Healthcare spending in the United States is already nearing $3 trillion and is anticipated to reach $6 trillion by 2027. As a result, any career in the healthcare industry, especially those that are related to it, is a safe bet. This is where paratransit services can be a profitable business venture.
What is, however, paratransit? What exactly is paratransit?
It’s basically a fancy name for transportation for the elderly or medical people with mobility difficulties. It entails providing transportation to and from healthcare logistics companies and centers for the sick, old, and crippled, and it may be a pleasant and profitable business venture.
If you’re considering about launching a paratransit service, we’ve put together a list of nine things to consider before getting started.
1. Select the Best Location
It’s critical to choose the optimal site for a paratransit company. It may be difficult for your firm to take off if you live in a region with low healthcare demand or a high share of transportation services.
Demographics are therefore crucial. Do your homework and look up the statistics on aging demographics in your area. In densely populated locations, such as large cities and metropolitan areas, these should be easy to come by.
Then you’ll need to compile a list of nearby medical facilities. Hospitals, hospices, dialysis centers, nursing homes, orthopedic centers, physical therapy centers, retirement homes, and other medical and care facilities are included in this category. Make contact with them as well to find out what kind of transportation assistance these facilities require.
2. Select the Appropriate Legal Structure
Legal issues are the least pleasurable aspect of any company’s operations. Nonetheless, it’s an unavoidable evil, so you’ll need to think carefully about the legal framework for your non-emergency medical transportation (NEMT) company.
So take the time to research different business forms and choose the one that is suitable for you. You have the option of forming a sole proprietorship, a partnership, or an LLC (limited liability company).
Remember to think about your company’s future. Although a given legal structure may be appropriate for your firm at first, it may not be appropriate as your company expands.
So think ahead and establish a legal structure that suits your needs.
3. Organize your licensing
Obviously, if you wish to run a paratransit system, you’ll need the necessary licensing and legal paperwork. The good news is that paratransit services don’t necessitate any particular permits or documentation beyond those required to operate a business.
So you’ll need a business license to operate a NEMT business in your location. However, you’ll need to undertake some study to ensure that operating a paratransit system in your state or city does not require any additional licensing.
4. Obtain the Required Equipment
It’s critical to choose the correct cars and equipment if you plan to operate a transportation service, especially one that caters to passengers with specific requirements.
The majority of paratransit programs begin with one or two vans. Naturally, this is dependent on the resources you have available when establishing your firm and the number of passengers you anticipate.
Above all, you must obtain the essential accessibility equipment, which includes:
A good lift for your passengers, such as the BraunAbility workhorse known as the Century 2 Wheelchair Lift and Millennium 2 Wheelchair Lift, or the stackable Vista 2 Wheelchair Lift, is a necessary; or
A good, foldable power wheelchair ramp, such as BraunAbility’s RA300 Power Wheelchair Ramp or RA400 Wheelchair Ramp, would be an excellent alternative.
5. Don’t Forget About These Other Resources
While you’re out getting your gear, don’t forget about your other supplies.
This is the sort of thing that happens in every firm. You’ll need computers, a phone system or a work cellphone, and presumably billing and other financial tools whether you work from home or in an office building.
A coffeemaker and a comfortable chair wouldn’t hurt, either.
6. Look for the Best Insurance
In order to operate a paratransit system, you’ll need the right insurance, just like you’ll need the right legal structure and certification.
To insure your automobiles, you’ll obviously need to obtain auto insurance. This is merely the legal minimum to operate any car, and it’s no different than any other auto insurance coverage you’ve ever dealt with.
You’ll also need general liability insurance to protect yourself in the event of an accident while transporting your passengers in your vehicle.
7. Create a service schedule.
This is entirely dependent on your company’s requirements. You can choose your own hours as an owner-operator, but paratransit services normally follow regular business hours.
Of course, you’ll need to figure out exactly what services you want to provide. For example, to keep expenses low and increase passenger volume, you may simply wish to provide transportation from one specific area to another.
However, as your company expands, it may be advantageous to branch out and offer additional services. This could happen naturally as you gain confidence and experience, by adding more routes and services.
8. Decide on a price point
This is another variable that is affected by local conditions. Most paratransit services charge between $20 and $60 per hour, however pricing is determined by factors such as competitive pricing, fuel and staffing costs, vehicle and equipment upkeep, and so on.
Remember that your payments may come from a variety of places. You may need to bill the hospitals and other facilities you work with, or you may need to work out a payment plan with organizations like Medicare.
Sure, it’s a pain in the neck, but figuring out your payment methods and pricing schedules is just one of the many enjoyable aspects of running your own paratransit service.
9. Promote Your Paratransit Service
Obviously, this is a critical component of your company’s success. You must spread the word, which requires finding a technique to publicize your company:
- Use the internet to promote yourself;
- Make some business cards and hand them out around town;
- Make some posters and booklets and distribute them where you believe potential clients will notice them;
- Ask local healthcare facilities if they can use your services or if you can leave your advertisements with them.
- Use These Pointers to Get Started with Paratransit Services
If you want to create a paratransit firm, you need follow these guidelines. Some are rather fundamental and applicable to all new enterprises, while others are more specialized to the NEMT industry.