Founding of a private occupational therapy company

Do you want to start a private occupational therapy practice?  here is a complete guide to private enterprise occupational therapy with no money and no experience  .

Ok, so we’ve provided you with a detailed sample of a private occupational therapy business plan. We also took it a step further by analyzing and writing an example of a private occupational therapy marketing plan supported by actionable guerrilla marketing ideas for private occupational therapy companies. In this article, we will cover all the requirements for starting a private occupational therapy business. So put on your entrepreneur hat and let’s move on.

Why start a private occupational therapy business?

Private occupational therapy activity involves developing clients’ skills for functional independence in all aspects of their lives.

Private occupational therapy is a growing business in the United States, particularly with the increase in the number of baby boomers in the country. Another motivator is that there is less competition in the industry which gives access to more customers and more revenue. It’s also a great business because you can combine it with physiotherapy services, another high demand service that gives you space for multiple streams of income.

If you’re looking for resources to start your own private occupational therapy business in the United States, this article has some great information to help you get started.

Start of a private practice in occupational therapy. The Complete Guide

  • Industry overview

The cost of private employment therapy in the United States is $ 20 billion. dollar industry with an annual growth rate of 1.1% and an estimated future growth rate of 1.9% between 2016 and 2021. This is according to an IBISWorld research report.

The report also showed that there are around 23,920 companies. The industry employs about 118,281. The strong growth in the industry is attributable to a growing population of baby boomers who require occupational therapy to cope with age-related illnesses.

Private Therapy Industry Facts and Figures

  • Private occupational therapy is worth $ 20.1 billion in the United States, according to research reports.
  • The revenues of this industry increased by 14% between 2011 and 2016, while the employment rate increased by around 20%
  • Revenue growth is expected to continue growing at an average annual rate of 3.6% through 2021.
  • In 2016, the average annual income of an occupational therapist was estimated. $ 78,000
  • At least 60% of all occupational therapists provide private services to clients alongside paid public or private employment
  • According to a study by the American Association for Occupational Therapy (AOTA), 86% of occupational therapy graduates receive their first job offer within three months.
  • The Bureau of Labor Statistics has released a forecast of 29% growth in industrial employment by 2022.

The occupational therapy industry in the United States is changing primarily as occupational therapy is increasingly integrated into health care plans across the country. There are also a growing number of baby boomers in the country who need help rehabilitating themselves and making their lives and daily lives easier.

Americans are also increasingly concerned about their health, which has prompted more people to take an interest in services that are supposed to improve overall health and, ultimately, reduce medical costs.

The beginning of the private practice of occupational therapy. Study of the economic feasibility of the business market.

  • Demography and psychography

In the United States, occupational therapy clients are divided into three main categories, which include children, the elderly, and adults. About 30% of occupational therapy clients are children who need help with mental, cognitive, physical, health, academic performance and socialization issues.

Another 50% of customers are elderly Americans. These adults need help to maintain a certain level of independence in their lives as they get older. They also need services to help them improve their strength and restore some vital skills that will help them live as long as possible.

20% of clients are predominantly adults who require rehabilitation therapy after an accident, trauma or other life-threatening events. Some organizations also require the services of occupational therapists to act as consultants in the areas of ergonomics, rehabilitation and wellness.

List of niche ideas in the private therapy industry

According to the Association of Occupational Therapists, there are six key areas of occupational therapy practice, and you can choose from different niches in one of the categories:

  1. Work and industry  : new technologies at work, an aging workforce.
  2. Children and Youth  : Driving for adolescents, increased opportunities in school, bullying, childhood obesity, transition for older youth.
  3. Rehabilitation and disability  : telehealth, adult autism, new rehabilitation technologies, hand and bionic limb transplantation, veteran and injured care, cancer treatment and oncology.
  4. Productive aging  : community mobility and the elderly, Alzheimer’s and mentality, aging and change of domicile, low vision.
  5. Health and well-being  : obesity, chronic disease management, prevention.
  6. Mental health: Treatment and support of veterans and the injured, depression, recovery and peer support, sensory approaches to mental health.

The level of competition in the private occupational therapy industry

In the United States, hundreds of clients provide physiotherapy services, making it a less desirable business than occupational therapy. This is why occupational therapy is a less competitive business and there are more opportunities to build customer loyalty and generate more income.

There are also fewer occupational therapy practitioners than physiotherapy and the growing geriatric population. ; the attitude of clients towards occupational therapists is very high.

