Are you looking to open a nursing agency? here is a complete guide to starting a nursing agency business with no money and no experience .
Ok, so we’ve provided you with a detailed example of a business plan template for a nursing agency. We also took it a step further by analyzing and writing a generic healthcare agency marketing plan, supported by actionable guerrilla marketing ideas for healthcare agencies. In this article, we’ll go over all the requirements for starting a recruiting agency. So put on your entrepreneur hat and let’s move on.
What is a nursing staff agency?
A nursing agency is an agency that provides qualified medical personnel to private patients or health facilities in need.
Why create a nursing staff agency?
According to the American Nursing Association (ANA), there will be a shortage of at least 1 million nurses in the healthcare industry by 2021.
The nursing shortage had already started in 2010 as there were fewer nurses in some cities and regions. Therefore, if you are licensed for medical care and have obtained the required certifications and also have an entrepreneurial spirit, you can create an agency that represents reliable and competent nurses and makes a lot of money.
The first step you will need to take to start your nursing agency is to do your research to know the safety and health code that applies to nursing agencies in the jurisdiction from which you intend to exercise. Also, you may need to check the strategies already used by those already in the industry, especially the more well-known ones, so that you can translate their strategies into yours.
If you are looking to start your own business in the United States, reading this article will definitely help you.
Starting a Nursing Agency Without Money The Complete Guide
- Industry overview
A nursing agency that helps place certified nurses and caregivers into vacant positions in institutions or with individuals to help improve the physical and functional well-being of others, according to IBISWorld, as an industry that generates $ 16 billion per year.
The industry grew 4.7% annually between 2011 and 2016, with over 4,900 nurses and over 143,000 people in the United States of America. The sector is expected to experience greater growth, which will be sustained for five years until 2021.
The industry saw revenue growth between 2011 and 2016 and is not expected anytime soon. Some of the factors responsible for the growth are an increase in demand for medical services, a growing population, and a shortage of qualified medical personnel, such as nurses. Another reason is that hospitals are no longer focusing on hiring permanent long-term staff to cut costs. , and instead rely on temporary workers to cope with any surges in demand they may have.
Strong Growth For the past five years, it has been a seasoned medical and nursing agency as the industry recovers from the recession the country has gone through. The rapid recovery is the result of an increase in employment and an increase in the number of people with health insurance provided by their employers, which has made health services more affordable. This means that the more people get health insurance, the more patients there will be in need of medical care.
There are a lot of older people in the United States of America, with around 17% of the population aged 65 and over by 2021, which means that around 84 million men and women will increase their addiction. with regard to the health sector. This, in turn, will bring global health sector revenues in 2021 to around $ 300 billion from $ 180 billion in 2014, representing an annual growth rate of over 8%.
The growing demand for health sector services will put increased pressure on nurses and other health care providers to find qualified personnel; however, studies have shown that the demand for qualified and competent personnel will outweigh the supply for several years and therefore cause stunting in this sector. However, future estimates show that around 1.3 million healthcare workers will enter the market, resulting in a 50% increase in employment by 2021. not certified, but only completed a training program non-standard created by the agencies that recruit them. Therefore, this has caused confusion, especially for agencies that hire these nurses to work in private homes.
Technology has found its way into this industry as old and obsolete systems are replaced with more powerful, let alone intrusive hardware. However, some agencies try to ensure that the nurses they hire can cope with these new technologies with training as needed.
Launch of a recruitment agency for market research and feasibility studies
- Demography and psychography
The demographic and psychographic makeup of those in need of nursing services is made up of health facilities, the elderly, and people with health problems who may require home care. The elderly alone make up 17% of the total population of the United States of America.
Health care facilities include hospitals, nursing homes, nursing homes, clinics, and other facilities that require nursing care. Thus, this suggests that the activities of a nursing agency cannot be limited to a certain demographic group.
List of Nursing Niche Ideas You May Specialize in
If you are going to operate a nursing business, you need to make sure that you can get qualified nurses and even certified practical nurses to meet all the requirements of your clients. This is one of the main criteria for running this business, so it is important that you know and understand your target market and what they are likely to need.
