Thinking about starting a home care business? You’re on the right track. Demand for in-home care is booming as more families look for trusted help to support their loved ones.
According to Fortune Business Insights, the U.S. home healthcare market is expected to hit $176.30 billion by 2032—up from $100.95 billion in 2024. That’s a massive opportunity for dedicated caregivers who want more control over their schedules and careers.
Of course, passion alone isn’t enough to launch a business. You’ll need gear, supplies, a vehicle, licensing, insurance, and a little cushion while building your client base. If money’s already tight, it can feel impossible to get started.
With the proper planning and access to working capital for home care providers, it’s possible to grow your caregiving hustle into a real business, without drowning in stress or debt.
What Services Do Home Care Businesses Provide?
If you're thinking about starting a home care business, one of your first questions might be: What exactly will I do? Home care is about helping people live safely and comfortably at home, especially seniors, people recovering from surgery, or anyone managing a long-term condition.
Services can vary, but most fall into two categories: medical and non-medical (assistive) care.
Professional caregivers visit clients in their homes to provide support that keeps them independent, reduces hospital visits, and improves overall quality of life. It's important work, and the demand is growing fast as more people choose to age at home instead of in a facility.
Medical vs. Non-Medical Home Care Business
When it comes to running a home care business, one of the first decisions you’ll need to make is whether you’ll focus on medical or non-medical services—or maybe even both. Each comes with its own responsibilities, certifications, and types of clients, so let’s break it down.
One of the first decisions you'll make is choosing the type of care your business will focus on. Each path has different requirements, licenses, and client needs.
Medical Home Care
This type of care involves skilled healthcare services delivered by licensed professionals like nurses or physical therapists. It can include:
- Wound care
- Administering IVs
- Monitoring chronic conditions
- Post-surgery recovery support
Clients often come from hospital referrals or have serious conditions that require regular medical attention.
Non-Medical Home Care
This is where many new home care businesses start. It focuses on everyday help and companionship—no medical license required. Services often include:
- Help with bathing, dressing, and grooming
- Meal prep and light housekeeping
- Medication reminders
- Running errands or providing transportation
- Social interaction and emotional support
You might also go for walks, play games, or help clients stay in touch with loved ones. It’s meaningful, people-first work that makes a big impact.
What are the Startup Costs for Home Care Agencies
While every startup is a little different, most home care agencies must account for seven main expense categories: staffing, office setup, marketing, insurance, licensing, legal help, and some cushion cash for those early months.
Let’s take a closer look at what each of those involves.
1. Staffing and Recruitment
You’ll need to recruit skilled, trustworthy individuals who truly care about helping others. This could mean certified nursing assistants, licensed practical nurses, or just dependable, compassionate caregivers, depending on the services you’ll offer. Even if you’re planning to wear a few hats yourself at the beginning, you may eventually need help with scheduling, payroll, client management, and more.
2. Office Space and Equipment
You might start from home, but setting up a dedicated office can give your business a more professional feel and help keep things running smoothly. It’s where you’ll handle paperwork, hold meetings, and possibly train staff.
Office setup costs include rent, desks, chairs, computers, phones, printers, software, and everyday supplies. Don’t forget the extras—like signage, internet, utilities, and even business cards or a coffee setup for your team. Those small expenses add up quickly, so it’s worth planning for them early on.
3. Marketing and Advertising
Great service won’t get far if no one knows you exist. You’ll need to market your business: build a brand, create a website, print brochures, and possibly run ads to bring in your first clients.
Some business owners start simple, like word-of-mouth, flyers, or posting on local Facebook groups. Others invest early in SEO, Google ads, radio spots, or local newspaper features. Your approach (and budget) will depend on how quickly you want to grow and how competitive your market is.
4. Insurance
In a home care business. You're responsible for clients, employees, and your operations, so having the right coverage protects you from unexpected costs and legal issues.
Most businesses need general liability and property insurance. If you hire staff, workers’ compensation is typically required. Depending on your services, professional liability insurance may also be necessary. Coverage requirements vary by state, so check what applies in your area.
5. Licensing and Permits
Each state has its own rules for home care businesses. Some require minimal paperwork, while others have strict licensing processes, background checks, and application fees.
Start by checking with your state’s health department or small business office to understand exactly what’s needed. Getting this step right from the beginning can save you a lot of time and stress later on.
