Entrepreneurs are faced with the difficult decision of choosing between buying a franchise or starting from scratch. Some enjoy exploring their own unrestrained management and personal skills and talents, however overwhelming and exhausting. But some prefer to just “plug & play” and reap the benefits of having an established brand backing up their investment. Find out which is right for you today.
Cost: $35,000 – $90,000 on average
What You Get:
- Rights to an established and trusted brand that has served families for years.
- Rights to operate under a tested and proven system.
- Comprehensive training on the franchisor’s operating system.
- On-going training for topics on best practices, sales, business development, case management, recruitment, and more.
- Access to the franchisor’s support team and vendors.
Cost: $10,000 on average
What You Get:
- A start-up, unknown brand.
- Systems, procedures, and methodology are played by ear.
- Daily operational challenges and mistakes without homecare franchise support are charged to experience.
- An additional expense to sign-up for training on business-related topics.
- Flying solo with support from family and friends who may not know how to start a caregiver business.
Advantages That a Franchise Has Over a Homecare Start-Up
A franchise provides an established brand, which may already enjoy widespread brand-name recognition. This gives the franchisee the benefits of a pre-sold customer base which would ordinarily take years to establish.
If you’re the creative, innovative type, starting your own business is the way to go. However, your chances of business success as a homecare franchise are better because you are associating yourself with a proven business model.
No matter how grand your opening, when you start your own business it takes time to build a client base and local reputation. When you advertise a known brand name in your market, customers come ready-made and the cash starts flowing faster.
|Speed to Market
Signing up with a franchisor who’s done this hundreds of times will hand you a list of To-Dos of exactly what you need to help you set up shop more quickly than if you had to research homecare franchise strategies on your own.
When you start your own business, you must learn all business aspects on your own, with “rookie mistakes” as part of your learning curve. The franchisor will provide you with extensive training to help you stay on top of your business as it grows.
A franchisor typically already knows how to start a caregiver business, which will make penetrating local branches easier than starting a homecare start-up from scratch.
Many franchisors provide field support specialists to help keep their homecare franchise apprentices on track, training them to become managers and leaders “working on the business, not in it.”
Most new businesses require start-up capital. While most franchisors do not supply financing, many have relationships with lenders who will view that brand’s referrals more favorably than an independent business owner just starting out.
|Economies of Scale
If you’re a sole entrepreneur, you have the buying power of one. If you’re a franchisee, your franchisor can negotiate bulk rates and pass along the savings to you.
In tough times, if you need to sell your homecare franchise, you can be assured that there’s always a buyer of last resort: the franchisor, who can always buy your unit and run it as a company agency until they find another suitable buyer.
Making the Choice
Ultimately, the decision of whether to buy a franchise or begin a Start-Up is yours, but if you’d like to know more, 1Heart Caregiver Services is here to help. Get in touch to learn why starting a homecare franchise with 1Heart might be the best decision you ever make.