Skip to content

SME Guide

How to Start a Profitable Home Healthcare Agency in Nigeria

Home healthcare involves providing clinical, personal, and supportive care to patients in the comfort of their own homes. As Nigeria’s population ages and the prevalence of chronic diseases increases, the demand for home healthcare services is rapidly rising. Starting a home healthcare agency can be a lucrative business opportunity for entrepreneurs who want to tap into this growing industry.

According to, Nigeria’s home healthcare market is projected to reach $551 million by 2025, driven by an ageing population, a rise in chronic diseases, and a lack of quality healthcare services in rural areas. However, building a successful and compliant home healthcare agency requires proper planning, licensing, staffing, and marketing. This comprehensive guide covers tips and best practices for starting a profitable home healthcare agency in Nigeria.

Step 1: Conduct Market Research

Before launching your home healthcare agency, conduct thorough market research to assess competition, target markets, pricing models, operational costs, and home healthcare industry trends in Nigeria:

  • Look at population demographics and projections for the elderly, which comprises a major target market for home healthcare services. Nigeria’s elderly population is projected to reach 12.7 million by 2050.
  • Research the major chronic diseases like hypertension, diabetes, cancer etc. that require long-term care at home. Over 4 million Nigerians have diabetes while hypertension prevalence is over 30%.
  • Identify your competitors and analyze their services, pricing, target markets, and business models. Top players in Nigeria’s home healthcare space include CarePoint HMO, Halogen Home Healthcare, and Novarick Home Healthcare.
  • Look for gaps and unmet needs in the market that your agency could fill. For instance, rural areas have poor access to home healthcare.
  • Research different revenue models like fee-for-service, long-term care contracts, hourly rates etc. and costs involved in home healthcare service delivery.

Thorough market research will give you insights into Nigeria’s home healthcare landscape and help determine an effective business strategy.

Step 2: Choose a Legal Entity for Your Home Healthcare Agency

You need to choose the right legal structure for your home healthcare agency in Nigeria. Some options include:

  • Sole Proprietorship – This is the easiest and cheapest option, but you will be personally liable for the business.
  • Partnership – You can partner with other professionals in healthcare. This allows pooling resources and skills.
  • Limited Liability Company (LLC) – An LLC separates your personal assets from business liabilities and allows easier transfer of ownership.
  • Private Limited Company – More expensive to set up than sole proprietorship but offers more credibility and corporate structure.

Consider factors like regulations, taxes, liability, ease of setup, and long-term goals before choosing your agency’s legal entity. Many home healthcare agencies in Nigeria start off as sole proprietorships and eventually evolve into private limited companies as they grow.

Step 3: Obtain Required Licenses and Permits

To legally operate your home healthcare agency in Nigeria, you need to obtain the necessary licenses and permits:

Step 4: Obtain Relevant Professional Certifications

Although not mandated by law, getting professional certifications can boost your credibility and expertise in running a home healthcare agency:

  • Become a certified home health aide through the National Association for Home Care & Hospice (NAHC).
  • Get certified in home healthcare management and consulting by the American Board of Quality and Patient Advocacy.
  • Obtain relevant medical certifications if you are a healthcare professional. Nurses can get licensed by the Nursing and Midwifery Council of Nigeria (NMCN).
  • Hire employees like physiotherapists, occupational therapists, and nurses who have the proper professional licenses and qualifications.

Staying updated on industry best practices through regular training and certification ensures high standards of care and professionalism.

Step 5: Develop Your Services Menu

Carefully plan the home healthcare services you want to offer based on your expertise, target market, and capabilities of your agency:

Clinical Services

  • Skilled nursing care
  • Wound care
  • Medication management
  • Physical therapy
  • Occupational therapy
  • Speech therapy
  • Palliative care

Personal Care

  • Bathing
  • Dressing
  • Feeding
  • Toileting
  • Mobility assistance

Home Health Aides

  • Cooking
  • Cleaning
  • Laundry
  • Companionship
  • Errands
  • Transportation

Specialized Care

  • Alzheimer’s and dementia care
  • Post-surgery rehabilitation
  • Chronic disease management
  • Pediatric care
  • Telehealth

Focus on services you can execute with high quality. You can start with basic clinical and personal care services and expand into specialized offerings once established.

