  • How do I legally set up a business and  register as an LLC ?

5. Write a business plan

writing-business-plan

If you’re starting your counseling business from scratch, you might need to get a loan . To do this, you’ll need to write a business plan.

Even if you don’t plan on getting a loan, it’s still a good idea to write a business plan, as it provides a roadmap to keep your ideas and spending on track.

Your business plan should include:

  • Competitive analysis and market research
  • Organizational structure of your company
  • Business model and  pricing analysis
  • Financing options
  • Marketing and sales plans
  • Financial projection

6. Notify the right people

Make sure you have your housekeeping in order so that all paperwork is filed.

For example, if you intend to practice under a business name rather than your own, you’ll need to register it with the Companies Registration Office.

Next, you need to iron out your tax requirements. Make sure you’ve updated your tax status with the Internal Revenue Service (IRS) and that you’re filing taxes correctly and on time.

You may also want to register with a professional body. While not compulsory, registration with professional associations looks good on your resume and provides you with a supportive network. 

7. Get insurance

counselor-insurance-business

Don’t leave yourself open to claims. You need to make sure that you have the right insurance to practice as a counselor if you want to avoid financial ruin resulting from a lawsuit filed by an  angry client .

You’ll need professional indemnity insurance and public liability insurance. For counselors that practice at home, you may also need to amend your home insurance. 

It’s also wise to consider income protection insurance in case you’re unable to work for any reason.

8. Create clear policies

Next, you need to build the framework for your business so that both your clients and your staff understand expectations.

For your clients, write policies surrounding your payment methods, costs, discounts, appointment cancellation, privacy, and referrals.

Make sure you discuss these policies when you first meet with clients.

For your staff , create policies that revolve around workplace expectations, like vacation time, sick days, benefits, etc.

Make sure these policies are clear to staff from the beginning of their employment.

If you need an example of what to include, check out the terms of service and privacy policy that Preply has laid out for its  online English tutors .

9. Build your team

build-your-team

It’s often helpful to employ business experts and part-time staff to help with some of the tasks outside of your remit.

For example, you may want an accountant to handle your finances or you may find that a part-time assistant saves you a lot of waste and hassle.

Many counselors also use  PEO companies  to handle their human resources (HR) responsibilities, so they don’t have to worry about payroll, benefits, and staff management.

10. Start marketing your practice

A well-implemented marketing strategy will help you find new clients.

For starters, you’ll need a professional-looking website,  optimized content , and  social media pages . It’s also wise to add yourself to online directories.

Many counselors also join insurance provider panels, as you’ll be listed on insurer provider networks.

Your marketing strategy should include tactics such as:

  • Paid online advertising
  • Print advertising (magazine, newspapers, billboards)
  • Social media marketing
  • Email marketing
  • Mass messages to clients
  • Search engine optimized blogs
  • Telephone sales
  • In-person events and conferences

If you’re unsure where to start with your marketing campaigns, try studying up. If you don’t have time to read marketing books, you can always read abbreviated versions on  book summary apps  to help you save time. 

It’s not hard to start your own counseling business — you just need to make sure you’re following the right steps toward gaining all the qualifications and licenses you’ll need.

Remember, it’s important to get insurance just in case your relationship with a client doesn’t go according to plan. Covering yourself prevents you from getting into any sticky financial situations.

Goldie: desktop booking app

Ready to start booking appointments?  Try using Goldie today  to make it easy for your new clients to book their counseling appointments hassle-free. You can download it from the App Store or Google Play for free.

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Counseling Private Practice Business Plan

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If you are a counselor and thinking about starting or expanding your counseling business, then a business plan is necessary.

A business plan helps you build a roadmap for your business and will help you persuade investors about why they should invest in your firm.

Need help writing a business plan for your counseling private practice business? You’re at the right place. Our counseling private practice business plan template will help you get started.

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How to Write A Counseling Private Practice Business Plan?

Writing a counseling private practice 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.

Here are a few key components to include in your executive summary:

Introduce your Business:

Start your executive summary by briefly introducing your business to your readers.

Market Opportunity:

Counseling services:.

Highlight the counseling practice services you offer your clients. The USPs and differentiators you offer are always a plus.

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:

Business Description:

Describe your business in this section by providing all the basic information:

Describe what kind of counseling practice you run and the name of it. You may specialize in one of the following counseling practice businesses:

  • Individual counseling
  • Couples counseling
  • Family Counseling
  • Group counseling
  • Career counseling
  • Mental health counseling
  • Trauma counseling
  • Describe the legal structure of your counseling practice business, whether it is a sole proprietorship, LLC, partnership, or others.
  • Explain where your business is located and why you selected the place.

Mission Statement:

Business history:.

If you’re an established counseling practice service provider, briefly describe your business history, like—when it was founded, how it evolved over time, etc.

Future Goals:

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.

Target market:

Start this section by describing your target market. Define your ideal customer and explain what types of services they prefer. Creating a buyer persona will help you easily define your target market to your readers.

For instance, adults seeking therapy or families & parenting would be an ideal target audience for a private practice business.

Market size and growth potential

Competitive analysis:, market trends:.

  • For instance, the integration of technology or digital tools has a booming market; explain how you plan on dealing with this potential growth opportunity.

Regulatory Environment:

Here are a few tips for writing the market analysis section of your counseling practice 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 cuisines:

Mention the counseling private practice services your business will offer. This list may include services like,

  • Assessment and evaluation
  • Individual therapy
  • Couples therapy
  • Family therapy
  • Group therapy
  • Psychoeducation
  • Crisis intervention
  • Consultation and workshops

Additional services:

Customized approach, expertise or specialization:.

In short, this section of your counseling practice 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):

Define your business’s USPs depending on the market you serve, the equipment you use, and the unique services you provide. Identifying USPs will help you plan your marketing strategies.

For example, a client-centered approach, holistic approach, or personalized treatment plans, could be some of the great USPs for a counseling private practice business.

Pricing Strategy

Marketing strategies:, sales strategies:, customer retention:.

Overall, this section of your counseling private practice 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 counseling practice 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:

Operational process:, equipment & software:.

Include the list of equipment and software required for counseling private practice, such as furniture, therapeutic tools, teletherapy tools, etc.

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 counseling private practice 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.

Founders/CEO:

Key managers:.

Introduce your management and key members of your team, and explain their roles and responsibilities.

Organizational structure:

Compensation plan:, advisors/consultants:.

Mentioning advisors or consultants in your business plans adds credibility to your business idea.

This section should describe the key personnel for your counseling private practice services, 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:.

Determine and mention your business’s break-even point—the point at which your business costs and revenue will be equal.

Financing Needs:

Be realistic with your financial projections, and make sure you offer relevant information and evidence to support your estimates.

9. Appendix

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 counseling private practice 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

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This sample counseling private practice business plan will provide an idea for writing a successful counseling private practice 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 counseling private practice business plan pdf .

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Frequently asked questions, why do you need a counseling private practice business plan.

A business plan is an essential tool for anyone looking to start or run a successful counseling private practice 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 counseling private practice business.

How to get funding for your counseling private practice business?

There are several ways to get funding for your counseling private practice 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 counseling private practice 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 counseling private practice business plan and outline your vision as you have in your mind.

What is the easiest way to write your counseling private practice 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 counseling private practice 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

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Vinay Kevadiya

Vinay Kevadiya is the founder and CEO of Upmetrics, the #1 business planning software. His ultimate goal with Upmetrics is to revolutionize how entrepreneurs create, manage, and execute their business plans. He enjoys sharing his insights on business planning and other relevant topics through his articles and blog posts. Read more

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Counseling Private Practice Business Plan

  • Previous Post

As Mental Health Professionals, you pursue your passion – Helping People. However, your practice is also your business! If your business is not successful, you won’t be able to pursue your dream of helping people for long.

If you’re wondering how to start a private practice, the first step in the process is to create a Counseling Private Practice Business Plan.

Why a business plan? Have you ever gone on a road trip for vacation? What did you do to make your vacation as fun and exciting as it could be? You planned! Is my car ready for the trip? Do I know where I am going? Do I need hotel reservations? What is the best route to take me there? Do I have the tools to make my trip successful: map, GPS, a good functioning car?

A Business Plan is just that – planning out all the details of where you want your practice to go and what you need to make that trip a success. Whether you are a sole practitioner, a group practice or part of a major company, you need a plan

Desk with People and Business Planning Materials

iTherapy Team

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Comments (15).

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Thank you, kind people

Thank you for your interest. We hope we can continue to be a resource for you and your counseling private practice.

' src=

I LOVE it. I know biz plans are so important. So I really look forward to the step-by-step help. Thanks!

Thank you! We are glad to help. We look forward to continuing to help each step of the way. Check back periodically for more post and information to help your office or online counsling practice grow.

' src=

This is a very kind gesture. I think it is wonderful that you are lending your expertise to the counseling community. ? Bravo

Thank you! We are excited to help the industry. We are listening to our providers and finding ways to help them and the industry grow.

' src=

I have a LMSW and I am also an ordained minister , so is there a possibility of someone like me obtaining a private practice ?

Thank you for your question! I forwarded your contact info to one of our specialists to help you.

' src=

This is going to be a good experience and a great learning opportunity

We sure hope so! We are listening to our providers and others in the counseling community. We want to help you and the office and online counseling industry continue to grow.

' src=

Where can I find additional updates? I’ve already completed the checklist and information on who to serve. What’s next?

We’re working on the next part, which is a SWOT analysis (Strengths Weaknesses Opportunities and Threats).

Robyn, this site will give you some ideas too https://www.dramberlyda.com

' src=

Please tell me what kind of certifications are needed to do private practice in USA? I have a PhD in developmental psychology from India.

Thank you Priya for your inquiry. Certifications will vary state-to-state in USA. You will have to determine which state or states you want to get certified in order to narrow down patient base.

For example, here are some links for North Carolina: 1. Mental health license requirements https://www.google.com/search?q=north+carolina+mental+health+license+requirements&oq=north+carolina+mental+health+lic&aqs=chrome.3.0j69i57j0l4.8303j0j7&sourceid=chrome&ie=UTF-8

2. LPC (Licensed Professional Counselor) license: https://www.humanservicesedu.org/north-carolina-lpc.html

3. Licensure Information: https://ncpsychology.org/pdfs/Handout_Licensure_Information_North_Carolina.pdf

Hope these help!

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Mental Health Private Practice Business Plan Template

Written by Dave Lavinsky

mental health private practice business plan

Mental Health Private Practice Business Plan

Over the past 20+ years, we have helped over 500 entrepreneurs and business owners create business plans to start and grow their mental health private practice companies. 

In this article, you will learn some background information on why business planning is important. Then, you will learn how to write a mental health private practice business plan step-by-step so you can create your plan today.

Download our Ultimate Business Plan Template here >

What is a Mental Health Private Practice Business Plan?

A business plan provides a snapshot of your mental health private practice business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategies for reaching them. It also includes market research to support your plans.

Why You Need a Business Plan for a Mental Health Private Practice

If you’re looking to start a mental health private practice business or grow your existing mental health private practice company, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your mental health private practice business to improve your chances of success. Your mental health private practice business plan is a living document that should be updated annually as your company grows and changes.

Sources of Funding for Mental Health Private Practice Businesses

With regards to funding, the main sources of funding for a mental health private practice business are personal savings, credit cards, bank loans, and angel investors. When it comes to bank loans, banks will want to review your business plan (hand it to them in person or email to them as a PDF file) 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 ensure 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. Personal savings and bank loans are the most common funding paths for mental health private practice companies.

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How to write a business plan for a mental health private practice business.

If you want to start a mental health private practice business or expand your current one, you need a business plan. The guide and sample below details the necessary information for how to write each essential component of your mental health private practice business plan.

Executive Summary

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 kind of mental health private practice business you are running and the status. For example, are you a startup, do you have a mental health private practice business that you would like to grow, or are you operating a chain of mental health private practice businesses?

Next, provide an overview of each of the subsequent sections of your plan. 

  • Give a brief overv iew of the mental health private practice industry. 
  • Discuss the type of mental health private practice business you are operating. 
  • Detail your direct competitors. Give an overview of your target customers. 
  • Provide a snapshot of your marketing strategy. Identify the key members of your team. 
  • Offer an overview of your financial plan.

Company Overview

In your company overview, you will detail the type of mental health private practice business you are operating.

For example, you m ight specialize in one of the following types of mental health private practice businesses:

  • Cognitive Therapy : Focusing on psychotherapy that challenges negative patterns of thought about oneself and the world, cognitive therapy brings the patient to a better understanding of personal value in the world. 
  • Behavioral Therapy: This therapy is one that focuses on retraining one’s reactions to stimuli, thus removing neurotic symptoms.   
  • Holistic Therapy: A mental health private practice that centers therapy on a holistic platform is one that treats each individual as a multi-faceted being with all needs seen as equally important and in need of therapeutic healing. 
  • Interpersonal Therapy: Treatment of mood disorders and difficult inter-relational issues is the main focus of interpersonal therapy.

In addition to explaining the type of mental health private practice business you will operate, the company overview needs to provide background on the business.

Include answers to questions such as:

  • When and why did you start the business?
  • What milestones have you achieved to date? Milestones could include the number of patients served, the number of cases with positive outcomes, reaching X number of clients served, etc.
  • What is your legal business structure? Are you incorporated as an S-Corp? An LLC? A sole proprietorship? Explain your legal structure here.

Industry Analysis

In your industry or market analysis, you need to provide an overview of the mental health private practice industry.

While this may seem unnecessary, it serves multiple purposes.

First, researching the mental health private practice industry educates you. It helps you understand the market in which you are operating. 

Secondly, market research can improve your marketing strategy, particularly if your analysis identifies market trends.

The third reason 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 mental health private practice business plan:

  • How big is the mental health private practice 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 target market for your mental health private practice 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.

Customer Analysis

The customer analysis section of your mental health private practice business plan must detail the customers you serve and/or expect to serve.

The following are examples of customer segments: individuals, couples or families.

As you can imagine, the customer segment(s) you choose will have a great impact on the type of mental health private practice business you operate. Individuals would respond to different marketing promotions versus families, for example.

Try to break out your target customers in terms of their demographic and psychographic profiles. With regards to demographics, including a discussion of the ages, genders, locations, and income levels of the potential customers you seek to serve.

Psychographic profiles explain the wants and needs of your target customers. The more you can recognize and define these needs, the better you will do in attracting and retaining your customers. Ideally you can speak with a sample of your target customers before writing your plan to better understand their needs.

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Competitive Analysis

Your competitive analysis should identify the indirect and direct competitors your business faces and then focus on the latter.

Direct competitors are othe r mental health private practice businesses. 

Indirect competitors are other options that customers have to purchase from that aren’t directly competing with your product or service. This includes psychiatrists, other healthcare providers, or members of the clergy. You need to mention direct competition, as well.

For each direct competitor, provide an overview of their business 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 customers do they serve?
  • What type of mental health private practice business are they?
  • 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 options for the uninsured?
  • Will you offer services that your competition doesn’t?
  • 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.

Marketing Plan

Traditionally, a marketing plan includes the four P’s: Product, Price, Place, and Promotion. For a mental health private practice business plan, your marketing strategy should include the following:

Product : In the product section, you should reiterate the type o f mental health private practice company that you documented in your company overview. Then, detail the specific products or services you will be offering. For example, will you provide on-call emergency therapy sessions, client referral incentives, or group behavioral therapy retreats?

Price : Document the prices you will offer and how they compare to your competitors. Essentially in the product and price sub-sections of yo ur plan, yo u are presenting the services you offer and their prices.

Place : Place refers to the site of your mental health private practice company. Document where your company is situated and mention how the site will impact your success. For example, is your mental health private practice business located in a quiet neighborhood office, a business district, or a standalone office? Discuss how your site might be the ideal location for your customers.

Promotions : The final part of your mental health private practice marketing plan is where you will document how you will drive potential customers to your location(s). The following are some promotional methods you might consider:

  • Advertise in local papers, radio stations and/or magazines
  • Reach out to websites 
  • Speak in community forums or blog as an expert
  • Engage in email marketing
  • Advertise on social media platforms
  • Improve the SEO (search engine optimization) on your website for targeted keywords

Operations Plan

While the earlier sections of your 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 mental health private practice business, including answering calls, planning and providing therapy sessions, billing insurance and/or patients, etc. 

Long-term goals are the milestones you hope to achieve. These could include the dates when you expect to book your Xth session, or when you hope to reach $X in revenue. It could also be when you expect to expand your mental health private practice business to a new city.

Management Team

To demonstrate your mental health private practice business’ potential 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 mental health private practice 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 as mentors to your business. They would help answer questions and provide strategic guidance. If needed, look for advisory board members with experience in managing a mental health private practice business or successfully running a small therapy clinic.

Financial Plan

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 s heet, and cash flow statements.

Income Statement

An income statement is more commonly called a Profit and Loss statement or P&L. It shows your revenue 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 see 5 patients per day, and/or offer group therapy sessions ? 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 $50,000 on building out your mental health private practice 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 lender writes you a check for $50,000, 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 ensure 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. 

When creating your Income Statement and Balance Sheets be sure to include several of the key costs needed in starting or growing a mental health private practice business:

  • Cost of equipment and office supplies
  • Payroll or salaries paid to staff
  • Business insurance
  • Other start-up expenses (if you’re a new business) like legal expenses, permits, computer software, and equipment

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 5-year office location lease or a list of insurance plans you accept.

Writing a business plan for your mental health private practice business is a worthwhile endeavor. If you follow the template above, by the time you are done, you will truly be an expert. You will understand the mental health private practice industry, your competition, and your customers. You will develop a marketing strategy and will understand what it takes to launch and grow a successful mental health private practice business.

Mental Health Private Practice Business Plan FAQs

What is the easiest way to complete my mental health private practice business plan.

Growthink's Ultimate Business Plan Template allows you to quickly and easily write your mental health private practice business plan.

How Do You Start a Mental Health Private Practice Business?

Starting a mental health private practice business is easy with these 14 steps:

  • Choose the Name for Your Mental Health Private Practice Business
  • Create Your Mental Health Private Practice Business Plan
  • Choose the Legal Structure for Your Mental Health Private Practice Business
  • Secure Startup Funding for Your Mental Health Private Practice Business (If Needed)
  • Secure a Location for Your Business
  • Register Your Mental Health Private Practice Business with the IRS
  • Open a Business Bank Account
  • Get a Business Credit Card
  • Get the Required Business Licenses and Permits
  • Get Business Insurance for Your Mental Health Private Practice Business
  • Buy or Lease the Right Mobile Mechanic Business Equipment
  • Develop Your Mental Health Private Practice Business Marketing Materials
  • Purchase and Setup the Software Needed to Run Your Mental Health Private Practice Business
  • Open for Business

Where Can I Download a Free Business Plan Template PDF?

Click here to download the pdf version of our basic business plan template.

Our free business plan template pdf allows you to see the key sections to complete in your plan and the key questions that each must answer. The business plan pdf will definitely get you started in the right direction.

We do offer a premium version of our business plan template. Click here to learn more about it. The premium version includes numerous features allowing you to quickly and easily create a professional business plan. Its most touted feature is its financial projections template which allows you to simply enter your estimated sales and growth rates, and it automatically calculates your complete five-year financial projections including income statements, balance sheets, and cash flow statements. Here’s the link to our Ultimate Business Plan Template.

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OR, Let Us Develop Your Plan For You

Since 1999, Growthink has developed business plans for thousands of companies who have gone on to achieve tremendous success.  

Click here to see how Growthink’s business plan writers can create your business plan for you.

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Create a Business Plan for Private Practice in Counseling

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If I’m in private practice, do I need a business plan?

…YES!

Just like any business, it’s important that you create a business plan for private practice  before you spend a dime .

Sound daunting? Don’t worry, I’ve started private practice in three different cities and have fine-tuned my process over the years. And I’m going to share it with you!

