A Hot Business for 2006: Non-medical Home Care Business
It is a little known fact that Non-Medical Home Care is one of
the fastest growing businesses in the United States! Every year,
millions upon millions of dollars are spent on Non-Medical Home
Care. Don't you think it is time to act instead of dreaming of
owning a Home Care Business?
Home care in the United States is a diverse and dynamic service
industry. Approximately 20,000 providers deliver home care
services to 7.6 million individuals who require services because
of acute illness, long-term health conditions, permanent
disability, or terminal illness. Annual expenditures for home
health care are projected to be $48.3 billion in 2007. Home care
is a broad term that describes a wide variety of health related
services provided in the home setting. Home care is health care
brought to your home to maintain or restore your health and
well-being.
Growth Trends in the industry
Seniors are one of the fastest growing population groups in the
United States. The senior population has grown about twice as
fast as the overall population since the early 1980s. The growth
is also expected to continue early in the second decade of the
new century when baby boomers turn 65. Seniors aged 85 and over
are the fastest growing segment of the overall senior
population. Consequently, the demand for Non Medical Home Care
services is also growing. It is listed as one of the fastest
growing occupations by the U.S. Labor Department. According to
AARP, as Americans age, most will remain in their own homes.
Nearly 7 out of 10 older Americans own their own residence and
most have no plans to move.
As a result, fewer seniors are getting the help they need with
simple daily functioning. For example, in 1990, 80 percent of
seniors needing help to prepare their meals reported that
someone was available to help them; by 2001, that had dropped to
just 60 percent, according to the National Council on Aging.
Overall, from 1988 to 2001 there was a significant decrease in
the number of seniors who reported that they had spouses,
relatives, friends or neighbors to provide personal care or
assistance. Today, an ever-increasing senior population has
fewer resources available to help them with the daily tasks of
living. At the same time, older adults have longer life
expectancies than ever before.
Leading Psychologists believe by seniors remaining in their own
homes, they can retain an important sense of independence. It is
also psychologically beneficial for older seniors to remain in
familiar surroundings. While their well-meaning children may
wish to put them in a retirement home, the fact is that forced
relocation can cause some seniors to feel disoriented, depressed
and confused.
Remaining as independent as possible can boost a senior's
overall sense of well-being. Staying in their own home is, in
most cases, far more preferable (as well as less costly) than
relocating to an assisted living facility. It gives them a sense
of empowerment, and allows them to retain close friendships with
neighbors.
The Business Opportunity
Until recently, however, few choices were available to healthy
seniors who wished to remain in their homes. Most health
businesses only offered Medical Home Care. This can be extremely
costly, since most professionals must be registered nurses or
nurses' assistants. In addition, they may balk at performing
light housekeeping tasks. Finally, they rarely have the
opportunity to build long relationships with their clients.
Often a different professional appears every week, which is
disorienting to seniors and prevents establishing a bond with
their caregiver.
Your business, Non-medical Home Care, in contrast, is designed
to help the older adult with the tasks of everyday living.
Non-medical caregivers do not assist with medical procedures,
and since they are not registered nurses or medical personnel,
their hourly rate is not as high. They also offer the
opportunity for steady companionship, as they are generally
assigned to specific clients on a long-term basis, enabling a
friendship to grow.
These caregivers can help seniors maintain their independence by
taking over the daily tasks that become increasingly difficult
with age. They can take the client grocery shopping or to the
bank, prepare meals, do light housekeeping and provide daily
conversation and companionship. Non-medical caregivers represent
a rapidly growing trend to allow people needing help to remain
in their home or in the community.
Getting Started!
Barriers to entering the Non Medical Home Care business are
relatively low. While potential profits are medium to high. Your
success depends upon many variables: your marketing efforts,
your start up budget, the demographics of your area, just to
name a few critical attributes. In most states no formal
training is required to provide Non Medical Home Care services.
It is important to check with your state-licensing agency
concerning the appropriate license for the services you will
offer. Not all Non-Medical Home Care agencies can perform
personal care services without a licensed. As with all business,
as the business owner, you must have exception drive and
motivation. In addition, your customers will expect your
business to be punctual and trustworthy. Whether you plan to
provide the services yourself or hire employees, these are key
business characteristics that cannot be overlooked.
The start up cost for your home care business depends on how you
define your business scope. The cost can range from low to
medium-high. Some business owners have started their Non Medical
Home Care business with as little as a thousand dollars to as
much as five hundred thousand dollars.
If you are interested in starting a Non Medical Home Care
business you have two options. You can choose to start your
business on your own or your join forces with a Non Medical Home
Care franchise.
If you choose to start your home care business on your own
there is a diverse amount of information available online and in
bookstores that can help you achieve your goal of establishing a
profitable home care business. You can find general business
startup information ranging from how to raise capital, how to
establish your business plan, to Home Care Guides specific to
the Home Care industry. These guides can provide you with the
critical information you need to get started.
There are pro's and con's to each start up option. The benefits
to starting on your own are lower cost, ease of entry, and no
franchise fees. The downside is you won't have the on-going
guidance of the franchisor to steer you around problems and
pitfalls.
If you decided go the franchise route you will benefit from the
well-established plans of the franchisor. Many of the mistakes
and pitfalls that you may face by starting on your own will
already have mitigating solutions. The downside is that you can
expect a higher start-up cost in addition to a recurring royalty
cost of 4 to 10 percent. Furthermore, the market area where you
would like to operate your business may not be available.
In the end, Non-Medical Home Care is an option that allows the
senior to remain in the home without feeling overwhelmed. The
senior receives the assistance and companionship required, the
family enjoys peace of mind that a beloved parent, aunt or uncle
is not struggling with the simple tasks of everyday living and
you get the opportunity to start one of the fastest growing
business that will continue to grow well into the future. It is
a "win-win" situation for all.
About the author:
Blake Williams is the founder of SmallBizGuides.com and a
multifaceted business management expert, speaker, and author.
His typical topics include careers, start-ups, small business
marketing, and project management. Webmasters and other article
publishers are hereby granted article reproduction permission as
long as this article in its entirety, author's information, and
any links remain intact. Copyright 2005 by Blake Williams Media
Group, You