Many people decide to start non-emergency medical transportation businesses to give something back to their community and provide a useful service to seniors around them.
Being a means of transportation allows you to give them an amount of independence that would be difficult to achieve otherwise.
Because the focus is not on emergency situations, you can have a friendly chat with your passengers on the way to their destination.
This is great for both you and your passengers because they will be able to meet new people, and it encourages you to offer a friendly face and regular communication.
If you are an experienced driver who wants to give something back and create friendships with the seniors in your area, it could be worth starting a non-emergency medical transportation business.
This can be a great way of giving back to the local community and allowing vulnerable individuals a means of getting to their appointments and other facilities safely and on time.
Medical appointments come in all shapes and sizes, and it is worth using certain forms of technology to prevent your vehicle from wasting gas going back and forth when possible.
Check out this complete guide into non-emergency medical transportation businesses to learn about route optimization and more.
What is a NEMT Business?
A Non-Emergency Medical Transportation (NEMT), also known as an ambulette service, NEMT is the transportation of people in wheelchairs, stretchers or those ambulatory who need assistance. Note that this is NOT an ambulance service!
Non-Emergency Medical Transport (NEMT) businesses provide rides to patients who need them. These rides can include taking someone from their home or workplace to the hospital, doctor’s office, pharmacy, or other destination.
They are aimed at providing a taxi-like service to seniors who are unable to drive themselves where they need to be. Because you will not need to assist during emergency situations, many seniors use NEMT services to get to the grocery store, attend church, or visit a friend for the day.
Many people enjoy providing more mobility to seniors who can no longer drive themselves around, because it enables more independence. NEMT business customers do not necessarily have to be a particular age in order to be a passenger.
Anybody whose medical condition affects their ability to drive or use public transport can use the services to get to their check-ups, hospital appointments, or other destinations.
This is strictly non-emergency transportation. This business doesn’t need any kind of special life-saving skills, training or equipment!
With your NEMT service, you will transport people to and from medical appointments, in and out of hospitals, nursing facilities, or from residences to various medical appointments.
How Much Money Do NEMT Providers Make?
The average annual income for NEMT providers is between $40,000 and $60,000 a year. Most NEMT businesses work with Medicaid to generate profit. Because the average budget for medicaid changes from state to state depending on the average cost of living, the average amount that NEMT providers make can differ.
Some states, such as New York, calculate the amount of profit made by NEMT businesses on a per-trip, and per-mile basis. There are a lot of variables that can affect the average amount of profit made from your NEMT business. These include the medicaid budget within your state, as well as the average rate charged for mileage.
It is generally recommended that you avoid focusing on making a profit too much during the beginning of your business, because the money side of things should come after the positive experience that you are creating with your clients.
Other factors that can influence your business’ income are time of day, average number of trips made within a week, location range, type of patients, and whether additional services are needed such as a chaperone or wheelchair ramp.
However, those who want to work on generating more profit for their business could consider working more closely with pharmacies, retirement communities, and adult care facilities to reach your intended audience and generate more interest in the services provided.
Some people will go as far as designing their own business cards and posters and displaying them within hospitals and other medical venues. It could also be useful to create a website that is easy to use so that you are as reachable as possible to potential clients.
Another thing worth considering is using high quality software rather than choosing to do everything manually, as this is where mistakes related to human error can arise. It is also worth noting that your NEMT business will be more successful if you have more clients. Positive reviews go a long way, especially if your clients are seniors who don’t usually spend as much time on social media.
They are therefore more likely to communicate their views to peers through word of mouth, which is why you should try your best to spread awareness and show people what your business has to offer for those who need transportation.
The Costs Involved to Start a NEMT Business
The average estimate states that it will cost around $350,000 to start an NEMT business. However, there are a range of things that can affect this amount, and you can greatly reduce the total cost if you already have a car or vehicle that is suitable for running your business.
As with starting any business, it isn’t cheap. There are so many costs involved at the start of your NEMT business journey, that it could be worth taking out a loan or using some of your savings for the early stages.
Different loans are available that have been designed to help individuals start their own business and begin generating a profit, so that you shouldn’t be put off by some initial costs involved when starting an NEMT business.
If you want to start off small and do not intend to hire staff and manage them, you can expect to spend around $2,500 in registration fees, insurance policies, and medicaid provider enrollment application fees. Because there is such a large amount of variation in the estimated costs of starting an NEMT business, it is worth speaking with your local government representative about your state’s medicaid budget.
