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Starting a healthcare staffing agency is a business opportunity with much promise and potential. Here are the steps to starting one the right way.

Behind the Healthcare Staffing Agency Industry

Healthcare staffing agencies are potentially highly profitable business ventures. In 2022, the U.S. healthcare staffing market was valued at $23.6 million, with Precedence Research projecting it to grow to $41.17 million by 2032. Agencies profit by charging healthcare facilities a fee for placing someone in a position, which is usually a percentage of the person’s salary or a flat fee for temporary placements.

The industry is rapidly growing due to several factors. The aging population is increasing daily, with AARP reporting that 10,000 Americans turn 65 every day and will represent over 20% of the population by 2030. With this silver tsunami comes an increase in the care facility population. While facilities saw a dip during the pandemic, senior housing occupancy has exceeded 85% over the last 2.5 years. Many of these facilities are already struggling to keep up with staffing demands, and as more and more people need to use them, they’ll need to turn to healthcare staffing companies for help.

Additionally, more people are dealing with chronic conditions. Nearly 60% of adults in the U.S. have at least one chronic condition. Many people with chronic conditions need a care provider to help throughout the day.

More healthcare providers are using technology such as telehealth to keep in contact with their patients. However, using this technology can be difficult for seniors, so people and senior living facilities use caregivers to help. Caregivers are hired to help guide seniors through telehealth appointments and other health technology they might be using.

How to Start a Healthcare Staffing Agency: Complexities and Requirements

A healthcare staffing agency isn’t necessarily more difficult to start than another business, but it does require thorough preparation and compliance with regulations.

Start by creating a business plan. Defining your niche market is extremely important as it will allow you to focus your resources on a specific demographic. Include your operational plan and financial projections in the business plan. The business plan will help you find investors willing to help you get started.

The healthcare industry involves many legalities and compliance requirements. Ensure that you obtain the necessary licenses and comply with healthcare staffing regulations.

You’ll want to have a quality insurance policy to protect not only you and your business, but also the professionals you’ll place in jobs.

It’s time to get to work! Create a marketing plan to attract clients. Then, find people to fill your clients’ spots by developing a recruitment strategy to find qualified healthcare professionals.

Healthcare Staffing Challenges

Owning a healthcare staffing agency is rewarding but challenging. You’re responsible for constantly recruiting qualified candidates. This is a continuous effort as healthcare staff turnover is high, with facilities experiencing some of their highest turnover rates. To grow your business, you need to maintain relationships with healthcare facilities and continuously connect with new ones. As the owner, you’ll need to ensure your agency is always compliant with industry regulations on both state and federal levels.

Despite these challenges, it is a very rewarding career. You fill a vital need in the healthcare system and help people find jobs in your community.

Why Invest in a Franchise

For those looking at how to start a healthcare staffing agency, franchising offers a worthwhile option. When investing in a franchise, you’ll receive a proven business model to follow, brand recognition, training, and ongoing support. All this support mitigates the startup challenges.

The A Place At Home Advantage

Consider going bigger than just starting a care recruitment agency. A Place At Home allows entrepreneurs to capitalize on multiple revenue streams. As a home care franchise, we primarily focus on the $225 billion in-home care market, but our franchisees can take advantage of our multiple revenue streams. Beyond home care and staffing solutions, franchisees also provide care coordination and senior living alternatives.

If you’re passionate about joining the healthcare staffing industry, do so with us at A Place At Home. You’ll join a network that values integrity, compassion, and excellence, equipped with the training, support, and tools needed to build a successful business that makes a real difference in your community.

Fill out our form to begin the journey.

 

The home care market is highly resilient and continues to grow rapidly. Get up to speed on everything you need to know.

Industry Analysis

Home care encompasses a wide range of services, from non-medical companion care to skilled nursing and therapeutic services. The home care market is steadily expanding, with projections indicating continued growth. Statista reports that the U.S. home care market size is $225 billion in 2024. Home care spending is the fastest-growing sector within the healthcare industry. It’s not because of an increase in pricing but an increase in use.

