Home Care Agency Growth: Insights on Staff and Salaries Released
Building a successful home care agency can seem like a daunting task. However, with proper planning and execution of a proven blueprint, it is possible to achieve significant growth in a relatively short period of time. This article will focus on the key office staff positions and their responsibilities, including salary benchmarks.
The most important position in a home care agency is the Executive Director. This position is another head of the organization besides the owner. In most instances, businesses that are doing $10 million and beyond have so many moving parts that it’s nearly impossible for one person to handle everything alone. This is where having Executive Directors is advantageous. An Executive Director can over clinical care, and another for sales and marketing and bringing on new clients. These Executive Directors are responsible for their divisions, and they manage everything, reporting back to the owner.
Executive Directors come at a high salary, starting around $80,000 to $90,000 a year nationwide, and will require revenue or profit share bonuses. However, by having someone responsible for sales and marketing or client care, it takes much of the burden off the owner, allowing them to focus on their role as CEO and manage everything that comes their way.
The next positions are the Administrative Staff positions. These employees handle payroll, billing, accounts receivables, accounts payables, reception, clerical work, secretarial work, and more. Many agencies this size have multiple administrative staff members. With a base and satellite offices, there should be at least one administrative staff member in each satellite office. The home base office should have between five to ten administrative staff positions. Depending on their role, their salaries vary from $40,000 to $80,000. It is recommended to have a solid eight to ten of these types of positions in an agency to reach $10 million and beyond.
Sales and Marketing
Sales and Marketing Representatives are the next essential positions. Executive Directors in charge of client acquisition would most likely be a Sales Manager to these individuals. They will have two or three Sales Representatives working under them. Each representative covers a specific area within the entire region the agency services. They go to referral sources, networking events, community events, sponsor activities, do lunch and learns, and even sign up new patients for services.
Salaries for Marketing Reps vary. On the low side, Marketing Reps make $50,000 a year. On the high side, many Marketing Representatives make over $100,000 a year. A strong commission structure should be in place for Marketing Representatives to earn as much as possible. Remember, paying someone over $100,000, and it’s commissions that allow them to make that kind of money, then it is worth it. It means business is thriving.
Successful home care agencies have one Scheduler for every 1500 billable hours weekly that the agency produces. Therefore, at least six full-time Schedulers are required to manage over 8,000 hours a week. Managing that many hours means scheduling over 250 to 300 Caregivers, which results in a census of well over 200 patients.
Giving each Scheduler responsibility for about 40 patients (or 50 Caregivers) allows them to be maxed out properly. Schedulers’ salaries vary from around $45,000 on the low end to $65,000 – $70,000 base on their performance, and ensure that the quality of care provided to clients is of the highest standard.
It is important to note that building a successful home care agency requires a significant investment of time, effort, and resources. However, with the right team and a solid business plan, agency owners can achieve remarkable success and make a positive impact on the lives of countless individuals and families in the community.
To learn more about how to scale a home care agency, go to: http://homecareevolution.com.
Home Care Evolution
100 Craig Road
Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No Bulletin Track journalist was involved in the writing and production of this article.