How to open a mental health treatment facility?
If you intend to start your rehab center business in the United States of America, you would need to ensure that some of the below listed items have been taken care of; Total fee for …
How do I open a nonprofit treatment center?
Jun 28, 2019 · In order to open a mental health center, you've got make sure you have the proper certifications for the state, city, and sometimes community you're in. If you aren't currently …
How can I find the right treatment facility for my patient?
Setting up a website, search engine optimization, brochures, business cards and conferences are just a few of the ways to build the name of your treatment center. The process can seem …
How to open a drug rehab center?
May 12, 2018 · This can vary from state to state. If you are planning on opening a residential facility, your residences must be commercially zoned. Some states require a “Certificate of …
1. Know and Understand Local Regulations
The rehabilitation industry is heavily regulated. There are federal, state, and local laws you’ll need to comply with. Even if you have someone on staff who knows the regulations, as the owner of the facility, you will be responsible for any violations.
2. Feasibility Study & Business Plan
You may have a great idea and a vision, but without a feasibility study, you don’t know if it will work or not.
3. Financing Your Treatment Center
You have a few options to get the funds to start your business. One option is to take your business plan and send it out to investors.
4. Get Licenses and Accreditations
You’ll need to show potential clients you’re not a fly by night treatment center. Obtain the proper licenses and becoming accredited by nationally recognized organizations.
5. Hire Top Staff
Your staff will be the lifeblood of your treatment center. You’ll need to hire caseworkers, managing directors, intake staff, medical staff, maintenance staff, and administrators.
6. Create Standard Operating Procedures (SOPs)
As your facility’s staff grows, you’ll need to create more policies and procedures.
7. Market Your Treatment Center
In your feasibility study and your business plan, you may have discovered what people look for when searching for treatment facilities.
Is opening a treatment center expensive?
Opening a treatment center can be costly. Your largest investment will be into the property and the people running the center. The issue with answering this question is that each center is vastly different. What type of center are you opening, modalities, level of care, city and state, etc.
Is recovery industry different from most?
The recovery industry is not much different than most . Your staff will create an amazing experience for your patients. You need to hire the following staff to open a center:
How long does it take to get organic results?
As organic results take 4-6 months (which aligns well with how long it can take to get licensure and everything set-up) you can open your doors with clients ready to enter. Rather than starting your online marketing when you get licensure and have 2-3 months of little organic result.
First Steps to Open a Residential Treatment Facility
Savvy business owners start with a feasibility study to gain a better understanding of what type of center will thrive in a specific location.
How to Ensure Profitability
While it’s easy to get wrapped up in a passion for helping others, it’s critical to look at your treatment facility as a business. If you don’t, you may never even open the doors to your first client.
Staffing Your Private Rehab Center
Once you obtain your license and secure a location, it’s time to hire staff. Even in the smallest treatment center, you’ll need a well-oiled team to make your facility successful.
Interested in More Posts Like This?
We hope we’ve inspired you to follow your dreams of helping people who struggle with addiction. Opening a residential treatment facility takes considerable time and money, but the impact you’ll have on other’s lives makes it all worth the effort.
What is rehab center?
The rehab center industry comprises of clinics that have a medical staff who primarily provide outpatient services that are related to diagnosis as well as the treatment of alcohol, drugs and other substance abuse.
Is rehab a delicate business?
Starting a rehab center business is a very delicate affair as it cannot be treated just like any other business. Your location, equipment and staff matter greatly in starting this kind of business and so if you are not one that is determined, you might need to look for another kind of business to go into.
What are the challenges of rehab?
Some of the threats and challenges you are likely to face in your rehab center business include a drop in funding from the federal government which might be due to a downturn in the economy; more strict regulations from operating state, or more competitors in the same niche.
What is the most important decision for a start up business?
One of the most important decisions any entrepreneur has to make for their start-up business is choosing the legal structure that will suit the business and its specific needs. The legal entity decision is a profound one that will have an impact on how much tax is being paid, your personal liability, the amount of paperwork you would be required to carry out as well as your ability to source for start-up capital, which is why it is necessary for you to meet with an attorney who would best guide you on what legal entity would suit your business.
Why is financing important for rehab?
Financing your rehab center business is very important because no business or business idea can thrive without finances, no matter how noble or fantastic the business is. Finance helps the business not only become a reality but also to thrive and grow.
Is rehab a billion dollar industry?
The rehab center business industry is one that is a billion dollar industry and so there are bound to be many competitors in this field. Patients are likely to go for the centers where they can get affordable rates for their treatment. This means that you should package your rehab center business in such a way that you would have leverage over your competitors.
Why is customer retention important?
Customer retention is very important in a business as it is a way of businesses knowing that their customers are loyal and responding to the different retention strategies. Customers only move to other companies when they aren’t satisfied with the services offered by the present company they are patronizing.
What are the different types of therapy?
In order to best serve patients, a variety of programs will need to be put in place to create a comprehensive treatment environment and fulfill care at all stages of the continuum of care. Cost of technology, materials, and facilitators will need to be considered. Some programming types include: 1 12-step facilitation model 2 Group therapy 3 Cognitive behavioral therapy (CBT) 4 Rational emotive therapy (RET) 5 Dialectical behavioral therapy (DBT) 6 Systemic family counseling 7 Mindfulness therapy 8 Mindfulness-based stress reduction (MBSR) 9 Yoga and meditation 10 Humanistic and existential psychology 11 Motivational interviewing (MI) 12 Multicultural counseling and awareness 13 Social integration 14 Contingency management 15 Adaptive information processing (AIP) 16 Trauma-informed care 17 Medication assisted treatment (MAT)
Why are accreditations important?
