Medbridge Home Health Service

Medbridge Home Health Service will be offering a unique combination of premier home
health care services to Reno and 30+ miles in surrounding area. Market research indicates that
there is a significant need for quality home health care and social services within this region and
we believe that by employing competent and well-educated staff and providing them with
organized and responsive management, we can become the home health care/social service
agency of choice in Reno.
Business Description
Medbridge Home Health Services is a new Home Health and Social Service agency in its
start-up stages. Our agency will be located in the heart of Reno and will provide the following
services to patients and patients from Carson City, Sparks, and Fernley, – all within a thirty mile
radius of our offices. Medbridge will be offering in home skilled nursing, physical, occupational
and speech therapy if needed, CNA services, social worker as per the patients demand.
Industry analysis
Medbridge Health Homecare Services competes in the healthcare industry, which highly
depends on high expertise by health practitioners and medical specialists. Success factors are
improved patient satisfaction and increased profit gains from the business latest trends in
behavior by patients visiting the website.

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Market analysis
The consumer base for Medbridge Home Health Services will be patients referred by
physicians, health care facilities and other health care professionals. The majority of these
patients will be covered by insurance cover with a smaller portion being insured by Reno area or
other private insurance carriers.
The consumer base for the Personal Injury Case Management component of our business
will be those individuals who have been injured either on the job or in another type of accident.
These referrals will come from attorneys seeking case management services for their patients or
from insurance companies who are requesting assistance in mitigating the injuries and loss the
client suffers.
Marketing plan
The population base in Reno is aging, and more individuals are opting to stay in their own
homes longer and return home following hospitalization, rather than proceeding to a nursing
home. Our primary market segment includes those patients — typically in an older age bracket —
who require health care services by home health nursing staff. These patients may also require
other home health services, such as social work, in order to access needed community resources.
Our plan is to reach out to every hospital, Dr. Office, nursing home, group home and be present.
Competitive Advantage: The key factor considered by both consumers and referring
professionals when purchasing home health care is trust in the professional reputation,
reliability and quality of services provided by the home health Agency. Pricing of home
health services does not usually influence consumers' choices, as most home health services

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are reimbursed by Medbridge Home Health Services and private insurance companies, and
reimbursement rates are set by those entities. Pricing of personal injury case management
services is a more important factor, as these services are paid for as negotiated on a case-by-
case basis at an hourly rate. When pricing personal injury case management services, we will
explain to the client that we estimate the total number of hours needed to complete services
liberally, rather than bidding low and then exceeding the anticipated total bid price for
services.
Consumers of both home health care services and personal injury case management services
rarely compare service providers directly. Usually they follow word-of-mouth
recommendations, especially when those recommendations come from their physicians.
Medbridge Home Health Services LLC is a combined Home Health Care and Social Service
Agency serving the region of Reno. Home health care and social services are typically
utilized by individuals and families, with service referrals coming most often from other
professionals (i.e. physicians, hospitals, attorneys, etc.). There are currently three other
Home Health Agencies serving the same area, but we are unique in that we plan to offer
community-based social services as well as home health care.

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CHAPTER TWO

1. BUSINESS DESCRIPTION
1.1. BACKGROUND INFORMATION

The business is operated and managed by Naomi Cruz and Jeremy Sandefur. A highly
experienced professional with a demonstrated history of success in the health sector having
been a nurse for over 7 years and work in home health and skilled rehab/nursing homes.
Jeremy works for a trucking company as their hostler. He is very good with finances. They
look forward to revamping its health service delivery activities, increase its target patients,
and consequently generate more revenue.
1.2. INVOLVEMENT OF THE COMPANY
The company will be involved in the homecare health care services. This will be done
purposely to transform efficiency, patient satisfaction, growth, and development as well as
improve on service delivery and performance, among other benefits. This will, in return,
improve homecare health services, maximize profits and allowing expansion in the future.
Our target patients will be individuals in and out of Reno and others on a 30 miles radius.
1.3. NATURE OF THE BUSINESS

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The business will run under the management of Naomi Cruz and Jeremy Sandefur because

of the following:
 Demonstrated long term success in the health industry.
 Highly experienced team in financial management, Leadership, and Strategy.
 Decision making for such a business requires high expertise and extensive consultation.
NAME OF THE BUSINESS
The business is called Medbridge Health Homecare Services LLC.
1.4. BUSINESS LOCATION AND ADDRESS
a) Location
Medbridge Health Homecare Services will be located at Reno.
a) Address
The business will operate under the following address
Medbridge Health Homecare Services

Reno.