Home Care Industry Growth

The home care industry is experiencing unprecedented growth, driven by the oldest population in U.S. history, an increase in chronic diseases, and a growing preference for aging in place. According to the Population Reference Bureau, the number of Americans 65 and older will increase by 47% by 2050 to 82 million. More and more seniors need help continuing daily living activities. LongTermCare.Gov finds that seniors have a 70% chance of requiring in-home long-term care services and support at some point in their later years.

This “silver tsunami” creates a significant demand for home care services. AARP finds that more than 90% of seniors prefer to age comfortably and safely in their homes rather than a facility.

Advancements in healthcare technology benefit the growth of home care. New developments have made it possible to provide more complex medical treatments in a senior’s home. Meanwhile, the COVID-19 pandemic increased awareness of the benefits of receiving care at home, highlighting the home care industry’s resilience and essential nature.

Home Care Competition

Competition within the home care sector is robust, with players ranging from small, locally-owned businesses to large national franchises. However, the market’s fragmented nature presents unique opportunities for new entrants, especially those affiliated with a strong franchise brand like A Place At Home, which offers comprehensive support, training, and a proven business model.

A Resilient Industry

The home care industry is a resilient one to invest in with its essential nature and adaptability. The demographic shift ensures that as a home care business owner, your customer base can grow for the foreseeable future. It’s recession-resistant, as even in troubling economic times, the demand for home healthcare market services, particularly home care, remains stable, as these services are considered essential.

Home care companies can easily adapt to the market’s changing needs, for example, by using telehealth and remote monitoring technologies to provide continuous, quality care amidst challenges such as the COVID-19 pandemic. They can also add revenue streams to diversify their profits, like A Place At Home offers. Our franchisees provide in-home care, care coordination, senior living alternatives, and staffing solutions.

Additionally, starting a home care business through a franchise increases your potential for success. You can leverage the brand’s established reputation, operational support, and marketing strategies, significantly reducing the hurdles of starting a business from scratch. This support is invaluable in navigating the complexities of the healthcare industry, regulatory compliance, and the competitive landscape.

Join the Home Care Industry with A Place At Home

A Place At Home stands at the forefront of this expanding industry, offering a comprehensive suite of services beyond traditional home care. Our franchise model is designed for success, providing franchisees with the tools, training, and support needed to thrive in the home care sector. Our commitment to quality care, combined with our business expertise, makes A Place At Home a leader in the home care industry.

If you’re looking to make a meaningful impact while building a sustainable business in a growing industry, home care is it. We’re ready to guide you through every step of your franchising journey. Fill out a request information form to get started.

The senior housing landscape has undergone significant transformation since the start of the COVID-19 pandemic. If you’re considering investing in the senior care industry, understanding these shifts is crucial to making informed decisions.

Get the latest insights on senior housing trends you must know about in 2024. Learn about the state of the senior housing market here.

The Pandemic Effect

COVID-19 brought about a reevaluation of senior housing trends. There’s been a decline in the demand for nursing homes while the appeal of at-home care surged. That’s partially due to senior living communities becoming hotspots for outbreaks, leading many families to reconsider their choices. There’s also an increasing number of seniors looking to “age in place” and remain in their homes for as long as possible, as moving to nursing homes can pose a financial burden on them and their families. A Today’s Homeowner survey found that nearly 90% of people 55 and older want to age in their own homes.

Middle-Income Seniors’ Affordability Quest

The economic repercussions of the pandemic have been far-reaching. Many middle-income seniors are now more price-conscious and are actively seeking affordable senior care options. Research released by NORC at the University of Chicago found that more than 11 million Americans 75 years or older will not be able to afford assisted living and long-term care by 2033. Bethesda Health Group finds that the median yearly cost of living in      an assisted living facility was $54,000 in 2021. So, that expense will only increase as inflation rises. Plus, if the senior has paid off their home, why would they want to take on a new living expense such as rent? As a result, there’s a recent shift in senior care demand. That shift underscores the need for innovative solutions catering to this demographic without compromising quality.

One outlet that is growing in response to the affordability quest is in-home care. Brands like A Place At Home, which offers personalized care plans to fit the needs and price points of families, are thriving.

