Home care businesses are poised to thrive in 2021. This can lead to many investment opportunities — some active, others passive. Determining whether an investment in this market is a good idea will depend on a number of factors. Some questions to ask to help guide your decision include the following:
#1: Is the group independent or a franchise?
There are many franchise opportunities within this market. This can be beneficial, as the franchise can help set the groundwork for the facility and come with brand recognition, but it will also take away some of the group’s freedom to develop their own style of carrying for their patients.
#2: What are your goals?
If the goal is simply an investment, a franchise may be a good idea. If it is to make a difference in the home care industry or to focus on helping your community, you may prefer the independence that comes with starting your own home care business. Although thorough due diligence is important for both options, it is arguably even more so when starting from scratch.
#3: What are the legal implications?
This is particularly important for those who are already practicing physicians, nurses or otherwise involved in the healthcare industry. Any medical professional who has ownership interest in another medical group will need to review applicable regulations to avoid allegations of illegal kickbacks. This could happen if they recommend patients receive care at the facility. An attorney experienced in this area of the law can review your situation and discuss how to handle it to reduce the risk of allegations of wrongdoing.
Attorney John Rivas is responsible for this communication