Step 1: Start with a Business Plan
Home health care is in many respects unique, but one thing it has in common with all new businesses is that the lack of adequate planning and prediction is a sure means of undermining their potential results. You want to ensure that every detail of logistics is carefully planed in order to get the business off the ground and over the difficult first few years. That’s where a business plan comes into play.
What you should keep in mind when writing a business plan:
Sophisticated and costly medical equipment is needed to provide high-quality home health care. You will need a comprehensive list of all you have to do in order to properly start. Those include
- Business Growth
- Rental Costs
- Equipment for your office
- Supplies for office
- And supplies for nurses as well.
Funding and cash flow
You need a plan to raise the assets once you compile your starting expenses list. Bank loans, small business loans, or angel investors are the most traditional paths. In the field of health care, there may also be state-level grants for developing companies.
It’s almost a given that your company will be operating at a loss for the first three to six months as your customer base expands and you get on a standard billing cycle with Medicare and Medicaid.
Market and competition research
When it comes to raising capital, the best weapon you can have in your arsenal is a bullet-proof assessment that yours is an excellent local market for this sort of company and that you can serve a need that rivals are presently not satisfying.
A powerful competitive analysis will also guide you through marketing and recruitment strategies by identifying where others have fallen short in their market penetration efforts.
Step 2: State and Medicare/Medicaid certification
In the United States, the first stage in the certification phase includes completing the request for a home care license for your state and all the necessary documentation for a home care business license.
This includes incorporating your business and getting your home healthcare agency tax ID and NPI number. This will vary from state to state so the best way to go is to contact your State Department of Health for assistance.
Step 3: Staffing and management structure
In the home health care business your employees are the face of your agency. That is exactly why you need to find the absolute best of the best to work for you and build a reputation of an agency that provides the best quality professional medical services.
Please check the background of all hires carefully. If an issue with the therapy conducted by someone who had been penalized or suspended for comparable malpractices was detected, your company might be responsible for paralyzing legal action. This is more crucial in this respect than most. It should go without even mentioning.
Step 4: Developing your marketing strategy
After connecting all the legal dots the main question becomes, “How do I get my first client?”.
There are a few most effective marketing strategies for obtaining that first client for home health care agencies, here they are:
Get yourself a website
Even though your clients may not the most tech-savvy people on the planet, that doesn’t mean that their family will not look for the best solution for them on the internet. It’s an internet era after all and that is not any different in home health care industry either.
Good old fashioned networking is still a bullet proof strategy for starting home health care agencies. Reach out to physicians, elderly centers, care facilities, and similar in order to find potential clients.
Set yourself apart
In order to distinguish your company from your competition establish expertise in certain service areas.