Biggest Changes and Challenges to the Senior Housing Industry

Staffing shortages, especially among nurses, continue to pose a substantial challenge, affecting the industry’s capacity to accommodate more seniors. Companies that focus on taking care of their staff are excelling. For example, A Place At Home locations receive some of the highest satisfaction ratings from their caregivers. More than half of our locations have earned the Home Care Pulse Employer of Choice designation.

Some other significant senior housing trends include a heightened emphasis on chronic condition management and preventative care and a growing desire for enhanced programming in senior living communities. As for the senior housing development trends, the industry faces rising construction and operational costs. These costs often get passed down to residents, making it less affordable for many.

However, it’s not all gloomy. Many senior living businesses adapt to these challenges by incorporating technology to enhance residents’ quality of life. From telehealth services to virtual reality experiences, technology plays a pivotal role in reshaping senior care.

A Place At Home: Leading the Way in Senior Care

The U.S. home healthcare market is expected to grow from $96.08 billion in 2023 to $156.28 billion by 2030, according to Fortune Business Insights. A Place At Home stands at the forefront of the evolving home care industry. Recognizing the challenges and shifts in the industry, we’ve positioned ourselves as a comprehensive solution for seniors. Our range of services, from in-home care to senior living alternatives, ensures seniors receive the best care for their needs.

Furthermore, we understand the importance of affordability without compromising on quality. Our franchise model is designed to provide entrepreneurs with the tools and support needed to succeed in this ever-changing market.

Ready to join the solution and make a meaningful impact in the lives of seniors? Request information today and embark on a rewarding journey in senior care.

Looking to source homecare referrals but don’t know where to start? Here are ideas on where to look and how to create the perfect referral program.

The Power of Referrals

Imagine you’re looking for a service or product. Would you trust a random advertisement or the recommendation of a friend? According to Nielsen Commspoint Journey, 30% of consumers follow brand recommendations.  This trust is the foundation of homecare referrals. When someone recommends your in-home care services, it carries weight, credibility, and trust. It’s a testament to the quality of care you provide and the satisfaction of your clients.

Understanding Referral Programs

A referral program is a structured system where you incentivize your current clients, their families, or even professionals in the industry to recommend your services to others. Incentives can look like discounts, complimentary services, or other rewards. The idea is to benefit both parties: your business gets a new client, and the referrer gets a token of appreciation.

Sourcing Referrals for Homecare Businesses

The next question is, where do you find these golden referrals? Here’s a list of how to get clients for non-medical home care business:

• Previous and existing clients: The Private Duty Benchmarking Study released by the Home Care Association of America found clients as the top referral source for home care agencies, making up nearly 20% of all referrals. Happy clients are often more than willing to refer friends or family if they’ve had a positive experience. Additionally, people are more perceptive to recommended services from friends and family.
• Local hospitals and clinics: Build relationships with local healthcare providers, including hospital discharge planners. That same survey found the following highest number of referrals came from these planners, about 9%. Discharge planners often encounter patients in need of in-home care. While working with the U.S. Department of Veterans Affairs (VA) requires a certification process, once completed, connecting with local VA clinics can bring in clients.
• Local senior centers: These are hubs for the elderly community and can be a rich source of referrals. Senior centers are typically associated with a city or county. City governments often have senior service departments with a plethora of resources for seniors and their families. Connecting with them is a great way to have them help you get your name out.
• Rehabilitation centers: Patients recovering from surgeries or injuries might need temporary in-home care. Like the hospital discharge planners, building relationships with people involved in the discharge process in rehab centers will help put your homecare agency name out there more.

Crafting Your Referral Program

1. Define clear objectives: What do you hope to achieve? More clients? Brand awareness? Set clear goals that will help guide the direction of your program.
2. Choose your incentives: Whether it’s a discount, a free service, or a small gift, it needs to be enticing enough for someone to refer your services.
3. Promote your program: Use your website, social media, and physical brochures to inform people about your referral program.
4. Make it easy: The referral process should be simple. Whether it’s a form on your website or a phone number to call, make sure it’s hassle-free.
5. Track and measure: Keep an eye on how many referrals you get and from where. The insight will help you refine your program over time.