While most healthcare facilities and individuals just want these general nursing providers, some require specialized care from these nurses, which has led some nursing agencies to offer niches to meet the requirements. certain segments of the target group. market. You can either decide to only provide regular care, or add a niche or two if you have the capacity to take care of it.
So, some of the niches you might need to get started with your nursing agency are;
- Locum Tenens recruitment
- Allied staffing services
- Table of staff numbers for nurses working on daily and per day allowances
The level of competition in the nursing industry
The level of competition in this industry is very high, as there is competition among nursing institutions to serve as many clients as possible, but in reality only a few individual companies have a high market share.
According to the American Nursing Association, there will be around 1 million short-lived health care nurses nationwide by 2021. Therefore, the nursing shortage, which has already started in some regions and cities, will necessitate the creation of more nursing companies in the hope that reliable nurses will be provided where there is a demand for them.
While it is possible to run a nursing business through a virtual office, it still depends on the location, as institutions and people making this request usually do so from a specific location etc. In order for you to be able to compete successfully, you need to have your services in as many areas as possible, and this is mainly possible through the franchise system.
List of famous brands in the nursing industry
Although the sister agency business is one in which the brand popularity of individual companies in some regions is more visible than others, there are still some well-known brands in the regions where they operate, and this may be linked with factors such as; franchising systems, massive advertising strategies, highly reliable nurses in their use and many other distinguishing features.
So, some of the well known brands of nursing agencies in United States of America include;
- CHG health services
- AMN Healthcare
- Healthcare in rough terrain
Economic analysis
The sister agency business may not only be booming, but also one of the largest growing companies in the country, with franchises and stand-alone businesses created from time to time. However, an industry that changes from time to time makes it a very volatile industry.
There is a growing shortage of medical professionals who are needed to ensure this industry responds to the rapid growth taking place there. The demand for nurses, other healthcare professionals and support staff is increasing in all healthcare sectors, especially in hospitals, forcing healthcare facilities to compete for affordable practitioners, thus increasing competition for the nurses.
Lack of essential health workers can jeopardize the viability of health care agencies and allow them to lose income, destroy patience, trust, lack of quality care and burnout of field staff. Therefore, agencies must be closely involved in staff planning to meet the growing demand from their clients.
According to the American Nursing Association, demand will increase more than supply in 2021, as there could be a shortage of around 1 million nurses in cities and regions, with some regions and cities already experiencing this acute shortage as the demand is much higher than the supply. in places.
Creation of a nursing agency. Business from scratch vs. buying a franchise
Starting your business from scratch and purchasing a franchise are options to consider when starting a nursing agency. Each option has its pros and cons, so you need to think carefully about which option will work for you in the short and long term. Starting from scratch can be beneficial for you, especially if you want to control all aspects of your business without the intervention of another person.
Buying a franchise is a different ball game and once you can get a good game it will benefit your business. However, you need to carefully research which franchise you intend to purchase so that you don’t waste money on something that won’t benefit your business. By purchasing a quality franchise, you don’t have to worry about certain aspects of your business, such as advertising and promotion, and other key aspects of the business.
Threats and Potential Challenges You Will Face When Starting a Nursing Agency Business
Any entrepreneur starting a business should be aware that there are threats and challenges they may face, and therefore should be prepared to deal with threats and challenges when they arise. The challenges and threats you are likely to face when setting up your own care agency; changing trends in the industry and competition from new entrants to a company operating from one location.
Other threats and problems that you are likely to face; an economic downturn that will lead people to spend less on health insurance and therefore require less health care; and competition from established nursing agencies. As an entrepreneur you will need to strategize to deal with any challenges you may face.
Set up a legal case for a nursing agency
- The best legal entity to use for this type of business
In the early days of your nursing agency, there were a number of legal entities available and there are; a sole proprietorship, partnership, corporation and limited liability company (LLC).
The only legal entity is a legal entity that is easy to start and does not require a lot of paperwork. However, the owner can be held personally liable for all debts and obligations incurred by the business. An affiliate-type legal entity is one where two or more people come together to agree to do business. Any decision or action taken by a partner commits the other partners.
In addition, partners can be held liable for any debt incurred by the business. The great thing about the general partnership type is that the tax structure is advantageous for the owners.