Step 6: Obtain Necessary Equipment and Supplies

Equipping your home healthcare agency with the right tools and supplies is essential for service delivery:

  • Medical equipment: Nebulizers, blood pressure monitors, thermometers, first aid kits, glucose meters, mobility aids like wheelchairs, walkers etc.
  • Personal protective equipment (PPE): Face masks, gloves, gowns, shoe covers for infection control.
  • Disinfectants and cleaners: For sanitizing surfaces and medical equipment between home visits.
  • Administrative supplies: Office computers, medical record files, accounting ledgers etc.
  • Transportation: Ambulances or vans to transport caregivers to patient homes or clients to medical appointments.

Evaluate costs and determine the right quantity of supplies to stock up on initially. Provide employees with medical bags containing frequently used supplies. Also, establish protocols for proper equipment use and sanitization.

Step 7: Find and Furnish Your Office Space

To start your home healthcare agency, secure:

  • Registered office: Small space to register your company for official/legal purposes
  • Operational office: Larger facility for day-to-day administration, staff training, and storing supplies and equipment. Should be in a safe, accessible location.

Furnish your office with:

  • Patient reception and waiting area
  • Private consultation rooms
  • Training/conference room for employees
  • Storage for medical equipment, devices, PPEs
  • Billing, document processing, and telephonic communication infrastructure
  • Server room and computer workstations
  • Pantry area for staff
  • Restrooms

Proper office space, layout, and infrastructure provides your staff and patients a professional workplace.

Step 8: Recruit and Train Your Caregivers

Recruiting skilled, qualified, and compassionate caregivers is key for building a top-notch home healthcare team:

  • Nurses: Registered nurses (RN) and licensed practical nurses (LPN) to provide skilled clinical care.
  • Physical therapists: Help patients regain mobility and manage conditions like arthritis, and injuries.
  • Home health aides: Assist with personal care like bathing, and running errands. Require minimum HSC qualification.
  • Administrators: Manage day-to-day operations, scheduling, supplies ordering, payroll etc.
  • Drivers: Transport caregivers and clients if providing non-emergency medical transport (NEMT) services.

Thoroughly screen candidates for proper qualifications, experience, licensing, communication skills and compassion for patients.

Conduct extensive training on:

  • Company protocols, documentation, ethics
  • Use of medical equipment, administering medications
  • Infection control and safety
  • Communicating with patients and families
  • Proper patient handling and transfers
  • Maintaining patient privacy and records confidentiality

Proper recruitment, screening, training, and oversight ensure your patients receive high-quality care.

Step 9: Set Your Rates and Payment Options

Pricing your home healthcare services competitively is important to attract clients while generating profit:

  • Research competitors’ rates in surrounding areas for comparable services. Avoid severe undercutting or overpricing.
  • Factor in operational costs like staff salaries, supplies, equipment, rent, insurance, utilities and taxes.
  • Bill higher rates for skilled clinical services like nursing care compared to basic personal care.
  • Offer packaged full-time care options at discounted monthly rates for long-term patients.
  • Set hourly rates for home health aides – average hourly rates range from ₦2000-₦5000.
  • Charge extra for weekend, overnight or holiday care.
  • Have tiered rates for basic care vs. care of patients with complex medical needs.

Provide multiple payment options:

  • Direct payment by patients/families
  • Accept payment from health insurance and HMOs
  • Set up payment plans, instalment options

Be transparent about your rates by providing a rate card. Update your pricing annually as costs change.

Step 10: Create Your Brand Identity

Creating a strong brand identity helps you stand out from competitors and build customer loyalty:

Company Name

  • Make it unique, memorable, and reflective of the quality in-home care you provide.


  • Visual identity representing your brand. Can depict caregiving or incorporate your company name.


  • Short phrase describing your commitment to patients. E.g. “Quality Care. At Home.”


  • Hire a web designer to create a user-friendly site with all details of your services, rates, staff etc.

Promotional Materials

  • Business cards, brochures, flyers, uniforms, car stickers to market your agency.

A consistent brand image across your physical and online presence generates brand recognition.

Step 11: Market and Promote Your Services

Implement diverse strategies to promote your home healthcare services:

Online Marketing

  • SEO to improve website visibility on search engines.
  • Google Ads campaigns to target users searching for home healthcare.
  • Promote your agency on Facebook, Instagram, Twitter, etc.
  • List your agency on home healthcare directories and marketplaces.

