The senior care industry represents a major opportunity to entrepreneurs in 2017 and beyond for the foreseeable future. It is a booming industry, fueled by massive and growing demand and a genuine way to meet the real needs of people entering their “golden years.”
But what specifically is it that makes the senior care industry such a “golden” opportunity? Here are 5 concrete answers to that important question:The World Is Rapidly Aging
By 2050, 25% of the world’s population is projected to be 60 years or older, and 20% 85 years and older. In the U.S., the Baby Boomers are becoming senior citizens and will soon swell the senior population to nearly 85 million. And as many seniors need both medical and non-medical forms of in-home, constant care, the senior care industry is expected to grow at an astounding rate of 8% annually, reaching $300 billion worldwide by 2020.
While the entire industry is growing, it is the home health sector specifically that is seeing the best overall growth and future prospects. And there is a good reason for this. First, many of today’s seniors need constant observation and in-home care to deal with chronic conditions but not hospitalization. And nursing home care is both less desirable and more expensive, generally, than home care services.
Second, there are fewer relatives ready, willing, and able to provide the level of care seniors need. The ratio was once 10 to 1, but today, it is less than 5 potential family caregivers to every senior family member in need.
In the realm of senior care, most of your revenues will come from private pay. All of these entities fix the prices for the industry to be essentially equal across the board. Thus, it is one’s reputation and the quality of care they deliver that counts most. And franchises have the name recognition and loyal customer base already in place. Franchises also streamline the process of opening new locations to make it as fast and easy as possible.
Besides the benefits of a well-known, trusted name, doing well in the senior care industry is centered around hiring and retaining the best RNs, home health aides, resident caregivers, and other staff. The available talent pool is large, growing rapidly, and highly diverse. And high employee turnover rates are, perhaps, the biggest problem in the industry. But anyone with well-seasoned business and people skills and willing to wisely make it worthwhile for his/her talent to stay put can solve this problem and immediately gain a big advantage over the competition.
Finally, the average annual earnings as compared to the average initial and ongoing cost in the senior care industry is “something to write home about.” But it isn’t only in economic terms that senior care is a golden opportunity. It is also a chance to give back to the generation that went before us and gave so much to make our country all it is today. It is a rewarding industry both in financial terms and in humanitarian terms.
The senior care industry, and especially the home health sector thereof, are growing rapidly as our nation and our world continues to “age.” We have given 5 reasons why senior care is a great opportunity, but there are many more.