Some processes involved with setting up an NEMT business include expenses from registering your business, vehicle purchase and licensing if necessary, seeking appropriate insurance, licensing fees, and of course enrollment in medicaid.
Steps to Starting a Non-Emergency Medical Transportation Business
1. Understand the Industry
The growth of the healthcare industry offers entrepreneurs a great business opportunity within the community. The market is limitless for non-emergency medical transportation (NEMT) business. The healthcare industry of which non – emergency medical transportation services is a part of is one industry that plays a key role in the economy of many nations.
This is so because without health, there will be no capacity to create wealth, in other words, health is indeed wealth. Little wonder the healthcare industry is one of the most supervised and regulated industries in most countries of the world.
Interesting Statistics About the Industry
Statistics has it that about 3.6 million Americans miss or delay medical care services simply because they lack appropriate means of transportation to catch up with their medical appointments. So also, the average low – income earners in the United States Americans lack the disposable income necessary to have access to a working automobile, and as a result of that may lack transportation options to get to and from medical appointments which is why
Medicaid provides a non – emergency medical transportation benefit that pays for the least expensive and suitable way of conveying people to their appointments whether by taxi, van, public transport or mileage reimbursement.
As a matter of fact a large percentage of people with chronic health conditions, such as arthritis, asthma, cancer, cardiovascular disease, chronic obstructive pulmonary disease and diabetes et al, would need medical care services on a regular basis.
Statistics has it that the treatment of chronic conditions account for three-quarters of all United States healthcare expenses. For instance, in 2009, the Centers for Disease Control estimate that 78% of the adult population age 55 and older has at least one of these chronic conditions.
In addition, it was projected that states will add more than a half million adults who have serious behavioral health issues that impair their everyday functioning to the Medicaid population. These people of course will need the services of Non – Emergency Medical Transportation to access life sustaining treatments and healthcare services et al.
It is important to categorically state that a large percent of the 20 million adults with chronic kidney disease who are undergoing dialysis three times a week, non – emergency transportation services providers is a reliable way to transport them to their appointments and so as to avoid going to the emergency room if appointments are missed.
So also, Statistics has it that 66 percent of dialysis patients rely on others for transportation to their appointments, only 8 percent depend on public transportation or taxi services, and 25.3 percent drove or walked to the clinic themselves.
The Non – Emergency Medical Transportation Services industry is indeed a very large industry and pretty much thriving in all parts of the world especially in developed countries such as United States of America, Canada, United Kingdom, Germany, France, Australia and Italy et al.
Envision Healthcare is one of the leading players in the industry. Statistics has it that in the United States of America alone, there are about 16,928 licensed and registered non – emergency medical transportation providers responsible for employing about 200,048 employees and the industry rakes in a whooping sum of $15bn annually with an annual growth rate projected at 1.1 percent.
Non – emergency medical transportation services or ambulance services as it is popularly called is yet another thriving and profitable business that an entrepreneur who is interested in making money from the healthcare industry should consider starting.
2. Conduct Market Research and Feasibility Studies
The individuals that will need your services as a non-emergency medical transporter include;
- Adult day cares
- Nursing homes
- Hospitals
- Geriatric doctors
- The Government via Medicaid
- Adults and Seniors
- Expectant Mothers
- Injured Sports Men and Women
- Disable/Physically Challenged People
- People why mental/psychiatric challenges
- The aged who might suffer from severe joint pains and every other age categories who falls under the conditions listed by the physician.
3. Decide What Niche to Concentrate On
- Medical travel
- Air Medical Travel
- Wheelchair Transportation
- Orthopedic Transportation
- Taxi Service
- Non-Medical Transportation
Level of Competition in the Industry
A lot of competitions exist amongst various non – emergency medical transportation service providers, you will also compete against other healthcare services providers such as hospitals, health centers and community clinics who have ambulances and also provide transportation services for their patients.
To be highly competitive in the non – emergency medical transportation services industry means that you should be able to deliver consistent quality patient service and should be able to meet the expectations of the physicians that referred patients to you.
To stand tall among your competitors, run a standard medical call center for 24 hours a day and 7 days a week. Ensure you have enough trained health workers that are ready to run a shift system.
4. Know the Major Competitors in the Industry
- Envision Health Care.
- UMTPG
- Ready Transportation
- Silver Star Transportation Services
- Voyageur Transportation Services
- Pine Creek Care Center
- Senior Citizens United Community Services
- Superior Ambulance Service, Inc.