Print Advertising

  • Place ads in local newspapers, magazines, and community circulars.
  • Distribute brochures, and flyers in high foot traffic areas like clinics, pharmacies, and places of worship.

Networking and Referrals

  • Partner with hospitals, clinics, hospice centres, and senior living communities to get referrals. Offer co-branded materials.
  • Attend community and networking events to meet potential customers.
  • Request customers to refer family and friends. Offer referral rewards.

Direct Outreach

  • Visit nursing homes, and retirement communities to educate on your services. Offer talks at local senior centres and places of worship.

A mix of online and offline marketing activities helps acquire and retain home healthcare clients.

Step 12: Develop Operations Protocols and Care Plans

Establish standard operating protocols (SOPs) to ensure quality, efficiency and compliance:

  • Caregiver onboarding and training
  • Scheduling visits and caregiver assignments
  • Timekeeping, overtime and leave policies
  • Supply and equipment maintenance
  • Medical waste disposal
  • Infection control and safety
  • Patient data privacy
  • Coordinating care with doctors and facilities
  • 24/7 on-call clinical support
  • Maintaining and storing patient records
  • Payment collection procedures
  • Quality assurance

For each patient, create a customized care plan based on:

  • Health assessment
  • Medical history
  • Physician’s treatment plan
  • Goals and outcomes
  • Home environment
  • Family participation
  • Safety needs

Update care plans continuously based on the patient’s evolving condition.

Step 13: Manage Billing, Finances and Insurance

Leverage technology and best practices to effectively track billing and finances:

  • Use practice management software like Simple Therapy to schedule visits, manage patient details, and bill payers.
  • Keep accurate attendance logs of caregiver visits to bill for services accurately. Have patients/families sign off on completed visits.
  • Send invoices promptly and follow up on unpaid bills. Provide payment plan options if needed.
  • Develop relationships with health insurance providers and HMOs to become an approved service provider, making reimbursement paperwork smoother.
  • Accept payments via bank transfers, credit cards, mobile money apps, and other convenient options.
  • Work with an accountant to manage payroll, taxes, budgets, cash flow statements, and financial compliance.
  • Secure adequate insurance like malpractice insurance, commercial liability, workers’ compensation, and property insurance.

Financially managing the backend well ensures the business stays profitable.

Step 14: Create and Maintain Patient Records

Maintaining proper patient records is a legal requirement and vital for continuity of care:

  • Create electronic health records or well-organized physical files for each patient with:
    • Contact information
    • Medical history
    • Health assessments and progress notes
    • Care plans
    • Doctor’s orders and instructions
    • Medication and allergy information
    • Billing/payment details
    • Consent forms
  • Update records after every caregiver visit. Use the SOAP format – Subjective observations, Objective assessments, Assessment or diagnosis, Plan of care.
  • Allow caregivers access to only necessary patient information to protect privacy.
  • Securely store records and backups to prevent unauthorized access or data loss.
  • Safely dispose of records after mandated duration post discharge.

Thorough recordkeeping demonstrates quality care while meeting legal responsibilities.

Step 15: Provide Employee Benefits

Offer comprehensive benefits to attract and retain talented caregivers:

  • Competitive salaries and annual raises to match industry standards
  • Performance bonuses and profit sharing
  • Healthcare coverage and disability insurance
  • Retirement benefits
  • Paid time off and maternity/paternity leave
  • Professional development and continuing education
  • Employee recognition programs
  • Safe, harassment-free work environment
  • Subsidized or free meals
  • Work flexibility and appropriate schedules

Investing in your employees helps minimize turnover and boost productivity.

Step 16: Focus on Patient Satisfaction and Safety

Prioritize patient wellbeing, comfort, and safety at all times:

  • Screen caregivers thoroughly prior to hiring and conduct background checks.
  • Train staff on respecting patient rights and dignity. Do not discriminate.
  • Clearly explain treatments to patients and obtain their consent.
  • Monitor and promptly address patient complaints.
  • Adjust care plans based on changing patient needs.
  • Maintain rigorous sanitization protocols and provide appropriate PPE.
  • Continuously evaluate quality of care and patient outcomes.
  • Implement technologies like telehealth and mHealth apps to improve care engagement.

Patient satisfaction should be the cornerstone of your home healthcare agency.