1.5. COMMENCEMENT OF BUSINESS OPERATIONS

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The management has over 7 years of experience in the health industry and thus will commence
as soon as all plans are complete.
The problem
Health Services is an essential aspect in the community. Being in the medical field, I realize
there is such a need for home health services because of the aging population (Baby Boomerd)
and the fact that insurance companies want to decrease re hospitalization and ER visits.

The solution
Medbridge Health Homecare Services wants to bridge the gap between hospital setting and
homes. Lots of home patients and their families are afraid/hesitant because they don't know how
to help with preventing their loved one from going back to hospital. Some patients don't
understand their medications. Medbridge Health Homecare Services want to help prevent them
from going back or getting worse.
Business rules and regulations
Medbridge Health Homecare Services uses these rules
i. Healthcare service is of priority
ii. Efficiency is key to patient satisfaction
iii. Understanding of the patient is as important as the health of the patient.

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iv. Ensure patient satisfaction by fulfilling their needs and solving their health problems
or offer the best advice.

1.6. INDUSTRY
Medbridge Health Homecare Services falls under healthcare service providers in the health
industry, which is rapidly growing due to the need to increase in diseases through online
platforms and improve customer experience through better service delivery.

Future of the industry
With the increased demand for healthcare providers, the need for extensive health services and
continued patient support especially homecare services for the aged in the society. The health
industry seems to grow also because of the need to be efficient and timely delivery of health
services at the convenience of the patient.
1.7. GROWTH STRATEGY
Industry size, growth rate, and sales projections
Trade size
2020
Industry sales per patient:

$3200

The number of establishments:

N/A
Target patients: 10 per day

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Industry Growth Rate

2017
Industry sales: 5.4%

Industry Projections (Development, 2021)

2021
Industry sales: $11520000
Growth rate: 15%

Summary
Growth is being driven primarily by the availability of patients, increasing satisfaction and
efficient healthcare service delivery. This is achieved through patient home visits, advice and
counselling to the patients through our high experience in the health sector. Due to the increasing
competition in the health industry, most nurses need to understand their patients better. By
introducing, consulting services and carefully listening to our patients before offering diagnosis,
our patients will experience increased better service delivery.
1.8. JUSTIFICATION OF THE BUSINESS
The research carried on the area justify the suitability of the Reno for the intended healthcare
business. This is due to the following reasons;
i. Demand: There is high and on the rising demand for a homecare health services in
Reno, due to its aging dense population.
ii. Increased demand for timely healthcare related needs at the convenience of the
customer.

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2.9.1 Critical Success Factors
The critical success factors in the industry are:
Location: Patients can easily distinguish from other as one at the heart of Reno.
Service factors: One of the primary drivers of excellent service that offers home based health
services at patients’ convenience.
Patient remote support: Our patients enjoy 24/7 customer support to help them do in health
related issues.
Price: Price is a critical factor that patients consider in ascertaining the overall value of an
offering. Understanding what the patient is being asked to forego in exchange for what they get,
is the key to our ability to deliver superior value.

Annual sales and market sales
The following steps will be taken to estimate annual sales.
Step 1: Determine the number of annual patients Medbridge Health Homecare Services will
have.
Medbridge Health Homecare Services target is 9% Reno and 30+ miles radius patients within 12
months of operation.
Step 2: Based on the 9% of patients, what will Medbridge Health Homecare Services’ annual
sale be?
We are projecting 9% growth at the end of 2020, followed by a 15 % growth after that. The
company will generate income in the following way:
Service revenues: Evidence provided earlier states that patients in need of Health Services spend
around $3200 per patient.

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For its first year, Medbridge Health Homecare Services projects it will obtain its 9% of its
patients in the following order:

Month

Number of
patients(%) in
Reno and 30miles
radius

Monthly
expenditure($)

Annual
Projected
Income ($0000)

January 150 50000 48
February 150 50000 48
March 150 50000 48
April 150 50000 48
May 150 50000 48
June 150 50000 48
July 150 50000 48
August 150 50000 48
September 150 50000 48
October 150 50000 48
November 150 50000 48
December 150 50000 48
TOTAL 1800 600000 576

2.9.2 Marketing Objectives

 Establish a strong brand recognition with a cross-cultural approach towards
healthcare services;
 Establish a strong defensive position in the health industry;
 Maintain a high level of patient service excellence

GOALS OF THE BUSINESS
a) Maximize profit and satisfy patients and their needs
b) Win patients loyalty

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a) Provide the best and quality services to our patients
b) To increase company growth by 30%.