Private Practice Business Plan PDF

Why you Need a Business Plan in Private Practice

Is a business plan really necessary? Can’t you just rent an office, stick a couch in it, and be on your way with your counseling practice?

Well, you can try that, but you will likely find yourself sitting in an empty office waiting for clients to show up while your money drains from your bank account.

Think of a business plan as a treatment plan for your business. If your clinical training experience was at all like mine, then treatment planning has been drilled into your head.

Why do we create treatment plans for our clients? They act as a guide to help us serve our clients based on their specific needs. They give us a compass to guide the therapy process, though we can always modify the treatment plan to adapt to a client’s changing needs.

A business plan serves the same purpose. We need to do a bit of an assessment of ourselves and where we are situated to create a set of steps and goals for where we are headed. It sets us up for success as we use our business plan as a guiding compass.

Five Steps to Create a Business Plan

Here are five tools to help you get started in creating a business plan for private practice in psychology.

1. Do Market Research

Before you start anything else in your business plan, it’s important to know what other local therapists are out there in private practice and what they’re up to. Explore the Psychology Today Find a Therapist Directory , do some Google searches, and see who’s around as well as what they specialize in.

Market research helps you know what kind of supply there is for the product you’re selling in your business. This information informs the rest of the steps for creating a business plan.

2. Determine Your Product

You might be thinking:  um, Marie, my product is psychotherapy, duh!

It is true that your product is your counseling services, but there is so much nuance to what psychotherapy looks like in practice.

It’s important to look at your market research from step one and see how you fare amongst local therapists. Are you the only therapist in a 10-mile radius? Then maybe your product is more broad.

If you live in an area like me where you’re one of hundreds of therapists just within your zip code, you want to think about what your niche is and maybe even double- or triple- niching so that you are the only therapist delivering this specific product in your area.

Take some time to write down what your product is more specifically. Here are some sample questions to help you get the ball rolling:

  • What are examples of success stories you’d like future clients to tell?
  • How do you want clients to feel when they sit with you in your office?
  • What kind of psychotherapy services will you offer? What’s your area of specialty? What theoretical orientations do you utilize?
  • How would you like to be known in your local community? What kind of broader influence do you want to have?
  • Who is likely to refer clients to you?

If you’d like to learn more about finding your niche, you might find it helpful to watch my video about Finding Your Niche in Private Practice .

3. Get Advice from Other Therapists in Your Niche

I know this sounds completely counterintuitive. Naturally, we don’t want to go to our “competition” for advice.

Let me get this idea in your head: other therapists in your niche are not your competition, they are your friends, colleagues, consultation resources, and referral sources.

The reality is other therapists in your area of specialty are likely to be one of your primary referral sources!

There are nuanced differences amongst those of us who have similar areas of specialty. Maybe you specialize in GAD in young adults. Then therapists who specialize in GAD in teens and older adults might be indispensable resources to you. You can make referrals to each other when a potential client doesn’t quite fit within your niche, and you can consult with each other when you feel stuck.

These are the people you will be leaning on once you begin private practice, so it’s worth seeking them out before you even start.

How to Find Local Therapists

Some easy ways to find these therapists is through market research from step one, as well as through social media and networking events in your area. Lately tons of therapists have been flocking to Instagram with professional accounts, making it easy to find local therapists in your area. Give it a try! If you need some help, you might like to watch my video about How to Network with People in Private Practice .

Therapists love giving advice and helping people! So when you chat or meet up with colleagues, be sure to ask them for their best tips and advice in private practice. What worked for them? What investments totally flopped? Ask around from a few people because private practice is not a one-size-fits-all endeavor, so you might want to pick and choose what fits best for you.

This is a double-whammy tip because not only does connecting with local therapists help you with future marketing but you also don’t have to reinvent the wheel as you develop your business plan.

4. Determine how much You’re Willing to Give to Private Practice

Time and money are such precious resources, and you need both to get things started with private practice. Ask yourself how much of each of these you’re able and willing to give.

Make a plan together with your loved ones so you have the same expectations for how this will unfold. Ask questions like:

  • How much budget are you willing to give to this?
  • How much time are you willing to give?
  • Are you going to go part-time at your current job to do this or are you going to pick a day on the weekend or evenings to do it?

Determine the answers to these questions in advance and know what you’re willing to expend towards your goal. You may also want to invite trusted friends to share their concerns with you, as our friends have a way of knowing what we need to ask better than we do sometimes!

5: Create an Exit Plan

Before you start it’s important to keep the worst case scenario in mind: what if private practice doesn’t succeed?

Ack! We don’t want to think about that!

I remember when I first decided to go from part-time to full-time private practice, I didn’t have an exit plan. Full-time private practice was THE plan. My husband ended up being the voice of reason. He asked me, “When will you quit if this doesn’t start turning a profit?”

My response? “Uhhhh…I don’t know.”

So we sat down and made a plan for how long I would give this a go before bailing. We created a five month plan, complete with expense spreadsheets so we knew how much money we were willing to sink into private practice if I wasn’t profitable.

It’s not fun to think about failure, but planning for the worst is actually a reassuring measure. You can feel more confident getting started knowing you have a way out if it doesn’t work. Ask yourself questions like:

  • How long am I willing to work at private practice before I start turning a profit?
  • Is there a certain profit margin I’m expecting to achieve? When do I need to achieve that margin by before bailing?
  • Do I have a back-up plan for what I will fall back on if I end the private practice venture?

Think about these things in advance and talk them over with your loved ones. It will save you time and heartache down the road if you need it.

Creating a business plan for private practice can seem overwhelming, but I hope you find these tips make the process a bit smoother for you!

Further Resources

Are you wondering if private practice is right for you? Check out my post: Starting a Private Practice in Counseling: Is it Right for You?

I know the process of starting a private practice can seem daunting and overwhelming, even amidst the excitement that might be there. If that is you, be sure to sign up for the email list to get free information about how to start and grow your private practice. I share tools that I’ve learned the hard way about starting private practice so that hopefully it doesn’t have to be so hard for you.

Until next time, from one therapist to another: I wish you well!

Next Step: What’s the Best Website Builder for Therapists? 

Photo by  Lonely Planet  on  Unsplash

Reader Interactions

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February 26, 2022 at 2:39 pm

I resonate with the point regarding exit plan or “what to do if this endeavour isn’t turning out as expected.” I am currently working full time at an agency, and have just recently decided to start my private practise on the side, though low key, I also want my time and effort to bear some fruit. This article is a great reminder of my motive and what I need to keep in mind.

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Counseling Private Practice Business Plan Template

Written by Dave Lavinsky

Counseling Private Practice Business Plan

You’ve come to the right place to create your Counseling Private Practice business plan.

We have helped over 1,000 entrepreneurs and business owners create business plans and many have used them to start or grow their Counseling Private Practices.

Below is a template to help you create each section of your Counseling Private Practice business plan.

Executive Summary

Business overview.

Peaceful Minds is a private counseling clinic that provides family and marriage counseling to residents living in or near Tigard, Oregon. The clinic primarily services couples and families with a variety of concerns, such as communication problems, mental illness, major life transitions, and affairs. The clinic employs highly-experienced counselors to assist clients with their mental health, help them navigate life challenges, and improve their quality of life. Counseling sessions can be conducted in-person or remotely, and an affordable sliding scale fee system is offered to families earning below the local median salary.

Peaceful Minds is led by Lydia White, who has been a marriage and family therapist for ten years. She has worked in other private practices around the community and has sustained a very positive reputation. Lydia is trained in Imago Relationship Therapy (IRT) and will use that as her primary means of helping clients. However, she will employ other therapists who provide other forms of relationship and family therapy.

Product Offering

Below is a list of the counseling services that Peaceful Minds will offer to its clients:

  • Marriage counseling: This service helps married clients to overcome challenges in their marriage/relationship. Marriage counselors can help married clients with communication problems, issues with intimacy, resolving major conflicts, and more.
  • Family counseling: This service helps families work through their challenges and conflicts as a whole. Some example issues include integrating blended families, healing from divorce, and working through grief.
  • Individual counseling: By request, clients who are part of family or couples sessions can have one-on-one sessions with the therapist to work further on their concerns. In these sessions, therapists help clients work through their emotions and thoughts concerning their marriage/family problems. Therapists can also help clients treat and cope with any mental health challenges they live with.

Clients will also receive a complimentary initial intake to ensure they find a therapist that can help them with their goals. All sessions are offered in-person or remotely, depending on the client’s request.

Customer Focus

Peaceful Minds will primarily serve residents that live in Tigard, Oregon and the surrounding areas. Tigard is one of Oregon’s largest cities and has a large population of families, married couples, and divorced couples. The city also has a very high median salary, which means that many residents have the disposable income to invest in counseling. The demographics of Tigard show that there is an enormous target customer base that will benefit from our services.

Management Team

Peaceful Minds is led by Lydia White, who has been a marriage and family counselor for ten years. She primarily utilizes the Imago Relationship Therapy (IRT) technique to help her clients with their marriage or relationship concerns.

While Lydia has never run a private counseling practice herself, she has worked in private clinics for the duration of her career. She began her counseling career in 2013 shortly after completing her Master’s degree from Portland State University and obtaining her counseling license.

Success Factors

Peaceful Minds will be able to achieve success by offering the following competitive advantages:

  • Affordable sliding scale fee: Counseling is an expensive investment for many clients. That’s why Peaceful Minds offers an affordable sliding scale fee structure to families who make less than the local median income.
  • Remote or in-person sessions: Some people are eager to meet their counselors in person again, while others feel more comfortable connecting remotely. We allow clients to determine what form they want their sessions to take. We will only override this policy if another pandemic or public health concern occurs.
  • Specialization in marriage and family matters: Very few clinics in town specialize in marriage and family counseling. Peaceful Minds will focus primarily on these matters, attracting this clientele from our competitors.

Financial Highlights

Peaceful Minds is currently seeking $300,000 to launch. The funding will be dedicated towards securing the office space and purchasing equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and marketing costs. Specifically, these funds will be used as follows:

  • Clinic interior build out and design: $50,000
  • Office equipment, supplies, and materials: $20,000
  • Three months of overhead expenses (payroll, rent, utilities): $150,000
  • Marketing costs: $50,000
  • Working capital: $30,000

The following graph below outlines the pro forma financial projections for Peaceful Minds.

Peaceful Minds Financial Projections

Company Overview

Who is peaceful minds, peaceful minds history.

After surveying the local client base and finding a potential clinic location, Lydia White incorporated Peaceful Minds as an S-Corporation on February 1st, 2023.

Currently, the business is being run remotely out of Lydia’s home office, but once a lease on the office location is finalized, all operations will run from there.

Since incorporation, Peaceful Minds has achieved the following milestones:

  • Found a potential commercial space and signed a Letter of Intent to lease it
  • Developed the clinic’s name, logo, social media accounts, and website
  • Determined space design and required equipment
  • Hired a virtual assistant to help with bookings and schedules

Peaceful Minds Services

Industry analysis.

The past few years have seen a revolution in the counseling industry. The importance of mental health and the benefits of talking with a counselor to cope with life’s challenges is on the rise. More than ever before, people are eager to work with a therapist as they navigate their challenges and improve their quality of life. This is creating a greater demand for therapists and counselors all around the nation.

There have also been some major shifts in marriage and divorce rates over the past few years. Divorces escalated during the pandemic, and marriages have been in decline for decades. We have also seen the rise of diverse families, such as families with same-sex parents and blended families. All of these changes create family, relationship, and marriage challenges that are far more diverse than decades past. Luckily, the stigma around therapy is dissolving, so more people than ever before are looking to counseling for help with their relationship or family matters.

Another recent change in the industry is the transition to remote services. Many people get their counseling sessions online through phone or video chat therapy, and this trend is expected to continue. However, now that the pandemic is over, more people want to go back to in-person sessions. Clinics that provide both options will have more resilience in the future.

A significant challenge that private practices face is major online therapeutic services. These services connect clients with therapists online from anywhere in the world. These essentially are “gig” opportunities for therapists and have gained popularity for several years for their affordable cost and convenience.

However, there has been significant pushback against these services due to the lack of quality counseling received and shady payment practices. As a result, many clients are returning to private practices to find therapists they can develop a true relationship with.

Customer Analysis

Demographic profile of target market.

Peaceful Minds will serve the residents of Tigard, Oregon and its surrounding area. Peaceful Minds will primarily target clients who are married and have families. The community of Tigard has a large population of married couples, so there are many clients that could utilize our services. The community also has a significant proportion of affluent and middle-class residents that will be willing to pay for quality services.

The demographics for Tigard, Oregon are as follows:

Customer Segmentation

Peaceful Minds will primarily target the following customer profiles:

  • Married couples
  • Millennials

Competitive Analysis

Direct and indirect competitors.

Peaceful Minds will face competition from other companies with similar business profiles. A description of each competitor company is below.

Riverside Therapy Center

Riverside Therapy Center has been a popular therapeutic clinic in town since 1988. It is a larger clinic, employing dozens of therapists, all with different backgrounds and areas of expertise. They offer counseling for individuals, couples, and families and have psychiatrists who can help with medication management. Clients who go to Riverside can get help coping with a diagnosis, navigating a major life transition, or working through conflict with their partners or family.

Tigard Mental Health And Wellness

Tigard Mental Health And Wellness was established in 2002 to address the mental health concerns of the community. Like Riverside, it is a larger clinic with many therapists to choose from. These therapists come from many backgrounds and offer a variety of treatments and counseling for many disorders and situations.

Portland State University Counseling Services

Portland State University offers affordable therapy offered by Portland State University. It is run by students who are training to become licensed therapists but do not have a license yet. They are supervised by their professors, who are trained, experienced, and licensed therapists. Because licensed professionals do not conduct the services, they are offered at an affordable rate and only to clients who are in the lowest economic brackets of the community.

Competitive Advantage

Peaceful Minds will be able to offer the following advantages over their competition:

Marketing Plan

Brand & value proposition.

Peaceful Minds will offer the unique value proposition to its clientele:

  • Convenient location
  • Qualified and highly trained team of counselors and therapists
  • Diversity of counselor team and clientele
  • Comfortable, relaxing atmosphere
  • Sliding scale for low-income families
  • Option for remote or in-person sessions

Promotions Strategy

The promotions strategy for Peaceful Minds is as follows:

Website/SEO

Peaceful Minds will develop a professional website that showcases pictures of the clinic and the services we provide. It will also invest in SEO so that the company’s website will appear at the top of search engine results.

Social Media

Lydia White will create the company’s social media accounts and invest in ads on all social media platforms. The company will use targeted marketing to appeal to our target demographics.

Doctor’s Offices

Lydia will visit multiple doctors and primary care offices to ask them to refer our clinic to any patients looking for services. We will ask them to keep a handful of our brochures on hand and hand them out to whoever requests a counseling clinic or is in need of one.

Ongoing Customer Communications

Peaceful Minds will maintain a website and publish a monthly email newsletter to provide tips on common marriage and family challenges.

Peaceful Minds’s pricing will be moderate so clients feel they receive great value when utilizing our services. We will bill our clients’ insurance companies first and then charge our clients directly for whatever their plans don’t cover.

Operations Plan

The following will be the operations plan for Peaceful Minds.

Operation Functions:

  • Lydia White will be the Owner of Peaceful Minds and oversee the general operations of the company. She will also provide therapy services to her initial client base.
  • Lydia recently hired a virtual assistant named Sanuye Grant. She will help with scheduling appointments, basic marketing tasks, and other general administrative duties.
  • As the company’s clientbase increases, Lydia will hire several other counselors with diverse counseling techniques and backgrounds to meet her clients’ needs.

Milestones:

Peaceful Minds will have the following milestones completed in the next six months.

  • 07/202X Finalize lease agreement
  • 08/202X Design and build out Peaceful Minds
  • 09/202X Hire and train initial staff
  • 10/202X Kickoff of promotional campaign
  • 11/202X Launch Peaceful Minds
  • 12/202X Reach break-even

Financial Plan

Key revenue & costs.

Peaceful Minds’s revenues will come primarily from therapy services. The company will bill the patient’s insurance for services provided, and the remainder will be billed to the patient. In cases where insurance is not accepted, the entire service will be billed to the patient.

The major cost drivers for the company’s operation will consist of salaries, supplies, equipment, the lease, taxes, and marketing expenses.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required in order to achieve the revenue and cost numbers in the financials and pay off the startup business loan.

  • Year 4: 100
  • Year 5: 150
  • Annual rent: $100,000
  • Average counseling session cost: $150

Financial Projections

Income statement, balance sheet, cash flow statement, counseling private practice business plan faqs, what is a counseling private practice business plan.

A counseling private practice business plan is a plan to start and/or grow your counseling private practice 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 Counseling Private Practice business plan using our Counseling Private Practice Business Plan Template here .

What are the Main Types of Counseling Private Practice Businesses?

There are a number of different kinds of counseling private practice businesses , some examples include: Clinical psychology, Industrial-organizational psychology, Marriage and family therapy, and Social work.

How Do You Get Funding for Your Counseling Private Practice Business Plan?

Counseling Private Practice 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 Counseling Private Practice?

Starting a counseling private practice 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 Counseling Private Practice Business Plan - The first step in starting a business is to create a detailed counseling private practice business plan that outlines all aspects of the venture. A solid private practice business plan should include market research on the counseling industry, potential market size and target customers, your mission statement, information about the services or products you will offer, marketing strategies and a detailed financial forecast.

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your counseling private practice 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 counseling private practice business is in compliance with local laws.

3. Register Your Counseling Private Practice Business - Once you have chosen a legal structure, the next step is to register your counseling private practice 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 counseling private practice 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 Counseling Private Practice Equipment & Supplies - In order to start your counseling private practice 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 counseling private practice 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 open a successful private practice :

  • How to Open a Counseling Private Practice Business

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Setting up a Counselling Business

All you need to know about starting and running your business.

In this article

What is a Counselling Business?

With increased mental health awareness in the UK, more people than ever are engaging in counselling. Counselling is a type of talking therapy performed by a trained professional. The person attending a counselling session will discuss any issues, problems or difficulties they are facing with the counsellor.

Counselling takes place in a safe, confidential environment with the aim to help the individual deal with any emotional or personal issues they are facing and explore their thoughts and feelings. A counsellor often doesn’t give their own opinion or offer direct advice. Instead, they challenge their clients to understand their situation better and identify the root causes of their issues and resolve or reconcile their problems.

If you are considering starting up a counselling business, there are several different ways you can offer counselling sessions.

Individual Counselling

Individual counselling is where you meet with the client 1:1, without other people present. Individual counselling is better for people who prefer confidentiality and the 1:1 attention of the counsellor. Individual counselling usually encourages a more intimate and trusting counsellor-client relationship and is beneficial for people who have difficulty opening up about their problems.

Group Counselling

During group counselling, the counsellor will meet with a group of people at the same time (usually between 4 and 10 people) who are experiencing similar difficulties. The group will usually meet at the same time every week. Group counselling can be beneficial as it offers your clients support from other people in a similar situation, the opportunity to hear about different experiences and different perspectives, and a level of accountability and social interactions. Group counselling is usually less expensive for each client.

Face-to-Face Counselling

Face-to-face counselling is where the counsellor meets with the client in person. Sessions can be conducted from any location, including your office or the clients’ homes. Face-to-face counselling allows you to consider the clients’ body language and other non-verbal communication. Some clients find face-to-face counselling to be more beneficial and are more likely to create a positive line of communication and continue with the sessions.

Telephone Counselling

Telephone counselling still takes place 1:1, in a private, confidential setting between the counsellor and the client. However, the entire session takes place over the telephone, allowing your client to access counselling from their own home. Telephone counselling is usually more affordable and is recommended for people who cannot easily travel to their sessions, for example, if they don’t have the means to travel or experience an anxiety disorder. However, some clients struggle to connect with the counsellor and don’t always commit to their sessions over time.