Start Ahead with A Place At Home

Choosing to franchise with A Place At Home gives you a significant edge in the referral game. As a recognized homecare referral agency, our brand already carries trust and credibility. Moreover, our extensive network of franchisees and reputation can open doors to networking opportunities, making it easier to establish relationships with hospitals, clinics, and other potential sources of in-home care referral services.

From the beginning, we work with you on how to build your client list. We provide training and resources to help you navigate the industry’s complexities, including how to set up and manage a referral program effectively. Our experience and insights can save you from common pitfalls and set you on a faster path to meet your goals.

Ready to get started? Fill out our ‘Request Information’ form.

 

Interested in becoming an entrepreneur in the resilient healthcare industry? Get tips and ideas for starting your own health business with and without medical experience.

1. Identify Your Niche

The healthcare industry is broad. From medical equipment sales to home care services, there’s a niche for everyone. Start by identifying where your passion and expertise lie. Do you want to provide direct patient care, or are you more interested in the administrative or technological side of things? After identifying your niche, determine how you’ll differentiate your services from potential competitors

2. Conduct Market Research

It’s essential to understand the current trends in the healthcare sector. Which services are in high demand? Where are the gaps in the market that you can fill? Also, identify your target audience, their specific needs, and if it’s big enough to allow your business to thrive. For example, with the aging population, home healthcare is growing at a remarkable pace. Grand View Research predicts that the U.S. home healthcare market will grow by nearly 7.5% annually through 2030, reaching almost $254.5 billion by the end of this decade.

3. Develop a Comprehensive Business Plan 

A business plan can act as a guide. Include an outline of your business goals, financial projections, marketing strategies, and operational plans. Having a business plan can help you secure funding.

4. Find Funding

Determine your startup costs and identify potential sources of funding. Funding can come from personal savings, bank loans, investors, venture capitalists, or government grants. Ensure you have enough funds to cover at least three months of initial operation costs.

5. Secure Necessary Licenses and Certifications

Depending on your chosen niche, you may need specific licenses or certifications. Ensure you’re compliant with local, state, and federal regulations.

6. Build a Strong Team

Your team is the backbone of your business. Whether you’re hiring medical professionals or administrative staff, ensure they share your vision and commitment to providing top-notch care.

7. Prioritize Patient Care

 

At the heart of health entrepreneurship is the commitment to improving patients’ lives. Ensure that patient care remains your top priority. Happy patients lead to referrals, positive reviews, and a thriving business.

8. Focus on Marketing

Develop a robust online presence through a professional website, social media, and advertising. Consider content marketing, such as blogs or videos, to position yourself as an expert in your field. Building relationships with other healthcare professionals, community leaders, and potential clients can also open doors to opportunities and referrals. Attend industry conferences, join professional associations, and actively participate in community events.

9. Plan for Scalability

As your business grows, have a plan for scaling up, whether it’s expanding services, hiring more staff, or opening new locations.

10. Stay Committed to Continuous Learning

The healthcare industry is ever-changing. Stay updated with the latest research, trends, and best practices. This ensures you provide the best care and positions you as an expert in your field. The healthcare industry can be challenging. Stay resilient, adapt to changes, and always keep your mission and vision in focus.

Consider Franchising

Franchising is a great way to start on the path to business ownership without many of the hassles and headaches that come from starting entirely on your own. Investing in a franchise gives you a proven business model with established processes, training, and support. It eliminates guesswork and offers a roadmap to success. Additionally, whether you have healthcare experience, franchises will train you in the specific field and how to run the business. They also often offer invaluable mentorship and resources to help you thrive.

Follow Your Dream with A Place At Home

A home care franchise like A Place At Home offers a special opportunity to provide personalized care in the comfort of a patient’s home, a feature many aging seniors are increasingly prioritizing. Unlike other healthcare franchises focusing solely on one service, A Place At Home provides a diversified business model. You’ll tap into multiple revenue streams, from in-home care to care coordination and staffing solutions, ensuring a more resilient and profitable venture.