CHAPTER THREE

2. MARKETING PLAN
2.1. INTRODUCTION
Marketing our service-oriented business requires establishing a reputation for expertise and
excellence. It starts with our known contacts who are in positions to recommend us and make
referrals to us, and continues with long-term efforts to develop recognition among other
professionals within the homecare and health care and health service fields.
We will develop and maintain a database of our contacts in the field. Naomi Cruz is already
well-known to physicians, other nurses and hospital facilities in our market area, and will work
to maintain those relationships throughout our start-up process. Naomi Cruz will make initial
contacts in the community as she establishes the business entity and provider status with
Medbridge, and local networks. She will then join Jeremy Sandefur in an effort to introduce
Medbridge Home Health Services LLC to area professionals who are potential referral sources.

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Our communications will be professional, as will our marketing tools such as brochures,
business cards, and advertisements.
Marketing area
Marketing areas will be selected according to the availability of patients. For example, since
this Medbridge operates on healthcare service delivery, the targeted market should be the
availability of patients around Reno and 30 miles radius. This will lay the basis for our marketing
initiative.

2.2. COMPETITORS
Some essential competition from the likes of Kindred home health, Alliance, Renown Home
health, takes 60% of the significant healthcare service providers located in Reno and its
surrounding environments and mostly offer their services at relatively costly rates.
To ensure a healthy competition, Medbridge Health Homecare Services will use the following
strategies:
 Offering of aggressive prices, which shall fit with the first-class of the services offered at
the rate of $3200 per patient
 Online support services being available 24/7.
 Maintaining a close relationship.
 Collecting views from patients about their feeling in the direction of the services and if
they need any alternate or help to suit their needs.

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2.3. MARKETING SHARE
Research suggests that competitors take 45% of share in the total market area in Reno.
Medbridge Health Homecare Services looks forward to changing these figures and occupies 35%
in a year with a target market share up to 50% countrywide and above 75% market share in a 30
miles radius from Reno. This can be executed through the right advertising blend, which
includes;
 Flexible pricing of service rates.
 Highly effective service delivery.
 Providing on time responses to our patients demands.
This could be done with the intention of retaining and enhancing market share, assembly
opposition, maximizing income, reaching targets return on investment, and for survival.
(a) Marketing
This can be achieved through creation of online resources that portray the kind of services that
we offer and publishing them across online platforms where there are patients who might need
our services and convincing them that our services are only the great in phrases of rate, choice
and convenience.
(a) Social media marketing
This will involve the sharing of services through different social media platforms to reach more
patients. For example, through Facebook Pages, Twitter and WhatsApp showing our services.
(b) Brand Marketing

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Medbridge Health Homecare Services will contribute to sponsoring related social events to
market our brand and thus increase customer reach for our homebased healthcare services.
It will also provide;
 Excellent customer relations.
 Treat each patient with loyalty.
 Fulfil their requirements through offering advice and guidance courteously and
promptly.

CHAPTER FOUR

3. ORGANIZATION AND MANAGEMENT PLAN
3.1. INTRODUCTION
Five guiding principles support our vision:
o Customer satisfaction: working together for a common cause,
o Teamwork: working together for a common purpose,
o Growth through efficient provision of health services,
o Accountability: delivering on commitment,
o Diversity bridges cultural gaps enhances collective wisdom, and improve reliance, and
o Service and approachability: caring for patients.

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Skill Profile and Gaps in Management Team
The following skill profile depicts the most important skills required at the Medbridge Health
Homecare Services team level of the company and where the gaps exist.