- Certified Homecare
- Advent Homecare.
Economic Analysis
As a matter of fact a large percentage of people with chronic health conditions, such as arthritis, asthma, cancer, cardiovascular disease, chronic obstructive pulmonary disease and diabetes et al, would need medical care services on a regular basis. Statistics has it that the treatment of chronic conditions account for three- quarters of all United States healthcare expenses.
For instance, in 2009, the Centers for Disease Control estimate that 78% of the adult population age 55 and older has at least one of these chronic conditions. In addition, it was projected that states will add more than a half million adults who have serious behavioral health issues that impair their everyday functioning to the Medicaid population. These people of course will need the services of Non – Emergency Medical Transportation to access life sustaining treatments and healthcare services et al.
It is important to categorically state that a large percent of the 20 million adults with chronic kidney disease who are undergoing dialysis three times a week, non – emergency transportation services providers is a reliable way to transport them to their appointments and so as to avoid going to the emergency room if appointments are missed.
So also, Statistics has it that 66 percent of dialysis patients rely on others for transportation to their appointments, only 8 percent depend on public transportation or taxi services, and 25.3 percent drove or walked to the clinic themselves.
No doubt the non – emergency medical transportation service industry will continue to grow and become more profitable because the aging baby-boomer generation in Unites States is expected to drive increasing demand for these specialized services.
5. Decide Whether to Buy a Franchise or Start from Scratch
Starting a NEMT business requires in-depth learning about the industry, available products, installation, and solutions for disabled and seniors. It also involves establishing relationships with health providers and health management professionals, along with a source of in-depth information for the questions the business owner can’t answer.
The easiest and most cost-effective way to ensure all of the foregoing is to buy a franchise, as the entire Business model is already created, the kinks are worked out and the business is essentially ready to go. Research various NEMT franchise opportunities and select a franchise to work with.
This way, the business model, including the business plan, and advertising media and materials are all ready-made. Establish a relationship with the chosen franchise and get as much information as possible about the way the business is operated, the startup capital required and the process of becoming a franchisee.
6. Know the Possible Threats and Challenges You Will Face
Just like any other business, one of the major threats that we are likely going to face is economic downturn and unfavorable government policies (healthcare reform). It is a fact that economic downturn affects purchasing/spending power. Another threat that may likely confront us is the arrival of a new and bigger/well established non – emergency medical transportation brand in same location where our outlet is located.
7. Choose the Most Suitable Legal Entity (LLC, C Corp, S Corp)
Due to the size of the business, you need to register it as a company with a legal entity. After making your business plan and estimates, you should start the process of registering your Business Name as a legal company and permissions provided by the law to starting a solar farm. This way, you will avoid legal issues with the law later. You can employ a legal counselor or Lawyer to handle the process for you.
The best legal entity for this business is starting a LLC. A limited partnership is an organization made up of a general partner, who manages a project; and limited partners who invest money but have limited liability and are not involved in day to- day management.
Usually, limited partners receive income, capital gains, and tax benefits; the general partners collect fees and a percentage of capital earnings and revenues. Typically, limited partnerships are in real estate, oil and gas, equipment leasing, family partnerships but can also finance movies, research and development and other projects.
8. Choose a Catchy Business Name
When it comes to starting a non-emergency medical transportation business it is important that you choose a suitable name. Many entrepreneurs overlook the importance that a name can play in the development of a brand. The right name can help you to make a great first impression on people in your market and it can help you to build long term relationships and reputation. Consider any of these names for your new NEMT business;
- Safe Ambulance Services
- Fast and Safe Transports
- Special needs Services
- Seniors and Specials Transportation Inc.
- Ride with Care Services
- Epic Ambulate
- Boomers Transporters
9. Discuss With an Agent to Know the Best Insurance Policies for You
Your transportation business has to be concerned with the right insurance for your fleet vehicles, driver activities, and other business assets. Knowing that transporting your elderly and special needs clients means your vans and other vehicles are often outfitted with special equipment; your drivers and staff are required to communicate effectively with medical staff, transfer patients with care, and maintain standards required by licensing agencies.
Find a good insurance companies that can provide the high limits and special insurance your business needs, including:
- Auto Liability Insurance.
- Physical Damage Insurance for Your Vehicles.
- Inland Marine Insurance for special equipment.
- Property Insurance for your business premises.
- General Liability Insurance.
- Workers Compensation Insurance.