With A Place At Home, you’re never alone. Our robust training program can take you from hopeful business owner to healthcare entrepreneur. Through both video and hands-on training, you’ll receive guidance on everything from tracking financials and managing payroll to hiring and marketing.

So, are you ready to embark on a fulfilling journey to healthcare entrepreneurship? Combining our guidance and support with your passion can allow you to positively impact your local healthcare landscape significantly. Take the next step by filling out our request information form, and we’ll be in touch soon.

Curious about medical staffing franchises and if they’re worth your investment? Learn about the perfect alternative franchise with staffing as a revenue stream.

What to Know

Investing in a healthcare staffing agency franchise can be an exciting journey that offers the chance to make a real impact. By opening one of these franchises, you’ll play a crucial role in supplying qualified staff for healthcare facilities in need.

Many healthcare facilities faced staffing challenges during the COVID-19 pandemic and have yet to bounce back. The World Health Organization predicts a shortage of 15 million healthcare workers in the world by the end of this decade. On top of that, 10,000 Americans turn 65 every day, according to the U.S. Department of Health and Human Services.

With these two factors in mind, Precedence Research valued the U.S. healthcare staffing market at $24.5 billion in 2021. The research firm predicts the market to surpass $35.1 billion by 2030.

Medical staffing franchises are at the forefront of addressing this demand. They offer a streamlined approach to connecting healthcare facilities with desperately needed medical professionals. As the healthcare industry continues to change, the adaptability and efficiency of these franchises will be crucial.

A medical staffing franchise requires both a decent financial investment and an understanding of the healthcare landscape. Most healthcare staffing franchises come with starting around $100,000 or more. But the benefit to franchising is that you’ll have the support of a franchise system to guide you through regulations and day-to-day operations.

One way to capitalize on not only the medical staffing industry but also the booming senior care market is by investing in an A Place At Home franchise. With an initial investment range of $84,185 to $148,517, it’s comparable and even less than other staffing franchises. Plus, you’re not just focusing on staffing local healthcare facilities but also earning home care revenue.

Pros and Cons of Medical Staffing Franchises

The healthcare staffing world comes with several benefits. The industry is always in need of qualified staff, putting your services in high demand. It’s also recession-resistant because healthcare is a necessity even when the economy takes a dip. Franchising and the medical staffing industry are highly scalable. Once you’ve got the hang of things, scaling up is a breeze.

As for the cons of a medical staffing franchise, the healthcare industry is highly regulated. Because of these regulations, there can be a barrier to entry. It’s highly competitive as many companies are vying for a piece of the healthcare staffing pie. Managing healthcare professionals’ varying schedules and specializations is a complex operation.

Is Medical Staffing the Right Type of Franchise for Me?

Ask yourself the following questions:

• Are you interested in making a meaningful impact in the healthcare industry?
• Are you willing to learn how to navigate industry-specific regulations?
• Do you have the initial investment to get your business off the ground?

If you find yourself nodding along, then a staffing franchise in the medical sector should be your next big adventure.

A Place At Home: A Diverse Revenue Stream

Unlike traditional healthcare staffing franchises, A Place At Home offers a diversified business model that extends beyond staffing. Our primary service is in-home care, which makes up a $129.9 billion industry, according to IBISWorld. Our various senior-focused care services include in-home care, care coordination, assistance in identifying and transitioning to senior living alternatives, and staffing solutions for assisted living, memory care, rehab, and other long-term care communities.

Why is this diversification important? Because it allows you to tap into multiple revenue streams, making your business more resilient and profitable. When one area faces challenges, you have other services to fall back on, ensuring a more stable income. By diversifying your investment with A Place At Home, you’re not just buying into a healthcare staffing agency franchise but investing in a comprehensive care solution for seniors. That means you’re capitalizing on two multi-billion-dollar markets. In an industry as vital and growing as healthcare, that’s a wise investment.

Ready to take the next step in your franchising journey? Fill out the ‘Request Information’ form to learn more about how you can join this exciting franchise venture.

 

The senior care industry is experiencing massive growth right now. Over the next five years, Technavio predicts the industry will grow by $91.37 billion. Senior care businesses can be highly profitable and are seeing growing demand. Discover the top reasons to start or invest in a senior care business here.

