Is now the time to start a care agency?

Let’s be honest – now may not feel the right time to think about setting up a care agency.

But with circumstances changing for many people, becoming your own boss may actually sound like an increasingly attractive idea. Social care providers are also always needed, so perhaps this is the time to dust off the idea and really give it some attention.

A knowledge of social care is important. So also, is the nous and understanding to run a business. It is the combination of these two – the service and the business – that are the foundation for success.

How to register your Care Agency with CQC

Before starting a care agency, the biggest requirement is to familiarise yourself with the Care Quality Commission (CQC) website. It’s still not unusual to find would-be registered providers that have not read or understood the regulations or the registration guidance, before they spend money on setting up.

There is no question that the guidance is detailed: time consuming to read and best digested in small chunks. A thorough working knowledge of the guidance will, however, boost confidence and enable the business to start well, ensuring best possible service and long-term viability.  There are some very good online CQC webinars for new care businesses.

Before embarking on the provider registration process, it is important to make sure you have all of the information to hand, and that it has been checked and verified. Preparation of the documents may require a significant investment in time – days, possibly weeks of work – but they will be returned by the CQQ  if incomplete or incorrect, resulting in delays to or refusal of registration. It is therefore worth the time to make sure they are correct.

Your CQC application

Similarly, completion of the application can take up to a full day – so set aside the time to do this, without interruptions or distractions. Before submitting, it is also important to thoroughly check the contents and language, preferably after a break. A second pair of eyes can also be helpful: they do not have to be an expert in social care to check grammar, punctuation and spelling.

Keeping and collating all of your notes, copies of evidence, etc., is also helpful and will allow you to quickly and accurately respond to any requests for clarification from the CQC.

For assistance with your registration please visit the CQC registration help page.

The business

Timing is everything when starting up your care agency! You need to be sure you can give the business the time and attention to make it viable.

For those who have run businesses in the past, the process is similar and the usual hoops apply in the social care sector as in any other. For those new to self-employment, whether as an individual sole trader, partnership, limited company or charity, etc., it’s important to note the legal frameworks that apply, in varying degrees, to business ownership.

Clearly establishing the decision-making roles and responsibilities is another important element to starting a care agency with different considerations for different business models. For sole traders, it is relatively simple: the individual is the first and last point of decision making and administration. But for business models involving more than one person, such as partnerships and limited companies, clearly establishing at an early stage and in writing the different roles, responsibilities, compensation, benefits, etc., helps avoid disputes and disaffection in the long term.

You will also need advice. The best place to start is with a good accountant, who will be able to guide you through the setting up of the care agency as a legal entity in the most tax-efficient way.

Writing a Business Plan for your Care Agency

Your business plan should utilise all your knowledge of your local service provision, charges, local wage and salary rates, and the availability of staff.  A business plan template is available from W&P.

Decisions are needed early on about private or local-authority funded service users, as the contractual arrangements with local authorities take time to complete and can impact on choice of IT system. The choice of premises – whether you are working from home or at some other property – is yours: insurance cover is required for either, as is the consent of your landlord or mortgage provider.

Policies and procedures for Care Agencies

Policies and procedures will be one of your biggest outlays when setting up a care agency. They are required in order to reflect your ethos and philosophy in your registration application and interview. When choosing a supplier of policies and procedures, ask questions that will demonstrate the supplier’s knowledge and competence in the sector, such as whether they are ISO9001 certified and what level of aftercare service and support is available.

W&P offers comprehensive sets of care policies and procedures for residential (care homes), domiciliary (care agency), learning disabilities/supported living and nursing home services in England, Wales and Scotland.

Setting the foundations for success

It is important to stress that doing as much as you can to understand the requirements of the service standards and regulations, as well as the requirements of running a business, will give you the best possible chance of success, providing firm foundations to develop and grow your future.  Remember, don’t learn from other people’s mistakes, learn from their successes.

For those interested in starting up a domiciliary care agency, W&P offers a Care Agency Business Start-up Package that includes everything you’ll need to set up and build a successful business. For more information about this and anything else discussed above, please call us on 01305 767104.