I;s fair to say that over 30% of the folks I talk to about franchise ownership, whether i-s in a seminar setting, or during a franchise opportunity consultation, bring up-Home Health Care Franchises'
These are some smart people.
The changing demographics in the US are a huge factor in the popularity of franchise concepts that are tackling our aging population.
This year, in my annual 'Franchise Trends
(Those figures come from * AARP International)
I's no wonder that there are over 30 different home health care franchise concepts that are actively seeking franchisees.
Numerous articles and even a special report have recently been published about this hot franchise sector.
The folks over at *FranchiseHandbook.com pointed out that,'the scope of opportunities to be met will be vast, and it will increase as the percentage of the total population aged 50 and up continues to grow. According to 'The Maturing of America,' a report described as the most comprehensive ever on the aging-readiness of America, fewer than half of U.S. cities and counties have plans in place to meet the needs of aging baby boomers'
Over in Small Business Cents, (part of the Business.Gov Community) NicoleD discussed the need for service providers. She also informed the community of some US Government grant money that could be available;
In 2007, the Centers for Medicare and Medicaid Services (CMS) announced that $1.75 billion in grant money would be distributed to states over five years (2007-2011) to help shift Medicaid's traditional emphasis on institutional care to a system offering greater choices that include home and community-based services. Contact your state's economic development agency to learn if funding for senior care facilities is available in your area.
I would strongly suggest that you contact your local economic development professionals and find out if your area of the country qualifies for grant money. That would be a good way to start a business!
Recently, the folks over at Franchise Direct released a comprehensive Home Health Care Franchise Report. According to Franchise Direct's editor, the data contained in the report was drawn from the Franchise Disclosure Documents (FDD) of a representative sample of 18 home care franchises and published industry sources.
Considering that there are, at last count, over 30 different franchise providers of these services, the fact that they were able to collect information from 18 of them is substantial.
I need to point out one major thing that's missing from all of these articles and reports, and it's not a slam on all of this excellent information.
This is an outbound-sales type of franchise. If your visual of a Home Health Care franchise consists of watching throngs of needy clients busting through your doors anxious to do business with you, you're going to be sorely disappointed.
You have to go out and call on hospitals, nursing homes, and pharmacies, for starters. You'll also be hobnobbing with powerful estate attorneys, wealth advisors, and stockbrokers in an attempt to create some really strong referral relationships.
The bulk of your business will be coming from the relationships that you make during your first year or two as a franchise owner.
If you're outgoing, and consider yourself a good networker, then a franchise business like this may be right for you. (Plus, you must have a serious amount of compassion for others)
Total investment amounts for these types of franchises range from around $120k-$200k.
In summation, if you're thinking about entering a hot sector like the home health care market, make sure you understand what your role will be, as the franchise owner. If you are a fit, it could be a great way to secure your future.
(The Franchise King ®, Joel Libava, is president of Franchise Selection Specialists Inc. Joel helps those interested in exploring franchise ownership all over the country find great opportunities that are a great match for them. He is frequently called on by the media for his no-spin insights on the world of franchising. Joel is also deeply entrenched in social media. His latest project is an educational one, featuring rich informational guides on franchising, which can be found at Franchise Online University.com)