- Excess or Umbrella Insurance
Apply for insurance. It is best to have insurance because transporting patients opens you up to a number of liabilities. You may be held financially responsible for any accidents that occur while on the road. Investigate the prices and benefits of various insurance programs.
10. Protect your Intellectual Property With Trademark, Copyrights, Patents
If you are considering starting your own non-emergency medical transportation business, then you should consider filing for intellectual property protection. Filing for copyright protection for your firm is not only limited to your company’s logo and other documents, and but also protecting, of course, the name of your business.
If you want to file for intellectual property protection and also register your trademark in the United States, then you are expected to begin the process by filing an application with the USPTO. The final approval of your trademark is subjected to the review of attorneys as required by USPTO.
11. Get the Necessary Professional Certification
Laws vary by state but you will likely need to complete training both for first aid and cardiopulmonary resuscitation, or CPR, available through the American Red Cross or American Heart Association. A course in defensive driving through the National Safety Council is also a typical requirement for this business.
Non-emergency medical transport company owners may need to register as medical transport providers through their states, as in Oregon, for example, according to the SBA. You will also probably need a chauffeur’s license and be required to register your business name if you’re operating as a company. The other essential requirements are a driver’s license, liability insurance, patience and customer service skills.
While you may not seem like a healthcare provider, your business will be providing a service which allows certain people to access medicines, treatments, and appointments. Because of this, and the fact that NEMTs use medicaid for funding, you will need to obtain a National Provider Identifier (NPI).
12. Get the Necessary Legal Documents You Need to Operate
Register your business with the government. Laws vary by state. Talk to your local Department of Commerce and Department of Licensing to receive the forms that you need to establish your business and to learn if you need a license to do bookkeeping. You can notify the federal government of your business by applying for an Employer Identification Number (EIN).
You can also create a business name for yourself and file a “Doing Business As” or “DBA” notice. These are some of the basic legal document that you are expected to have in place if you want to start a solar farm business in the United States of America;
- Certificate of Incorporation
- Business License
- Business Plan
- Non – disclosure Agreement
- Memorandum of Understanding (MoU)
- Apostille
- Employment Agreement (offer letters)
- Operating Agreement
- Company By laws
- Operating Agreement for LLCs
- Insurance Policy
If you are planning to hire a team of drivers and set up a large NEMT business which covers a wider location, it is definitely worth scheduling a meeting with a lawyer who has more experience and knowledge about the types of permits and insurance that you will need.
They can also provide valuable advice about the different ways that you can protect your clients when they are traveling with you. This is a great way of protecting your business from conflict and legal complications later down the line.
Register as a Medicaid Provider
Take a closer look at the different requirements that are necessary from your state in particular, because these can vary across the country. When you are registering as a medicaid provider, you should be confident about your business’ legal structure.
Depending on what state you are in, you can find more detailed information about the medicaid registration process and the total budget for your area by speaking with your government representative. It is also worth considering how intensive this process has been in the past by other medicaid providers operating in the area.
13. Writing a Business Plan
The first thing you need to do before starting out with your plans to start a NEMT business is to first of all invest your time and money in research. As a matter of fact, you would require other people to help you out with the research. You would need to be well informed about the makeup industry before you can truly make headway.
So, try and talk to medical professionals to help you out with the necessary research. If indeed you truly want to grow your to compete with already established world renowned brand, then it won’t be out of place if you enroll in a college to acquire a degree or diploma in transportation management.
The fact that this kind of business requires huge start – up capital, and rigorous planning makes it very important to draft a very good NEMT business plan. As a matter of fact, it will pay you to hire expert to help you draft a workable business plan that can assist you to access loan from the bank or attract serious investors.
The whole idea of writing a business plan is not just for the sake of having a business document in place; but a detail guide on how to effectively run your business from the scratch. Your business plan should outline and cover strategies on how you intend to manage and grow your non-emergency medical transport business.
The rule of thumb in writing a business plan is to try as much as possible to be realistic and never to over project when putting figures on income and profits et al. As a matter of fact, it is safer to underestimate when writing a business plan so that you won’t be so disappointed when reality sets in.
These are the key areas that should be covered in your business plan;
Executive summary and Company’s descriptions: you are expected to write about the concept of your business, descriptions of your company, your company’s vision statement, mission statement and where your company will be located and also if you intend selling out franchise or opening outlets in different cities in the United States of America and in other parts of the world.
