| Buying a Business Case Study
| Age: | 36 | | When: | October 2005 | | Total spent: | £410k | | CV: | Always worked in the healthcare industry. Has an MA in psychiatry and has worked as a psychologist. After his initial training in Holland he has travelled the world in his profession, including work on a voluntary project in Thailand, setting up a day centre for people with autism. | | Key advice: | “Never be shy to ask questions, speak to as many people as you can and be as adaptable as possible.” |
Ron Snijders has spent most of his life providing care for others. So when the opportunity to buy and manage a care home cropped up, there was never any doubt as to whether he would snap it up. After all, he relishes the job because it is one of his passions as well as his chosen career. And, given only the most heartless would downgrade a relative's standard of care before foresaking their car or holiday abroad, it's a recession-proof business. His care home, The Villas, is a private home for people with learning disabilities. It houses a maximum of eight people and organises activities and outings, and provides independent living training. After working for years for other people what finally made him make the leap into ownership? “A bit of arrogance really!” he admits. “After working for many companies over the years, I thought I could do better myself. “Often patients get sucked up in large corporate care homes and I thought I could improve on that. “My mother was a nurse and my grandmother owned residential homes, so it is a great passion of mine and has been for much of my life. Inspired by peer “One of my colleagues bought a business and I helped her with the research and sale. After seeing how easy it could be I realised I could do it too.” Following the example of his colleague Ron started to thoroughly research the marketplace. “I researched what was on the market and which clients the homes served. There are many different patients such as the homeless, the elderly and patients with autism. “Also, I spent time looking at the funding that each sector was entitled to. The funding element is crucial; it is affected by postcode, what provisions you have and a whole range of factors.” Ron believes that research is an important aspect of buying a business. “You must do your homework,” he says. “Take a long time to research and speak to providers, directors of social services, and people in the NHS. Overall it took me 18 months.” So what can you expect from an average day in a care home? “On a normal morning I come in and speak to my secretary, sort my mail and speak with the professionals in my company – the doctors, professionals and psychiatrists. I talk to all my staff; I like to be totally immersed in what is going on. Every day is different “However, the thing I love about this industry is that there is no typical day. That’s the reason I love it – it’s so varied. For example, today I’ve been dealing with an emergency admission; tomorrow it’ll be something completely different.” With Ron’s first year of business over, he sees the next logical step in the business’s progression as expansion, and an increase in the services he can offer his patients and the community around him. “I want to increase the provisions I have,” he says. “I wouldn’t mind setting up some kind of community support network which offers a varied range of services and to generally increase the scope of the business.” Overall he has found the experience to be positive so far. “The advantage of owning your own business is that you can make crucial decisions and then implement them immediately. “For big companies there are negotiations that are bureaucratic and involve complex lines of communication. This way you can do things much faster.” Hard to switch off However, certain elements have taken him by surprise. “The main difference is there is no one to fall back on. “You need to be able and proactive, and to see what’s coming and deal with it efficiently. You have to adjust to the business life. There is no one there to give you immediate answers. “Luckily I have friends in the same business and I have a lot of support. It’s important to speak to people with the same ideas, your contemporaries and senior health officials. “However, the biggest surprise when I started this was that as soon as you work for yourself it’s so hard to switch off. This was the biggest change for me.” Obviously, when you own a care home your customers are also your patients and expect, quite rightly, a minimum standard of care, as Ron points out. “Patients are the main focus. It’s not just about money; you must take care of your customers and make sure they’re happy. You have to monitor what their needs are and what they’re going to be. “The trick is to try and be strategic, as the health industry is very dynamic and it is changing constantly. Also you must acknowledge that the needs of people will change, and you must change with them. “You have to understand that health is politics, sociology and philosophy all rolled into one.” And finally: what advice would he give to someone who is getting ready to buy a care home? “Think about what you want to offer, take your time, do your research, and write a good, detailed business plan. “Never be shy to ask questions. The secret is to have many sources of communication.” | 