1. Growing Aging Population 

The aging population is increasing at an unprecedented rate. Baby boomers are retiring, and the number of seniors requiring care is steadily rising. In 2034, seniors will outnumber kids under 18 years old for the first time in U.S. history, according to the U.S. Census. Plus, AARP reports that more seniors require additional care due to chronic illness. As a result, what once was 14% of seniors 85 years or older in 2010 will be more than a fifth of seniors in 2050 needing more care services. This demographic shift presents a unique opportunity for senior care businesses, as the demand for quality care services is higher than ever.

2. Long-Term Market Stability

The senior care industry is known for its stability and resilience, even during economic downturns. Regardless of market conditions, people will continue to require care and assistance as they age, making it a recession-resistant business opportunity.

The COVID-19 pandemic highlighted the importance of in-home care providers like A Place At Home. While nursing homes struggled to keep the virus from spreading and their occupancy levels up, in-home care businesses thrived. Because of this, in-home care businesses are more recession-resistant than nursing homes or assisted living facilities.

<h2> 3. Technological Advancements </h2>

Technology advancements are transforming the senior care industry, making it more efficient, accessible, and cost-effective. They’re revolutionizing how care is delivered, from remote monitoring systems to digital health records. Investing in a senior care business now allows you to use these innovations and provide top-notch care services to your clients.

4. Diverse Revenue Streams

Businesses in the senior care industry offer a wide range of services beyond basic caregiving. These may include specialized memory care, rehabilitation services, and staffing assistance. By diversifying your revenue streams, you can cater to various needs within the senior community and enhance your business’s profitability.

For example, the senior care franchise A Place At Home offers not only in-home senior care but also care coordination, senior living alternatives, and staffing solutions. This means owners can walk seniors and their families through the entire aging process, creating consistent care.

In-Home Care Vs. Nursing Home

There are several business opportunities in the senior care industry, with in-home and nursing homes being some of the most popular options. But here’s why in-home care is a better choice.

First, more seniors want to age in place. Many of them have lived in their homes for decades and don’t want to leave, making in-home care their preferred option.

Then, when you compare the expense of paying for in-home care versus a private room in a nursing home, it’s less than half the cost. SeniorLiving.org finds that the national average for the price of a home care aide for five days a week is $53,560 for the entire year. Compare that to what the American Council on Aging notes as the annual cost of a private room in a nursing home, $108,405.

Lastly, an in-home care business or franchise is more affordable to invest in than an entire nursing home facility. Investment costs for a home care franchise stay lower because they don’t require a large facility with several rooms; instead, a small office to hold consultations in will do. With A Place At Home, our startup costs range from $84,185-$148,517. In comparison, a nursing facility or assisted living franchise is a multi-million-dollar investment.

A Place At Home: A Turnkey Solution to Your Next Business Venture

The senior care industry is experiencing unprecedented growth. By investing in A Place At Home now, there’s no chance you’ll ever feel FOMO (fear of missing out). You’ll also gain a competitive advantage over those who try to invest years after you have a stronghold in the market.

Starting a business from scratch is daunting, but franchising with a reputable senior care franchise like A Place At Home eliminates many challenges and uncertainties. The support structure helps mitigate the risks associated with entrepreneurship and increases your chances of success.

We offer a turnkey solution with our proven business model, comprehensive training programs, ongoing support, and access to a network of experienced professionals. Leverage our expertise, best practices, and established systems to navigate the senior care market effectively and efficiently.

Learn more about your opportunity with us by submitting a franchise form.

Learn everything you need to know about franchise royalty fees and where the money goes. Depending on the franchise, sometimes franchise royalty fees can be negotiable.

What Are Franchise Royalty Fees?

Simply put, they’re a percentage of your revenue that you pay to the franchisor in exchange for the right to use their brand name, products, and systems. In other words, it’s the cost of doing business as a franchisee.

Franchise royalty fees typically range from 4%-8% of your gross sales but can be as high as 12% or more, according to the Small Business Association. The exact percentage will vary depending on the franchisor and the industry. For instance, a food franchise is typically a high-volume business, which means a lot of customers purchase a lot of individual items. Because their revenues tend to be higher than other industries, they typically have a lower royalty fee percentage.