Other key components that should not be missing in your business plan are products and services offering, SWOT analysis, competitive analysis, marketing and sales analysis / strategies, target market, market goals, pricing, costing and financial projection, publicity and advertising strategy, expansion and growth strategies, budget and start – up capital generation et al.
14. Prepare a Detailed Cost Analysis
The items listed below are the basics that needed for starting a non – emergency medical transportation services business in the United States, although costs might vary slightly;
- The Fee for registering the business in the United States –$725.
- The budget for legal fees, insurance, permits and license – $5,000.
- The cost of leasing a facility – $100,000.
- The amount needed to renovate the Facility (electrical, furnishings, plumbing, painting and landscaping) – $10,000.
- The Cost for the purchase of furniture and equipment (Flat Screen TVs, computers, printers, and cabins et al) – $10,000.
- Other start-up expenses including stationery – $1000.
- Phone and utility deposits – $3,500.
- The Cost for the purchase of Ambulances – $150,000.
- The Cost of Launching a Website – $600.
- The cost opening party – $5,000 (optional).
- Cost for payment of salaries for the first 3 months of operations – $50,000.
- Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $5,000.
Going by the report research and feasibility studies of other non-emergency medical transportation start-ups, you will need an average of $350,000 to start a small scale but standard non – emergency medical transportation services business in the United States of America.
15. Raise the Needed Startup Capital
If you choose to start your non-emergency medical transport business on a small scale, you might not need loads of resources to launch the business, but if you decide to start on a large scale, you will sure need to raise the required start – up capital to launch the business.
If you are starting your non-emergency medical transport business on a large scale, you will need a decent office facility, office equipment and furniture, and money budgeted for the payment of salaries and utility bills for at least a period of 3 months and you will also need money to purchase or lease a laboratory. In essence you are expected to generate your start – up capital.
When it comes to financing a business, one of the first thing and perhaps the major factors that you should consider is to write a good business plan. If you have a good and workable business plan in place, you may not have to labor yourself before convincing your bank, investors and your friends to invest in your business.
Here are some of the options you can explore when sourcing for start – up capital for your new non-emergency medical transport business;
- Raising money from personal savings and sale of personal stocks and properties
- Raising money from investors and business partners
- Applying for loan from your bank / banks
- Pitching your business idea and applying for business grants and seed funding from donor organizations and angel investors
- Source for soft loans from your family members and your friends.
16. Choose a Suitable Location for your Business
The number one key factor in determining your business location is demographics. Find statistics on where the elderly population lives nearby. Compile a list of adult day care centers, hospitals, clinics, dialysis centers, retirement homes and group homes. Reach out to those facilities and inquire on what transportation services they currently use to better help sustain your business.
17. Hire Employees for your Technical and Manpower Needs
As a Non – Emergency Medical Transportation business, the composition of your workforce will determine how it will be built on a solid foundation. From the onset, please ensure you recruit only qualified professionals (doctors, nurses, nurse’s aides, mental health counselors, chiropractors, medication management counselors, physical therapists, county aging workers, and rehabilitation counselors, home health caregivers and ambulance drivers) to man various job positions in the organization.
Be aware of the rules and regulations governing the non – emergency medical transportation services cum healthcare industry which is why you have to recruit only well experienced and qualified employees as foundational staff of the organization. As a new start-up, leveraging on their expertise to build your business brand to be well accepted in your target market and the whole of the United States.
When hiring, look out for applicants that are not just qualified and experienced, but honest, customer centric and are ready to work to help in building a prosperous business that will benefit all the stake holders (the owners, workforce, and customers).
As a matter of fact, as a way of making them be part of the business, profit-sharing arrangement should be made available to all your management staff and it will be based on their performance for a period of five years or more. These are the positions that Non – Emergency Medical Transportation business will need;
- Chief Medical Director/Chief Executive Officer
- Doctor
- Human Resource and Admin Manager
- Nurses/Nurse’s Aides
- Home Health Caregivers/County Aging Workers
- Ambulance Drivers
- Marketing and Sales Agent
- Accountant / Cashier
- Cleaners
18. Equipment Needed to Run a Non-Emergency Medical Transportation Business
Typically, as a business owner, start up with one to two vehicles and gradually add more as business increases. The most common vans used for transport have the following:
- raised roof and doorways which allow clients to enter from the side or the rear of the vehicle.
- Manual lists or hydraulic. Securing devices for wheelchair clients.
- Vans should be able to accommodate both wheelchair and ambulatory clients.
