Care Franchise UK – the TOP 10 MUST KNOWS about finding and running successful UK Care Franchises.
The health and care market for seniors is not just large in size – it’s enormous in its social significance, too. Find out if investing in a senior care franchise UK is for you.
Franchising has grown to be a powerful business model – not just because it gives businesses a way of expanding fast, without spending much. Many experts argue that the reality is actually the other way around – franchising gives an easy, affordable outlet for individuals to realise their entrepreneurial dreams.
While we have already discussed the pros and cons of franchising, the reason to refresh this point is the fact that franchising brings industry sectors – which would otherwise only be open for institutional investors – within the grasp of small-time investors. A great example of this phenomenon are UK senior care franchises.
It’s a huge market, to say the least. Yet, breaking into this market has never been easier than it is today, and much of the credit should go undoubtedly to innovative, franchise-friendly business models developed in the last two decades.
In this article, we will discuss what senior care franchise are, how they work, how much you need to invest in order to buy one and how your investments are likely to perform.
Understanding The Market For Senior Care Franchises UK
Investing in a senior care franchise UK (or any other franchise, for that matter) should never be an impulse-driven decision based on unreasonable ideas. The best way to get as close to being sure-footed as you can is to conduct a thorough franchise market research.
To get you started, here’s our overview of the UK senior health and care industry.
- The industry is largely divided into two broad sections – the institutional care (the elderly care homes, for examples) and homecare (also known as domiciliary care). Since the institutional care segment is out of our scope when we discuss UK senior care franchises, we will focus on home care businesses.
- Most local authorities reserve a portion of their budgets to fund various homecare and elderly care services.
- This funding, as you may be aware, is never enough, allowing private businesses to enter the market. In addition, many local councils outsource the elderly care to private contractors through auctions.
- Close to 1 million UK residents are estimated to receive homecare services. When you run a senior homecare franchise UK, the local share of this population will essentially be your target demographic.
- The overall domiciliary care industry in the UK is estimated to have an annual turnover in excess of £8 bn. Of this, 20-25% is estimated to come from self-funders.
- The homecare industry in the UK employs 600,000+ people – a huge number considering the relatively niche nature of the services provided.
These numbers provide a very promising context if you’re looking to invest in a senior care franchise UK. However, it must also be reported here that not all is good when it comes to the financial stability or viability of the UK senior health and care industry. The Financial Times recently cited a report which claimed that there was a worrying trend of pulling out of contracts in the industry.
You can get past these worries by making sure that you work with the right franchisor, with a proven business model. To be doubly sure before you actually put your money on the line, follow some important checks we have listed in our free franchising checklist.
What Does A Senior Care Franchise UK Do?
If you have never previously worked in the health and care sector, it’s very easy to get disoriented while trying to figure out what a senior care franchise UK really does.
Homecare franchises are, as you can guess, primarily service providers. The USP is always going to revolve around providing excellent, reliable and value-for-money services. That said, it must be noted here that not all homecare franchises UK operate in the same way.
Keeping the exceptions and aberrations at bay for a moment, let’s take a quick look at how a typical senior care franchise UK functions.
- The franchisor, based on their experience in the medical care industry, develops a successful business model. If it turns out to be replicable, the franchisor decides to franchise it.
- Interested franchisees buy franchise units from the franchisor.
- These units are then allocated dedicated, exclusive operational territories.
- The homecare franchise then operates as an independent business in the given territory, following the franchisor’s business model.
- In most cases, the franchisee is responsible for hiring caregivers.
As can be noticed, a homecare franchise UK operates pretty much like most other service based franchise businesses – the only exception being the numerous checks and licences homecare businesses are subjected to. To know more about what really goes into setting up a domiciliary care business, check this guide out.
Do You Need To Have Any Medical/Health Experience To Run A Homecare Franchise UK?
Every senior care franchise UK is a socially significant business venture. Therefore, to run a homecare franchise UK with success, it’s advisable to have some prior experience of:
- Running your own business/discharging management duties
- Working in a health/medical/care field
Of course, these are just the ideal requirements. In reality, most franchisors will allow you to buy a senior franchise UK as long as you’re willing to undergo their training programmes. There are many franchisees out there who have turned senior care franchise units into successful ventures, without bringing on board any prior experience.
In this regard, senior care franchises UK are quite similar to education franchises UK. Running such a franchise usually involves the following duties on your part:
- Hiring staff
- Marketing and customer acquisition
- Customer relationship management
- Franchisor relationship management
How Much Do Homecare Franchises UK Cost?
When you buy a senior care franchise UK, you primarily buy the promise of a working, proven, scalable business model from the franchisor. Along come other peripherals such as brand name licensing, uniforms, accessories, training, business support and so forth.
Depending upon how much the franchisor is willing to provide in terms of all these aspects, and how much the franchise unit is really worth in terms of its potential to turn profitable, the minimum initial investment varies widely for homecare franchises UK.
Our survey indicates that a senior care franchise UK with a proven business model, exclusive territory rights and other peripherals costs between £20,000 to £40,000 in minimum initial investment.
If you’re just starting out and have no prior franchising experience, do take some time to check out our series of free franchising guides. You’re guaranteed to find a ton of useful information there. To keep abreast of the latest developments in the world of UK franchising, do subscribe to the franchising news section of our website.
Making Sure Your Homecare Franchise UK Is Not Just Compliant – But Superior!
Staying compliant with all the applicable codes, rules, laws and norms is a non-negotiable for any business. This holds especially true for homecare franchises UK, since they operate in a very challenging segment of the overall health industry.
Running a successful senior care franchise UK isn’t at all about providing rudimentary services – it’s about giving the best experience to your customers. They will not only be paying a good deal of money to you – they will come to rely on your services in highly personal ways.
For starters, your homecare franchise UK will need to be registered with the Care Quality Commission – the regulatory body that oversees all care businesses in the UK. An excellent guide to providing high-quality homecare services can be found here. It will give you a fair idea of what will be expected of you when you run a senior care franchise UK.
Top UK Senior Care Franchises
Here’s our shortlist of some of the most popular senior homecare franchises UK.
- Minimum Initial Investment: £20,000 (plus VAT)
- USP: Premium homecare services across the UK
- 99% management fee
- Full training and support
- 100% compliance support
- Marketing, advertising and procurement assistance
- Help with recruitment
- Minimum Initial Investment: £23,000 (plus VAT)
- USP: GP-headed senior homecare services
- 35+ years in operation
- Renowned brand name
- Dedicated franchise support manager
- 20-day training programme
- Get started with a small working capital
- Centralised invoicing system to reduce admin load
- Associate BFA Member
- Minimum Initial Investment: £31,995 (plus VAT)
- USP: Experienced homecare provider in the UK
- One of the first homecare businesses to distribute franchises
- High-quality services across the board
- Launch assistance
- Full training
- Compliance support
- No experience required
- Full BFA Member
- Minimum Initial Investment: £35,000 (plus VAT)
- USP: Fastest growing UK senior care franchise
- Full training
- Ongoing support
- Compliance and registration assistance
- Branded stationary
- Staff uniforms
- Full BFA Member
UK Homecare Franchises – The Takeaways
- Make sure you’ve got the right skill set to manage and run a responsible business.
- People skills are extremely important while running a senior care franchise UK.
- The investment required is significant. Make sure you know how to raise money for a franchise business.
- Talk to the franchisor and operational franchisees to know more about the business.
If you run a homecare franchise UK, we’d love to hear from you. Send in your experiences and insights to us here, and we will try our best to put them in front our readers.