Attractive Business Name Ideas Suitable For Nursing Agency Business
Choosing a brand name for your nursing agency is very important as the name you choose will determine your perception in the industry, so it is important that you choose a unique name that represents the business you do and a name you will remember too. You can also look at what your competitors call their care agencies to get an idea of what would be deemed appropriate.
Therefore, here are a few names that you may want to consider if you are about to start your own nursing agency;
- Hand Care Agency, Inc
- Gifted hand care agencies
- Corporate Hand Care Agency
- Caregivers Care Agency
- Serene Care Agency
Insurance conditions
Obtaining insurance policies is very important if you are going to set up your own nursing agency, and the authorities in the United States of America consider it very important, especially if you are going to treat patients and others and some thing could go wrong.
In addition, the fact that any incident in which one of your nurses is involved will be chained to you, which is why it is very important to obtain the insurance policies necessary for your business. However, if you are unsure of what policies to purchase, you may need to consult an insurance agent or broker who can help you determine how much you need within your budget and which insurance policies you need. you will need for your sister agency.
So, some of the top insurance policies to consider when buying if you are planning to start your own nursing agency in the United States of America are:
- General insurance
- Professional insurance
- Liability insurance
- Workers’ compensation insurance
- Health insurance
- Theft and property damage insurance
- Accident insurance
Protection of intellectual property / registered trademark
A nursing agency operates in healthcare and service providers and therefore is not of the kind required to seek intellectual property protection. This is due to the fact that the players in this field do not produce or invent anything to claim the protection of intellectual property.
Is professional certification required to run a recruiting agency?
Even if you don’t need professional certification to run a nursing agency business, your nurses will need to be certified so they can offer their services where they may be needed. It is already taken for granted that your nurses are certified and registered, as it would greatly damage your reputation if you accept nurses who have not passed any screening.
Here are some basic certifications that nurses must hold;
- First aid certificate
- Cardiopulmonary resuscitation (CPR) certificate
- Fire officer certification
- Food processor certification
List of Legal Documents Needed to Run a Nursing Agency Business
Having a list of legal documents for your business is very necessary, especially if you intend to legally operate your business in the United States of America. It is imperative that you draw conclusions in order to determine what documents will be needed to run the affairs of your nursing agency, as ignorance does not exonerate authorities from their responsibility.
If you are not found with the proper legal documentation, you will not only be punished. financially, but you may be prohibited from doing this type of activity or similar on the coasts of the country. Although some documents may differ from state to state, some documents will remain the same.
So, some of the basic legal documents that you will need to successfully run your nursing agency business in the United States of America are:
- Registration certificate
- Operating contract
- Business license and permit
- Business plan
- Employee’s daily work schedule
- Employee Identification Number (EIN)
- Federal tax identification number
- Insurance policy
- Contract documents
- Employment contract
Fund the activities of your nursing agency
A nursing agency is a business that requires a large amount of money to start, so if you are intending to start this business, you must have sufficient funds.
Here are some of the financing options that you may need to consider when seeking capital for your nursing agency business;
- Obtain start-up capital through personal savings and the sale of personal properties
- Find loans on favorable terms from friends and family
- Application for grants from local and state authorities
- Applying for a loan from a bank
- Meeting with private investors looking for start-up capital
Choosing the right location for your nursing agency
Therefore, if you are hoping that your business will be seen nationally, you will need to rent or lease a facility in a highly visible, accessible, and affordable location that matches the demographics of your target market. If you are renting or renting space in an area that is too remote, you will need to actively advertise yourself so that more people can get to know your business.
You need to have a budget for renting or leasing space for your nursing agency, you may need to speak to a real estate agent who knows what the best location for you is for your nursing agency. and the one that will be within your budget.
Therefore, when choosing a location for your nursing agency, it should be one that is in your target market center, one that fits your budget, visible and easy.
Creation of a nursing agency Technical information on the workforce
You will need a significant amount of money to start a nursing agency, so it is very important that you conduct a feasibility study of the business and then prepare a business plan to help you determine all the actions and decisions you will take when starting your business. in a nursing agency.
The location you plan to use for your nursing age This is very important because it must not only be visible and strategic, but also be in your target center and easily accessible to your staff and clients. if you are in a remote location, you may not find those who wish to go far in your agency; Plus, you may need to spend more to market your business.
