Home Care License in Michigan
There is no home care license requirement in Michigan, but there are other requirements you must follow if you want to start a home care business in Michigan.
Home Care License Requirements and Startup Process in Michigan
Choose a name for your home care business that makes sense. A common issue with starting a home care business and getting it licensed is the choice in name. If you use words that relate to medical terminology it can hurt your ability to market and give consumers the wrong opinion about what services, your home care business is offering and can offer. Transparency is the best marketing strategy for your home care business. Be clear and concise on what you are trying to convey to the consumer (i.e. Using words like Health or Medical or services such as nursing or therapies). This can also cause issues further down the line and depicts that your home care business is not what it seems (Home Care and Home Health Care are not the same – If you would like to learn more about starting a home health care business or would like to know the difference between the two, call us today for more information.)
Make it unique! The constantly growing home care market is saturated with common names that use words such as: always, best, caring, first, and hands (to name a few). There are other barriers that can also prevent you from registering your name. As with many great ideas, there is a chance someone thought of it first. Names that are matching other business names cannot be registered and names that are too alike can also be rejected. Researching to see if the name is available is always required and this is done with a search on the Michigan Secretary of State website.
Deciding the best option for your home care business taxation is a huge decision. People often work with consulting firms, attorneys, or accountants to best suit the needs of the home care business. The way you register your home care business will also determine filing fees and other annual costs that will be required to make sure your home care business stays in good standing.
Create a brightly lit path that can help you pave the way to success by knowing the ins and outs of what to expect when your dream becomes your reality. Otherwise, it may turn into a nightmare. Researching the market and determining that there is a need for your type of home care business can seem overwhelming. That’s when utilizing a home care business consultant might become a good idea.
There are fees associated with the formation of the Agency. Researching the census and local competition. Determining your pay sources is important as well, determining referral sources, etc. Furthermore, your home care business must have enough capital to get the business started and run it for at least 6 months.
Secretary of State Formation, Statement of Information, Employer Identification Number, State Tax ID, and a National Provider Identification number will be needed to get your home care business started. You will need a tangible address to start the agency (P.O. Boxes are not acceptable). This is where a little help from a home care business consultant will come in handy. We do all of this for you.
The State of Michigan requires the following for Insurance as an Employer:
The State of Michigan requires that the business be covered by both General/Professional liability and Workman’s Compensation.
The Michigan Department of Health has determined that no DPH granted license is required to operate a Home Care Agency, but the agency can still be penalized for not following best practice for operation and take complaints very seriously. No Home Care Agency can operate without an Administrator and Alternately qualified individual to run the home care business who are over the age of 18 and have a GED or higher. All Key Staff and owner(s) should be able pass a background check.
Our home care license and home care business startup consultants can help with providing best practice standards. Call us today.
The county or township may have specific requirements that need to be met with an application for a local license to conduct business in that area. Having an optimal location and the proper office set is important. Make sure all the proper licenses are in a conspicuous area.
Your home care business will need staff to open its doors in Michigan the key staff/managers need to be identified in the initial process. Hiring the staff and making sure they get paid is an important part of starting your home care business. This process can be done by the home care business owners or a professional equipped to handle these situations. The state of Michigan has very specific laws associated with being an employer. This can make or break the agency if they do not follow the letter of the law.