Online Counselling

Online counselling can be done in a variety of ways, including by video chat, email or instant messaging. It may be recommended for those who cannot attend counselling because of scheduling difficulties or location restrictions, or those who feel more comfortable communicating in this way. Online counselling is usually less expensive for the client and requires less time commitment from the counsellor.

Although counselling is available on the NHS, there is often a long wait time (usually around 18 weeks). There is also a limit on how many counselling sessions are available on the NHS, with most NHS regions offering between 6 and 12 sessions. This has resulted in many people turning to private counselling, making now a great time to start up a counselling business.

As part of your counselling business, you will have a variety of day-to-day responsibilities.

These could include:

  • Building trusting, positive relationships with your clients that are mutually respectful and non-judgemental.
  • Planning sessions.
  • Creating appointments and coordinating sessions.
  • Encouraging your clients to talk about their experiences, thoughts and feelings.
  • Asking questions, encouraging open communication, empathising and supporting your clients.
  • Helping your clients to perceive their difficulties in different ways and find solutions.
  • Making notes and keeping confidential records.

To operate as a counsellor in the UK, you will need to obtain either a diploma, a bachelor’s degree or a postgraduate qualification in counselling or psychotherapy.

You will also need personal skills such as active listening skills, empathy, sensitivity and patience. You will also need the ability to understand people’s reactions and interpret their non-verbal cues. A non-judgemental approach and the ability to communicate with people from a variety of backgrounds are essential.

Counselling can be a difficult career choice. You will therefore need resilience and the ability to remain calm in stressful situations and be able to work under pressure.

Types of Clients

Many counselling businesses opt to target a specific client base. Your client base can depend on several factors:

The type of counselling you specialise in:

Counsellors can specialise in a huge range of difficulties or issues, including:

  • Mental health conditions, such as depression, anxiety, eating disorders and stress disorders.
  • A health condition that has had a negative impact on the client’s well-being or mental health (for example, infertility or a physical disability).
  • Upsetting life events or traumas, such as a bereavement or a relationship breakdown.
  • Difficulties in regulating emotions.
  • Relationship issues.
  • Issues relating to sexual identity or gender identity.
  • Feelings of being overwhelmed, feelings of hopelessness and low self-esteem.
  • Social withdrawal.
  • Addictions.

Where you operate your business from:

Counselling businesses can operate from a variety of locations.

You can choose to:

  • Operate from your own counselling office.
  • Operate from a GP surgery, a hospital or another medical setting.
  • Operate from an educational setting such as a school, college or university.
  • Operate from a workplace or a business premises.
  • Operate counselling groups in a community or private setting.

The type of counselling sessions you offer:

Some clients prefer individual sessions rather than group sessions. Some prefer face-to-face counselling whereas others prefer telephone or online counselling. The type of counselling sessions you offer will affect your client base.

Your pricing strategy:

Your price per session will impact your typical customer base, as your clients may have a specific budget in mind.

Counsellor with patient

Equipment You Will Need

The type of equipment you will need for your counselling business will depend on the type of business you run. Below is a full list of equipment required by different counselling businesses.

Consider the type of business you are going to run when determining your equipment requirements:

Your website will most likely be your most important advertising tool. It will allow potential clients to find your business online, especially if you utilise Search Engine Optimisation (SEO), allowing you to rank higher on search engines. Your website should be designed to reflect your business and your branding. It should also contain important information such as your qualifications and experience, your specialities and services you offer and customer reviews. You may also have your contact information or an online booking form for potential clients to complete.

An email service

You will need to set up your own email service using your own domain. Using a public email domain such as @google or @hotmail can look less professional compared to using your own business domain. You will need to make sure your email service is fully secure and encrypted and abides by email security policies in the UK.

A secure storage system

Many of the documents you work with will contain highly sensitive information that you will need to store securely at all times. The vast number of documents will likely require you to invest in secure cloud storage. You should ensure the storage you opt for is password protected and encrypted. You should also ensure everything is backed up externally to protect the information in the event of a technological issue. The cost of cloud storage can vary significantly, depending on the amount of storage you need.

A scheduling tool or software

Scheduling tools allow you and your clients to make appointments and meetings without needing to waste time trying to find an available date and time. The software links to your calendar and recognises your availability. If a client books a session with you via the software, you will receive an automatic confirmation email and the session will appear in your calendar. Prices can start at as little as £2 per month.

A laptop or desktop computer

You will need a high-specification, reliable laptop or desktop computer that can handle the amount of time you will be using it each day and all the software you will need to install. If you offer online or video appointments, you will need to ensure your laptop or computer has a reliable camera. A high-spec laptop can cost between £500 and £3,000.

High-speed Wi-Fi

If you run your business remotely, you will need to ensure your Wi-Fi is reliable and high speed. If you offer video or online sessions, you will need to ensure it doesn’t cut out in the middle of a session. Wi-Fi prices usually range from £20-£50 per month depending on your provider and your required speeds.

You will be dealing with confidential information daily and ensuring any confidential paperwork is properly shredded and disposed of is a legal requirement. A shredder can be purchased for as little as £15.

Counselling Office Equipment:

When styling your counselling office, you will need to consider what equipment and furnishings are practical, easy to clean and create a comfortable and calming environment for your clients.

Some equipment your counselling office may require includes:

A therapy sofa or chair

You want your clients to feel comfortable and calm when attending your office. Your therapy sofa should be made of a material that is easy to clean and looks professional but is still comfortable. Prices can vary but usually start at £500.

A desk and desk chair

You’ll need a desk to sit at when completing any notes or paperwork and when using your computer or laptop. Ensure your desk looks professional and fits the design of your business. It should also be set at a good height to avoid any musculoskeletal issues. You can expect to spend between £200 and £2,000 depending on the quality of the materials and the manufacturer.

A therapist chair

You likely won’t sit at your desk chair when talking with your clients as the desk can create a barrier and make you look too formal. It is also recommended that you sit at the same height as your clients to encourage a respectful relationship and ensure you don’t appear intimidating. Keep in mind that you could be spending several hours a day sitting in the chair so you will need it to be supportive and comfortable. You can opt for a chair that matches your sofa or is a similar height. You can expect to spend £200 and above.

Office décor

To make your office more personable and attractive and a more comfortable environment for your clients, you could choose décor such as:

  • Plants and flowers.
  • Pictures and wall art.

A CCTV system

This can protect your business from potential break-ins and theft. A CCTV system can cost between £300 and £5,000 depending on the specification of the equipment, how many cameras you require, and the installation costs.

A fully stocked first aid kit

In case of an accident or injury, a first aid kit is an essential piece of equipment. A fully stocked first aid kit can be purchased for approximately £15.

Business cards

Business cards are an important marketing tool and can be given to new or existing clients. They can also be used to record appointment times. Your business cards should include your business name, contact information, location and the types of services you offer. 500 business cards can cost as little as £20.

Organisational equipment

Some organisational equipment you may require includes:

  • Filing cabinets.
  • Client folders.
  • Filing labels.
  • Calendars and diaries.

Stationery equipment

Some stationery equipment you may require includes:

  • Pens and pencils.
  • Highlighters.
  • Rubbers and Tipp-Ex.
  • Elastic bands.
  • Printer paper.
  • Post-it notes.

Counselling session in office

Typical Pricing

When setting up your counselling business, an important step is to plan your finances and calculate the approximate costs associated with setting up and running your business. This includes your start-up costs and your monthly, quarterly and annual outgoings.

Some of the typical costs associated with a counselling business are:

A premises (if relevant)

If you run your counselling business from your own office or other premises, this will likely be your biggest expenditure. You will need to rent your premises on a monthly or annual basis. Rental prices can vary significantly, depending on the location, the size of the premises and the on-site facilities. City centre locations and newly built premises usually have the highest rental costs. Rental costs are often calculated per square metre. They can range significantly, from £500 to £15,000 per square metre annually.

Renovation and refurbishment

You will likely need to renovate or refurbish your premises to fit your business aesthetic and make it fit for purpose. Your premises should be a calming, comfortable environment and you may need to redecorate and install furniture to fit this. Renovation costs can vary, depending on the level and scale of work required.

Depending on the type of counselling business you set up, your equipment costs may be relatively low. You will need to invest in the relevant technology and/or furnishings, depending on your business requirements. Equipment costs can range from £500 to £5,000.

Monthly and annual equipment costs

Your monthly and annual subscription costs could include your Wi-Fi, website, email service and your secure storage. Depending on which subscriptions you require and the specifications of the ones you choose, expect to pay a minimum of £40 per month, although this could rise as high as £200 per month.

Running costs

These are the everyday costs associated with running your counselling business. It could include your overhead costs such as electricity, gas, water and council tax. Most of your running costs will be paid monthly, although some may be paid quarterly or annually. Keeping your running costs as low as possible allows you to maximise your profits.

Branding can help you to establish your business’s identity and set you apart from your competition. Branding could include creating your business’s visual identity, a logo, your business name, and creating your business website. You can hire a professional to help you with branding or do some of the work yourself. Branding can cost between £500 and £10,000, depending on the amount of branding you require.

Marketing and advertising

This can help you to grow your business. You may require more advertising and marketing when your business first launches, and you are attempting to grow your client base. It is recommended that you spend between 1% and 3% of your annual revenue on advertising costs; for example, if you make £100,000 per year, you should spend between £1,000 and £3,000 on advertising.

You may initially operate your business independently and then hire more counsellors or secretarial staff as your business grows. If you hire staff permanently, you will need to pay them at least the national minimum wage of £9.50 per hour, although qualified counsellors will expect a significantly higher wage. You will also need to account for other expenses such as holiday pay, sick pay and maternity/paternity pay.

Business insurance

There are several types of insurance coverage you could choose for your counselling business. The cost of your insurance can vary depending on your insurance provider and your level of coverage. Prices typically start at £8 per month.

Some insurance options you could choose are:

  • Professional Treatment Liability Insurance.
  • Property Insurance.
  • Public Liability Insurance for Counsellors.
  • Employers’ Liability Insurance (if relevant).
  • Business and Office Equipment Insurance.
  • Legal Expenses Insurance.
  • Personal Accident Insurance.

Once you have determined your approximate start-up costs and running costs, you can then calculate your pricing.

Counsellors usually charge a fee per session, with fees varying depending on:

  • Your qualifications.
  • Your experience.
  • Any specialist training.
  • Whether you have worked across a range of settings.
  • Your location.
  • Your reputation.
  • Whether it is an individual or group session.
  • Whether it is an in-person session.

Fees can vary from £20 to £150 per session, although on average, counsellors typically charge between £30 and £50 per session.

Safely Running a Counselling Business

Safely running your counselling business can help to protect you, your clients and your business. Safe practices can help to protect your clients’ health and well-being, keep you and your employees safe, and protect your business.

Some ways you can safely run your counselling business are:

Join a registered professional body

Registering with a professional body will give you access to resources, knowledge and networks that can help your training and ensure you run your counselling business safely and ethically. It will also give your business professional credibility.

There are several professional bodies you could register with, including:

  • British Association for Counselling and Psychotherapy (BACP).
  • Health and Care Professions Council (HCPC).
  • The National Counselling Society (NCS).
  • Universities Psychotherapy and Counselling Association (UPCA).
  • Irish Association for Counselling and Psychotherapy (IACP).

Adhere to an ethical code

Ensuring you implement and follow ethical practices at all times is essential. An ethical code helps to protect the well-being of your clients and ensures good practice at all times. An ethical code may be provided by your registered professional body, or you may create your own ethical code.

Create counselling contracts

Also known as a counselling agreement, a counselling contract is a mutual agreement between you and your clients outlining your therapeutic relationship. The contract states your responsibilities towards the client and vice versa. It also ensures your client gives written informed consent and ensures all counselling is conducted in a safe and professional manner.

Gain appropriate qualifications

Although the law does not specifically state which qualifications are required by counsellors, guidelines recommend an appropriate educational course, such as:

  • A diploma or advanced diploma in Counselling.
  • A Bachelor’s degree in Counselling Psychology.
  • A postgraduate diploma or Master’s in Counselling.

Keep your skills and knowledge up to date

The parameters for certain mental health conditions are constantly changing and more research is constantly being done. Counsellors must ensure they keep up to date with changes and updates and ensure they have the skills and knowledge to provide their clients with the best possible service.

Conduct risk assessments

Risk assessments are only a legal requirement if your business has five or more employees. If you have fewer employees, risk assessments are recommended to ensure safe practices in your business.

When conducting risk assessments, you should:

  • Identify hazards.
  • Determine who could be at risk.
  • Evaluate the potential risks.
  • Implement safety measures.
  • Record the results of the risk assessment.
  • Review the risk assessment on a regular basis.

Your risk assessments should also cover any additional risks related to individual clients.

Counsellor introducing himself

Implement cleaning procedures

If you conduct face-to-face sessions, you must ensure cleaning procedures are followed after each client. This could include cleaning all equipment after use, such as chairs, tables and pens. You should also ensure handwashing procedures are followed.

Protect you and your staff from threatening or abusive behaviour

Threatening or abusive behaviour could come from clients, especially if they are in pain, on medication, are confused or experiencing emotional difficulties. Implement procedures for dealing with threatening behaviour, record any incidents and implement emergency procedures that can be followed in the event of threatening or abusive behaviour.

Keep potentially dangerous objects away from clients

You may be working with clients who are dealing with mental health difficulties or who are going through a distressing time. In the event of an emotional outburst, ensuring any dangerous objects, such as scissors, are kept out of the client’s reach can help to protect both you and the client.

Use a firewall on your devices

A firewall helps to protect the information stored on your devices. It prevents any unauthorised access to your device or accounts and sends you an automatic alert if someone attempts to access your information. Some computers and laptops come with a built-in firewall whereas others may need you to install or enable a firewall.

Secure your Wi-Fi network

Don’t simply set up your Wi-Fi and use the pre-given password. Choose your own secure password and ensure your Wi-Fi network is encrypted to prevent anyone from accessing or hacking it. This is particularly important if you are using your Wi-Fi network to access client records.

Use two-factor authentication for client records and information

All your personal and business passwords should be set up with two-factor authentication. This means you will need to prove your identity in two ways, such as with your usual password and with a code that is sent to your registered mobile number. This adds an extra layer of security to your accounts.

Legal Requirements

There are several legal guidelines you will need to adhere to, to ensure your business is operating in full compliance with the law. Failure to comply with legal guidelines can be detrimental to you and your business.

Some legal requirements you should be aware of are:

Comply with the Equality Act (2010)

The Equality Act states that every individual should be treated fairly and equally, regardless of their age, gender, race, religion, physical and mental ability, sexuality and socioeconomic class. You should ensure counselling is accessible to all, you understand different cultural backgrounds and overcome communication obstacles. You should also be aware of any unconscious biases you may hold.

Be aware of the legal limits to confidentiality

Although counsellors must ensure their clients’ confidentiality, this does not apply if your client discloses information relating to certain illegal activities.

  • Drug trafficking.
  • Money laundering.
  • Child abuse.

Comply with any legal orders relating to your client notes

If any of your clients are involved in legal proceedings, a police issue or if they die, you may be asked to surrender your client notes. You should comply with any orders to release your notes and ensure your notes are factual.

Comply with the Data Protection Act (2018)

You have both a legal and ethical duty to ensure all your client notes are stored safely and securely. The Data Protection Act applies to any client information that is stored on a computer or any physical information, such as in your paper filing system. You must comply with legislation on how you collect, store and use personal information.

Ensure your clients have the capacity to give informed consent

You must use your judgement and the clients’ information to determine whether each client has the capacity to give informed consent to the counselling sessions. If you work with children, you must gain informed consent from their parents or guardians.

Obtain criminal record checks

As you may be working with vulnerable individuals, you and your employees must undergo a criminal record check and obtain a certificate.

The type of check required depends on the country you live in:

  • England: Disclosure and Barring Service (DBS).
  • Wales: Disclosure and Barring Service (DBS).
  • Scotland: Protecting Vulnerable Groups (PVG) Scheme.
  • Northern Ireland: AccessNI.

Keep accurate, factual records

Any records should be kept for a minimum of seven years after your clients’ sessions have ended. When destroying records, ensure this is done in line with the policies of your local authority.

Ensure you are first aid trained

If you conduct face-to-face sessions, you must ensure you have appropriate first aid training and have a fully stocked first aid kit. This will allow you to administer medical treatment if necessary.

Comply with employment legislation

If you employ any staff, you must ensure you follow employment legislation, including the Employment Rights Act (1996 ) and the National Minimum Wage Act (1998) . You must also comply with legislation relating to recruitment, working hours, sickness, discrimination, dismissals, and maternity or paternity pay.

Comply with the Reporting of Injuries, Diseases and Dangerous Occurrences Regulations (RIDDOR) 2013

RIDDOR states that you must report all injuries, diseases and dangerous events that occur when your business is operating. Reports must be made to the Health and Safety Executive (HSE) using an appropriate recording document.

Implement health and safety policies and fire safety procedures

All businesses should have health and safety policies that help to manage health and safety in your business. They protect the health and safety of you, your clients and your business. Your policies and procedures could include fire safety and emergency procedures.

Comply with the Workplace (Health, Safety and Welfare) Regulations (1992)

Under these regulations , if your business has five or more employees you must ensure you conduct appropriate risk assessments, minimise any risks and maintain all equipment. You must also make sure high levels of cleanliness are maintained.

Register your business

You must register your business with HMRC before you begin operating. You can register as a sole trader or as a limited company. You will need to register your business name and any other relevant information.

Register for self-assessment tax

This allows you to calculate and pay your own taxes each year. You will need to track your finances every month and submit any expenses as part of your tax assessment.

Advancing career to child counselling

Positives of Owning a Counselling Business

Counselling can be an extremely rewarding career in many ways.

Some of the main pros associated with running a counselling business are:

It can be extremely lucrative

Running a counselling business can be extremely lucrative. You can charge between £30 and £150 for a counselling session. The more experienced a counsellor you are, the higher prices you can charge. You can also charge higher fees if you specialise in a specific type of counselling. By hiring additional counsellors and expanding your business, this can offer you unlimited income potential.

Opportunities to advance your career

By undergoing further training and obtaining additional certificates, you can advance your career and further your business. This could allow you to expand your clientele further and offer additional counselling services.

Great job satisfaction

As a counsellor, you can really make a difference in your clients’ lives. Seeing your clients make progress and make breakthroughs can be extremely rewarding. You will likely be seeing clients over a period of time and developing positive client relationships.

Set your own working hours

As the business owner, you can choose your own working hours and operate a flexible schedule. If you need a day off work, you can choose not to schedule any appointments on that day. You can choose the working hours that work best for you.

Few start-up costs required

As you can run your business from home or from another premises and you can offer telephone or online sessions, which could result in very few start-up costs. This means your business will require a lower investment and will be lower risk.

Design your dream business

You can design your counselling business exactly how you want. You can choose the type of counselling you offer, the type of sessions you want to run, your speciality and where you want to operate your business from. Creating your dream business can be both fun and rewarding.

Be your own boss

You can make all key decisions yourself and steer your business in whichever direction you choose. You can choose how involved you want to be, whether you want to grow your business and which hours you want to operate. You can make the best decisions for you and your business.

A constant need for your business

Once your business is established, you should find your services are constantly in demand. Counselling is becoming more popular as people are more aware of looking after their mental health and well-being. This should mean you never have to worry about your business not making a profit or experiencing a lack of demand.

Predictable income stream

You will likely have consistent clients with sessions booked in advance. This makes it easier to predict your income and your profits. You will also be able to see how much availability you have and how many more clients you can take on.

Client loyalty

You will likely be working with the same clients over extended periods. Not only does this offer you consistent profits, but you may also see client recommendations. Some clients undergo counselling for months or even years, which can be extremely beneficial to your business.

You can work alone or as part of a team

You can choose whether you want to operate alone or as part of a team. You can make the decision based on what is best for you and your business. Your counselling business can be run by you alone, or you can hire other counsellors.