Founder X X
Department 1 X O X X
Department 2 O
X= position filled, O= position vacant
Summary
One significant gaps exist in the management team: the director of H.R./Recruitment. The
H.R./Recruiting is to be outsourced.
Ownership and Compensation

Name Position/Affiliation Base

Compensation %

Personal
Investment in
Company

Founder Co-founder and

CEO $70,000 50% $100,000
C.F.O. CFO $60,000 20% $50,000
Dept. 1 Marketing &

Customer Support $60,000 15% $37,500

Nurses Operations Team &

Relations $60,000 15% $37,500
Total $250,000 $325,000

3.2. PERSONNEL, NUMBER, AND DUTIES
General Advisory Board

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1. Manager
Primary Role: To provide advice for services delivery to increase efficiency.
2. Finance manager
Primary Role: To provide advice on service selection and to help shape Medbridge Health
Homecare Services’ approach towards finances and expenditure in the healthcare industry.
Public Relations
Primary Role: To provide advice on P.R. marketing campaigns and growing patients trust.
Organizational Chart
Medbridge Health Homecare Services wants everyone to play a pivotal role in service delivery.
We intend to remain as customer-centric as possible to hasten the decision-making process and
to react promptly to urgent and emergency calls.
3.3. Operations Plan and Service Development Plan
Introduction
Medbridge Health Homecare Services operating model and procedures for the company:
General Approach to Operations
One of the biggest challenges in operating healthcare service is patients are charged very high
rates. Therefore, both backstage (behind the scenes) and front stage (what the patients
experience) are critical.
Back Stage (Behind the Scenes Operations Activities)

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o Staff Selection: The nurses and support staff will be carefully selected. Along
with the skills they needed to perform their job, team members must be able to
relate to patients in a professional, thoughtful, and caring manner.
o Motivation: Our human resources strategies will strive to create an environment
in which people are comfortable being themselves, information is transparent, and
personal and organizational values are aligned.
o Emergency plans: Emergency action plans, policies, procedures, and processes
will be established and documented in the operations manual.
o Operations Manual: An operation manual will be prepared to document and
articulate the day-to-day operational procedures of the company.
o Code of ethics
o Financial administration manual
Front stage (What the Patients Experience)

 Health specialists: They will be available to answer or fulfill patients' requests and
offer medical consultation services with patient demands.
 Patients Tours: Each weekend, the company will provide a tour to sensitize the
importance of the homecare health services.

Weekly newsletter: A weekly newsletter will be emailed to patients with informative data on
ways they could keep fit and good health practices.
3.4. RECRUITMENT, TRAINING AND PROMOTIONAL PROGRAM

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a) Training
Training will familiarize the personnel with the process and give them all of the important skills
like communique, public relations, and hands-on abilities to have the know-how of excellent
service delivery and enhance teamwork. It may even allow them to:
 Have enthusiasm while dealing with patients.

 Borrow ideas from others.
 Use competitors as their lever

The managers and highly experienced nurses will do this training within select premises. The
employees will also be allowed to attend seminars for better service delivery outside the business
premises.
a) Recruitment
This will be done to identify the right and qualified and registered workforce from the health
industry. It will be done in different ways, like:
 Oral interviewing
 Hands on experience-based
This process is also aimed at improving the productivity and healthcare service delivery.
b) Promotion

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Health workers and any other employee in the company who work hard towards the success of
the company shall be rewarded. An end of year party shall be held on select premises. The best
staff on service delivery and commitment shall be promoted during the event.
3.5. LICENSES AND BI-LAWS
(a) License
Licenses will give authority to operate within the Reno.

(b) Bi-laws
The business will use the following bi-laws during its operations:
High power registered and licensed health stations to ensure a conducive working environment
for excellent service delivery.
3.6. REMUNERATION AND INCENTIVES:
The business shall use the following remunerations:
(a) Working hours
All employees will enjoy flexible working hours and conducive work environment.
(a) Salary schedule:
The salaries shall vary with one's position and responsibilities, as illustrated in the departmental
compensations.
(b) Incentives
The employee shall enjoy the following incentives in the business as a way of motivating them.

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CHAPTER FIVE

4. PRODUCTION AND OPERATIONAL PLAN
4.1. PRODUCTION FACILITIES AND CAPACITIES
I. Capital
The business source of finance will be from:
 Savings
 Owners' equity
 Bank loan

I. Labor
The business has a capacity of about 2 nurses to start and other support staff. They provide
excellent healthcare service delivery, accounting, and marketing services. They also have the
following skill

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 Communication skills to transfer information regarding our services to patients.
 Technical skills. This helps them to know about the health related service.

