When you’re starting a NEMT business (Non-Emergency Medical Transportation), you will already have an idea of what you’ll need and how to reach out to your target audience. However, whenever you start something new there will inevitably be areas that you forget or haven’t considered.
To make sure these areas are as small as possible, we have created 5 top tips, to help you stay on track.
Ensure Your Legal Status
Depending on the type of NEMT business you have, you’ll need to ensure your legal status matches the role. For example, if your business involves moving blood or organs from one state to another, then you’ll need to ensure your vehicle is signed off as medically approved. The carers of the organs will also need training by a qualified Medicaid provider.
Without those qualifications, your business may not abide by the legal requirements in your state.
Secondly, you’ll need to consider becoming an LLC, partnership, or sole proprietorship.
To make sure that you aren’t crossing any legal barriers, hire a lawyer to go through your business plan and point out any issues you were unaware of.
As your business grows and expands, you should refer back to your lawyer to ensure nothing is missed.
Create A Strong Legal Documentation Filing System
In the NEMT business, you’ll need licensing, legal documents, permits, and certificates for multiple areas of your expertise.
If you are operating between states, you’ll need to ensure your legal requirements match the state you are working in.
Once you’ve spoken to your legal representative, make sure you file your legal documentation both online and physically. Online the filing system should be easier to navigate, but it will be more difficult to keep secure. Be sure to use a highly rated VPN to protect your documents against theft.
For your physical copies, you should organize your documents by location and then need. For example, workers in New York will not require the same legal documents as those in Texas. To make sure you don’t give the wrong training or information to workers in different states, create a filing system that keeps the documentation separate.
Sign Up For Insurance
NEMT businesses will always need some sort of vehicle insurance. If you’re driving disabled people to and from their destination or transporting drugs to pharmacies across the country, a vehicle will always be needed.
However, the insurance should be for your vehicles and as well as your drivers. Without your cars or trucks, your business will fail, so you need an insurance packet that will allow you to hire a replacement should your vehicle become faulty.
You also need to ensure your drivers get the care they need, should they end up in an accident. Without these rare and qualified staff, your business will not function. It is better to keep a well-trained staff member happy and healthy, than allow them to leave giving you no time to rehire.
Be Realistic About The Cost Of Your Business
The average cost of starting a NEMT business is $300,000. However as there are multiple types of NEMT businesses, this number could be dramatically higher than your realistic expectations.
To ensure you create the best estimate, consider the cost of registering your business, renting or buying your facilities, applying for permits and licenses, as well as buying the vehicles you need. You’ll also have to factor in the legal fees of your business, the wages, and bills along with the little purchases such as creating a website.
It can be beneficial to talk to businesses similar to your own, to learn about additional costs you may not have considered.
Network For Clients
If your business involves moving prescription from one store to another, there is no point in creating the trade if no one in your area needs this type of service.
Before you settle on one area or put most of your loan into a specific function, be sure that this job is wanted first.
Alternatively, if you are creating this service due to your own background knowledge and desire, then find a location that needs it the most.
For example, if a rural area receives lots of cancellations for doctor appointments, you may find that the main reason is lack of transport. A disabled appropriate taxi hiring company would find an abundance of clients in this area.
Network to find out what business will do well in which areas, to ensure you start off your company on the right foot.
With these 5 tips, your NEMT business has a higher chance of success!