List of 20 famous brands in the occupational therapy sector

There are a number of professional therapy clinics in different states of the United States. Some of the most popular are:

  • Centra pediatric therapy
  • Hand therapy and rehabilitation with five hands
  • Hand rehabilitation center
  • Mental health jobs
  • Orange County Voice Services
  • California Therapy Solutions
  • CornerStone Therapies
  • Rock institute
  • Maximum therapy
  • California Sports Rehabilitation Therapy
  • Communikids, New York
  • Astoria occupational therapy
  • Carlene H., San Diego
  • Developmental Occupational Therapy, Sacramento
  • Skills on the Hill, Washington, DC
  • Body Connect Health Wellness, Washington
  • Pamela Lawton, Brooklyn, New York
  • Focal therapeutic therapy
  • Benjamin Pediatric Therapy, Los Angeles
  • Kids at Play, Philadelphia

An Economic Analysis of Private Enterprise Occupational Therapy in the United States

According to a report released by the Bureau of Labor Statistics, demand for occupational therapy services is expected to increase by 27% from 2014 to 2024.

The demand for occupational therapy services will also increase due to the number of patients with autism spectrum disorders. Occupational therapy services will be needed to help children with this disease improve their social skills and perform various daily tasks on their own.

Health insurance companies are also adding occupational therapy to their client packages, which is also expected to increase over the next few years as more clients will be able to afford these services.

Start a private occupational therapy business from scratch or buy a franchise

The best way to start a private occupational therapy practice is to start from scratch. It’s usually more affordable than buying an existing business. It will also allow you to build your own professional reputation and develop your clientele, much better than building on the reputation or achievements of another professional.

However, if you are looking for a way to easily attract more clients and lower your start-up costs, you may want to consider merging with a physiotherapy business. This way, you can share the costs and resources to start a business at more affordable prices.

Threats and problems associated with starting a private occupational therapy business

One of the main challenges in starting this type of business is getting the required certification. Unlike most businesses, this is a business that only certified professionals can do, so if you don’t have the required training requirements and certifications, you may not be able to do this type. business.

Obtaining clients is another starting challenge for private occupational therapy companies, as it is still a growing field and many people are unaware of the need and benefits of this service. You may need to spend enough time convincing and explaining to clients why they need your services.

The beginning of the legal practice of private occupational therapy

Your private occupational therapy practice can take many business forms – from individual ownership to corporate practice with shareholders – you should research the laws of the state in which you intend to establish your practice to find out which ones. rules and regulations exist. However, some of the business entities you can choose from include:

  • Sole Proprietorship  : This is the cheapest and most convenient way to set up your private practice. This means that legally an occupational therapist and a business are one and the same. You can create a practice under your own name or under an assumed name.

However, you should understand that the profits generated by a business will be treated and taxed as personal income. You will also have full control over the business, but that also means you are fully responsible for all business obligations.

To register your private occupational therapy business as a sole proprietor, you will need to submit a business certificate to your local office.

  • Partnership  : You can organize a joint practice with another therapist. This type of business structure is called a partnership. You will both need to share the profits and have joint control over the business. You are also jointly and severally liable for all costs and debts of the business.

Before you can set up your practice as a partnership, you should review your state’s laws to see if the laws allow partnerships between professionals “as opposed to professions” such as private therapists and occupational therapists, as many States prohibit it.

  • Corporations  : If the laws of your state allow it, you can set up your business as a professional corporation. Some states generally require shareholders of professional corporations to be licensed to practice the profession. This means that in order to organize your practice of occupational therapy in a corporation, your shareholders must also be registered occupational therapists.

These are the best and most common legal entities used to start a private occupational therapy business in the United States, but you can also look into other business structures such as the Limited Liability Company (LLC), The Company at Professional limited liability (PLLP) or professional society. limited liability company (PLLC).

Insurance policy requirements for starting a private occupational therapy business in the United States

As a private occupational therapist you will need to see different patients on a daily basis, even if you are a fairly good therapist it is important to prepare yourself for some of the events that could jeopardize your career, and get the reassurance you need. can help you.

Some of the insurance policies you will need for this business include:

  • Professional liability coverage  . This will apply to you and your business in the event of negligence or professional liability claim.
  • License Protection  : If a patient agrees with you or your company’s state licensing board, you may have to incur thousands of dollars in costs to protect your practice. This type of insurance will cover these costs.
  • Defendant’s expense allowance  . Defendant’s expense allowance covers losses suffered and costs incurred in litigation as a defendant in a covered claim.
  • Personal injury insurance  . This type of insurance policy covers claims for defamation, assault, assault and other alleged injuries resulting from the performance of your professional services.
  • Ensure the confidentiality of information  . This applies to you if you claim a breach of privacy.

Professional Certification Requirements to Start a Private Occupational Therapy Business in the United States

You will need to meet a number of professional requirements before you can be licensed to establish a private occupational therapy business in the United States. Here are a few:

  • Accredited occupational therapy training program  . First, you must complete an accredited occupational therapy training program and meet the requirements of the field job.
  • NBCOT certified  . Then you will need to pass and pass the exams administered by the National Board for Certification in Occupational Therapy (NBCOT).
  • License  . Finally, you must apply for a license in the state in which you wish to practice your profession.

