Starting a residential care home business can be highly rewarding and lucrative. According to Entrepreneur.com, "13 per cent of the population (baby boomers) will be over the age of 65 by 2010. By 2030, the figure will jump to 19.6 per cent." The non-medical home care industry is booming and residential facilities are needed to accommodate seniors' daily living assistance and companionship. Prepare yourself for dealing with the challenging aspects of opening a residential care facility. Take classes on operating a business, make the necessary investments, and obtain the right licensing to operate your home care successfully.
Write a comprehensive business plan before submitting any proposals to your state or county's administrator certification board. Divide you business into four main categories: business description, marketing plan, finances, and management. Stick to you business plan and consult with a business mentor/professional to avoid overspending or common pitfall mistakes that can result from improper planning.
Create your home facility name and mission statement. Create advertising campaigns and brochures that define hours/days of operation and what specific services your residential care can provide.
Make a balance sheet and file all important documents like loan receipts, cash flow charts, profit-loss and spending, to be aware of how your business in doing. Open a business current account and consult with an attorney on insurance rates and policies.
Apply for an employer's identification number through the Internal Revenue Service; you will not be able to serve clients without it. Also apply for a state seller's permit and a Home Care Agency license. All residential care home facilities should have staffing trained and certified in CPR and first aid.
Send in your business proposal to your state or county's social servicing licensing department or administrator certification program. Any business wishing to serve clients need to have a license of operation. Expect facility, health and sanitation inspections to be administered by your county's social servicing team. Await approval before operating your business.
Invest in equipment and materials that will accommodate your clients. A successful caregiver should invest in wheelchairs, walkers, lifts, portable potties, small meal tables, and dining necessities. You will also need computers and data software, printers, office supplies, fax machines, or separate phone lines to run the business successfully.
Things you need
- State/county licensing
- Employer identification
- Senior care equipment
- Business insurance
- Business current account
- Advertising campaign