- don’t forget to buy good paratransit dispatch software to schedule and dispatch rides.
One of the most important things that is worth investing in is a high quality, reliable computer for your company. This should be used to create your website, promote your services on social media, handle business emails, schedule client transportation, and manage accounts.
It’s definitely worth changing your filing system to a digital one if you haven’t already. This is because it’s easier to access from different locations, and can be more confidential. If you want to expand your business and hire additional staff, it could also be worth looking into hiring an office space which you can use as a base.
However, most people start their business from a home office or computer, which allows a little more flexibility at the beginning of their NEMT journey. This is a useful way to save costs, especially if you plan on doing the majority of the driving because you are less likely to actually use an office space when it is just you during the early stages of your business.
Additional supplies include the type of vehicle you want to drive, how easy it is for clients to get into, and certain items that can make that a little easier when necessary. Mobile phones or even walkie-talkies to communicate with other members of the team when you are out on the road.
This can be highly beneficial when there are road collisions blocking a particular route, construction work, or even high amounts of traffic which can impact a clients’ estimated time of arrival and the time taken to drive to your next client.
19. Write a Marketing Plan Packed With ideas & Strategies
Your marketing strategy should be based on generating long-term personalized relationships with customers. In order to achieve that, ensure that you offer top notch all – round non – emergency medical transportation services at affordable prices compare to what is obtainable from existing competitors.
All your employees should be well trained and equipped to provide excellent and knowledgeable non – emergency medical transportation services and customer service. We know that if we are consistent with offering high quality service delivery and excellent customer service, we will increase the number of our customers by more than 25 percent for the first year and then more than 40 percent subsequently.
You should also make use of experts who have good understanding of the non – emergency medical transportation service industry to help in developing marketing strategies that will help achieve your business goal of winning a larger percentage of the available market.
In summary, the following sales and marketing approach should be implemented to win customers over;
- Introduce your business by sending introductory letters to residence, business owners, hospitals and corporate organizations.
- Advertise your business in community based newspapers, local TV and local radio stations.
- List your business on yellow pages ads (local directories).
- Leverage on the internet to promote our business.
- Engage in direct marketing.
- Leverage on word of mouth marketing (referrals).
- Enter into business partnership with hospitals, government agencies and health insurance companies.
- Attend healthcare related exhibitions / expos.
20. Plan Your Service Schedule
Organization is key when it comes to setting up a successful and efficient NEMT business. This is because you can easily become overwhelmed with the different routes and clients needing to be at different locations at the same time. Try to come up with an effective method of scheduling your trips that you can access on the road.
For example, you could print out the daily agenda and tape it to the dash where you can easily glance at it during the day. This can include details such as the client’s name, number of people in a group, where they are going, when they want to be picked up and where from.
It can also be useful to check for return trips, and schedule these in a way which maximizes your productivity without overlapping too many clients at once. Another thing which can make your business stand out from the crowd is offering a selection of different packages.
This includes a simple point A to B transportation, regular lifts every week to a particular specialist that are paid on a subscription basis, or one-off trips that can be booked in advance with return transportation included. Make sure you are flexible and easy going about last-minute changes during your business’ early days.
This can make you more appealing to clients, and make them feel like you want to help their day run smoothly. Prevent unnecessary stress from arising by going with the flow, especially if your client is heading to a big appointment that they are already worrying about.
Once you have a little more experience running your business, and have a better understanding of what type of services the clients in your area need, you can think about changing the type of packages offered to make them more suitable for them.
For example, if a particular client attends church every Sunday then you could put them on a rolling contract which saves them a little money in the long run, and have their required time slot reserved for them on that day of the week.
In addition to this, it is important that you set up a reliable way for clients to contact you and book a lift somewhere, even when you are on the road.
Whether you want them to leave a message for you to call them back, have them phone the office, or fill in an online form, make sure you come up with something that is easy for your target audience to understand and use effectively to book a trip when they need it.
21. Plan your Price Schedule
This is a little less straightforward because there are a lot of factors which influence the price range which you can offer clients. Depending on the area that you live, current economic conditions, the number of people you can safely transport during each trip, and if there are any existing NEMT services within the area that you are competing with.
Most NEMT businesses charge between $20 and $60 for every hour, but you could create certain discount programs for regular customers. This makes them feel more valued and heard, while saving them a little money consistently.
