Running a home care franchise will be rewarding, profitable and incredible. But it will also require a lot of coordination, consideration and care. To ensure your success in this growing, thriving industry, you’ll definitely need to create, regularly update and stick to a business plan. Here are four tips for building that business plan and creating something as useful and comprehensive as possible.
The home care sector is the definition of an ever-expanding industry. Nearly a million people in the UK currently require domiciliary care [homecare.co.uk], and this number is predicted to increase as the population continues to age. If you’re interested in franchising, investing with one of the top home care franchises in the UK is a great option, and the business plan guidance that follows will only help you to do so successfully.
How to build a business plan for a home care franchise
When you’ve decided to make a career change with a homecare franchise and committed to an investment, it’ll soon be time to start building a business plan for your caregiving business. A strong franchise business plan is essential. Not only will you often be required to present it to your franchisor during the initial investment stages, but you’ll also have to present it to a bank or other funding body if you’re seeking financial backing.
Most importantly of all, though, your business plan will be something that you benefit from. It’ll be a bible for your home care business and something that you can regularly look back on and dynamically update, using it to measure your progress towards goals and keep yourself on track. Every franchise business plan, regardless of the industry or company that you’re investing with, should include the following elements:
- An executive summary
- A business description
- Product/service descriptions
- A management summary
- Market analysis
- Operational details
- Business premises details
- Sales and marketing plans
- Financial projections and requirements
Beyond those core components that must be covered in order for your business plan to be truly considered comprehensive, here are four business plan tips specific to launching and running a home care franchise in today’s competitive caregiving industry. Follow each one, and you’ll be able to start a home care franchise smoothly and effectively…
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1. Place plenty of focus on what makes this home care franchise unique/well-placed to succeed
As already mentioned above, the caregiving sector is an extremely competitive one, and though there are many in need of support, there are also plenty of home care businesses vying to provide this support. This means you can’t simply rely on the recession-proof demand you’re granted by being in an essential industry like this one. You have to emphasise why your homecare franchise of choice is a cut above the rest, too.
What does it do differently? How does it position itself differently? What does it offer that other home care franchises don’t, or can’t? This is a particularly important inclusion in your franchise business plan if you aim to share it with funding bodies in hopes of receiving financial backing, as they’ll want to be certain they’re making a viable investment. They’ll want to know what makes this brand well-placed to succeed in a saturated market.
2. Analyse your target market AND your direct competition
When you’re conducting market analysis within your business plan, you should strive to be detailed, concrete and specific. You should provide evidence of anything you’ve discovered, and demonstrate a clear understanding of the current state of the home care sector. As of now, for example, the home care sector is still battling to recover from COVID-19, and recruitment of more carers is the top priority.
When you’re looking at your direct competition, you’ll find you run into tip one. You’ll observe all the things that your competitors are doing, and as a result, you’ll be able to identify gaps in the market/things your franchise could do that other businesses in the home care space aren’t doing. Obviously, many of the statements about what your franchise can and can’t offer should be discussed and agreed up with your franchisor - but don’t be afraid to push the boat out.
3. Include comprehensive, accurate financial projections
Take the time to get your costings as accurate as they can be in your plan, and your effort will pay off. Not just in terms of what you’re handing to other people to read and assess, but in terms of how well you understand your own franchise business and how much it will cost you to get everything up and running (and how long it will take you to recoup your initial investment). To give you an idea, when you become a caregiver and launch a home care franchise, you will need to cover:
- The initial cost of investment
- The ongoing franchisor fees (operating, advertising, royalties, so on)
- Equipment costs (sometimes covered by your franchisor)
- Uniform costs (sometimes covered by your franchisor)
- The cost of a vehicle (and vehicle maintenance)
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4. Detail your home care franchise’s growth potential and how it could expand over time
Undeniably, one of the biggest advantages of running a home care franchise is the growth potential. You can make a low-cost initial investment and launch an endlessly scalable franchise, turning over a profit extremely quickly. If you have plans to grow your business and expand your reach over time, be sure to cover these in your franchise business plan. Again, this info will be especially important for potential funding backers to know.
There has never been a better time to invest in a Caremark franchise; our franchisees have recently experienced record growth due to the growing in-home care market, resilient business model, and unrivalled training and support, even during the economic turbulence of Brexit and the COVID-19 pandemic.
Enjoy all the benefits of running your own business with plenty of franchisor support - start running a home care franchise today!
There are so many amazing options out there in the field of home care, and if this article has left you even more excited to make your investment and get stuck in, stay on Point Franchise. Browse the site’s wide range of home care franchise investment opportunities, from a £12,500 minimum initial investment with Apollo Care to a £35,000 minimum initial investment with Caremark.
Lily Sweeney, Point Franchise ©