Counsellor working in a high stress job

Negatives of Owning a Counselling Business

However, there are some negative aspects of being a counsellor you should be aware of, including:

Cancelled or rescheduled appointments

Clients may cancel their appointments with little notice or not attend appointments without first informing you. This could result in a loss of income for you and disruption in your clients’ progress.

It can be emotionally demanding

You will be dealing with high emotions and stressful situations on a daily basis. You will need to constantly monitor your clients’ emotions and well-being and react to their emotional cues. Dealing with negative emotions and monitoring mental health conditions can be emotionally draining.

It can be high stress

Not only will you feel responsible for the well-being of your clients and running sessions effectively, but you also need to consider the day-to-day responsibilities associated with running your business. This can be both time-consuming and demanding. Making your business succeed and ensuring you turn an acceptable profit can also be stressful.

It can take a long time to qualify

To work as a counsellor, you will need to study for several years to become qualified. You will likely need to gain the necessary experience before you qualify for your study programme, and this can be time-consuming. It often takes up to five years to become a fully qualified counsellor in the UK.

Setting up a counselling business can be challenging

Making your business succeed can be difficult, especially if there are already established counselling businesses operating in your area. Clients may be more likely to choose a counsellor who has been recommended to them or already has a good reputation. This can make it difficult for you to build your client base and make your business succeed.

High liability

Because you will be dealing with sensitive issues and people who are facing difficulties, you may occasionally have a patient who self-harms or tries to end their life. In this situation, your counselling services are likely to be highly scrutinised and you may be held liable.

It can be competitive

Not only will you be competing with other private counselling businesses, but you also need to consider the competition you will face from NHS counselling services. High competition can make it difficult for your business to succeed.

Your working hours can be erratic

You will have to ensure your sessions are at a time that is advantageous to your clients. This could mean you are scheduling around their working hours or their family commitments. You may have stretches of time with no appointments and then be busier in the evenings, which could be inconvenient for you.

It can be lonely

Although you will be meeting with your clients every day, you may be operating as the only counsellor in your business. Because of confidentiality, you will also be unable to discuss much of your work with your family or friends or with other professionals. This can make counselling a lonely career choice.

Strict laws and regulations

The counselling and mental health industries are highly regulated and there are many laws and regulations you will need to abide by. You will need to research your legal requirements and ensure your business is operating in line with the law. Failure to do so could result in a fine, the forced closure of your business or even prosecution.

No benefits

As you are self-employed, you won’t receive benefits such as pension contributions. You will also be responsible for doing your own taxes and organising your National Insurance contributions.

Planning Your Counselling Business

An effective and well-designed business plan is essential to the success of your counselling business. A business plan can help you to focus on the specific steps that will help your business succeed, plan your short-term and long-term goals, determine your financial needs and help your business to grow.

When creating your business plan, ensure it contains information such as:

  • Your company information.
  • Your company description.
  • The services you will provide.
  • Your branding, marketing and advertising plan.
  • The structure of your business.
  • The operational plan for your business.
  • The financial plan for your business.

Some of the factors you will need to consider when planning your counselling business are:

Are you going to focus on a specific type of client?

You may choose to work with a variety of different clients or specialise in a particular type of counselling. For example, marriage counselling or sexual identity counselling. Consider your own knowledge, skills and experience, client demand and your local competition when determining what to specialise in.

What type of counselling are you going to offer?

Will you offer face-to-face or distance counselling? Will you specialise in individual sessions or group sessions? You may opt to offer different types of counselling or specialise in one particular type, for example, only in-person, group sessions.

Where will your counselling take place?

If your offer in-person counselling, you will need to decide where your sessions will take place. This could be from your own counselling office or from another premises, such as a GP surgery, a school or a community centre.

What training and qualifications do you require?

There are multiple ways you can become a qualified counsellor and you must decide which is the best option for you. Consider the pros and cons of each qualification, for example, by considering the course materials, the length of time your training will take, and which qualifications are likely to be most desirable to your clients. You should also consider whether you need additional training to specialise in a specific type of counselling.

Do you have any local competition?

Look at other counselling businesses that operate in your area. What types of counselling sessions do they run? Do they specialise in a specific type of counselling? Where do they operate their businesses? You must ensure there is space in the market for your business and consider ways to make your business stand out.

What are your equipment requirements?

Consult the list above to determine your equipment requirements. Once you have determined your equipment requirements, you can then calculate the initial costs of purchasing the equipment and the monthly replenishment costs.

What are your initial set-up costs and running costs?

You need to determine your approximate start-up costs and running costs to enable you to calculate your initial investment, determine how you will fund this investment and what your monthly or annual costs will be. Creating a budget is a key part of your business plan. It can also help you to determine whether you can finance the business yourself or whether you require outside investment or a business loan. Consult the list above to help you calculate the approximate costs associated with setting up and running your business.

What will your fees be?

Your fees will depend on several factors, including your experience and training and the type of counselling you offer. You will likely have different fees for face-to-face sessions, compared to telephone and online sessions, and individual sessions will be more expensive than group sessions.

How many clients can you see per day and week?

This will depend on your working hours, the length of your sessions and where you conduct your sessions from. Determining your client capacity can help you determine how much advertising you need to engage in and what your profit forecast is likely to be.

What will your advertising and marketing strategies be?

Advertising is key to your business’s success, especially in your first year of operation. Consider how you can appeal to your target clients and how you will ensure they encounter your business.

What are your business objectives?

Your business objectives are crucial for creating a successful business plan. Your business objectives highlight the targets and goals of your counselling business and help you to create a one-year, three-year, and five-year business plan to help you grow your business.

Your business objectives should be SMART:

  • S = Specific
  • M = Measurable
  • A = Achievable
  • R = Realistic
  • T = Time-bound

Have you complied with all legal requirements?

Consult the list above and ensure you have complied with all legal requirements before opening your counselling business. Failure to comply with the legal requirements could negatively affect your business and your profits.

Download our business plan

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Counselling Tutor

235 – Making a Counselling Business Plan

CT-Podcast-Ep235 featured image - Topics Discussed: Introjected Values – Making a Counselling Business Plan – Carl Jung’s Theories on Ego and Self

235 – Making a Counselling Business Plan

Introjected values – carl jung’s theories on ego and self.

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In Episode 235 of the Counselling Tutor Podcast, your hosts Rory Lees-Oakes and Ken Kelly are back with this week’s three topics:

  • Firstly in ‘Theory in Practice’, we look at introjected values.
  • Then in ‘Practice Partner’, Rory and Ken discuss making a counselling business plan.
  • And lastly in ‘Practice Matters’, Rory speaks with Dr. Jessica Bockler about Carl Gustav Jung’s theories on ego and self.

Introjected Values [starts at 02:40 mins]

This episode of counselling tutor podcast is sponsored by, webhealer.net.

  • WebHealer are the go-to provider of websites for private practitioners in the UK.
  • Established over 20 years, WebHealer offers a non-technical and fully supported service to help therapists grow their private practice.
  • Just one customer from your website each year pays for their service.

Go to  WebHealer.net   and use coupon CT100 for £100 off their "Do it for me" service.

We start today with Rory and Ken discussing introjected values, and how these may present themselves in the therapy room.

The key points of this discussion include:

  • Introjected values are views we adopt from our caregivers and society.
  • Some people struggle when they find themselves having a view through their own experience that opposes these values.
  • Introjected views are unseen to the person who holds the value – to them, it is a ‘truth’.
  • In therapy, you have to treat disarming these ‘truths’ carefully.
  • A sign of introjected values may be that the client recognises that their beliefs are different from the values they know .
  • When people ‘find themselves’ this is an example of recognising and stepping away from these introjected values in order to find your own.
  • It is important to remember that these introjected values don’t exist solely within the client, they exist within us too.

Theory to Practice is sponsored by

Counselling Skills Academy

Learn counselling techniques by seeing  counselling skills used in real sessions by qualified therapists . Real sessions – real-life presentations – real skills.

Making a Counselling Business Plan [starts at 21:01 mins]

In a discussion that will be continued in next week’s podcast, Rory and Ken list a few things that you might want to think about when making a business plan for your counselling service.

The main aspects of this discussion include:

  • A business plan is a layout of what your business will look like – complete with your motivations for starting your own private practice.
  • Consider things like where your sessions will take place – will they take place in your home? Online? Will you rent a space or go to the clients’ house? What considerations are necessary due to this choice?
  • Think about the cost of set up and what you might need e.g. comfy seating, stable internet, a work email, lockable filing cabinet, a clock, tissues, you may even consider a card reader.
  • Consider accessibility to clients who may use a wheelchair or have other mobility issues.
  • Part of making a counselling business plan is thinking about how you will advertise your business.
  • Take into account costs to yourself (such as possible travel costs) when deciding how much you’ll charge.
  • When making a counselling business plan, consider too whether you’ll set up as a sole trader or a limited company – research the differences and decide which is a better fit for you.

Get on-demand Certified CPD that is implementable in your practice

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  • Access your learning anytime you want ... anywhere you choose ... using any device type — desktop or mobile.

Counsellor CPD Library - computers and mobile phone showing what is inside the CPD library for counsellors

Carl Jung’s Theories on Ego and Self [starts at 40:47 mins]

In this week’s ‘Practice Matters’, Rory speaks with Dr. Jessica Bockler about the theories of Carl Gustav Jung including the collective unconscious and archetypes.

  • The collective unconscious is something primal and that we are unaware of.
  • We embody archetypes that can be seen throughout history in art and literature – things like heroes, sages, rebels etc.
  • When working with archetypes you will encounter what is called the shadow – this is a place where all the traits we’ve been told are bad about ourselves are kept e.g. maybe a young boy has been consistently told that boys don’t cry, and this will create an adult man who holds back from showing such emotion.
  • We are able to see qualities in other people that we don’t like within ourselves (projection) – it takes looking within and taking ownership over these traits to fully explore this.
  • Carl Gustav Jung also looked at dreams vs active imagination. He decided that dreams where the conscious mind is not in charge is good for free flowing engagement with deeper materials, but it is active imagination that is a more powerful route to engage with unconscious contents – you have more control to frame and challenge the ego.
  • By beginning to write down your dreams your recall will improve, and you may begin to spot themes.

The National Counselling Society is proud to sponsor Practice Matters.

NCS are really excited to have launched their Children and Young People Therapist Register for counsellors working with the younger age group.

Free Handout Download

Introjected Values

Links and Resources

Advanced Certificate in Counselling Supervision

Basic Counselling Skills: A Student Guide

Counsellor CPD

Counselling Study Resource

Counselling Theory in Practice: A Student Guide

Counselling Tutor Shop

Facebook group

Online and Telephone Counselling: A Practitioner’s Guide

Online and Telephone Counselling Course

Spotted out-of-date info or broken links? Kindly let us know the page where you found them. Email: [email protected]

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Private Counseling Practice Business Plan

NOV.19, 2020

Private Counseling Practice Business Plan

Private Counseling Practice business plan for starting your own social service agency

Are you a psychologist, social worker, or marriage counselor? Did you know that you can make money from a prosperous business by going into private practice like any of the trainers mentioned above? Yes, the profession of counseling, social workers, and marriage counselors are one of the largest and most lucrative professions in the United States, open to interested entrepreneurs who are qualified and able to come in as a private trainee and earn a great income. This counseling private practice business plan has the insights.

Executive Summary

USA Private Counselors LLP is a professional and licensed consulting (private practice) organization that specializes in helping its clients cope with their challenges, achieve their personal goals, and improve their skills, competence and productivity.

The scope of our private counseling practice business offerings covers areas such as clinical psychology, industry-organizational psychology, all other psychology, psychosocial work, marriage, and family therapy, child, family and school social workers, online counseling services and retail sale of self-help books. And materials and others.

Our business is located between a well-populated residential estate and a business district in Pennsylvania – Smethport, Pennsylvania, USA.

USA Private Counselors LLP, is a customer-centric and consequently operated private consulting firm that offers a wide range of consulting, learning approaches and experience at an affordable fee that is in any way to put a hole in our clients’ pockets. We make sure to work hard to meet and exceed the expectations of our customers because whenever they hire our services, it is related to their professional and personal goals.

The Business

USA Private Counselors LLP is the overall best interest of our clients comes first, and everything we do is entirely guided by our values ​​and professional ethics. We make sure to hire professional and certified psychologists, social workers and counselors of various skills who are well experienced and enthusiastic.

Management of Social Service Agency

In the private counseling practice business plan , we ensure that we are responsible for the highest standards by accurately and fully meeting the needs of our customers. We will cultivate a work ambience that gives a humane, sustainable approach to practicing, earning and living in our world for our associates, employees and our clients.

Customers of Social Service Agency

While starting a social service agency it may seem like a dream too high, but we are sure it will attract more customers like celebrities, public figures, and Private Job based customers. As we have done lots of research and feasibility, studies and we are excited and confident that Smethport is the right place to start our private consulting business.

Business Target

Our primary goal is to satisfy our customers and establish our business location. So people can learn about us and our dress code. Our business plan Private counseling practice is to gain as many customers as possible and expand our Social service agency line to many countries. Profit is a secondary thing, but the primary concern is to satisfy our customers and their queries.

1. How to start a business?

Well, this is the most challenging part because the person starting the business never knows about the future. Whether the business will work or not; it will always be an opportunity, and because of this, many are sacred. Most people ask how to start a business? Therefore, the answer here is, you need to identify the needs of the people. You need to check the latest market trends and what people want to do.

Private Counseling Practice Business Plan - Startup Cost

2. What are the costs involved in opening a business?

The start-up cost of the counseling business can be low or high depending on your goals, vision and aspirations for your business. The start-up capital for a home-based private consulting business without any overhead can be as low as $250,000 to $350,000, while a medium and large scale value is definitely higher.

3. How to implement business management?

Our management staff and this is based on the performance of the company for a period of three years or more. We know that if it is put in place, we will be able to successfully hire and retain the best staff for management, which we can get in the industry. They will be more dedicated to helping us build the business of our dreams.

4. What target of this business?

We have a private counseling practice business plan, our target areas are local people, celebrities, and social media influencers, and they can advertise our agency differently.

Company Summary

  plan your business.

USA Private Consultants LLP will ensure that the right foundation, structures, and processes are in place to ensure that the interests of our customers employees are well taken care of. Our company’s corporate culture is designed to move our business to greater heights, and the training and retraining of our employees will burn at the top of our business strategy.

Define your brand

The new business will have to face the initial problems in establishing a brand name in the head of the customer. We treat our customers well and take care of their needs and recommendations. We also did tailor-made projects for clients. We discuss with our team what the customer needs and how to apply it.

How to promote & market a business

The truth is, if your customers have experienced a big difference in their lives as a result of hiring your company’s services, they will be compelled to help improve your company.

Establish a web presence

Another notable trend in this field is the influence of technology; the advent of technology has led to an increase in the income of private consultants around the world. With technology, it is not easy for private consultants to provide advice to their client’s thousands of kilometers away from them.

Company Owner

USA Private Consultants LLP- may be a new private consulting agency in Pennsylvania, but the board of directors and business owner are considered gurus in the industry. The woman is a leading professional, licensed and highly qualified psychologist and marriage counselor. She can help her clients cope with their challenges and successfully achieve their personal goal in the short term. These are the areas where we consider a competitive advantage.

Why the social service agency is being started

Our owner loves to start new social services agency, but they feel like they can share their social ideas with others. They are learning about social causes and are now going to propose a big agency or business project so that people can also benefit from their practicing department.

How the social service agency will be started

Being talented is one thing, knowing how to make people successful is another; That’s why you need to constantly get feedback to measure the progress and performance of your agency. Keeping all these things mind and with the help of private practice counseling business plan template, the business will be started.

Our mission to start our private practice counselling business is to help our clients and staff to meet their challenges, achieve their personal goals, improve their skills, competence and productivity, and of course, make a profit from the field of counseling. In addition, you can work on starting your own counselling practice agency as well.

Our service offerings are listed below;

  • Clinical Psychology
  • Industrial-organizational psychology
  • All other psychology
  • Social work on mental health
  • Marriage and family therapy
  • Child, family and school social workers
  • Online consulting services

Marketing Analysis of Counseling Services

Market trends.

The trend in the field of Counseling Services, social workers and other counsellors over the past half-decade shows that the industry continues to grow. Private consulting services are required regardless of economic conditions, which protect the industry from economic fluctuations.

Marketing Segmentation

USA Private Consultants LLP will generate revenue by providing the following private consulting services;

Private Counseling Practice Business Plan

  • All other counselling
  • Retail sale of self-help books and supplies

After opening a private practice business , our business target cuts across different classes of people and people from all walks of life. We come with a business concept and company profile in the field of psychologists, social workers and marriage counselors, which will help you, work with clients from different backgrounds and different positions.

Private Counseling Practice Business Plan - 3 Years Profit Forecast

Product Pricing

Generally, starting your own counselling practice services are charged flat rates on an hourly billing rate and a weekly or monthly basis. As a result, USA Private Consultants LLP will charge flat fees to our clients, except for a few cases where special clients will have to pay on an hourly basis.

Marketing Strategy

We note that there is fierce competition among private consulting firms in the United States; So we were able to hire some of the best marketing staff to handle our entire sales and marketing.

Also, our sales and marketing staff will be recruited based on their vast experience in the industry, and the goals of USA Private Consultants LLP.

Competitive Analysis

Being more competitive in the field of counselling, the staff, counsellor and practitioners will provide consistent quality service, and our clients can experience significant difference and improvement, and meet the expectations of your clients at all times you can meet.

Sales Strategy

USA Private Consultants LLP is all set to use the following sales strategies to attract customers. The sample proposal for counseling services will include the followings-

  • Introduce our private consulting firm by sending introductory letters with our brochure to key stakeholders in Corporate, Religious Institutions, Families, and Smethport – Pennsylvania.
  • Print flyers and business cards and drop them strategically in offices, libraries, public facilities and train stations and more.
  • Use close friends and family to spread the word about our private consulting firm.
  • Put information about our private consulting agency on bulletin boards in places like schools, libraries and local coffee shops.
  • Placing a small or classified ad in the newspaper or a local publication about our private consulting firm
  • Advertise our private consulting firm in relevant educational magazines, newspapers, television stations and radio stations.

Sales Monthly

Well, here is a chart below where you can find monthly sales.

Private Counseling Practice Business Plan

Sales Yearly

We are also exploring the market and its sales in the marketing plan for counseling center . Well, the counsellng is doing well, as you can see in the chart below.

Private Counseling Practice Business Plan - Seles Yearly

Sales Forecast

Excellent work.

excellent work, competent advice. Alex is very friendly, great communication. 100% I recommend CGS capital. Thank you so much for your hard work!

We were able to critically explore the private consulting market, explore our opportunities in the industry, and we were confident and able to come up with the following sales forecast. Sales forecasts are based on data collected in the field and some strange assumptions for similar startups in Smethport – Pennsylvania.

Below are the sales forecasts for USA Private Consultants LLP, which are based on the location of our personal training and training company, and of course the wide range of training we offer-

Private Counseling Practice Business Plan

  • First financial year : $150,000 to $400,000
  • Second financial Year : $350,000 to $500,000
  • Third financial year : $500,000 to $550,000

 Personnel plan

Company staff.

Considering the above counseling services, we have decided to appoint qualified and competent hands to hold the following posts;

  • Chief Partner / CEO
  • Psychologists, social workers and marriage counselors
  • Office Administrator
  • Marketing executives
  • Customer Service Administrator

Average Salary of Employees

Well, this is the most important process for counseling private practice business plan . However, in the table below we have mentioned all the details about the salary.

Financial Plan

In setting up a private counselling practice business plan, size, or cost depends on the approach and size you want to undertake. If you rent a space and want to go big, you will need a large amount of capital as you need to make sure your employees take good care of you.

Important Assumptions

According to our assumptions, we will follow this plan to increase our business naturally. If there are any natural disasters, we control the things of our human condition. You can see the map.