There are many variables that can affect the price of this, but it is important to think about the averages when figuring out how much to charge your clients. Other options include combined pricing on similar services which your business can provide. For example, charging people slightly less if you will be picking up another customer on the way to their destination.
Being able to pay on a monthly basis rather than after every trip can be highly valuable to seniors who often struggle with their sight and digital banking services. Make sure that you are flexible and considerate when you are faced with these challenges.
Following this, the next step is to reach out to potential customers by advertising your business and the services that are available. This includes promoting your business online, with posters in retirement homes and communities, and offering business cards within hospitals and pharmacies.
However, one of the best ways to generate positive reviews is through word of mouth. Many senior citizens enjoy communicating with their loved ones and friends, and it is worth asking certain clients to mention your business to other people like them who are unable to drive themselves around.
22. Understand Route Optimization
It is essential that you have thought about the potential destinations that clients will want to go to on a regular basis. This means taking a closer look at maps of the area and the different medical centers which are available to locals.
It could even be worth practicing certain journeys from retirement communities in the area to the hospital, pharmacy, or specialist in heavy rain, traffic, and on a quiet day to see what type of time frame is realistic. It is important that you take a closer look at route optimization in order to use gas efficiently and remain cost-effective.
This is because you may have multiple clients who need to be at different locations for time-sensitive appointments. In order to optimize your vehicle’s gas consumption and ensure that everybody gets to where they need to be, you should design routes with the shortest travel times and cover the shortest distance.
This can help patients get to where they need to be in the right amount of time without them stressing. There are different services available which can use the latest mapping technology to develop routes with the shortest estimated travel time between pick-up and drop-off.
You can even plot multiple patient collections and drop-offs within a single trip in order to reduce your gas use without compromising client experience.
Make sure you consider a modern scheduling system which offers a flexible way of scheduling client trips and is easy to follow. This can even send you updated details about a particular trip, complete with stops that have already been plotted onto a map of the area.
Some clients, find online forms a little more challenging to fill in, so it could also be worth speaking with members of the senior community in order to figure out what scheduling system would be the most appropriate for your business and for them.
23. Prioritize Business Growth
If you see the opportunity to grow your business and begin working towards a larger team of staff, it could be worth looking into hiring a warehouse space which will keep minivans and cars safe as well as an office base close by.
Of course, it is essential to apply for appropriate insurance when you want to expand your business. This is so that you are operating within the law and that your business is being taxed appropriately. In order to keep everything functioning smoothly, you will need to communicate any changes that occur within your business to your insurance provider.
It could also be worth hiring somebody who will manage client information and ensure that everybody’s details are kept confidential. This includes where they live, accessibility adjustments, and what type of routes they have booked in the past.
Other roles which would be made easier with the integration of more staff include recruiting someone to work on your business’ advertising, and somebody to help clients fill in forms or even fill in forms on their behalf over the phone if they are having difficulty scheduling a particular trip somewhere.
Depending on whether you’re competing with another business that offers a similar service or not, it could also be worth expanding the region that you are covering. When your team gets larger, it will be easier to plan routes for more locations, and even assign drivers to particular locations.
Not only can this establish some level of consistency with clients who need transport to a certain destination, but it allows your business to expand more substantially. Make sure you aren’t stepping on anybody’s toes when you want to expand your NEMT business and increase your total client numbers.
This can allow you to maintain positive relationships with other businesses who offer similar services. It could be interesting if you choose to combine forces and develop a larger network of NEMT services covering a wider area together, rather than competing for the same customers.
It is also worth noting that there is not an estimated timeframe for your NEMT business to see any type of profit or growth. This means that you should stay flexible, and try not to focus on a particular time period for expansion or even making a profit.
Every new business is considered a risk at the start of the process, and it is essential that you are consistent in your approach at the start. This allows your business to be taken a little more seriously and shows insurers, banks, and credit institutions that you are committed to providing NEMT services to your clients.
Make sure that you have created a business plan if you are applying for a loan to get yourself started. This is another way that banks and credit agencies will see that you are serious about your business and that you are anticipating some level of growth in the coming months and years.
24. Develop an Iron-clad Competitive Strategies to Help You Win
Promoting your business is only way to tell people it exists and the only way to attract clients. To spread word about your medical transportation business, you can advertise on radio, TV, and newspaper.
However, the more targeted your marketing campaign is, the more effective it will be, and the more clients you will attract. So, it is more profitable to market your business at doctor’s offices, nursing homes, dialysis centers, and other places frequently visited by your potential clients.