In contrast, another type of business, like a consulting franchise, doesn’t experience as high of a revenue volume, so their royalty fee percentage may be 10%. Then others fall in the middle, such as senior in-home care franchises such as A Place At Home.

Depending on the agreement, you’ll report your gross sales to the franchisor every month or quarter. They’ll then deduct the agreed-upon percentage from your revenue, leaving you with your net sales. Some franchises may charge a flat fee instead of a percentage, while others may have various rates for different types of products or services. In some cases, the franchisor may also require you to pay additional fees, such as marketing or technology, on top of the royalty fee.

It’s important to note that royalty fees are not the same as the franchise fee. Franchise fees are a one-time payment you make to the franchisor when you first sign on, whereas royalty fees are an ongoing cost.

Why Do I Have to Pay Royalty Fees?

As a franchisee, you’re essentially buying into a proven business model. The franchisor has already worked hard to develop a successful brand, create effective systems and processes, and build a customer base. You’ll get the right to use the franchisor’s brand name and logo, which can be a considerable advantage in a crowded marketplace. Perhaps most importantly, you get ongoing support and training from the franchisor, which can help you succeed in the long run. You’re essentially paying for the right to use all that hard work and leverage it will better position yourself for success than starting from scratch.

Are Franchise Royalty Fees Negotiable?

Franchisors are typically reluctant to negotiate their royalty fees, as they’ve already set them at a level they believe is fair for both parties. However, if you have a strong case for why you should pay less, it’s worth bringing it up with the franchisor and seeing if they’re open to negotiation. For example, if you believe you’re opening a less profitable location, they may lower the royalty expenses.

It’s also worth noting that some franchisors may offer discounts on royalty fees for specific situations, such as if you open multiple locations or are a veteran. Other franchisors, like A Place At Home, offer a sliding royalty fee structure. So, the more revenue you earn in one year, the lower your royalty percentage is. Their current royalty structure is as follows:

• 5% – up to $999.99
• 0% – $1 million to $1.5 million
• 5% – + $1.5 million in sales

If you’re looking to try to get out of paying royalty fees altogether, don’t bother. These fees are a crucial part of the franchise business model and are typically a percentage of your gross sales. They provide the franchisor with ongoing revenue and help to cover the costs of continuing support services, such as marketing, training, and operations. While some franchisors may be willing to negotiate their royalty fees, it’s unlikely that you’ll be able to avoid paying them entirely. So, when considering a franchise opportunity, be sure to factor in the cost of royalty fees to ensure that it fits within your budget.

Red Flags to Watch for With Royalties

While lower royalty fee rates are great, experts at Forbes warn that if a franchisor is pushing for higher up-front costs with significantly lower royalty rates, that’s a red flag. This can be a sign that the franchisor is just looking for short-term cash flow and that they might not provide the best ongoing support.

You should also be suspicious if the franchisor is too eager to offer discounted royalty fees. Forbes says there are some sufficient reasons why they might offer reduced royalty fees, such as being a new franchise or trying to get a specific market to sell. But otherwise, if an established brand is overly willing to offer you a discount on their royalties, experts say it could be a sign they’re in financial trouble and need to sell territories.

Affordable Senior Care Franchise Opportunity: A Place At Home

Our senior-focused franchise offers various services for seniors who want to age in place, find a living facility when it comes time for extra assistance, and help facilities keep their staff numbers at the required amount. Along with our other home care franchise costs, we keep our royalty fees lower because we believe in supporting our franchisees and helping them grow their businesses. As mentioned above, we lower the rate as you earn more revenue. Experts cite the industry average for royalty fees as 5%, so our top performers are actually paying lower than the industry average.

A Place at Home is committed to helping our franchisees succeed by providing affordable and flexible royalty fees and ongoing support and training. By doing so, we believe we can build a strong network of franchisees passionate about providing quality care to seniors in their communities.

Ready to get started and join our franchising team? Submit a franchise form

Planning to start a non-medical home care business? Learn the steps here and see what it takes to open up your own non-medical home care business here.

