Simple Steps to Purchasing a Senior Care Franchise Opportunity
There are many aspects of franchising that draw entrepreneurs who want to work in the senior care industry. Senior care franchising opportunities offer the benefit of name recognition, a reputation families trust, support from an experienced corporate team, and a network of fellow franchise owners who share your values and your goals.
Of course, every decision has a flip side. In franchising, all of these benefits can be offset by the reduced level of autonomy as compared to when you start an agency completely on your own. However, senior care franchise owners look back on this trade-off as an insignificant sacrifice for being able to hit the ground running and operating a business with a solid track record under its belt.
If you are interested in purchasing a senior care franchise opportunity, look at next steps to determine if and how to move forward.
Step 1: Diligently doing all of the necessary homework.
When owning a franchise becomes your dream, a solid foundation of research is required to help make sure you end up satisfied with all of the important decisions you’re about to make. While buying a franchise provides a straightforward path to opening a business, not all senior care franchise opportunities are created the same. It’s important to choose the franchisor who aligns with your goals, needs, and approach to business operations.
Your homework should include answering questions such as:
- What is the success rate of the franchise I am interested in?
Franchises have different rates of survival, and you can look up these numbers to gain some objective data about your chances of success as a franchisee with different brands.
- Do I have access to all of the funding I need to get started?
Franchising can save you money in the long run by helping you avoid missteps that can lead to costly mistakes. However, it also requires a certain amount of funding at the beginning. Determine these numbers by taking a look at the franchisor’s website or contacting them for more in-depth information.
- Do I have what it takes to see this through?
Working in the senior care industry requires a high level of passion for helping others and an internal motivation that will keep you going through the ups and downs of being a business owner. People with a compassionate spirit who want to focus their business efforts on giving back to the community are great candidates for senior care franchise opportunities. If these aren’t your motivating factors for joining this industry, it may be worth taking a closer look at whether it’s the right choice for you.
Step 2: Incorporating into an LLC or other form of business entity.
Franchisors typically require franchise owners to be incorporated, and LLCs are often the best way to go for franchisees. Because they are not corporations, LLCs have a more leeway when structuring their taxes and accommodating different financial needs.
Additionally, managing an LLC can be a bit simpler than other options because the paperwork required is generally less strict than with entities such as S- and C-corps. Of course, every situation is unique, and you’ll want to get in touch with a business lawyer to make sure you’re doing this step right for your specific circumstances.
Step 3: Applying for the senior care franchise opportunity of your choice.
After establishing your business entity, you can submit a formal application to the franchisor. Most franchise brands have a special area of their website where potential franchisors can learn more about the detailed steps to getting started and submitting an application.
You can expect the franchisor to run a number of checks on both you and the business entity you’ve created, including a credit check and a background check, as well as inquiring about proof of assets. Then, they might invite you to attend a Discovery Day, a special event in which you can:
- Meet other franchise owners
- Ask questions directly to the franchising team
- Get a better feel for the business as a whole
If after this experience both you and the franchisor want to move forward, you will receive a franchise agreement to review and sign.
Step 4: Obtaining all the necessary funding.
Before signing on the dotted line, you’ll want to make sure all of your funding is in order. Most franchise owners require financing to cover both the franchise fee and associated start-up fees.
Your franchisor may have relationships established with lending institutions. These relationships can open up avenues to better rates than you’d get on your own. Once the funds are secured, you can freely sign that agreement and get on your way towards opening up your franchise branch.
Eager to learn more about the steps to acquiring a senior care franchise opportunity from Visiting Angels®? We’re just a phone call away! Contact our franchising team at 800-365-4189 today, or simply request more information online.