The business operates in Reno and 30+miles in radius.

II. Technology
Medbridge Health Homecare Services shall use secure and reliable healthcare services platforms
as per the needs of the patients to ensure efficiency and ease their experience effectively.
4.2. PRODUCTION STRATEGY
Medbridge Health Homecare Services shall use production techniques to market its services.
The healthcare service provision practice shall comply with the criteria as proven beneath
1. Determining the service and offerings within which patients will be reached.
2. Determine the importance of the service inside the location
3. Developing a larger picture relating to the patients preferences.

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CHAPTER SIX

5. FINANCIAL PLAN
This includes figuring out the route of action to reap the desired effects. It ensures financial
operations, improves motivation, and helps manage through decreasing uncertainties.
5.1. ASSUMPTIONS
i. Salaries will remain steady for the first three years of operations however will appreciate
yearly via 2% from the fourth year of activity
ii. Healthcare service delivery will appreciate with 10%
5.2. MEDBRIDGE HEALTH HOMECARE SERVICES BALANCE SHEET
Balance Sheet Currency in USD
31/7/2020
100000
60000

As of
Assets
Operating Cash

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00.00
100000
50000

Marketable
Securities
Accounts
Receivable
Inventory
Other Current
Assets
Total Current
Assets

310000

280000
42000

Gross Equipment
Accumulated Depreciation
Net Plant & Equipment 238000
Other Long-Term Assets 167000

Total Long-Term Assets 405000

Total Assets 720000
Liabilities

Accounts Payable

50000
Short-Term Debt 50000
Current Maturities 10000

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Taxes Payable
Other Current Liabilities

5000
40000

Total Current Liabilities 155000
100000
10
60000

Long-Term Debt
Term of Long-Term Debt Years
Other Long-Term Liabilities
Total Long-Term Liabilities 160000

00.00
400000
0
Preferred Stock
Contributed Capital
Retained Earnings
Shareholders' Equity 400000

Total Liabilities and 720000
Shareholders' Equity
Cash Flow Analysis

500000
5%
8%
7%

Capital Expenditures
Interest Income Rate
Interest Expense Rate (Short-Term)
Interest Expense Rate (Long-Term)

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5.3. BREAK-EVEN LEVELS
Particulars 2019(Currency in USD)
Total Sales 33,975.94
Fixed costs
License 1050.00
Insurance 500.00
Loan repayment 300.00
TOTAL 1950.00
Variable costs
Electricity bills 72.00
Cost of purchases 9,954.60
Advertisement 160.00
Salaries 7,680.00
Rent 0.00
Water bills 48.00
TOTAL 17,914.60

TOTAL CONTRIBUTION MARGIN

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=Sales from services – Total variable costs
=33,975.64 – 17914.60
=16,061.04
CONTRIBUTION MARGIN PERCENTAGE
= Contribution margin x 100%
Sales
= 16061.04 x 100
33,975.64
= 47.2722%

Break-even of sales in USD
= Fixed cost x 100%
Contribution margin
= 664.00 x 100%
47.2722%
= 1,404.63

5.4. PROFITABILITY RATIO
Year 1 = Gross profit x 100
=24,021.04/33,975.64 x 100
=70.7%

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5.5. DESIRED FINANCING
Item Amount
Pre – operational cost 0.00
Working capital 60000.00
TOTAL 60000.00

5.6. RETURN ON EQUITY
=Net profit after tax/Owners Equity x 100
Year 1 = 120,021.68/3,000.00 x 100
= 400.07%
RETURN ON INVESTIMENT
=Net Profit after tax /Total Investment x Interest
Year 1= 120,021.68/4,000.00 x 84.00
= 3.02%

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REFERENCES
Adam White (2004) Healthcare Guide – Energizing your potential.
Kotler, P., & Keller, K. L. Marketing Management. New Jersey: Pearson Prentice Hall.
Montreal, V. d. (2014). Profil des districts electoraux de l'arrondissement Cote-Des-
Neiges-Notre-Dame-De-Graces. Montreal: Statistiques Ville de Montreal.
Vroom, V (1964) Homebased Healthcare -Work and Motivation, Wiley, New York

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APPENDIX

MEDBRIDGE HEALTH HOMECARE SERVICES

OPENING TIME: 8.00 am
CLOSING TIME: 6.00 pm