Break-even Analysis

The Break-Even Analysis is based on our private counseling practice business plan to reach the level in only one year.

Private Counseling Practice Business Plan - Break-even Analysis

Projected Profit and Loss

Our private counselling practice business works well, but we don’t cover the monthly budget, so we try to cover it for the next four months.

Profit Monthly

The monthly profit chart will be as below-

Private Counseling Practice Business Plan - Profit Mounthlt

Profit Yearly

The yearly profit chart will be as below-

Private Counseling Practice Business Plan - Profit Yerly

Gross Margin Monthly

The below gross margin lines are showing the future figures, and we hope they will get thicker by the time.

Private Counseling Practice Business Plan - Gross Margin Monthly

Gross Margin Yearly

Slow, dense lines, as we can see. This year we will cover.

Private Counseling Practice Business Plan - Gross Margin Yearly

Projected Cash Flow

The psychotherapy finances or cash flow can be seen below where we can not only get out of debt, but also find profits.

Projected Balance Sheet

Business ratios.

Download Private Counseling Practice Business Plan Sample in pdf

OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

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The 13 Best Online Therapy Services That Are Tried, Tested, and Expert-Approved

We tested 80 online therapy providers: these are the ones we recommend

Hannah Owens is the Mental Health/General Health Editor for Dotdash Meredith. She is a licensed social worker with clinical experience in community mental health.

online counselling business plan

Simone is the health editorial director for performance marketing at Verywell. She has over a decade of experience as a professional journalist covering mental health, chronic conditions, medicine, and science.

online counselling business plan

Steven Gans, MD is board-certified in psychiatry and is an active supervisor, teacher, and mentor at Massachusetts General Hospital.

online counselling business plan

Katelynn Rigano is a qualified expert in mental health. With experience on both clinical and consumer ends of mental health, she has hands on experience when it comes to evaluating products and services geared towards health and wellness.

online counselling business plan

Online therapy should make it easier to care for your mental health in a way that fits your life and budget. Some estimates suggest 70% of Americans can’t access traditional, in-office therapy because of various obstacles, including cost, lack of public transportation, and therapist shortages.   Online therapy —i.e. therapy conducted virtually through phone calls, video chats, emails, and text messages—can help bridge this gap for anyone seeking mental health support. Research suggests that online therapy can be just as effective as face-to-face sessions, and therapists agree. “While individual preferences exist, most people can benefit from online therapy, with comparable outcomes to in-person sessions,” says Amy Marschall, PsyD, a clinical psychologist and subject matter expert.

  • How We Tested

To help you find the most affordable, quality service for your needs, Verywell Mind editors and experts signed up and tested the services ourselves for a minimum of a month to evaluate each service’s cost, convenience, therapist qualifications, and user care. For more diverse perspectives, we then surveyed over 10,000 users at 80 different online therapy companies and directories. We also sent questionnaires to each company and evaluated each service with the help of three licensed therapists to compile this list of online therapy services we stand behind.

Read more about our company methodology and directory methodology here.

13 Best Online Therapy Services of 2024

  • Best for Availability: BetterHelp
  • Best for Couples: ReGain
  • Most Comprehensive: Talkspace
  • Best for Psychiatry: Talkiatry
  • Best for Anxiety and Depression: Brightside
  • Most Affordable: E-Therapy Cafe
  • Best for Flexibility: Thriveworks
  • Best Range of Specialties: LifeStance Health
  • Best With Insurance: Teladoc
  • Best for Family Therapy: Little Otter
  • Best for LGBTQIA+: National Queer and Trans Therapists of Color Network
  • Best for Black Communities: Therapy For Black Girls
  • Best Without Insurance: Open Path Collective

There have been some concerns raised by the Federal Trade Commission (FTC) and several government officials about what user health information online therapy providers collect and what they do with any information they collect.

When choosing an online therapy provider, we recommend that you read the company’s privacy guidelines before you sign up to better understand whether it is HIPAA-compliant and whether it shares any private information with third parties.

  • Our Top Picks
  • E-Therapy Cafe
  • Thriveworks
  • LifeStance Health
  • Little Otter
  • National Queer and Trans Therapists of Color Network
  • Therapy For Black Girls
  • Open Path Collective
  • See More (10)
  • Compare Providers

How We Tested and Reviewed Online Therapy Services

Best for availability : betterhelp.

  • Price: $70 to $100 per week
  • Is Insurance Accepted?: No
  • Type Of Therapy: Individual Therapy

Verywell Mind readers get 20% off their first month of BetterHelp membership.

This offer is a partnership between Verywell Mind and BetterHelp. If you click this link and sign up for the BetterHelp membership, we will receive a commission. Learn more.

In the United States in 2020, a little over 28% of Americans could not receive the mental health care they needed. There are many reasons for this, but one of the main ones is that many people live in therapy deserts —regions where there are not enough mental health providers to meet demand. That is why BetterHelp stood out to us during our test of 80 services, surveying over 10,000 people: Not only does it have a network of over 30,000 therapists, but this network serves all 50 states and over 200 countries, allowing almost anyone to easily and quickly access the talk therapy they need.

Has a network of over 30,000 providers

Available in all 50 states and 200 countries

Therapist bios available prior to sign-up

Relatively thorough intake questionnaire

Sessions can take place via audio call, video call, live chat, or asynchronous messaging

You cannot choose your own therapist at sign-up

Only one subscription plan available

Will redirect you to a sister site if you want couples or teen therapy

Company engages in surge pricing

We had seven different people from various locations (including New York, Ohio, and the United Kingdom) sign up for therapy at BetterHelp , and we were particularly impressed with the company’s availability.

In addition to its network of over 30,000 therapists in all 50 states and 200 countries internationally, it was easy to schedule weekly sessions with our therapists through the BetterHelp app.

Most had a variety of session times available, making it easy to fit in over a lunch break at work or later in the evening. 

We also appreciated the unlimited asynchronous messaging between sessions, emphasizing availability even more. It was nice to be able to message therapists after hours when something was bothering us, to receive helpful worksheets based on topics we’d discussed in session, or to resolve scheduling issues. 

“On using the messaging option to reply, I found [my therapist] very responsive. It was apparent she took the time to consider my messages and provide supportive replies.”

  • Helen, who turned to BetterHelp to help her feel more confident in her parenting decisions

Not everything was great, though. The quality of replies we received to our between-session messaging did vary by therapist, with some therapists defaulting to scripted or rehearsed responses rather than responses personalized to our messages. In addition, we sometimes had technical issues during our sessions, with occasional lagged video and audio cutting out.

BetterHelp only offers one therapy subscription that includes:

  • Four live video sessions per month via phone call, video, or online chat
  • Unlimited asynchronous text, audio, and video messages between sessions
  • An online journal that your therapist has access to 

The price of this plan varies from $70 to $100 per week, though you are billed monthly upfront (which means you’ll pay between $280 to $400 once a month before attending therapy). This range in prices is because the company engages in surge pricing, which means you will pay a different amount depending on where you live, your therapy needs, your financial situation, and the demand for mental health care at the time you sign up. 

You will likely have to pay this subscription fee out-of-pocket because unlike some of the other companies on our list, BetterHelp does not accept health insurance. 

When we surveyed 105 current and former BetterHelp users, most had a generally favorable impression of the services they received. 

Most users (86%, to be precise) rated the company good, very good, or excellent overall, and roughly the same amount (87%) rated their therapist’s qualifications the same way. In addition, three-quarters of our surveyed users said all or most of their needs were met by their BetterHelp therapist, and just a little more than that said they were likely or very likely to recommend the company to others. 

Of those that had tried another therapy service, 84% rated the services they received at BetterHelp better than those they’d received in the past.

Best for Couples : ReGain

  • Price: $260-$360+ per month
  • Type Of Therapy: Couples Therapy, Individual Therapy

Verywell Mind readers get 20% off their first month of ReGain membership.

This offer is a partnership between Verywell Mind and ReGain. If you click this link and sign up for the ReGain membership, we will receive a commission. Learn more.

Research has found that couples counseling isn’t just for when your relationship is on the rocks—it can be helpful for anyone in a romantic relationship who’d like to improve communication, trust, and intimacy with their partner. That’s why, after reviewing 80 different online therapy companies and over 10,000 users, we recommend ReGain , which specializes entirely in relationship therapy. You can sign up alone or with your partner, or start alone and invite your partner later—making ReGain a great choice for anyone in any kind of relationship.

Specializes exclusively in relationship therapy

Sign-up process is detailed to make the best therapist match

You and your partner can access sessions from different places 

Sign up alone, with your partner, or invite your partner later

Couples can attend joint sessions from different devices or locations

Therapist is chosen for you

Surge pricing policy means you may pay more depending on where you live and demand for therapy at sign-up

We asked five people (with and without their partners) to sign up and test ReGain and overall, we were impressed with the accessibility, convenience, and flexibility ReGain offers. We could schedule sessions at almost any time of day, including evenings and weekends, and could communicate with our therapists via video, audio, or live chat, so no matter how busy we were, we could find a time and type of therapy that worked for us.

We and our partners could also access our video sessions from separate locations, making ReGain exceptionally accommodating.

The therapists we worked with were professional, listened to us, and could meet our needs, whether that meant providing suggestions about improving communication or offering parenting advice.

“Our experience with our therapist was wonderfully positive. She was qualified, attentive, and did great work with us.”

  • Amy, a licensed psychologist who tried ReGain with her partner

Some also shared worksheets to review in between sessions. And unlike other companies offering relationship therapy, ReGain gave us the choice of signing up alone, with a partner, or starting alone and inviting a partner later, a nice touch for anyone in a relationship where one partner is reluctant to start therapy. 

However, despite offering relationship counseling for individuals, we found that our therapist in this circumstance was not supportive, and openly acknowledged that she did not understand why we were seeking relationship therapy without our partner—this judgment made our session awkward. We had much better luck with ReGain’s traditional couples therapy.

We also found 45 minutes to be on the shorter side for a couples session where two people had to talk. (Traditional couples therapy lasts 60 to 90 minutes for each session.)

This sometimes meant that we brought up issues in therapy that we did not have time to fully address in that session, creating tension between us and our partners until our next appointment.

There is only one type of subscription plan at ReGain, which includes:

  • Unlimited asynchronous joint messaging with your therapist
  • One 30- to 45-minute live video session per week

This plan's cost ranges from $260 to $360 per month ($65 to $90 per week), depending on your location and therapist preference due to the surge pricing policy of its parent company, BetterHelp. A scholarship option is available if you apply and are willing to share details about your financial situation.

The results of our survey of 105 new and former ReGain users were generally positive. Most (88%) of the users we surveyed said the qualifications of the therapist they were matched with were good, very good, or excellent, and more than three-quarters rated ReGain as good, very good, or excellent overall. 

In addition, four out of every five survey respondents said their therapist met most or all of their needs, while almost three out of four respondents said they were likely or very likely to recommend ReGain to a friend.

Most Comprehensive : Talkspace

  • Price: $69-$109 a week for therapy, billed monthly; $65 for additional sessions
  • Is Insurance Accepted?: Yes
  • Type Of Therapy: Couples Therapy, Individual Therapy, Medication Management, Psychiatry, Teen Counseling

Get $85 off your first month using promo code VERYWELL85 .

When you’re new to seeking therapy, you may not always know exactly what kind of therapy you want. For example, maybe you’re experiencing issues in your relationship and also struggling with depression and are not sure if individual or couples therapy makes more sense. Or, maybe you’re not sure if you should see a therapist or a psychiatrist for your anxiety. That’s why Talkspace stood out to us during our testing and when compared to the 79 other companies we reviewed: it’s a one-stop shop for virtual mental health treatment, offering individual therapy, couples therapy, teen therapy (ages of 13 to 19), and psychiatry, while also specializing in care tailored to veterans and the LGBTQ+ community .

Multiple subscription plans available to meet different needs and budgets

Numerous health insurance plans are accepted

Therapy available in all 50 states

Can sign up for individual, teen, couples therapy and psychiatry services

Website has helpful blogs and articles about mental health

You cannot find subscription prices until you begin the sign-up process

Frequent technical issues when joining sessions

To thoroughly test Talkspace and all its different services, we had ten people from a variety of different backgrounds, professions (including some therapists), and locations (from New York to South Dakota) sign up for its multiple subscription options. Overall, we were impressed with the company’s comprehensive options and quality of care. 

With a network of 3,000 therapists across all 50 states, we were pleased with how well the company matched us with qualified, competent, affirming providers, regardless of whether we signed up for individual, couples, or teen therapy.

“[My therapist] used some cognitive behavioral and mindfulness techniques to help me manage anxiety and stress. She also ended the session with a breathing exercise, which was a nice transition back into my day.”

  • Amy, a therapist who tried Talkspace for us

We also like that Talkspace offers several different methods of communication (including live chat, asynchronous messaging, phone calls, or live video sessions) and a range of other subscription plans for individual and teen therapy.

The cheapest plan includes just asynchronous messaging with your therapist, which allows you to message them whenever you want and receive at least one response five days a week, Monday to Friday. This format worked especially well for our teens, who were more naturally comfortable with texting. However, we found the quality of responses we got back from our therapists varied wildly. Sometimes the answers were thoughtful and personalized; at other times, they were robotic and superficial. Still, overall, we found our Talkspace therapists to be qualified, caring, and attentive to our needs.

We were disappointed, however, to find that Talkspace’s live video or audio sessions are only 30 minutes long, which is shorter than the other online therapy companies we tested (and most in-person therapy too).

While the shorter session time does make it easier to slot therapy into busy schedules (like your lunch break at work), it does make it challenging to have the time to delve into more serious issues you might be experiencing.

If you sign up for individual or teen therapy, you can choose between three therapy subscription plans, which range in price from $69 to $109 a week (though you’re billed monthly and upfront). The plan options include messaging only; video and live messaging therapy; or video, messaging, and workshop therapy (though in our experience, the workshops were not worth the extra cost due to the limited topic options and times available). 

There is only one couples therapy plan, which costs $109 a week (billed monthly) and includes one live video session a week and messaging therapy. 

Psychiatry services are considered add-on services and are billed per session, not as a subscription. Your intake session will cost $249 and include a full psychiatric evaluation. Follow-ups then cost $125.

Of the 105 new and past Talkspace users we surveyed, nine out of 10 users rated their overall experience at Talkspace as excellent, very good, or good. Not only that, but a whopping 97% of those that had tried another online therapy service said Talkspace was much better, better, or a little better than others they’d tried in the past.

Three out of four users also said they’d return to Talkspace if they ever needed to find a new therapist, while 82% said they would recommend Talkspace to a friend or someone like them.

Best for Psychiatry : Talkiatry

  • Price: Depends on your insurance
  • Is Insurance Accepted?: Yes. BCBS, Cigna, UnitedHealthcare, Aetna, Tricare, Medicare, and others
  • Type Of Therapy: Individual Therapy, Medication Management, Psychiatry

Although access to psychiatric services and medication management is critical to mental health and quality of life, an estimated 50% of U.S. counties don’t have a single practicing psychiatrist. Talkiatry ’s online psychiatry services can help address a dire need, connecting you to providers licensed in your state but who might otherwise be too far away for you to make an in-office visit. The company offers affordable, convenient medication management. We particularly like that while Talkiatry narrows down a list of psychiatrists it thinks might be a good match for you, the choice is ultimately yours. This is why, of the 80 companies we tested and 10,000 users we surveyed, Talkiatry stood out to us as the best resource for online psychiatry.

Team of board-certified psychiatrists

Free initial consultation

Select your own psychiatrist from a list Talkiatry recommends based on your needs

Hour-long first consultation

Easily switch psychiatrists

In-network with most major insurance carriers

Available in 43 states

Not available nationwide

Need to email for a self-pay quote

Doesn’t ship medication to you

Talk therapy only available via referral from your Talkiatry psychiatrist

$100 fee for canceling or rescheduling with less than 48 hours’ notice

In over six months of reviewing online mental health companies, we’ve found that many online psychiatry services generally offer impersonal care and rushed sessions—but that was not the case with Talkiatry during our testing, which we tried twice in New York.

We were especially impressed with the thoroughness of the questionnaire and intake session (which lasted 60 minutes—more than twice as long as intake sessions at other companies we tried).

We found our psychiatrists warm and approachable. Our appointments began on time, and our psychiatrists were very welcoming. Thanks to the longer session time, we felt we had the time to discuss our treatment history and give the psychiatrists the time to develop a personalized treatment plan.

“[My psychiatrist] spent more time asking me about things that went beyond just my immediate symptoms: We spoke about my mother, my childhood, and my relationships with my father, siblings, and husband, as well as about my experience of becoming a mother and the emergency c-section I’d had and my postpartum experience.”

  • Simone, a Verywell Mind editor who has used Talkiatry for two months and counting

We left with all our questions answered and knew what to expect moving forward. And keeping with the practice of extended sessions, Talkiatry’s follow-up psychiatry sessions last 30 minutes—twice as long as its competitors.

Talkiatry also stood out to us because it accepts most major health insurance plans—and you can quickly check if your plan is accepted and what your copay would be before signing up. This is a big deal considering that, in the U.S., only a little over half (55%) of psychiatrists accept insurance, compared to 89% of other board-certified doctors and specialists —which means it can be tough to find affordable psychiatric care, even online. That said, if you do not have insurance, this is not the company for you because it only accepts patients with insurance.

Talkiatry isn’t a subscription service. Instead, you pay per session with your psychiatrist plus the cost of any prescribed medication. The price you pay per session will depend on your insurance.

The 105 Talkiatry users we surveyed had overwhelmingly positive reports of their time with the company. Nearly all (95%) of users said the services they received at Talkiatry were good, very good, or excellent, and more than two-thirds felt their psychiatrist met most or all of their needs. Users also told us that Talkiatry’s reasonable cost (thanks to insurance) was one of the top three reasons they chose to use the company and 81% were satisfied or very satisfied with the selection of psychiatrists Talkiatry offered. Nine out of 10 said their psychiatrist’s qualifications were good, very good, or excellent.  

In regards to what their specific psychiatrist did particularly well, 85% said their provider had a good, very good, or excellent bedside manner, and 58% said they felt their provider really listened to them. Seventy percent of users said they’d come back to Talkiatry if they needed a similar service again, and nearly 90% would recommend Talkiatry to a friend, making it a no-brainer for us in terms of psychiatric care.

Best for Anxiety and Depression : Brightside

  • Price: $95-$349 per month

Two of the most common mental health conditions in the United States are anxiety and depression: Approximately 40 million adults are affected by anxiety-related disorders, and 17.3 million adults are affected by depression. That’s why a mental health service specializing exclusively in treating those conditions makes a lot of sense—and Brightside was the company that did best in our testing of 80 companies and over 10,000 users because it offers accessible, affordable therapy and psychiatric medication management.

Specializes in anxiety and depression

Provides both therapy and psychiatry services

Free assessment available

Free self-care resources without needing to sign up

Matches you with a provider

Only accepts five insurance providers

You can’t choose your own therapist

No same-day appointments

We had two people try out Brightside ’s services from different parts of the country (North Carolina and New York) so that we could get a sense of the company’s quality of care—and we were impressed. By specializing entirely in treating depression and anxiety disorders (including generalized anxiety disorder, panic disorder, and social anxiety) through talk therapy and (if appropriate) medication, the company has streamlined its service to be effective, reliable, and affordable regardless of where you live. We were also particularly impressed with its self-care services—a bonus to its therapy and medication management plans—that include self-paced audio lessons and exercises you can try between therapy sessions. 

The company uses cognitive behavioral therapy , or CBT, as the core of its talk therapy treatment plans. This evidence-backed therapy approach is frequently used to treat depression and anxiety because it can be very effective, including virtually.

“[My therapist] did a really good job of weaving bits of personal information about herself into our discussions to help me feel more connected.”