25. Brainstorm Possible Ways to Retain Clients & Customers
Establish a successful customer relationship management (CRM) solution. Implementing a well-devised CRM plan can better position savvy energy providers to retain and acquire the most profitable customers, build strong brand identity, keep information technology (IT) costs in line, and streamline operational efficiency.
A well-chosen CRM solution will enable utilities to succeed in their short- and long-term IT goals and stay within budget constraints. The key enabler for building and maintaining these closer, more personal customer relationships is a complete view of each consumer.
An integrated CRM solution built on the foundation of a customer-centric data warehouse can provide a customer view that focuses on improved communication and individuality. To achieve these goals, energy companies should select a CRM solution from a data warehouse vendor who can provide an industry-specific system that can grow-or scale-for future needs.
With a CRM data warehouse solution that has been customized with data models and valuations specific to the energy industry, utilities can avoid costly and lengthy system customizations and reap the rewards of rapid implementation. With the appropriate CRM solution, businesses can receive a measurable return-on-investment (ROI) in as little as 90 to 120 days.
26. Develop Strategies to Boost Brand Awareness and Create a Corporate Identity
Map out clear cut publicity and advertising strategies that will walk your way into the heart of your intended market. As a matter of fact, your publicity and advertising strategy should not be solely for winning customers over but to effectively communicate your new brand to the general public.
Here are the platforms you can leverage on in promoting and advertising your Non – Emergency Medical Transportation business;
- Place adverts on both print (community based newspapers and magazines) and electronic media platforms.
- Sponsor relevant community health programs.
- Leverage on the internet and social media platforms like; Instagram, Facebook, twitter, YouTube, Google + et al to promote your brand.
- Install Bill Boards on strategic locations all around your target market.
- Engage in road show from time to time
- Print and distribute fliers and handbills in target areas.
- Ensure that all your workers wear branded shirts and all your vehicles and ambulances are well branded with the company’s logo et al.
27. Create a Suppliers/Distribution Network
Ensure that all your services are offered at highly competitive prices compare to what is obtainable elsewhere in The United States of America. On the average, non – emergency medical transportation service providers usually leverage on the fact that a good number of their clients do not pay the service charge from their pockets; private insurance companies, Medicare and Medicaid are responsible for the payment.
In view of that, it is easier for non – emergency medical transportation service providers to bill their clients based in their discretions. However, in most non – emergency medical transportation service providers adopt the hourly billing cum per visit billing method.
28. Tips for Running a NEMT Business Successfully
Finally, you must bear in mind that you will certainly face competition, as there will be some local businesses around you rendering medical transportation services. So, you will surely face challenges. But you can overcome these challenges by devising strategies for beating the competition.
You might decide to provide discount for the first few orders or multiple trips. If you work diligently and are punctual, polite, and reliable, your business will grow. Some insurance companies will pay for private medical transportation. You can approach such companies and work with them to become an approved medical transportation service provider.
This allows you receive insurance payments for some clients you support, which means the insurance company (and not the client) will pay for your services for these clients. Of course, you will do more transports because more people will use your services if the insurance pays for it.
Know who your competitor is. Call local business and inquire about their practice. Identify their competitions strengths and weaknesses. Call and ask them questions, read on their website if they have one. Do some research on their vehicles and drivers.
Summary
There are several approaches you can use to start a business which provides non-emergency medical transportation to individuals in need, and it is worth comparing how existing businesses have grown over the years.
There are many costs that are worth acknowledging ahead of time so that you can figure out specific details and estimate how much you need to save before setting up your business. Creating an NEMT business allows you to give something back to the local community, and can be highly rewarding.
This is because you can converse with seniors and people living in the area who are at-risk or vulnerable, and learn about some of the limitations that they face every day. It could also be interesting to find common interests and get a different perspective to certain issues within the community.
Make sure you are applying for appropriate insurance, permits, and licensing before taking on clients. This allows you to operate within the law and within the correct tax category. Consider adding certain things to your list of business supplies based on client needs and items that can make trips a little easier.
These include wheelchair ramps, a scheduling system which is easier for seniors to follow and use, and even an office space where clients can call up and schedule a slot. It is worth anticipating some amount of growth within the business, so that you can plan your next moves according to clients and the type of services you want to provide.
Things such as hiring a team of staff, setting up a warehouse for multiple vehicles, and increasing the total area that is covered may need to be reported to your current insurance provider. Check that everything is operating correctly by communicating clearly with all parties involved.