6. Legal and Professional Services
Starting a business involves a lot of moving parts—choosing a business structure, writing contracts, handling taxes, and staying compliant. It’s often worth hiring an attorney, accountant, or consultant to help you get it right.
While it may feel like an extra cost, professional advice early on can help you avoid expensive mistakes down the road.
7. Extra Funds for the First Few Months
Even if you have clients ready to go, most home care businesses don’t turn a profit right away. It’s a good idea to have a financial cushion to cover early expenses like payroll, rent, and software while things ramp up.
The exact amount depends on your growth pace and how lean you operate, but planning ahead can keep your business running smoothly during those crucial first months.
Funding Options You Can Choose From
You’ve got the passion and the plan—now it’s time to find the funds to bring your home care business to life. Fortunately, you’ve got plenty of options.
Here’s a look at a few common ways to get started so you can figure out what fits your situation best.
Family and Friends
If the people in your life believe in what you’re building, they may be open to helping, whether as a short-term loan for in-home caregivers or a small investment in your home care startup.
You’ll likely get more flexible terms than you would from a traditional lender. No sky-high interest rates, and probably a lot less paperwork. In many cases, it’s all based on trust, which can be a huge help when you’re trying to launch without piling on debt.
Of course, it’s not without risks. If things don’t go as planned or you hit a rough patch, it could strain your relationships. That’s why it’s smart to put agreements in writing, be upfront about repayment plans, and treat it like a real business deal—even if it's coming from someone who used to pack your school lunch.
Pros:
- Low or no interest.
- Flexible repayment terms.
- Backing from people who believe in you.
Cons:
- Risk of straining personal relationships.
- Lack of formal legal protection (if not documented properly).
- May not provide enough funds for full startup costs.
SBA-Backed Loans
SBA loans are backed by the U.S. Small Business Administration, which helps reduce the risk for lenders. That means you can often get better terms, like lower interest rates, smaller down payments, and longer repayment periods. Loan amounts can range from $500 to $5.5 million, depending on the specific SBA program and your business needs.
Sounds great, right? It is—but there’s a catch.
SBA loans take time. The application process can be lengthy and requires a lot of paperwork. Most of the time, you’ll also need to offer collateral. So while the rates and terms are hard to beat, this option isn’t ideal if you need fast funding.
Pros:
- Participating lenders have competitive rates and low fees and follow federal rules.
- Longer repayment terms of up to 25 years in some cases.
- Access to large loan amounts for bigger business goals.
Cons:
- The application process can be time-consuming and document-heavy.
- Strict eligibility requirements (especially for larger loans).
- It may require some form of collateral.
- It can take weeks—or even months—to receive funding.
Business Line of Credit
A business line of credit gives you access to a set amount of money—and you can tap into it whenever you need. You’ll only pay interest on the amount you use, not the full credit limit.
It’s a flexible option that works kind of like a credit card for your business. You can borrow, repay, and reuse the funds, as long as you stay within your limit and make your payments on time. It’s a great fit for covering unexpected costs or managing cash flow between client payments.
Pros:
- Use the funds for any business expense, from supplies to surprise bills.
- Only pay interest on the money you actually borrow.
- Some credit lines don’t require any collateral (aka, they’re unsecured).
- Reusable — once you pay it back, you can borrow again.
Cons:
- Credit limits are usually lower than business loans.
- Some lenders charge extra fees, like annual fees or inactivity fees.
- Interest rates can be higher if your credit isn’t great.
- May require a personal guarantee or Uniform Commercial Code (UCC) lien.
Business Loan
A business loan is a lump sum of money you get from a lender, and you pay it back over time usually with interest.
Business loans are a great option when you have a specific goal in mind, like opening a second location, buying a company vehicle, upgrading your equipment, or expanding your team. Since the funds come to you all at once, you’ve got everything you need right from the start to move forward confidently with your plan. Meanwhile, the repayment terms and interest rates will vary depending on the lender, your credit, and how much you borrow.
Pros:
- You’ll usually be able to borrow more money compared to a line of credit.
- You get the full amount upfront, which is helpful if your expenses are time-sensitive or large.
- Fixed payments can help with budgeting and planning.
Cons:
- You might need to put up collateral like property, equipment, or even your business assets.
- Some loans come with restrictions; for example, if it’s an equipment loan, you can’t use it for payroll or marketing.