  • Ashley, a mom who turned to Brightside to deal with anxiety and stress

Our live sessions were 45 minutes and held over video calls at convenient times, including evenings and weekends. Thanks to the messaging feature, we could message our therapist anytime through our portal. Some therapists also sent us worksheets and other CBT materials to read through that same messaging portal, which we appreciated, since it helped us feel supported during our therapy journey.

Something else that stood out to us during our testing was how thorough the intake process was: It took about 15 minutes to complete and involved two different assessments, one to assess us for symptoms of depression and one to evaluate us for signs of anxiety. Based on our experiences, if you are looking for structured, solution-focused support, especially for anxiety and depression, we highly recommend Brightside.

Brightside has three subscription plans, all of which can be offset if you have an in-network insurance provider. 

  • Medication only : $95 per month, plus your pharmacy copay or $15 for medication; includes an initial 15-minute video consultation with a psychiatrist, ongoing provider care and monitoring, and self-care tools to use at your own pace
  • Therapy only : $299 per month; includes unlimited messaging and, after an initial 45-minute session, one 30-minute therapy session per week (additional video sessions can be purchased for $59 per session)
  • Therapy + medication : $349 per month; includes everything in the other two plans

The 105 users of Brightside we surveyed had similarly positive experiences with the company. Nearly all (90%) of users gave the company an overall rating of good to excellent, and three-quarters said they were likely or very likely to recommend Brightside to a friend. In addition, four out of five reported that their therapist’s qualifications were good, very good, or excellent, and the majority (62%) said they would use the service again if they were starting over with the process of searching for a therapist.

Most Affordable : E-Therapy Cafe

  • Price: $55-$65 per session

The cost of therapy is often the reason why people opt out of it and, unfortunately, the number of people who can’t afford therapy is rising: 42% of adults with a mental illness say they were not able to get the treatment they needed because they could not afford it. This is why we recommend E-Therapy Cafe as the most affordable option over the other companies we tested: it’s a company that, while small, is trying to close that gap by offering affordably priced therapy. We liked that it pulls out all the financial stops with discounts, insurance reimbursements, and financial aid, making online therapy with E-Therapy Cafe more affordable and accessible.

Easy to find prices on the website

All therapists are licensed and life coaches are certified

Discounts for students, veterans, and first responders

You can choose your own therapist for a better fit

Customer service is responsive and helpful

No psychiatry offered

Sessions don’t carry over if you don’t use them all within a month

There are more coaches than licensed therapists

We asked four people to sign up for E-Therapy Cafe in Colorado, California, and Michigan, and we were overwhelmingly surprised with how well this company delivers on its promises of quality, affordable care. Yes, its sessions are only 30 minutes long—short for individual therapy and especially for couples therapy—but the company has the lowest out-of-pocket subscription therapy prices of all the companies we reviewed. It delivers on its mission statement of helping people “get unstuck.”

“[My therapist] was kind and attentive. From the way he responded and what I read of him in his impressive bio, he seemed very qualified to talk me through some of the things I brought up. He was able to validate my feelings and encourage me as I work through them and in the end, I was very happy with who the company chose for me.”

  • Sadie, who needed flexible scheduling like late-night sessions and found that at E-Therapy Cafe

Across the board, our therapists were well qualified and included a range of specializations and credentials, such as licensed therapists, social workers, and certified life coaches. (Bear in mind that coaches are not held to the same licensure standards and laws as licensed therapists.)

Our coaching sessions focused mainly on goal-setting, decision-making, and behavioral changes—rather than delving deeper into historical and emotional issues—and were as helpful as the sessions with licensed therapists.

Throughout our testing, we had multiple ways to access sessions at E-Therapy Cafe: We could choose between live video sessions, live audio sessions, real-time chat, and e-journaling, which was a format unique to this company and involved writing a 700-word entry to our therapist, which they would then read and respond to in their own time with a letter back to us.

However, we don’t recommend the e-journal format; we missed the real-time responses and personal connection of a live conversation with a therapist.

(When we tested the journal, it was included in our subscription price—it’s now offered as a separate service.)

We appreciated that we could schedule at many different hours, timing our sessions after work, with one as late as 9 p.m. In fact, we enjoyed the service so much that we considered using it even after our testing period ended.

E-Therapy Cafe allows you to pay per session ($55 for your first trial session, then $65 for each session afterward) or sign up for one of its subscription plans:

  • ETC Flex: Eight sessions per month with your therapist; costs $470 a month
  • ETC 90: 24 sessions over a 90-day period; costs $440 a month
  • ETC Reflect: Digital journal/email sessions for between-session support; costs $65 each
  • ETC Pet : Emotional Support Animal subscription with one therapy session; costs $170

Subscription plans and pay-as-you-go rates apply to individual and couples therapy and coaching sessions. 

While E-Therapy Cafe’s team of therapists is smaller than its competitors, most of the 105 users we surveyed (80%) said they were either satisfied or very satisfied with the selection of therapists available. In addition, nearly every user rated the company as good, very good, or excellent, and 90% said they found the therapists’ qualifications to be top-notch (despite the confusion surrounding coaches versus licensed therapists). More than three-quarters of users reported that they’d try E-Therapy Cafe again if they needed to go searching for a new therapist, and most (89%) of those that had tried online therapy somewhere else thought the services they received from E-Therapy Cafe were better.

Best for Flexibility : Thriveworks

  • Price: $160 - $240 per therapy session, $300 - $375 for initial psychiatry/medication management session, $210 - $300 for follow-ups
  • Type Of Therapy: Couples Therapy, Family Therapy, Group Therapy, Individual Therapy, Medication Management, Psychiatry, Teen Counseling

When it comes to taking care of yourself, including your mental health, lots of things can get in the way, like work commitments, childcare issues, school, family commitments, and financial limitations. This made Thriveworks stand out in our research against the other companies we tested: it makes finding time for therapy really convenient. You can schedule same-day or next-day appointments, as well as early morning, late evening, and weekend appointments. It accepts health insurance, offers a variety of therapy types (including individual therapy, couples therapy, child/teen therapy, family therapy, and psychiatry), and even offers in-person or hybrid therapy through its 380 centers across all 50 states (though many states only had one location listed).

Same-day appointments are available

Multiple ways to connect with therapists

Accepts a wide range of insurance plans

Self-pay is an option

Lenient cancellation policy

380+ in-person locations

Not available in every state

Messaging is unavailable

Children’s services not available everywhere

We asked four people to sign up and test Thriveworks ’s therapy services to understand its different therapy offerings (including therapy for adults, kids, and families) and level of care across various states (including Kentucky, Massachusetts, Missouri, and Kansas). Overall, we were impressed.

With such an extensive network of over 3,000 social workers, therapists, professional counselors, psychologists, and psychiatrists and 380 in-person locations, it’s able to offer a level of flexibility to its users that most other companies were not: multiple therapy types, early morning, evening and weekend session times; and the option to do virtual, hybrid, or in-person therapy depending on where you live.

We could choose our therapist at Thriveworks during sign-up from a list of providers in our state, and we liked this flexibility. We could filter through the list by location, conditions the providers can treat, insurance plans accepted, and type of therapy offered. However, we were a little disappointed that the therapist bios were short, and there wasn’t any filter to search for therapists that were LGBTQ+ friendly or had experience treating people with disabilities—both factors that were important to us in our testing.  

Throughout our testing, we found our therapists to be warm, skilled, and qualified, making us feel like we were seeking care at a cozy private practice, not a giant national company.

We were especially impressed with our therapists’ thoroughness during our intake. Rather than just asking open-ended questions (like “What are you looking to get out of therapy?”), the therapists asked specific, detailed questions so we could get to know each other quickly. Our therapist was so thorough in one intake session that we went over by 25 minutes at no extra charge.

“Therapists follow different theoretical orientations and approach work with clients differently, which is wonderful because every client has different needs and deserves a therapist they click with. While my therapist did not have extensive training in ADHD or neurodiversity-affirming care, I still felt affirmed by her approach.”

  • Amy, a licensed therapist living with ADHD

The biggest drawback to Thriveworks is that there are differences in what services are offered depending on where you live. For example, while we wanted to test virtual therapy for kids in Kentucky, we could not because no providers were available—and the closest brick-and-mortar location was too far of a commute. 

Plans and pricing with Thriveworks aren't as straightforward as other online therapy companies. Pricing depends on the provider you choose and the treatment you receive. If you’re paying out of pocket, you can expect prices to start at $99 per session. But Thriveworks also accepts a wide range of insurance plans, such as Blue Cross, Anthem, Optum, UnitedHealthcare, Aetna, Cigna, Humana, and more. If your insurance is accepted, you’ll likely only be responsible for your copay. 

Of the 105 users we surveyed that had used Thriveworks for their therapy needs, nearly half said that morning, evening, and weekend availability was important to them when choosing an online therapy service—and nine out of 10 rated the company as good, very good, or excellent overall and four out of five said they would recommend Thriveworks to a friend or someone like them. 

In the end, more than three-quarters of survey respondents (78%) said they found a provider who met most or all of their needs at Thriveworks.

Best Range of Specialties : LifeStance Health

  • Price: $150-$300 per session out-of-pocket
  • Type Of Therapy: Children's Therapy, Family Therapy, Group Therapy, Individual Therapy, Medication Management, Psychiatry, Teen Counseling

No two people need the same thing out of therapy. For example, if you’ve just given birth and you think you might be experiencing postpartum depression, your needs might be different from someone who has been dealing with depressive thoughts since they were a child. That’s why we choose LifeStance Health for our list: Its therapists have the most comprehensive range of specialties of any of the 80 companies we reviewed. Not only that, but it caters to kids, teens, adults, couples, and families; accepts numerous insurance plans; provides psychiatric services; and offers both in-person and virtual care.

Access to a diverse range of mental health professionals

Treats more conditions than most online therapy companies

Teletherapy and in-person appointments may be available within a week of sign-up

Switching therapists is simple and quick

You can cancel service at any time, no questions asked

Accepts insurance

No online pricing guide

Doesn’t serve 16 states, including the Dakotas and Connecticut

No way to personalize session details, such as length of session or live chats at a specific time

Cannot message therapist outside of sessions

Asks for a payment method immediately upon signing up

We had four people sign up and test LifeStance Health’ s individual adult therapy, couples counseling, and family therapy services in four states: Florida, Illinois, Oregon, and New York, respectively. What stood out most to us was the 42 different mental health issues and conditions its providers were qualified to treat—way more than at any other company we tested.

Initially, we were concerned that in the attempt to “do it all,” the care we’d receive at LifeStance Health would feel impersonal, but that was not the case. The therapists we met with for individual therapy were compassionate and attentive, making us feel heard. In couples therapy, we appreciated how well both therapists we worked with were able to guide the conversation with insightful questions so both partners could feel heard, involved, and understood.

“I liked both therapists that I had sessions with. They seemed to really want to help and were ready to listen to anything I had on my mind.” 

  • Laura, who tried both individual and couples therapy through LifeStance

We found LifeStance to be an excellent choice for someone seeking online therapy from a specialized therapist for a wide variety of conditions , including depression, anxiety, and postpartum anxiety or depression . You can schedule appointments with a psychiatrist and in-person sessions if your diagnosis requires it (as may be the case with schizophrenia or bipolar disorder). We also appreciated that we could choose our therapist, too, and there were plenty to pick from during sign-up (as many as 700 when we signed up for couples therapy, for example).

The therapists at LifeStance are racially and culturally diverse, and we could filter the therapist list to find providers with gender identity, sexual orientation, and language spoken when that was important to us. 

However, we encountered some issues when trying to sign up for family therapy because there wasn’t a therapist available in our state to take new patients. Despite calling customer service and speaking with the director of operations, we were never able to schedule a family therapy session—we opted for individual sessions instead—so it’s important to note that the number of types of therapy and specializations does vary across the 33 states LifeStance serves. 

LifeStance Health is not a subscription service, meaning you pay per therapy session you book. How much you pay for those sessions then varies based on what therapist you work with, what kind of care you need, and whether you have health insurance.

You can check whether your health insurance is accepted directly on the website, and if your plan is in-network, you will likely pay a copay. If you’re paying out-of-pocket, sessions range from $75 to $300 per-session for individual talk therapy (for adults, kids, or teens), couples therapy, or family therapy. 

Psychiatric consultations range from $200 to $300 per session; follow-ups cost between $150 to $250.

Of the 105 users of LifeStance we surveyed, almost nine out of ten rated the company’s services as good, very good, or excellent overall, and an overwhelming majority (90%) felt the same about the qualifications of their therapists. 

Nearly three-quarters of survey respondents could use their insurance to pay for therapy, and 22% indicated that having access to in-person sessions was important to them in their search for mental health care. All in all, 73% of users found a therapist at LifeStance who met most or all of their needs. Seventeen percent of users sought psychiatry services through LifeStance, and nearly 9 out of 10 rated its psychiatry services as good, very good, or excellent.

Best With Insurance : Teladoc

  • Price: $0-$299
  • Type Of Therapy: Couples Therapy, Individual Therapy, Psychiatry, Teen Counseling

The average cost of talk therapy , when paid out-of-pocket, can be as high as $200 per session, which means you might need to spend $800 a month for your mental health care—or more if you also need to see a psychiatrist and take medication. This can make mental health care unaffordable to a lot of people (especially considering the median household income in the US is $70,784), and while the Affordable Care Act made it easier to use health insurance to cover mental health treatment, not all therapists accept insurance because of the high administrative burden (read: paperwork) and low reimbursement rates from insurance companies. This made Teladoc stand out in our testing of 80 companies and over 10,000 users: It accepts 60 different insurance plans, which is more than any other company we tested, including some Medicare and Medicaid plans.

Available in all states

Medication management offered

Choose your own therapist

Couples therapy available

Limited insurance information prior to sign-up

No free trials or discounts

Company does not focus on therapy

We had three people from Missouri, California, and Texas sign up for and test online therapy services at Teladoc , and overall, we had a great experience. Not only could we use our insurance to pay for therapy—a rarity in both the online and in-person therapy worlds—but we were pleased that Teladoc accepts 60 different insurance plans, including Medicare and Medicaid in some places (another rarity). 

We also didn’t feel like we were skimping on quality for affordability at Teladoc because the quality of care we received was outstanding.

“I met with two different therapists over the course of a month, and I found both to be knowledgeable and empathetic. In each session, the provider offered the option of homework but was very clear they didn’t want to add to my plate as a mom of four.”

  • Mary, a busy parent who needed flexible and affordable care

We found Teladoc’s team of accredited psychiatrists, psychologists, counselors, and social workers to be highly qualified and available to support numerous mental health needs, including anxiety, depression, grief, work-related stress, and trauma. Our therapists were friendly and compassionate, though one seemed a bit clinical in the first intake session, where they appeared to be reading from a list of questions, which stunted the natural flow of conversation a bit. However, this therapist warmed up over time so that, in the end, we found all the therapists to be attentive, caring, and good listeners. 

Admittedly, Teladoc doesn’t have a super thorough intake process.

When we signed up for therapy, we just had to fill out a short online form that consisted of sharing our demographic information, then picking a reason for why we were seeking therapy (and there were only six reasons to choose from—COVID-19 concerns, anxiety/depression, drug/alcohol addiction, family/relationship issues, stress, or other) and answering five quick questions.

Then we were shown a list of therapists that might be a match, but we could also pick whoever we wanted based on their availability. Being able to choose our therapist was something we liked: we didn’t feel saddled with someone an algorithm chose for us. We also appreciated that once you do pick a therapist and begin seeing them regularly, you can message them between sessions through your patient portal. 

Teladoc doesn’t have a subscription therapy plan. Instead, once you’ve selected your therapist, you pay per session or psychiatry visit. However, the price is the same out-of-pocket no matter who your therapist is: $99 per session.

Psychiatry session prices are set too. You’ll pay $299 for your initial psychiatry consultation, then $119 per follow-up visit. However, if your insurance plan is accepted—which is highly likely, since Teladoc accepts over 60 plans—you’ll pay less out-of-pocket than either of these prices. 

Of all the 80 companies we evaluated, Teladoc scored the highest in user satisfaction: a whopping 97% rated the company as good, very good, or excellent overall.

In addition, more than four out of five users said they used their insurance to pay for services, with more than three out of five rating the company as affordable or very affordable. Eighty percent of users could find a therapist who met most or all of their needs, and an impressive 94% thought the therapist qualifications at Teladoc were excellent, very good, or good.

Best for Family Therapy : Little Otter

  • Price: $20 "welcome" session; $195 for standard therapy session; $500 for general psychiatry evaluation; $250 for follow-up psychiatry sessions
  • Type Of Therapy: Children's Therapy, Couples Therapy, Family Therapy, Teen Counseling

In the U.S., one in five kids lives with a mental health condition, but finding treatment for those kids is not easy, which is why only about 20% of kids with a mental health condition receive the treatment they need. There simply aren’t enough therapists that treat kids, especially in “therapy deserts,” or places where mental health resources are already scarce. Even online, most companies only treat teens if they treat children at all. But that’s why Little Otter stood out amongst the 80 companies we reviewed: It specializes in treating this underserved demographic by offering therapy and psychiatry services for children from birth to age 14. Plus, it offers family therapy, couples counseling for parents, and parent coaching services as part of its “whole family” approach to treatment.

Treats children ages 0-14

Offers parent coaching and family therapy services

Free initial informational call

All therapy is HSA/FSA eligible

Therapy session packages are discounted

Only available in 11 states

Only accepts one insurance provider

High out-of-pocket costs

We asked three parents and their kids to sign up and test Little Otter ’s therapy for kids and parents coaching services from Pennsylvania and New York. Across the board, we were pleased with the care we received. The uniqueness of the company’s specialization and its family-focused approach stood out to us; whether your child is showing signs of depression, is dealing with bullying at school, or is having attention issues, Little Otter can help you get your child the therapy or psychiatric help they need online. Plus, since it also treats babies from birth, it’s also a resource where you can get help to sleep train your baby or learn how to deal with toddler temper tantrums. No other company we evaluated offers this kind of help.

Once we signed up for Little Otter, we and our child had a “welcome session” with a “care lead” who explained the company’s services and asked us about what we were looking for in therapy.

We appreciated how thorough the intake process was and the time the company took to figure out what treatment plan would work best.

We found that the therapists were good at developing a rapport with the kids who participated in our testing. Sessions were 45 minutes long, which is a reasonable amount of time to build trust, and joining the first session made us feel more confident in letting the children attend subsequent sessions on their own—even though our child testers were as young as 10 years old. 

"I have personal experience talking to adolescent therapists , and, based on those experiences, I was impressed with our psychiatrist. I felt she immediately understood our situation and gave us plenty of time to talk about our concerns.”

  • Laura, who had both a therapy session and psychiatry session with her young son

The parenting coaching service was also beneficial. The coaches were well-trained and thoughtful, giving us insightful tips and advice for changing our behavior to better support our children and be the parents we were striving to be. 

The most significant drawbacks to Little Otter are how few states it services—it only operates in 14 states right now—and its pricing.

Therapy sessions are $195 each, and psychiatry sessions cost even more. And unless you have one of the three insurance plans it accepts, you’ll have to pay for each session out-of-pocket.

Little Otter isn’t a subscription service. Instead, you pay per session:

  • $20 for a 30-minute welcome session with your care lead, the clinician coordinating your Little Otter care team
  • $195 for a 45-minute session with your assigned therapist
  • $500 for a 75-minute general psychiatric evaluation
  • $250 for a 30-minute psychiatric follow-up or medication management visit

There are bundles available to help reduce the cost, though (as of November 2023): 

  • Assessment bundle : $527 for a 90-minute assessment session plus one 45-minute therapy session
  • 12-session bundle : $1,989 for 12 45-minute therapy sessions

Little Otter is only in-network with Kaiser Permanente, Sana, Independence Blue Cross, and AmeriHealth insurance plans.

