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It’s no secret that the care home market is growing thanks to our ageing population in the UK. Indeed, the Office of National Statistics predicted there would be a 36% rise in people aged 85+ between 2015 and 2025 alone.

If you want to align your career and income with your sense of purpose for helping people, the residential care home sector for older people is a rewarding business to position yourself in, offering a real difference to the local community.

It comes with much responsibility, but it can be a highly rewarding franchise opportunity, thanks to the ongoing support you’ll receive and the quality care services you’ll be delivering to vulnerable members of society.

Due to the level of care and responsibility required, there are some high barriers to entry. You will face many challenges to consider, but with comprehensive training and expert guidance, a care home franchising business model can set you on the path to success.

One option to hit the ground running is to purchase a residential care home franchise.

A franchise is an authorisation granted by an established brand to a franchise partner, who is free to run one of its branches under a proven business model and strict commercial rules.

Here is a look at the pros and cons to be wary of with this approach.

Pros of care home franchising

As with many franchise opportunities, you will be buying into a proven business model with a track record of financial stability and success.

That isn’t to say you are guaranteed success. You’ll have many of your own decisions to get right to achieve this, as well as the luck of the draw in economic conditions – just like any business.

But what you are likely to get with a franchise includes comprehensive training, ongoing support, help with business operations, recruitment and marketing toolkits, cost-effective access to suppliers like IT support, printed and digital marketing materials, and an established, trusted brand.

Given the range of disciplines required to get all of those in place from scratch, having them ready to go out of the box is a major head start.

A franchise will want to protect their own brand and therefore do some robust vetting of potential franchise partners. While tough to go through, succeeding can be a great confidence boost to yourself.

Meanwhile, if you’re unsuccessful, you can go away knowing which areas you need to improve before you invest considerable sums into something you’re not quite suited to yet.

Cons of care home franchising

Of course, for all the convenience you get with a franchise package, you will not have as much freedom in how you run your own business. Instead, you will be expected to adhere to franchise policies and branding that some may find restrictive.

Then there are the franchise fees to consider, which will be paid to the franchisor on a prearranged agreement.

These vary in structure but could take the form of fixed fees, percentage fees or a combination of both.

While you may get good value through economies of scale for all the marketing, IT, systems and recruitment support you receive, the fees may become a real drain on your income, leading to resentment or demotivation.

It is wise to really understand the fee structure and the impact it will have on you at different stages of your business growth journey.

Choose something that will work for you over the long term as you will be contractually tied into it.

Alternatives to care home franchising

Residential care home franchising is just one way to start a business in the care industry.

One alternative is to start your own care home business independently, either from scratch or by buying an existing care company.

Depending on the deal, your purchase may include many of the operational functions you would get with a franchise, plus assets like the premises and equipment, which could otherwise take a considerable time to arrange.

Another alternative would be to look at a homecare franchise model that delivers care services into clients’ own homes rather than having them as residents in your premises.

This will likely have considerably lower barriers to entry as you do not require an expensive premises suitable for hosting residents.

Often, this model would be people’s first choice before it really becomes necessary to move. Home care franchise opportunities are available too, offering a thriving business with dedicated support and the collective expertise of care professionals.

If you would like bespoke advice on getting into the residential care home sector please book a call with us.