How has COVID-19 Changed the Senior Care Franchise Business?
Nearly 90 percent of the COVID-19 pandemic is fought at home.
Home care is on the front lines of the battle against this global pandemic.
But with the changes that COVID-19 has caused to every industry, is the home care franchise business still a good investment?
Here’s what you need to know about the home care industry in 2020.
The Home Care Business Before COVID-19
Before, the pandemic home care was an unknown critical piece of both the health care industry. But with 10,000 people turning 65 years-old every day, experts expected the senior care franchise industry to grow.
This made owning a home care agency seem like a great option for investors interested in low risk investing and diversified investments. Most of the data pointed to home care, delivering a strong return of investment well into 2030. Some reports even promise security through 2050.
A study by Genworth Financial found that most Americans prefer home care in their elderly years, which placed franchises in a favorable spot. The only genuine issue the industry faced-pre COVID-19 was the high caregiver turnover rate and a workforce of more skilled workers.
The Impact of COVID-19 on Home Care So Far
Before COVID-19 the home care franchise industry had decades to prepare for its sped up growth and to overcome its challenges. But this was fast-tracked in February 2020 when COVID-19 ravaged a long-term care facility in Washington state.
Overflowing hospitals and an at-risk elderly population pushed home care assistance into the spotlight, and into the front lines of the COVID-19 battle. Even though demand for in-home care is strong, the infrastructure of home care wasn’t ready for growth. Many home health aides lacked the technology and safety equipment needed to perform their jobs safely during the pandemic.
What will the Future of Home Care Look Like?
Skilled home health aides are in high demand. As seniors, at-risk populations and those infected
with COVID-19 continue social distancing, we predict that demand will only
continue to increase.
Here are some more of our key prediction for how the pandemic will change home care:
Concern for senior mental health will increase the need for home care and will reshape the way we think about senior care
More emphasis placed on educating the caregiving workforce over the next few years
More federal funding provides resources for education and health care technology integration
Technology will make the jobs of caregivers less stressful, which will improve the turnover rate and enable them to manage a large volume of clients
Health technology will also become more mainstream for consumer use as the centralization of the health care system moves from the hospital to the home
Best Investments for 2020: Senior Care Franchise
The health care industry is likely to experience nothing short of a revolution over the next few years. As the battle against COVID-19 and other chronic illnesses happens
at home, home care will play a key role in this change. Home care is no longer an “unknown,” it’s an integral part of the health care system.