We surveyed 105 parents who had used or were still using Little Otter for their children's or families’ mental health needs. Over half said their therapists’ qualifications were much better than other online therapy companies. Seventy percent said their provider met most or all of their needs. 

In addition, three out of four users rated Little Otter as good, very good, or excellent overall, and more than three out of five users felt the same about the company’s value for the money.

Best for LGBTQIA+ : National Queer and Trans Therapists of Color Network

  • Price: Free to use
  • Is Insurance Accepted?: Yes. Varies by provider
  • Type Of Therapy: Children's Therapy, Couples Therapy, Family Therapy, Individual Therapy, Teen Counseling

Trans and queer people frequently experience discrimination, homophobia, and transphobia and, over time, the impact of this trauma can take a toll on mental health. That is partly why it is estimated that queer and trans people are 2.5 times more likely than cisgender or heterosexual individuals to be diagnosed with a mental health condition—and the number is even higher for queer people of color. But finding a therapist that is LGBTQ+ affirming and accepting isn’t always as easy either, which is why the National Queer and Trans Therapists of Color Network (NQTTCN) stood out to us in our testing of 80 companies and survey of over 10,000 users. It’s a nonprofit online therapist directory that intertwines social justice and mental health support to provide a multitude of accessible resources to the LGBTQIA+ community, particularly queer and trans people of color (QTPoC).

Every provider identifies as a member of the LGBTQIA+ community

Mental Health Fund available to cover financial costs

Filters make finding a provider simple

Multiple ways to contact provider prior to sign-up

Many providers accept insurance or offer sliding scale costs

Serves two Canadian provinces and 36 U.S. states

Not available in 14 states

Not all therapists in the directory accept insurance

No therapist matching service

Number of therapists accepting new clients varies by state

No psychiatrists on the directory

We tested the National Queer and Trans Therapist of Color Network (NQTTCN) across 18 ZIP codes to get a sense of how easy or difficult it was to find a therapist that might match the different therapy needs someone might have. For example, this directory out-performed 24 other similar services in how easy it was to find a Black therapist, a therapist willing to write a letter of support for hormone replacement therapy or medical transition, or a therapist that might be able to support parents with children that were non-binary or trans.

NQTTCN made it easy to find qualified, licensed therapists, behavioral health workers, psychologists, social workers, counselors, case managers, and peer support counselors who are members of the QTPoC community and/or specialize in treating this community through affirming, knowledgeable care.

All we had to do to search for a therapist was indicate our location (by city, ZIP code, or state) and select filters like languages spoken, whether they’re accepting new clients or providing telehealth, and if they offer a sliding scale or low fee. Across the board, we found a range of specialties, including identity issues, trauma, relationship conflict, and sexual wellness, across different states.

“From start to finish, my experience with NQTTCN was easy, seamless, and, honestly, rejuvenating. I quickly narrowed down providers in my area and got in touch with a provider within 10 minutes, which I consider record time. As someone who’s been both a therapist and a client, I value how this directory has taken a traditionally burdensome system and turned it into one that’s accessible to everyone.”   

  • Morgan, a mental health professional and a member of the QTPoC community

NQTTCN does not list psychiatrists, however, so if you think you need medication as part of your treatment, you will need to look elsewhere. It’s also important to note that there are not clinicians available in every state, and the number of therapists does vary by state: you’ll have more options in California (which has 27 therapists listed) than in Idaho (which has only one).

Since NQTTCN is not a therapy service, like many other companies on this list, but a directory service, each therapist on the site runs their practice and sets their rates. This means that the cost per session varies widely, though, in our testing, we found therapists with rates as low as $60 per session and as high as $200 per session listed in their bios. 

We found some therapists that accept health insurance, though, so you may be able to use your plan to reduce your out-of-pocket cost. Others don't accept insurance but do offer sliding scale rates.

For therapy seekers struggling to afford mental health care, NQTTCN also offers a Mental Health Fund that covers the cost of its therapists’ services. You can apply for the fund on the website.

When we surveyed 180 people who had used NQTTCN to find their former or current therapist, more than four of five said they were either satisfied or very satisfied with the selection of therapists in the directory, and the same number said they were pleased with their therapist’s qualifications. Three-quarters of users would recommend NQTTCN to a friend or someone like them, and 77% would use NQTTCN again if they needed to find another therapist.

Overall, 84% rated the directory as good or very good overall, and a whopping 99% of users found a therapist who met most or all of their needs.

Best for Black Communities : Therapy For Black Girls

  • Type Of Therapy: Children's Therapy, Couples Therapy, Family Therapy, Individual Therapy

Mental illness can impact anyone of any age, gender identity, background, race, or ethnicity—but when it comes to accessing treatment, there are wide discrepancies. For example, people in Black communities are far less likely to sign up for therapy because of the cost, discrimination they experience from their therapist, a traumatic history with the health systems in this country, and stigma. We found several directories and therapy companies trying to change this, but of all of them, Therapy for Black Girls stood out amongst the 80 companies we reviewed. It offers a variety of resources, including a podcast and blog, that work to de-stigmatize seeking therapy as well as a comprehensive directory of over 800 therapists (in all 50 states and 13 Canadian territories) that’s easy to navigate and filter so you can find a Black therapist near you offering individual, couples, or group therapy.

All providers are BIPOC

Blog and podcast for additional information and support

Filters for virtual vs in-person sessions, specialty, and group options

Can be matched with a therapist upon request

You can find a psychiatrist on the directory too

Serves all 50 states and parts of Canada

Hard to identify therapist specifications

Payment depends on therapist

We tested Therapy for Black Girls across 18 ZIP codes to get a sense of how easy or difficult it was to find a therapist that might match 37 different therapy needs someone might have, such as wanting to work with a Black, female-identifying therapist or a therapist that has experience with issues that arise with transracial adoptions. We were pleased to discover we could find therapists in all the ZIP codes we tested since the site also serves all 50 states and parts of Canada.  

We were very impressed with the range of qualifications, expertise, and certifications of the therapists listed on Therapy for Black Girls, and we were able to find providers who addressed culturally-specific issues like race-related stress.

We found it easy to find Christian counseling—which isn’t always easy to find at other directories or companies—as well as therapists that met more specific needs, like therapists that specialized in multi-racial adoption issues, adoption trauma, or racism trauma.

“By connecting me with someone who I know understands my identity and how that affects my life (both in and outside the therapy office), I feel like Therapy for Black Girls makes good on its goal of destigmatizing therapy for women of color who may have had negative experiences with therapy in the past.”

  • LaKeisha, a Black woman who had previously experienced microaggressions in therapy sessions

We did have some problems that are worth noting: We could not choose more than one specialty at a time, so if we were looking for a therapist that met a variety of criteria (say, one who had experience in trauma, ADHD, depression, and race-related stress), we ran into errors. Instead, we had to search by choosing one specialty at a time, then read the provider’s bios to see if they had the other experience we were looking for. We also found that when a therapist didn’t use the exact keywords that the search filters did, they would sometimes be excluded from search results (such as not coming up in the “parenting” filter because they say “postpartum” in their bio instead).

Since Therapy for Black Girls is not a therapy company but a directory, each therapist listed on the site runs their practice and sets their rates. This means that the cost per session varies widely.

In our testing, we did find it difficult to find those rates, though. While you can see whether a therapist is or is not accepting new clients clearly on the directory site, you have to dig deeper (like clicking through to the provider’s personal practice website) to find rates because most bios do not list prices or scheduling information. 

That said, we found therapists with rates that ranged from a $20 consultation to $450 an hour, with a range of prices in between (usually falling between $150 and $250). Many therapists do accept insurance, and some offer lower-cost sliding scale fees. 

We surveyed 180 therapy users that had used Therapy for Black Girls to find their current or former therapist. Of those, 84% said that the qualifications of the therapists in this directory were good or very good, and the same number said they were likely or very likely to recommend it to a friend. Eighty-three percent said they would use Therapy for Black Girls again if they needed another therapist. The directory also performed well overall, with more than nine out of 10 users rating the service as good or very good.

More impressive, though, is that 98% said that the therapist they found on Therapy for Black Girls met most or all of their needs.

Best Without Insurance : Open Path Collective

  • Price: $30 to $80 per session, one-time membership fee of $65
  • Type Of Therapy: Children's Therapy, Couples Therapy, Family Therapy, Group Therapy, Individual Therapy, Medication Management, Psychiatry, Teen Counseling

According to our Cost of Therapy survey , about half of therapy-seekers are concerned about the ability to pay for their mental health treatment, with 48% saying they’d have to stop treatment if the cost went up and 38% saying they currently need financial help to pay for therapy. That’s why Open Path Collective stood out in our research of 80 companies and over 10,000 users: It's an online therapy directory that only connects you to therapists that offer sliding scale rates (ranging from $30 to $80 per session) so that you can find the affordable care you need when you’re on a tight budget.

Affordable sliding scale rates

Serves all 50 U.S. states and Canada

Has a strong social justice mission

Detailed therapist profiles

Only displays therapists who are taking on new clients

Does not accept insurance

Does not list psychiatrists

Most affordable therapists are pre-licensed

We tested Open Path Collective across 18 ZIP codes to get a sense of how easy or difficult it was to find a therapist that might match 37 different therapy needs someone might have—such as anger management, anxiety attacks, polyamory, or postpartum depression and anxiety—to see if it delivered on its promise to offer high-quality and affordable mental health care to middle- and low-income level therapy seekers. We’re pleased to say that it did. 

“The main difference with Open Path and other therapy I’ve tried before is how I feel now that the session is over: I’m not anxious about getting a crazy bill in the mail because I’m under-insured.”

  • Theresa, who needed a grief counselor who offered a sliding scale fee

For $30, we could have a therapy session with a pre-licensed therapist (a student therapist currently obtaining their master’s degree under the clinical supervision of a licensed therapist), and for $40 to $70, we could see a therapist with more professional experience; in addition, we found couples counseling never to be more than $80 per session. And low prices are not the only reason we recommend Open Path Collective.

We were also impressed with the variety of therapists’ expertise.

For example, we were able to find appropriate therapists that could provide affirming care for members of the LGBTQIA+ community and their loved ones, therapists who could speak ASL, Christian therapists, Black therapists, and therapists that treat kids and teens of any age. We were also able to find therapists with more specific or niche specializations, such as therapists with experience treating religious trauma. 

A few things to consider before using Open Path Collective to find your therapist: the service is aimed at families who make under $100,000 a year, so if you make more than that, the nonprofit asks that you look elsewhere (though this is based on the honor system—you don’t have to prove your income).

In addition, these sliding scale rates are out-of-pocket: if you want to use your health insurance to pay for your therapy, this is not the service for you.

Also, the number of therapists available varies wildly depending on your location—for example, there are over a thousand therapists listed in Texas, whereas Wyoming has only four. 

As noted above, using Open Path Collective’s directory to find a therapist with sliding scale rates requires a one-time fee of $65. Then, once you’re signed up, you can use it as often as you want to find and schedule an appointment with one of the providers listed.

Rates per session vary by the therapist but range from $30 (for a pre-licensed therapist) to $70 for a more experienced therapist. Couples therapy tends to cost $80 per session. 

We surveyed 180 therapy users who had used Open Path Collective to find their current or former therapist, and, across the board, users told us that they loved this directory: Nine out of 10 rated the company as good or very good, while an impressive 97% said they were able to find a therapist who met most or all of their needs. 

In addition, 84% said they would recommend Open Path to a friend or someone like them, and four out of five said they are still seeing the therapist they found on Open Path today.

Compare the 13 Best Online Therapy Services of 2024

We evaluated 80 online  therapy companies  and  therapist directories  in order to compile this list.

Firsthand Experience

As part of our research, we signed up for talk therapy at all 55 online therapy companies we reviewed. We tested each company's therapy services, and if the company offered other services (such as couples therapy and kid or teen therapy) we tested those too. Our testers are located all across the United States and abroad, meaning we have extensive information about each company's services in a variety of areas.

User and Brand Surveys

In addition, we surveyed more than 10,000 therapy users: 105 at each of the 55 online therapy companies and 180 at each of the 25 therapist directories. We collected over 100 different data points in which we asked users to evaluate each company's services, from their therapist's qualifications to whether they found a therapist who met all their needs to how they'd rate the company overall. We also sent questionnaires to each company we considered, asking for their perspectives on the services they provide, and we interviewed former patients and therapists at the companies where possible.

In addition to the extensive research we performed on each of the 55 online therapy companies we reviewed, we also researched dozens of therapy directories. We tested each by searching for appropriate therapists for 37 hypothetical scenarios that might lead someone to search for a mental health provider across 18 zip codes. We then rated the results by how well the therapists we found in each directory could address each scenario, looking into whether it had competent, licensed therapists that were qualified to treat these issues.

Expert Recommendations

Once we completed this testing and these surveys, we evaluated our findings with the help of three licensed therapists— Amy Marschall , PsyD; Nic Hardy , PhD, LCSW; and Hannah Owens , LMSW—in order to make our recommendations. These therapists provided extensive insight into the ethics and efficacy of online therapy as well as information about relevant therapeutic modalities and approaches.

Frequently Asked Questions

How do i choose an online therapy service.

If you're considering how to choose an online therapy service , you'll want to evaluate the available choices based on the type of therapy offered (individual, couples, family, or group), whether the therapist is a good match and has the specialization you're looking for, the sign-up process and ease of use, and the cost.

How Much Does Online Therapy Cost?

The cost of online therapy varies depending on the service and level of support you choose. The average cost of therapy in America is between $60 and $200 per session and the 80 services we reviewed fall squarely within that range, as well as to either side. Some online therapy companies offer pay-per-session rates, while others have subscription or membership models where you pay a set amount, ranging from $280 to more than $400 per month, for a specific number of sessions.

How Is Online Therapy Billed?

At all the online therapy companies we evaluated, you pay for online therapy with a credit or debit card. Some also accept flexible spending account (FSA) or health savings account (HSA) cards. If you have health insurance and the company or therapist accepts your insurance, you may pay a copay at the time of your session or receive a bill in the mail after your health plan is billed.

Does Insurance Cover Online Therapy?

Since the Affordable Care Act (ACA) was passed, mental health services are covered by most insurance plans. However, insurance generally only covers talk therapy and/or psychiatric services where you receive a diagnosis. Services like couples therapy are generally not covered. Plus, some therapists and therapy companies do not work with insurance providers, meaning you pay for out-of-pocket or seek reimbursement from your insurance provider.

Do Medicare and Medicaid Cover Online Therapy?

Since the COVID-19 pandemic, Medicare and Medicaid do sometimes cover online therapy. But like you generally do with any insurance, you will want to check that the online therapy service or practitioner you choose is covered.

Does What I Tell My Therapist Stay Between Us?

Online therapy companies, like all online services, gather personal data and information about anyone that visits their sites and uses their services. In addition, since online therapy companies are telehealth services, they also gather and store health information about their patients. In order to know how an online therapy company utilizes your personal data , we recommend reading the company’s terms of service and terms of use to better understand its particular policies.

As for what you discuss in session, your online therapist generally will follow the same rules as an in-person therapist: They will not share what you discuss with them unless you are a threat to yourself or others, or there is evidence of abuse or neglect to a child, elderly person, or person with disabilities.

Verywell Mind / Designed by Amelia Manley

Sagui-Henson SJ, Prescott MR, Corcoran JB, et al. Effectiveness of evidence-based telecoaching delivered through an employer-sponsored mental health benefits platform . Telemed e-Health . 2022;28(4):486-494. doi:10.1089/tmj.2020.0555

Lin T, Heckman TG, Anderson T. The efficacy of synchronous teletherapy versus in-person therapy: A meta-analysis of randomized clinical trials . Clin Psychol Sci Pract. 2022;29(2):167–178. doi:10.1037/cps0000056

Mental Health America.  The state of mental health in America .

Johns Hopkins Medicine. Could your marriage benefit from counseling? .

University of Michigan Behavioral Health Workforce Research Center. Estimating the distribution of the U.S. psychiatric subspecialist workforce .

Bishop TF, Press MJ, Keyhani S, Pincus HA.  Acceptance of insurance by psychiatrists and the implications for access to mental health care .  JAMA Psychiatry.  2014;71(2):176-81. doi:10.1001/jamapsychiatry.2013.2862

Vahratian A. Symptoms of anxiety or depressive disorder and use of mental health care among adults during the Covid-19 pandemic — United States, August 2020–February 2021 . MMWR Morb Mortal Wkly Rep . 2021;70(13);490–494. doi:10.15585/mmwr.mm7013e2

Depression and Bipolar Support Alliance. Depression statistics .

Anxiety and Depression Association of America. Facts & statistics .

Gautam M, Tripathi A, Deshmukh D, Gaur M.  Cognitive behavioral therapy for depression.   Indian J Psychiatry.  2020;62(Suppl 2):S223-S229. doi:10.4103/psychiatry.IndianJPsychiatry_772_19

Kaczkurkin AN, Foa EB.  Cognitive-behavioral therapy for anxiety disorders: an update on the empirical evidence.   Dialogues Clin Neurosci.  2015;17(3):337-46. doi:10.31887/DCNS.2015.17.3/akaczkurkin

Kumar V, Sattar Y, Bseiso A, Khan S, Rutkofsky IH.  The effectiveness of internet-based cognitive behavioral therapy in treatment of psychiatric disorders .  Cureus.  2017;9(8):e1626. doi:10.7759/cureus.1626

U.S. Census Bureau. Income in the United States: 2021 .

U,S, Department of Health and Human Services. Does the Affordable Care Act cover individuals with mental health problems? .

Abramson A. Children’s mental health is in crisis . Monitor on Psychology.  2022;53(1):69.

Bostwick WB, Boyd CJ, Hughes TL, West BT, McCabe SE. Discrimination and mental health among lesbian, gay, and bisexual adults in the United States . Am J Orthopsychiatry. 2014;84(1):35-45. doi:10.1037/h0098851

Rockefeller Institute of Government. Understanding and addressing the challenges faced by LGBTQ+ people of color (POC) in accessing mental healthcare .

Mental Health America.  Black and African American communities and mental health .

New York State Department of Health. Adult behavioral health and managed care .

By Hannah Owens, LMSW Hannah Owens is the Mental Health/General Health Editor for Dotdash Meredith. She is a licensed social worker with clinical experience in community mental health.

Alex Shea (she/her) is a practicing therapist, self-published author, and life coach based in Florence, Oregon. In addition to Verywell Mind, her writing, which largely focuses on interpersonal relationships, has been published in HuffPost, Byrdie, Mindbodygreen, and The Wellnest.

online counselling business plan

How to Write an Online Business Plan in 2024

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Written by Vanessa Petersen on July 26, 2023 Blog , Sell Online .

You’ve committed to turning your ecommerce or online business idea into something real. You want your small business to produce revenue and change the course of your life, but what’s your first step in realizing your dream? Developing a plan. If you’re not sure about how to write an online business plan, you’ve come to the right place.

One of the most essential tasks involved in starting any kind of business is to write a business plan. An online business plan won’t look that different from a traditional business plan and will include many of the same elements.

In this post, we’ll show you how to write an online business plan, including all the components and sections. We’ll also walk through how WooCommerce can help you put your plan to action and achieve your business goals.

Why write a business plan? 

Starting your own business is a great experience and something that will shape your life, fill you with self-confidence and independence, and inspire other people around you. A new business is also a serious endeavor that will take time, money, sweat, lots of decisions, and a degree of risk.

A traditional business plan template helps you document and keep track of your business goals, challenges, opportunities, and all the steps and processes involved with making your idea work. It will help you conduct thorough market research and set you up for success.

When you write a business plan, it can confirm that you’ve found the best online business to start , or provide clarity about the need to pivot.

woman working on a laptop at a table

It details all the things you will need to do in order to successfully launch and grow your business, and may include revenue projections, timelines for specific goals, concept art for products, and architectural drawings for any brick and mortar aspects of your business. 

Business plans help create a structure for your company’s development and keep you grounded in reality, focused, and not distracted by less important matters. 

