Start a medical transportation company
- 1 Start a medical transportation company
- 1.1 How do I start a profitable senior transportation business?
- 1.2 Are you ready to start your medical transportation company?
Start a medical transportation company
Due to advances in medicine and technology, the elderly population in the United States continues to increase. According to census data, although the elderly population in the United States was less than 50 million in 2015, it is expected to reach 70 million by 2030.
This growth, coupled with the uncertain future of the Affordable Care Act and the public’s demand for healthcare, has created many opportunities for entrepreneurs to earn large amounts of cash by establishing businesses that provide the healthcare services they need. This is why more and more entrepreneurs are starting to start medical transportation companies.
To a large extent, these non-emergency transportation companies send elderly and disabled patients from their homes to routine appointments and examinations before returning.
Patients using non-emergency medical transportation companies usually use stretchers, wheelchairs, or rely on walkers or canes to move from one place to another. In almost all cases, these people simply cannot use traditional transportation services (such as taxis or buses) to get from point A to point B.
Since they need some kind of help, they have two options when going to the appointment: call an ambulance and spend a lot of money, or use a more affordable non-emergency medical transportation company.
Many patients—or at least those who manage finances—choose the latter.
If you are considering starting a medical transportation company, that is good news. You have found that the demand for this kind of service is increasing, and it seems that this kind of service will continue to grow, and there is no sign of slowing down.
According to the current situation, Non-emergency medical transportation department It is estimated that 15 billion US dollars will be generated annually by 2027. How do you get the biggest piece of this cake?
How do I start a profitable senior transportation business?
1. Make sure you have enough money
At this point, you might ask yourself this question: How much does it cost to start a medical transportation company?
Related to all Regulatory startup costs, Starting your own non-emergency medical transportation company may cost hundreds of thousands of dollars. You need to register your business; cover legal, insurance, license, and permit fees; obtain facilities; purchase vehicles; pay utility bills and wages; launch the website; and bear other expenses.
Before you move on, make sure you have enough funds to start your business.If not, you may need to sell some of your business’s equity to investors, apply for a small business loan or obtain Commercial Credit Line.
2. Choose the right location
Since everyone needs healthcare services, you can start a profitable business almost anywhere in the country. In other words, you still want to conduct due diligence in advance to determine whether opening up in a particular market makes sense.
For example, if a small city has many non-emergency medical transportation companies, you may want to open a store in a place where there is not so much competition.
Look for locations with dialysis centers, hospitals, nursing homes, and other advanced assisted living facilities nearby. This is where you get most of your income.
Don’t forget that some students also require non-emergency medical transportation. You can also get a contract through your local school district.
3. Deal with legal and insurance issues
You will be surprised how many people forget to deal with the rules when starting a business. First thing to do: You may want to merge your medical transportation company to get started. Mergers can ensure that you will not lose your personal assets when you are sued. This should be something you consider.
You also need to figure out what kind of driver’s license is required to bring people from one place to another, which varies from state to state. In addition, if one of your employees is injured at work, you will need general liability insurance, auto insurance and workers’ compensation insurance.
4. Figure out how to market your business
Once everything is ready, it’s time to go out and find the first customers and start Grow your small business.
Do some research to find out how much your competitors charge their customers, and price your services with this in mind. Next, you need to send some marketing messages to potential customers to let them know that you have started business. Offering discounts is a great way to encourage people to try.
You also need to maintain an SEO-friendly blog that covers relevant industry trends and useful tips that your customers will love. Use social media to promote these posts. This way, when people look for a company that provides your services, they will find you. You may also want to see if you can establish partnerships with hospitals, nursing homes, and other similar facilities.
5. Make sure you can collect money
Every business needs to be able to collect payments. In the non-emergency medical transportation industry, you usually process two types of payments: payments from patients (or those who manage their finances) and payments from the government. In some cases, you may need to install a device that enables you to collect credit card payments in your vehicle, similar to the device that many taxis have. In other cases, it may not.
Medicaid payments are likely to be the main part of your total income. Laws vary from county to county, so make sure you are familiar with the laws that affect your business before starting.
In addition to Medicaid patients, some customers can also pay their own bills by writing a check or paying in cash on the spot. In other cases, you must charge their guardians, who are responsible for managing their finances.
Please keep in mind that you may need to wait a while before receiving the second payment. If you encounter cash flow problems while waiting for a check, you can use invoice financing services such as Fundbox to prepay outstanding invoices.
6. Hire employees as the business grows
As you get more patients and sign larger contracts, you will need to hire enough drivers, coordinators, and support staff to handle higher numbers.
To ensure that your patients get the quality of service they are looking for, please do your best to hire the best and brightest staff you can find. Assuming you are the CEO, you need to hire a driver and an office manager.
Depending on the size of your company, you may also need to hire a dedicated marketing team, finance department, and human resources manager.
7. Master the changing laws
At the time of writing, ACA is a national law. To ensure that your company will never break the law, you must always be aware of any new regulations that may affect your business. You also need to keep abreast of potential changes in tax laws affecting your company.
Are you ready to start your medical transportation company?
As with any other business, starting a medical transportation company is a daunting task. As long as you know this from the beginning and are willing to invest the necessary time and energy to succeed, then your business has a good start.
Starting a medical transportation company can not only generate a lot of income and create a lot of job opportunities, you can also provide key services for many elderly and disabled patients-helping them and their loved ones enjoy a better quality of life. In many ways, it is the best of both worlds of.