September Franchise of the Month
This month we wanted to profile a brand that is a new brand but the leadership team are the same team that grew the predecessor brand to over 700 locations. It’s a home-based, owner-operator model requiring less than $60-80K in investment – all in.
A Bit of Background
As the founder was growing one of the more successful senior care franchises, he began seeing serious issues with the traditional model back in 2011. As he puts it, “We have a crisis of care in this country, with demand FAR exceeding the supply (of caregivers). No one can meet the demand. There is a shrinkage of caregivers among ALL the agencies. This is because that group is aging (without a younger group coming up that’s large enough to replace those retiring) and because most agencies only pay $11/13 an hour on average with no benefits.”
So he took his leadership team (after selling the previous business) and launched a business that solved most of the issues regarding the faulty labor model in traditional in-home caregiving. The idea was to offer more affordable care to the end user, while providing higher wages to the caregivers giving them a leg up in hiring the cream of the crop. While still providing caretakers for folks who want to remain at home, the business model is very different. At the corporate location where they tweaked this model, they have been seeing great success since launching in 2013.
Recently, they’ve started offering franchises to replicate their success nationwide.
The Business Model
This model involves cutting out the middleman (typically an agency) in providing caregivers. By not hiring the caretakers directly, you can pay substantially more to the caregivers and charge substantially less to the client. A win-win all the way around.
Day in Day in the Life of the Franchisee
Initially, the primary role of the franchise owner is sales, marketing, and establishing a referral base of healthcare-related providers who refer clients to them.
During that time (typically the first 90 days) the corporate office performs all the back-office support on their behalf. This means corporate does the client interviews to establish care needs and scope of service, all the billing and collections, and even scheduling and paying the caregivers, recruiting, and vetting the caregivers on behalf of the client and franchise owner. This unheard of launch support allows you, the owner, to focus on getting out there and doing business development with the referral partners.
As the business and experience of the franchise owner grow, you will slowly take over all those functions that corporate was providing previously, with corporate assistance still being there on an as-needed basis. In years 2 and beyond, part of the day is marketing and sales while also balancing caregiver recruitment and other back-office-related tasks.
Someone who wants to help others and do something worthwhile that can make an impact on their lives. An interest or background in sales, especially medical-related sales, is a big plus, but not required. Fear of sales and networking will NOT work in this business.
Reach out to us today to learn more about this unique opportunity and see if it’s the right franchise fit for you!