- Approval might take time, and the paperwork can be a bit intense.
Merchant Cash Advance
A merchant cash advance (MCA) is not a traditional loan. It gives you a lump sum of money upfront in exchange for a portion of your future sales.
How it works is that an MCA provider gives your business funding. Then, instead of fixed monthly payments, they take a cut of your daily or weekly sales until you’ve paid back the full amount plus fees. The faster your sales, the quicker you repay. Some MCAs also pull fixed payments straight from your bank account daily or weekly, which can be helpful if you don’t rely heavily on card transactions.
Pros:
- You could get approved and funded in as little as one day, making it a quick loan option for home health aides.
- Even if your credit isn’t great or you’re a newer business, MCAs are still an option.
- Payments flex with your business. If sales slow down, so do your payments.
- Doesn’t usually require physical collateral.
Cons:
- MCA fees can be sky-high, with Annual Percentage Rates (APRs) climbing into triple digits.
- Daily or weekly withdrawals can drain your cash flow fast.
- MCA terms can be confusing, and you won’t always know the true cost upfront.
- You’ll owe the same amount in fees no matter how quickly you repay; therefore paying early has no benefit whatsoever.
- These aren’t federally regulated, so some providers play by their own rules.
Giggle Finance
Freelance caregivers or small home care owners face challenges when it comes to managing cash flow. The freedom to work for yourself is amazing, but it often means waiting for client payments that can be delayed, leaving you searching for cash in the meantime.
Our cash advance service is designed to give you immediate access to funds, so you don't have to worry about cash flow gaps while waiting for clients to pay.
With Giggle Finance, you can get up to $10,000 to cover those unexpected expenses and even up to $20,000 if you reapply. We understand the ups and downs of freelance life, and we’re here to help when you need it most.
Why Choose Giggle Finance for Your Freelance Cash Advance?
At Giggle Finance, we know that time is money, and you need quick access to funds without the extra stress. That’s why we offer easy access to cash advances for freelance caregivers and small home care businesses with all the features that make it simple for you to get back on track.
Here are just a few reasons to choose us:
Simple Application Process
Getting same-day funding for home healthcare businesses and freelancers from Giggle Finance is super easy. All you need to do is fill out an application form and verify your bank details, and you’re good to go!
Fast Release of Funds
Once you’ve completed your application, we won’t keep you waiting. Funds are typically released in minutes, which is fast enough to handle any urgent expense.
No Credit Requirements
No credit? No problem! Whether you’ve had credit issues in the past or you’re just starting out, you can still qualify!
No Hidden Fees
We’re all about transparency. You won’t be hit with surprise fees or extra charges. What you see is what you get with Giggle Finance.
Instant Cash Transfer
Get your funds fast, directly to your debit card or bank account. There’s no need for you to deposit the money yourself.
Fully Secure Platform
We take your privacy seriously. Giggle Finance provides a secure, easy-to-use platform that keeps your information safe.
Flexible Repayment Options
Life doesn’t always go as planned, and we get that. That’s why we offer flexible repayment schedules, so you can pay back your cash advance in a way that fits your finances.
Don’t let cash flow worries hold you back from doing what you do best. Apply now and experience the difference that a hassle-free cash advance can make!
How to Kickstart Your Home Care Business After Funding
Securing funding is a major milestone—but it’s just the beginning. Now it’s time to put that money to work and start building a business that runs smoothly and stands out.
Success doesn’t happen overnight. Start with clear steps, stay focused on your goals, and use strategies that help you grow without burning out.
1. Build a Marketing Plan That Works
Before you start taking on clients, it's essential to develop a clear marketing game plan. This will serve as your compass, always keeping you in the right direction. Your plan should cover:
- Who are you helping?
Are you focused on seniors, post-op recovery, or clients with disabilities? Define your audience so your messaging is clear. - What makes you different?
Maybe it’s your specialized training, bilingual support, or flexible scheduling. Identify your unique edge. - What do you want to achieve?
Set clear goals, like “Get 10 clients in the first three months” or “Build partnerships with two hospitals by year-end.”
Once you have these pieces in place, your marketing will feel more focused and a lot less overwhelming.