When it comes to the equipment that you will need to run your nursing agency, you can be used enough in hospitals looking to upgrade their equipment or in other health centers. If your nurses were working in a hospital, they wouldn’t need to use any equipment other than their basic equipment. However, if they are going to work for an individual, it may be necessary to use specific equipment depending on the needs of the individuals.
The number of employees you will need to lead and manage your nurse. A successful agency business will depend on the scale with which you intend to start your business. Basically you will need a General Manager, Human Resources Director, Administrator and Calendar Manager, Accountant, Business Development and Marketing Executives, Registered Nurses , certified nursing assistants, administrator, security guard, cleaner and driver.
Based on the above analysis, you will likely need at least 20 people to be able to effectively and successfully run your nursing agency.
Service delivery process for nursing agency operations
A nursing agency is an area in which a healthcare agency recruits reliable nurses and certified nursing assistants to meet the demand for such nurses from individuals, hospitals and other healthcare facilities, in order so that you can provide the services you need to your own people. customers must have certain conditions.
Once you have decided on your intention to start a nursing agency, you need to be prepared to make sure that you only hire qualified and competent nurses and not just someone you train. Nurses must be certified so that they can work not only with individuals, but also in clinics and hospitals, which will increase your reputation.
A care agency is usually run by an administrator who liaises with multiple clients – existing and potential – as well as a calendar of available nurses and those working in the field so that work can be easily sent to those working. in the field when needed.
A nursing agency is launching a marketing plan business
- Marketing ideas and strategies
As a nursing agency business, you will need to prove your worth several times before you go to a large hospital or clinic. Therefore, before you can sell your services to your target market, you must first create a profile that will let your target market know that they can count on providing them with reliable, knowledgeable and experienced nurses at all times. .
Therefore, when creating your marketing plans and strategies, you should also create a powerful company profile that shows what you have accomplished and the experience you have gained. This is why at startup; you need to provide your services to other small clinics, hospitals and individuals so that you can easily create your business profile.
Since marketing takes money, it is very important that you understand how important it is that you only use strategies that will be very effective in helping you achieve your marketing and business goals. Therefore, you may need to hire the services of a marketing consultant who has experience in your industry to help you create the right marketing strategies that will boost and help you grow your agency business. care.
Below are some of the platforms you will need to promote your sister agency business;
- Formally introduce your nursing business to hospitals, clinics, religious and charitable organizations such as: as well as individuals by sending them a letter about your business, services and contact details
- Make sure your business is listed in the yellow pages as well as in online directories
- Be sure to advertise in newspapers (local and national) and health related magazines, as well as radio and television stations
- directly promote your care agency
- distribute flyers and leaflets, as well as business card information at specific strategic points
- Use the Internet as well as social media platforms such as Facebook, Twitter, Linkedin, Google Plus and other similar platforms to promote your services
Strategies to Market Your Nursing Agency and Grow Your Business Identity Business
Every established business requires continuous promotion in order to increase brand awareness, as well as create a corporate identity for the target market and other industry stakeholders. Due to the effectiveness of corporate advertising, existing businesses, especially large ones, typically spend a fortune every year on advertising. business because, in addition to raising awareness, it also generates income for the business.
If the reason you are starting your nursing agency is to grow outside of the city you operate in to become a nationally recognized brand that could eventually become a franchise, then you need to be prepared to spend enough. money to promote and promote your brand.
Using the right channels to advertise your nursing agency is very important, and most entrepreneurs in this industry typically employ a branding consultant who has the experience to help advertise and communicate. positively a brand with its target market.
Below are some of the platforms you can use as leverage to promote your brand as well as to promote your nursing agency;
- Make sure to advertise in newspapers and also in relevant magazines. on both radio and television stations
- Be sure to place billboards and banners in strategic and visible locations to educate your nursing agency.
- Distribute flyers and also insert flyers in specific strategic places
- Market your nursing agency by creating and using social media platforms such as Facebook, Twitter, Linkedin and Google Plus to market your business
- Create an interactive website and use it to promote your nursing agency
- participate in charity programs in your local community to promote your nursing facility