Non-Medical vs. Medical Home Care

Before learning how to start a non-medical home care business, let’s understand how it differs from in-home medical services. Medical home care is skilled nursing care and medical services for patients who need medical attention at home. These providers may administer medications and perform wound care, physical therapy, and other medical services. Licensed healthcare professionals such as registered nurses or physical therapists typically perform this care.

On the other hand, non-medical home care assists with activities of daily living such as bathing, dressing, and meal preparation, as well as companionship and transportation services. Trained caregivers don’t need a medical background for this.

Senior in-home care franchise A Place At Home is a lower-investment franchise with high-profit potential. In-home care isn’t your only revenue stream either. You can offer professional care planning, assist clients in finding a senior living alternative, and help assisted living residences, memory care centers, rehabs, and other long-term care communities maintain staffing.

Why Choose Non-Medical Over Medical?

Non-medical home care is one of the fastest-growing sectors because of the aging population in the U.S. According to the U.S. Census Bureau, the number of Americans aged 65 and older is expected to double by 2060, reaching 98.2 million. This aging population prefers to age in place, meaning they want to remain in their homes rather than move to a nursing home or assisted living facility. Non-medical home care allows seniors to receive help with daily activities while still in the comfort of their homes.

Non-medical home care does not require a medical background, which lowers labor costs. In addition, while there are state or local licensing requirements for non-medical home care businesses, they’re typically not subjected to the same strict regulatory requirements as medical home care businesses. Both factors lower the barrier of entry for franchise investors.

Non-medical home care businesses have a broader potential client base than medical home care. Non-medical home care providers can serve not only seniors and individuals with disabilities but also individuals recovering from surgery or illness who may not require skilled medical care.

As a non-medical home care business owner, you can scale and grow your business easily. You can expand services to serve more clients without needing additional medical staff or equipment.

6 Steps on How to Start a Non-Medical Home Care Business

Starting a non-medical home care business requires careful planning and attention to detail, but it can be a rewarding and successful venture with the right approach. By following these steps on how to start a non-medical home care business, you can build a thriving business that provides essential services to those in need.

1. Develop a Business Plan
   Before starting your business, you need to develop a comprehensive business plan. This plan should describe your services, target market, financial projections, marketing strategy, and staffing plan. In addition, a business plan will help you receive funding.
2. Obtain Necessary Licenses and Permits
   Non-medical home care businesses may be subject to licensing requirements at the state or local level. Check with your state’s licensing board to determine what licenses and permits you need to obtain to start your business.
3. Hire and Train Staff
   You must hire and train competent and compassionate staff to deliver high-quality care for your clients. Develop a thorough hiring process and offer ongoing training to your team to ensure they have the skills and knowledge necessary to provide the best possible care.
4. Develop Policies and Procedures
   Developing policies and procedures for your business is essential to ensure consistency and quality of care. Your policies and procedures should cover areas such as client assessment, care planning, record keeping, and employee conduct.
5. Establish Relationships with Referral Sources
   Establishing relationships with referral sources such as hospitals, rehabilitation centers, and doctor’s offices is essential to build your business. It’s key to network and build relationships with them.
6. Market Your Services
   Marketing is essential to building a successful non-medical home care business. Develop a marketing strategy that includes online advertising, direct mail, and networking events to promote your services and build brand awareness.

Let A Place At Home Help You

Don’t let yourself become overwhelmed with those steps on how to start a home health agency. Instead, let A Place At Home help you build a successful business.

By investing in our lower-cost franchise, you’ll receive our proven business model that’s already been successful in other markets. You’ll undergo initial training on all aspects of the business, from marketing to operations, and have access to ongoing support from the A Place At Home team. A Place At Home franchisees benefit from the brand recognition and reputation we’ve established in the industry. This can help you attract clients and build your business more quickly than if you were starting from scratch. We provide you with a suite of technology tools. From a customized website to a client management system, these resources can help you streamline your operations and reach more potential clients. You’ll save money without group purchasing power for supplies and equipment.

Begin your journey to owning a home care franchise by connecting with us and submitting a franchise form. We’ll then be in touch with you shortly.