Know Your Market Inside and Out
Doing some homework on your local market can go a long way. Take the time to research:
- Other Home Care Providers in Your Area
What are they offering? What can you do better? - Community Needs
Are there gaps in care services in certain neighborhoods or for specific types of patients? - Pricing Trends
What do others charge, and how can you remain competitive while offering top-notch service?
You’ll gather insights that help you shape your services and pricing, and you’ll feel more confident when it’s time to talk to clients.
Make Sure Your Goals and Actions Match Up
When you’re busy running the show, it’s easy to get caught up in daily tasks and lose sight of your bigger goals. However, one thing successful business owners do well is make sure their efforts line up with what they’re trying to achieve.
For example, if your goal is to attract private-pay clients, your marketing should speak directly to their needs, like personalized messaging and clear service benefits. If you're aiming to build partnerships with hospitals, spend time networking with healthcare professionals and showing how your services can support patient care.
Your time and energy are limited—use them where they matter most.
Build a Strong Online Presence
If people can’t find you online, you’re missing out. Even if your service is excellent, visibility is key.
Here’s where to start:
- Create a simple, professional website with your services, contact info, and testimonials.
- Set up your Google business profile via Google My Business so you show up in local search results and on Google Maps.
- Get on social media—Facebook is great for reaching adult children looking for care for their parents, while LinkedIn can help with professional networking.
If you don’t know where to begin, use some of your funding to hire a freelancer to help you get set up.
Go Digital with Your Marketing
Now that your online presence is growing, it's time to ramp it up with digital marketing tactics. You don’t need to spend a fortune to get results; you need to be smart with your strategy.
- Google Ads
These help you appear when someone searches for “home care near me.” You can target local areas and even specific keywords to reach the right people. - Facebook Ads
These are perfect for building awareness and promoting specific services like respite care or overnight caregiving. Plus, they’re easy to run on a small budget. - Email Marketing
Start building an email list early, even if it’s just past clients or interested families. Send helpful tips, updates, and check-ins. It keeps you top of mind. - Search Engine Optimization (SEO)
Make sure your website uses keywords people search for, like “affordable home care” or “in-home senior support.” It’ll help more people find you organically.
Build Strong Referral Relationships
Word of mouth is everything in the home care industry. One of the best ways to grow is by connecting with professionals who can refer clients to you.
This includes:
- Doctors and nurses
- Discharge planners at hospitals
- Physical therapists
- Social workers
- Senior centers and community health agencies
Start small: introduce yourself, offer to send brochures, or even drop off some healthy snacks with your business cards. The goal is to build trust and be top-of-mind when someone needs a reliable care provider.
Show Up in Your Community
While online marketing is great, being present in your community can be just as powerful.
- Attend local health fairs and senior expos.
- Join your local chamber of commerce.
- Host free workshops on caregiving or wellness.
- Sponsor or volunteer at community events.
These face-to-face moments help people remember your name and show that you’re more than just a business. You're part of the community, and you care.
Use Technology to Work Smarter, Not Harder
Running a home care agency involves a lot of moving parts: clients, caregivers, schedules, billing, and the list goes on. Fortunately, technology can make it all a whole lot easier.
Here’s what to look for:
- Home Care Management Software
These tools help with scheduling, tracking caregiver hours, managing client files, and more. - Client Relationship Management (CRM) ToolsUse these to manage your leads, referral sources, and follow-ups so nothing slips through the cracks.
- Automation ToolsSchedule social media posts, automate email campaigns, or use templates for routine client updates.
Doing at least one of these with your admin work can help you have more time and energy to focus on delivering excellent care.
Building a Business That Cares
Getting funding is only the beginning. The next steps—like building a clear marketing plan, understanding your audience, and connecting with your local community—will shape your business for the long run.
Focus on the essentials: learn your market, strengthen your online presence, and build professional relationships that open doors. These efforts help you build credibility, attract clients, and grow a business that delivers real value.
Now, if you're thinking, “This all sounds great, but I might need some extra financial breathing room,” you can rely on Giggle Finance! We make it easy to access quick, flexible funding so you can keep your home care business moving forward.
Apply now with Giggle Finance and take the next big step toward building the home care agency you’ve always envisioned.
Disclaimer: Giggle Finance provides Revenue-Based Financing programs for business purposes only. Any mention of any loan product(s), consumer product(s), or other forms of financing is solely for marketing and educational content purposes and to help distinguish Giggle Finance’s product from other comparable financing options available in the market.