It is important to obtain a copy of the state licensing law from your state licensing board to fully understand all of the licensing laws you need to follow to avoid penalties.

Legal documents required for a private occupational therapy company in the United States

The first document you will need for this business is a detailed business plan: it would provide a management plan for the business. Other documents include:

  • federal income tax compliance documents
  • federal payroll tax compliance documents
  • tax compliance status documents
  • National Health Provider Identification Number (NPI)
  • Insurance policy documents
  • Professional certifications
  • Welcome letter
  • Disclosure statements
  • Consent to treatment
  • Termination letter
  • Disaster planning
  • Social media policy
  • HIPAA Privacy Notice
  • Professional will

Fund your private occupational therapy business

You will need a lot of funds to organize your private occupational therapy practice. This will cover a range of start-up and daily expenses.

Here are some ways to raise funds to cover some of these costs:

  • Partner with another therapist  . You can cut the cost of starting a private occupational therapy business in half by partnering with another therapist. This can be done in two ways; You can partner with another occupational therapist and start your business as a partnership to cut start-up costs in half.

Another way to do this is to partner with a physiotherapist, you can chat with a physiotherapist about setting up your business in one place to greatly reduce the cost of organizing.

  • Personal Savings  : If you had personal savings accumulated somewhere, there was no better time to dig into those savings. You can even use your retirement savings to start a rolling business as a business start-up agreement.
  • Refinancing of the house  . If you’ve built your own equity in your home, you may want to consider getting a second mortgage on your home so you have enough money to participate in your private occupational therapy practice.
  • Credit Cards  : Your personal credit card can have a long-term payment method for some supplies you need for your business, as well as some daily expenses you will need to have.
  • Traditional Loans  : If you have a good credit rating, you may want to consider getting loans from a bank or other financial institution.
  • Line of credit:  If you need short-term working capital, open a line of credit.
  • Crowdfunding:  You can also consider using crowdfunding platforms to find funds for your business. Some popular crowdfunding platforms include Kickstarter, Indiegogo, and GoFundMe.
  • Grants  . You can also visit sites such as to learn about grant programs available for your business.

Choosing the right location for your private occupational therapy business

Before choosing a location for your business. There are several considerations you need to take into account as your location can affect or disrupt your business.

  • You should first consider the zoning laws and find out if you are allowed to locate. such a business in your preferred location.
  • You should also consider accessing your office, especially if the majority of your clients are baby boomers. The car park should be easily accessible from the clinic and the same goes for the rest rooms.
  • You should also consider your distances, especially if you don’t like the idea of ​​moving your business elsewhere. as your business grows.

Beginning of private occupational therapy practice Technical and personnel requirements

You will need a range of equipment and tools to start your own private occupational therapy business, including:

  • Office equipment such as telephones, printers, fax machines, copiers, computers, Internet, credit card machines, business software
  • Promotional material
  • Office furniture
  • Clinical equipment such as tape measure, exercise bikes, medicine balls, treatment tables, wheelchairs, stools, mirrors, stackable steps, etc.

When it comes to manpower requirements, you can start with an individual practice, but as your business grows you will need occupational therapists, administrators, marketers, business leaders. company, nurses, accountants, office assistants and security guards.

Start a corporate marketing plan for private occupational health practices

Finding and maintaining the right clientele is very important after setting up your private practice. Without it, all of the hard work you put in would be in vain.

Start by creating a business marketing plan for your business. Some marketing ideas and strategies you should include in your marketing plan include:

  • Build your online presence  . This helps to strengthen your business’ online presence by
  • Create a search engine optimized website for your business.
  • Build a strong social media presence for your business.
  • Blogging as a way to free up potential and existing customers on how your business can help improve their productivity and overall quality of life
  • Organize awareness programs  : occupational therapy is still a gray area for many. Many people are unaware of the existence of such a practice and the importance and benefits it can offer them.

You can organize talk shows, road trips, and awareness programs that will increase your business knowledge and visibility.

  • Create a referral reward program  . You can also consider creating a program that offers customer rewards that can attract new customers to your business. The rewards can be financial or monetary.
  • Use traditional marketing  . Traditional advertising strategies such as television and radio advertising, newspaper and magazine ads, flyers, and door-to-door advertising are also very effective. marketing strategies that you can use to promote your business.


Occupational therapy is a relatively new business idea with great potential for growth over the next few years. If you can successfully overcome the hurdles in obtaining the required certification, you will find this business very easy and profitable to start.

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