If you have more than one person helping run the business, the business plan also keeps everyone unified around the same set of goals and objectives. 

Another reason to write a business plan is for situations where you are presenting your idea to someone else and asking them to invest. In that scenario, your business plan is also a sort of sales document. It makes the argument for why your business idea is so good and well-considered that an investor should want to be a part of it. 

But even if you’re self-funding your entire business — which is more common with online businesses — you still want to write the plan for the reasons given earlier.

The benefits of running an online business

Starting an online business or ecommerce store offers many of the same great benefits as any other business, but without as much risk. If you’re thinking of starting a business, here’s why an online one is a great option:

It has low startup costs

Without a storefront, you eliminate so many costs of running a business. With all the bills that come with having property — like rent, parking, furnishings and decor, etc. — there’s a much higher investment required to start a brick-and-mortar-based business. Online businesses still have startup costs, but they are much lower. 

It gives you freedom over your schedule

With an online business, you have more freedom to set your own hours, because you don’t always have to be open during the usual times. You can build your business to suit the lifestyle you want. Rearrange your time to get things done in the fastest possible way and take time off when you need it. 

You can start small

Once you have a location, it’s yours, and you have to make it work. With an online business, you can start very small, offering just a few products or even just a single service. You can more easily test the waters without making huge commitments with inventory, and other physical investments.

You can more easily pivot

If your online or ecommerce business doesn’t do as well as you expected, it’s easier to pivot and adapt to something new because you haven’t committed so much to making your original idea work. There are many business success stories where the business owner adjusted their idea after gaining some experience, and then it took off. It’s a lot easier to do that when you aren’t tied to a physical location.

But, there’s one thing online businesses have in common with every other type of business: You need a robust business plan to help guide your idea from concept to a successful reality that makes money and fulfills your dreams and goals. 

So, let’s get into business planning. 

two people working at a whiteboard

How do I write my own online business plan?

Most formal business plans and business plan templates include seven sections, plus an executive summary. You’ll need to keep in mind who you’re writing your business plan for. If you are taking this to potential investors or will be seeking a business loan, your business plan needs to sell the idea of your business as a great investment opportunity and communicate the skills, expertise, and commitment you personally bring to the table. 

Here are the key sections of a traditional business plan format:

  • Executive summary
  • Company description
  • Market analysis
  • Organization and management
  • Service and product line
  • Sales and marketing plans
  • Financial projections
  • Funding request (if working with investors or partners)

Here’s a brief look at each step of creating an online business plan:

Draft an executive summary

In the executive summary, the first section of almost every business plan template, you’ll present your vision and focus on building excitement. If the business plan is a sales document, the executive summary is the lead. It gets the reader engaged and excited to hear more. 

Your executive summary should achieve two goals:

  • Deliver the basic facts about your business
  • Motivate the reader to keep going and get them excited about your idea

What facts should you include? Whatever helps the reader understand your business idea. Describe the industry and niche. Mention the target market. Briefly state the needs or problems your products and services will be solving. Touch on the potential for growth in terms of revenue and customers. 

For motivation, describe your mission statement and company values. What will set you apart from the competition? What is your value proposition as a business owner? What makes you different? Again — keep this brief. You’ll elaborate later. 

It might be a good move to write all the other sections first, then finish with the executive summary so it will be the most concise and best version of how you describe your business.

team of women working around a table

Write a company description

Here, you’ll give a brief overview of your company. What are your strengths, skills, and areas of expertise as a business owner that will position you for success? If you have a compelling story behind why you’re starting your business, you can include that too.

Conduct a SWOT analysis 

If you’re not sure where to start, consider doing a SWOT analysis , which is a diagram outlining your strengths, weaknesses, opportunities, and threats. 

It’s a common part of many business plans and will help paint a realistic picture of what your business can achieve, and what stands in the way. You won’t include all of this in the company description, but your strengths and opportunities may fit here. 

Create a mission and vision statement

The company description is also the place to create a mission statement and a vision statement. What’s the difference between these? 

The vision is where you’re going, the mission is how you’ll get there. A vision statement paints a picture of a future reality for your customers and perhaps the world at large, as a result of your company’s influence. A mission statement expresses how you will achieve that.

The company description can elaborate on your vision and mission beyond just a single sentence, and later you can fine-tune what you write into a succinct pair of statements. Feeling some writer’s block? See company description templates by industry for some inspiration.

Include any unique attributes

If your company will involve particular attributes such as manufacturing, supply chains, dropshipping, affiliates, coaching or advising, online courses, or other relevant particulars, include that in your company description, too. 

State your business location, industry, niche, and other details

Also, state the location of your business, even though it’s online. Name your industry and niche target market again, and describe the nature of your company. For example, is it an ecommerce business, a consulting firm, delivery service, wholesale, or ad-based website? These are just some of many types of online business structures. 

You may also want to include whether your business is in any special class of business that might position it for special loan or grant opportunities like women-owned businesses or veteran-owned businesses.

After reading your description, readers should have a good understanding of what your business is about, why it exists, and how it works. Here’s a detailed look at company descriptions , with an example.

Perform a market analysis

A market analysis uses industry research to assess the scope of your business’s target market and describe the current competition in your industry. It can help you estimate the potential for success and prepare for the challenges you may face when you launch your online business or ecommerce shop.

Doing this research, and including it your business plan, can also help you:

  • Identify industry trends
  • Pinpoint opportunities 
  • Diminish risks and reduce costs
  • Generate new ideas for products and services
  • Learn from the failures and shortcomings of your competitors
  • Find ways to stand out from your competitors
  • Discover new markets
  • Refine your marketing plans

Now let’s dig into the elements involved in a thorough market analysis.

Understand your audience

Here, you will explain in detail who your target customers are and why they want or need what you’ll be selling. What problems or needs does your product solve? What will motivate people to buy from you? And why can’t they get it somewhere else just as easily? An ecommerce business competes against other ecommerce businesses as well as brick-and-mortar stores and shopping malls. Stores with omnichannel strategies compete with both. Why would someone choose you?

Share your key customer demographics, psychographics, and interests. Who will you be serving? What drives them? 

What are their values? If your product, service, or personal brand will appeal to a customer segment that also shares particular values, that’s a strength, not a weakness, and you can use that to win them over. 

Perform customer segmentation

Break down different categories of target customers your business plans to serve. One category could be age. Another might be life situations such as retirees, parents, divorcees, or living with older relatives. You could create a segment of people with particular health conditions, or who live certain lifestyles. 

woman hiking with a backpack

But you can also get way more specific than that. Runners are different from hikers, who are different from bikers, yoga enthusiasts, and gym enthusiasts. Different supplements, philosophies about food, motivations for eating various foods — all of these present near endless possibilities for more narrowly defining your customer segments, all under the broad category of ‘health.’ And you might serve multiple segments. 

The more customer segments you know, the more effectively you can market to them. In an online store, good product descriptions call out the various customer segments that product is designed for.

Also, give a sense of the potential size of your target market. How many people need what you’re selling? Show how this market is large enough to justify your business and drive revenue. You might do this by studying revenue reports from other companies in your industry. Or look at specific products related to yours and research their sales and revenue performance. 

You may also perform a survey of some kind, or an online quiz, and use that to express the needs your potential customers have that aren’t currently being met.

Perform a competitive analysis

Study your competition. What are they doing well? What areas are they underserving? Where are they underperforming? Make note of what other companies in your industry are struggling with or failing at so that you can deliver something more valuable and gain a competitive advantage.

It could be product quality, customer service, or selection. Maybe their ecommerce store is badly designed and hard to use. Perhaps there’s a huge industry serving the masses, but customers who have more particular tastes or needs aren’t being well-served by the big companies. Those customers might spend more on something that delivers what they really want. 

Maybe your key competition has been rocked by scandal. Maybe a company went out of business, was sold, or closed down due to retirement and there’s an opening in the market you want to leverage. 

The main point of the competitive analysis is to persuade investors that there’s an underserved market that your business plans to cater to. You must be able to promise something that no one else is currently delivering. Otherwise, why should your business exist? Put them at ease by demonstrating proper market research.

Refer to your SWOT analysis and present any potential threats from the competition here, too.

Outline management and organizational structure

Next, present your management and legal structure. Is your company an LLC, sole proprietorship, S corporation, partnership, or some other arrangement? Who’s in charge of what? If you have different departments, list out the leadership for each one. If relevant, you might even include some information about the expertise of your leaders concerning the areas under their charge and the tasks they’ll be performing.

Remember — if your business plan will be used to persuade investors to help fund your business idea, this sort of information will reassure them that your company has strong and competent leadership. 

If there’s a chain of command, use a diagram or other method for laying out who reports to whom. 

bars of soap lined on a shelf

List your products and services

What are you selling? You’ll touch on this briefly in the earlier sections, but here is where you’ll expand on the details. If you have an array of similar products, such as food flavors or clothing variations, list as many as seem relevant. But focus on the spirit of the business plan — you’re simply communicating what your business is about, not listing every SKU in your projected inventory. 

Also, include information about your products such as quality, durability, expirations, patents, and whatever else will give a clear picture of what you’re selling.

For service businesses and memberships that may include multiple packages, bundles, or tiers, describe each of these so your readers get a sense of how you’ll appeal to different types of customers and price points. 

Develop a sales and marketing strategy

Having products is great, but how do you intend to sell them? How will people find your business? How will anyone know you exist? And once they know, what will motivate them to buy from you and not from your competition? What is your unique value proposition — the thing that sets you apart from your direct competitors?

You’ll need to develop an initial marketing plan to help promote your business, products, and services to your target customers.

And remember, competition isn’t limited just to other businesses. Sometimes, competition is against the customer’s time, or their budget, or mere indifference — the conflict between doing something and doing nothing. Your SWOT analysis should touch on several of these potential barriers to the success of your online business.

Your marketing plan will obviously change over time, but give your readers and potential investors a sense of how you plan to launch and grow your business. 

Google ad for a blue shirt

Discuss media channels you plan to use, such as pay-per-click (PPC) ads , social media , email marketing , affiliate marketing , direct mail, referrals, joint ventures, search engine optimization (SEO), webinars, influencer marketing , and live events. Describe the ones you actually plan to use, and explain the core strategy you’ll begin with and how you will measure success. 

Also, include a sense of your marketing budget. If you will have a dedicated marketing team, or actual sales professionals using a particular process or sales script, discuss that as well. 

For ecommerce businesses, include a discussion of how you plan to leverage platforms like WooCommerce, which features a host of extensions that can help manage your business , engage customers, save money, and promote growth .

charts showing business growth

Make financial projections

You’ve made a lot of claims in your business plan, but how will your investors be convinced of your future success? At some point, you have to show them the money. 

If this is a brand new business with no income, where will your finances come from for the first year? Give realistic financial projections for anticipated profits and losses, as well as growth expectations for the first five years. Include financial documents if you have them, including profit and loss statements, balance sheets, and cash flow statements. Include costs of employment, manufacturing, and other investments both one-time and ongoing.

Your financial projections should reference your:

  • market analysis 
  • anticipated sales volume 

Investors will feel more confident when they can see your business plan does not rely entirely on just one or two ‘wins.’ For example, if your entire plan hinges on selling on eBay or Amazon , what happens if Amazon suspends your store, changes the terms, or you struggle to get noticed there? 

If your plan depends on winning over a few Instagram influencers, what if they don’t come through? It’s really easy to say what you hope will happen. But actually making it happen is another thing. Business success happens more easily when you apply a multi-channel marketing and sales approach. 

Your financial projections will feel based in reality, when you can demonstrate some prior successes, either in other businesses you’ve already launched, test audiences, local sales you made, prior experience, or data from other businesses. 

Explain your funding request — if applicable

If you intend to ask investors to help fund your business idea, present your request in the final main section of your business plan. If you’ve already secured funding from other sources, include that here as well. An investor will feel better knowing they are not the only one who believes in the potential of your business. 

Will your funding request be for a one-time payment, monthly, annually, or at some other interval? How do you plan to repay their investment? Will you allow them to charge interest? How much ROI can you promise them? 

How WooCommerce can help

WooCommerce can help you build a scalable online business that supports your business plan. No matter what you’re selling, WooCommerce offers a suite of flexible tools that allows you to customize your store to meet your needs and goals. 

WooCommerce homepage launch info

Here are just some of the benefits your business will enjoy when you choose to build your store with WooCommerce:

  • Sell absolutely anything you can imagine . From physical items and digital downloads to subscriptions, memberships, bookings, courses, and affiliate products, WooCommerce provides everything you need. Want to run a wholesale store? You can do that, too!
  • Harness the power of WordPress . Since WooCommerce is a plugin specifically for WordPress, you can take advantage of powerful features like the block editor and blogging capabilities. 
  • Capture payments securely. Choose from a large number of payment gateways, from popular options like PayPal and Stripe, to more niche processors for specific locations and types of regulated products. And with tools like WooPayments , you can keep customers on-site, capture a variety of currencies, and even accept digital wallets like Apple Pay and Google Pay.
  • Customize your shipping options. Offer free shipping, charge based on weight, set fixed prices, or calculate shipping costs based on real-time carrier rates. You can even use extensions like Table Rate Shipping to create complicated shipping rules based on conditions that you set. And with WooCommerce Shipping , you benefit from discounted shipping labels and the ability to print right from your dashboard. 
  • Connect to your social media channels. Use extensions to sync your store with social media platforms like Facebook, Instagram, and Pinterest. You can even sell on those platforms alongside your store without having to update inventory and information manually.
  • Integrate with marketing tools. Quickly connect your store to any number of marketing tools, from email platforms like MailPoet to CRMs like Jetpack CRM . You can also implement a number of marketing strategies, from abandoned cart emails to loyalty programs.
  • Keep track of your numbers. Ecommerce accounting is a big part of running an online business. While you can easily view data in your dashboard, you can also sync with tools like QuickBooks to make your accountant’s life a little bit easier.
  • Manage inventory. Update your inventory levels manually or connect to tools like Scanventory to sync with your warehouse. Running low or out of stock? Add a wishlist option so customers get an alert as soon as it’s available.

As you can see, WooCommerce is well-equipped to handle any type of online store and support you as you grow. Here are a few more reasons that WooCommerce should be your go-to choice for implementing the ecommerce side of your online business plan:

WooCommerce itself is free! Many extensions for WooCommerce can also be found for free in the WordPress.org plugins library or on the Woo Marketplace . If you need to start your website with a limited budget, but want to build on a platform that can grow to support a thriving, high-traffic store, WooCommerce is an excellent option.

creating a page with the Block Editor

You have full control over your store

Unlike other ecommerce solutions that are tied to the platform’s own web hosting, WooCommerce is designed to be used with WordPress along with any hosting provider of your choice. You are also free to use whatever payment processor you want without any additional fees from WooCommerce. You can also customize your site’s appearance and functionality more extensively than you can with other ecommerce platforms and with less (or no) coding knowledge.

WooCommerce extension store

Thousands of free and premium extensions

There are over 800 free and premium extensions for WooCommerce on WooCommerce.com alone and over 1,000 in the WordPress.org plugins library . There are also hundreds of independent developers and agencies that offer premium and custom extensions for WooCommerce so that you can customize your store with the exact features you need. 

WooCommerce documentation

Excellent support and large community of users

WooCommerce is used by over 3.9 million stores — 23% of all online stores worldwide . The support team is available to answer questions and the documentation library is extensive and thorough. There are also plenty of independent resources for learning how to use WordPress and WooCommerce.

Dedicate time and resources to put your online business plan in action

A successful business plan is one that empowers and guides the business owner to launch their online or ecommerce business, and possibly secure funding. But it only works if you use it.

One advantage of starting an ecommerce store or online business is that you aren’t as locked down by deadlines. With a physical location, once you start paying the rent, you better have your business plan ready to put into action. 

But the beauty of being online is that you have more flexibility on the front end. Despite having more wiggle room with your timelines, you still need to keep your momentum going forward. Staying on track with your business projects and goals is one of the keys to reaching profitability sooner and turning your business plan into reality. A few quick tips:

  • Schedule your time. Block out hours and specific days to work on your business.
  • Treat it like a job, not a hobby. Build on your momentum week after week.
  • Always keep learning. Research your industry, competition, target audience, and potential customers. Learn marketing — you can never know too much.
  • Try stuff! Take risks, make calls, create campaigns, write content.

Your business plan template should give you a concrete list of tasks and business objectives. Once you write a business plan, then you can implement it.

Frequently asked questions about writing an online business plan

What are the seven steps of a business plan.

The seven key elements of a business plan are the executive summary, company description, market analysis, organization and management, services and products, marketing plan, and financial projections. If you’re making a funding request, that would be an eighth section.

Where can I find business plan templates?

You can find a free business plan template online, for general business plans as well as for specific industries. However, since each business is different and your plan must be authentic and specific to your company — a business plan template can only get you so far. 

If you need design inspiration for your own custom business plan template or want to start with a pre-designed template that you can customize, you can purchase one for a relatively low cost through a stock resources site like Envato Market or Creative Market .

downloads available from Creative Market

Do I need a business plan if I am already running an online business or ecommerce shop?

Business plans aren’t only for people who are launching new businesses. You can create a business plan at any time to help you maintain or change the direction of your store or just to get a better picture of the health of your business. Below are a few different types of business plans that you might want to consider for your established online business:

  • Operational business plan. Outlines the structure of your business operations, staffing, and logistics.
  • Feasibility plan. Feasibility plans are like mini business plans that cover new business ideas and outline steps for implementation.
  • Growth business plan. This plan is for businesses that want to demonstrate opportunities and plans for growth to attract investors.
  • Maturing business plan. This plan is for businesses looking to merge with or acquire other companies, significantly expand, or go public.
  • Strategic business plan. Any time your business wants to shift strategies regarding products or marketing or any other major changes to your previous business plan, you’ll want to create a new strategic business plan to address your new goals and the steps involved in achieving them.

What software should I use for my online business plan?

Your business plan should include some images, graphs, and graphic elements in the layout, so you’ll want to at least use word processing software to put your business plan together. If you have access to Google Workspace, Microsoft 365, Canva, or Adobe Creative Cloud, you’ll have some other options that might lead to a more professional layout.

business plan templates from Canva

Here’s a list of free and paid software that can help you put together your online business plan outline:

What do investors want to see in a business plan?

The most important piece of information to show investors in your business plan is potential for profitability. Investors don’t want to throw money at a sinking ship, no matter how cool and exciting the business sounds. 

Most investors also want to make sure that they’ll see a decent return on their investment in a relatively short time period — probably around 5-7 years. How much of a return they’ll expect will depend on your industry and what kind of investor they are. 

Investors will also want to see that you clearly understand your business, your industry, and that you have concrete, actionable steps for achieving, maintaining, and growing profitability. They’ll want to make sure that the key people on your team also understand your business and the roles they play and they’ll want to see that each person has a good amount of experience in their field and the required skill sets to fulfill their job duties, if not go above and beyond. 

Any details you can include that highlight unique aspects of your business will also be important. Any area where you have a competitive edge, are offering a unique or proprietary solution, have established any celebrity endorsements, have the backing of other investors, or have secured special grants will be of special interest to investors.

Create your plan for success

Now that you understand what goes into creating a formal business plan, it’s time to write one! Take the time to think through and consider each aspect of the list included in this article, and you’ll be well on your way to finding success.

And WooCommerce is here to support your business every step of the way, with powerful and flexible tools that help your business grow. Start selling online today !

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  1. A One Page Business Plan for Your Therapy Practice

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  3. 8+ Consultant Business Plan Templates in Google Docs

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  13. Counseling Private Practice Business Plan [Free Template

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    Specifically, these funds will be used as follows: Clinic interior build out and design: $50,000. Office equipment, supplies, and materials: $20,000. Three months of overhead expenses (payroll, rent, utilities): $150,000. Marketing costs: $50,000. Working capital: $30,000. Easily complete your Counseling Private Practice business plan! Download ...

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