Some insurance companies require these accreditations in order to pay out for treatment. It also shows a commitment of the treatment center at a certain standard and quality.
Is marketing an after thought?
Don’t forget to budget for marketing. A quality program will not be successful if no one knows about it. Marketing is sometimes considered an after-thought, but it is important to start the process early. Finding a marketing company that understands your business plan is crucial.
What is the first step in opening a medical facility?
Obtaining a license is the first and crucial step to opening your facility. You must remember that your patients will be attending your facility to receive help for dire mental health and medical conditions – whatever they may be. Therefore, like any medical facility, you must acquire a license to conduct business.
Why is marketing important in rehab?
Without the ability to bring in new clients, your treatment center as well as your investment, will be a failure. It is highly important that all of your marketing efforts need to be legal, ethical and effective.
Is Facebook a good advertising platform?
Facebook marketing also provides a great advertising platform in which you can leverage the content you create and put it in front of a large audience. Facebook also provides a great platform for you to keep in touch with your alumni. If you’ve just read this and you feel overwhelmed, don’t worry, we can help.
How many people are addicted to alcohol?
Industry Overview. According to the National Council on Alcoholism and Drug Dependency in the United States, over 23 million Americans from the age of 12 and above are addicted to alcohol and other drugs.
What is CARF accreditation?
CARF is a non-profit accreditation body that evaluates substance abuse and dual-diagnosis programs. As the largest U.S. accrediting organization for addiction facilities, facilities that have met CARF-defined standards of care have attained the industry benchmark for quality programming.
What is the Joint Commission?
Formerly known as JCAHO, the Joint Commission is also the second largest accrediting organization for addiction rehabilitation programs in the U.S. Numerous type of healthcare providers can earn accreditation from the Joint Commission, which has accredited more than 20,000 healthcare programs and providers.
Who is Tim Stoddart?
Tim Stoddart is the CEO of Stodzy Internet Marketing. He lives in Nashville with his wife and hit adorable pitbull, Alice. Tim loves to write about digital marketing and personal growth. You can learn more at TimStodz.com
What is feasibility study?
To begin, find the best location for your facility, where you know there’s a need for your treatment. These studies are called feasibility studies, and they are meant to provide you with the information you need to make an informed decision about where to start your practice, what audiences you’ll be able to target, and more.
Is getting a license a headache?
Applying and getting licensed can be somewhat of a headache but a vital component. Consider that you’ll need to be in contact with state licensure institutions that may not work at the pace you had envisioned, and their requirements may be more complicated than you were expecting.
Is accreditation necessary for NATSAP?
Another aspect of obtaining credentials is accreditation. While not necessary, accreditation often brings with it many benefits. Some governing bodies such as NATSAP and others require accreditation to be a member.
What is EMR in business?
EMR allows you to operate your business digitally. Files and schedules are online, easy to share with clients and staff, and maximum efficiency is guaranteed. Without EMR, you will greatly increase the effectiveness of documentation, which will all for more staff to client interaction.
Can a nonprofit be a 501c3?
The Internal Revenue Service permits nonprofit agencies to be established under the 501 (c) (3) tax code. If you cannot navigate the process on your own, contact an attorney to assist you. If you have questions about the process, you can also contact the IRS. Create a mission statement.
What is the job of a nonprofit board?
The board's job is to handle all matters related to the center. They may also take the lead on all fundraising efforts. Fundraising is vital to nonprofits because money is always needed to pay expenses that are not covered by private or public underwriting. Hire an executive director.
Why is fundraising important for nonprofits?
Fundraising is vital to nonprofits because money is always needed to pay expenses that are not covered by private or public underwriting. Hire an executive director. The executive director may have a dual role and also serve as the day-to-day director of the center. Initiate a volunteer program.
Feasibility Study
- First step is a feasibility study. This will help you determine exactly what is needed in your local area (or the area in which you wish to open a center). In this phase you will need to determine the type of rehab center you want to open. By type, we are referring to the level of your treatment center will provide. For example, will it be a full c...
Licensing
- As opening a rehab center is like opening a private practice in medicine, you need to be a licensedto conduct business in the addiction field. This is done through the local authorities. This involves zoning as well. If you are looking to open a residential recovery center the home or living location of your residence could require commercial medical zoning. Each state is different, like …
Business Plan
- Like any business, you need to create a professional addiction center business plan and pro-forma. The business plan puts your thoughts to paper and creates what the business will become. This is required by all banks and most serious investors. To learn more about how we can help with your business plan writing, click here
Staff and Training
- The recovery industry is not much different than most. Your staff will create an amazing experience for your patients. You need to hire the following staff to open a center: 1. Executive Staff 1.1. Medical Director 1.2. Executive Director 2. Intake Staff (handling inbound leads for treatment) 3. Medical Staff 4. Clerical Staff 5. Janitorial Workers 6. Case Workers 7. Managers 8…
Accreditations CARF and Joint Commission
- Accreditation from CARF or The Joint Commission (JCAHO)is highly valuable these days. More and more insurance companies are requiring one of these two accreditations in-order to enter treatment which means if you allow a patient to enter your facility and are not accredited, they will not pay out for the services your provided.
Marketing Execution
- As we said before, marketing is where most people fall flat in the recovery business. They don’t provide enough budget to cover what is needed and end up running out of money or have empty beds when they open. Marketing for addiction rehab centers is a two-pronged approach. The first prong being long term investment in Organic Search and your brand. Organic search (SEO) is Go…