Step 17: Stay Compliant with Regulations

Keep up-to-date on all relevant regulations for home healthcare agencies in Nigeria:

  • Renew all business licenses and permits annually.
  • Strictly follow National Health Insurance Scheme (NHIS) guidelines if accredited under the scheme.
  • Maintain high standards of hygiene, safety, and patient privacy as mandated by law.
  • Adhere to HEFAMAA and other regulatory inspection and audit requirements.
  • Renew caregiver certifications and licenses periodically.
  • Provide staff training on compliance procedures. Keep detailed compliance documentation.
  • Stay current on legal requirements like minimum wage, labour laws, and tax obligations.
  • Have clear policies and infrastructure to secure patient data privacy as per the Nigeria Data Protection Regulation (NDPR).

Non-compliance can lead to penalties or shutdown of your home healthcare agency.

Step 18: Develop Strategic Partnerships

Partner with other players across the healthcare ecosystem to expand your reach:

  • Hospitals and clinics – To receive referrals for post-discharge care and care coordination.
  • Insurers and HMOs – To provide services to their insured members and get added credibility.
  • Pharmacies – For easier medication access and delivery for homebound patients.
  • Senior living communities – Offer on-site care to their residents. Conduct educational seminars.
  • Medical equipment suppliers – To purchase or rent required equipment for patients. Negotiate discounts on bulk supplies.
  • Telehealth platforms – Joint service offerings combining home visits and virtual care.
  • Staffing agencies – To access qualified nurses, therapists, or health aides for temporary or full-time hiring.

Step 19: Leverage Technology

Adopt relevant technologies to enhance your home healthcare operations:

  • Electronic health records (EHR) software – For digital documentation and seamless data access. Integrate with billing software.
  • Remote patient monitoring – Capture health data like blood pressure, and glucose levels remotely through connected devices.
  • Mobile apps – Provide care reminders, medication tracking, and video calls with caregivers.
  • Scheduling apps – Automate visit scheduling, caregiver assignment, and GPS tracking.
  • Online payroll – Streamline salary payment for employees. Integrate with attendance tracking.
  • Telehealth – Enable video consultations when in-person visits are not needed.
  • Digital marketing platforms – Email marketing, social media management, SEO, and analytics.

Technology improves productivity, information access, care coordination, and patient engagement.

Step 20: Plan for Growth and Expansion

Once your home healthcare agency gains traction, have a roadmap for scale and expansion:

  • Expand to new geographical locations and open branch offices.
  • Launch new speciality services like palliative care, pediatric care etc.
  • Partner with hospitals and insurers outside your existing network.
  • Recruit more field staff to serve the increased patient load.
  • Invest in advanced medical equipment and mobile technologies.
  • Increase marketing spend to acquire more customers.
  • Consider expanding into related healthcare services like telehealth, primary care clinics, or occupational therapy centres.
  • Evaluate mergers and acquisitions if other home healthcare providers in your market are up for sale.

Sustainable growth helps build your brand across Nigeria’s healthcare sector.


Launching a successful, compliant, and profitable home healthcare agency requires meticulous planning and preparation across clinical, operational, financial, regulatory, and customer service spheres. Focus on hiring the right staff, delivering compassionate person-centered care, and leveraging technology to drive efficiency. Keep customer satisfaction at the heart of your agency. With proper research, licensing, quality standards and sound business management, your home healthcare venture can provide rewarding careers while filling a vital need in Nigeria’s healthcare ecosystem.


5 thoughts on “How to Start a Profitable Home Healthcare Agency in Nigeria”

  1. Pingback: 100 Profitable Business Ideas to Start in Nigeria - SME Guide

    1. Yes, you will need to contact the appropriate government agency in Nigeria before setting up a care home service for the elders. The specific agency will depend on the state or city in which you plan to operate your care home, but it is likely to be the Ministry of Health or a similar organization. They will be able to provide you with the necessary information and requirements for setting up a care home service for the elders in your area.

    1. It is highly recommended to consult with local government and licensing agencies before setting up a home care agency. Some states and countries have regulations that require licenses or certifications to operate a home care agency. Therefore, it is essential to understand the laws and regulations governing home care agencies in your location before starting an agency that provides in-home care services to clients. This will ensure that you are operating within the legal framework and taking the necessary measures to provide safe and effective care to clients.

Leave a Reply

Your email address will not be published. Required fields are marked *