Non-medical home care

Tomorrow's forecast? Gray. According to the Census Bureau, 13 percent of the population will be over the age of 65 by 2010. By 2030, the figure will jump to 19.6 percent. Many older people want to remain in their family homes as long as they can, so savvy entrepreneurs are rushing in to provide a range of nonmedical home care services that help them age in place. "We call this 'pre-assisted living,'" says Val Halamandaris, president of the National Association for Home Care & Hospice in Washington, DC. "You help people perform the simple functions of daily living and don't let them get so run down that they wind up in assisted living or the emergency room."

However, the biggest obstacles to breaking into nonmedical home care are often the seniors themselves, who are reluctant to acknowledge their needs. "Almost every call I get is from people who tell me their parents don't want any help," says Andrea Cohen, 49, co-founder and CEO of HouseWorks in Newton, Massachusetts. "You have to have a staff that's trained to work with seniors and help them become comfortable with the choices you offer." With 2007 sales projected at $11.9 million, HouseWorks provides personal care assistance, companionship, home modification, cleaning and relocation services.

Before you start a nonmedical health care business, consider the following.

Start strong. "You're dealing with human lives in this business -- if you screw up, people won't refer you again," says Cohen. Be sure you make the proper investments in your staff and infrastructure before you take on any clients.

Make connections. According to Cohen, most of your clients will be referred by health-care providers such as assisted living facilities and hospital systems. "The discharge planners need to get patients out of the hospital or rehab quickly," she says. "If your response is quick and professional, it helps them get their job done, and they become your champions." Cohen says she's built relationships with discharge planners by saying yes whenever they call--even on Friday afternoons, by filling last-minute requests, and by always having a live person on the line to talk to them.

Choose the right location. You should balance two important factors when deciding on a location for your corporate offices, Cohen says. You want to be in an affluent enough area so that there will be a large number of people who can pay for your services out-of-pocket, but the offices also need to be accessible to the home health-care workers who will be your field staff. Look for a location that is well-served by public transportation.

Focus your marketing on adult children. Most seniors are unwilling or unable to acknowledge their need for nonmedical home care, so don't focus your marketing efforts on them. Instead, develop thoughtful marketing strategies aimed at adult children that educate them and help them navigate the maze of long-term care considerations. Your website should be succinct and easy to understand, using fonts and colors that are kind to the older eyes of both seniors and their middle-aged children.

Have a solid sales team. Cohen says that many people going into this kind of business fail because they don't understand the value of a vigorous sales staff. She explains, "When the phone rings, there has to be someone there who is comfortable selling the service."

Hire the right people. "The most important part of home care is the person you put in the home," Cohen says. "You want someone who is hardworking, naturally enthusiastic and solution-oriented."

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