The baby boomer generation has figured as the target market for some of the greatest entrepreneurial stories in the United States. So, Randy and Kristine Martin, both 65, decided to become late-life entrepreneurs to pursue a passion while helping the aging population. “Such a tsunami of seniors is coming down the road,” Randy Martin said. “Communities have to do some really serious planning.” Three and a half years ago, the couple decided to buy the Thousand Oaks franchising rights to Greenwood Village, Colo.-based Homewatch CareGivers, a non-medical home health and elder care agency. At an age when most folks are considering retirement, the Martins transitioned from their executive financial positions in corporate America into home care services to meet the growing demand. Previously, Randy Martin was vice president of operations for audio and visual equipment company CCS Presentation Systems Inc. in Hawthorne, while Kristine Martin was a senior accountant at L.A.-based biotech Targeted Medical Pharma Inc. Randy Martin said the corporate world prepared them for the hard work related to starting a business with the biggest difference being the added liability an entrepreneur takes on. About 10,000 boomers retire every day and become eligible to receive Medicare and Social Security benefits, according to Pew Research Center. As this influx of the elderly is on the horizon, medical advances are leading to people living and working longer as well. The couple became aware of the problem after finding caregivers for their own parents. They said they made a lot of good decisions, but every choice was extremely stressful, which inspired a lightbulb moment. They realized a demand existed for services to help guide families. From there, the Martins began seriously researching the caregiving industry. Franchise advantages Randy Martin spent the better part of a year vetting agencies when he came across Homewatch. The couple ultimately went with the 37-year-old franchise because of the tools and training it provided. “We really wanted someone who would give us a lot of assistance,” Randy Martin said. “We knew how to run a business, we just didn’t have the product.” The company offers the full gamut of non-medical home care services from companion care to rehabilitation and recovery at home, along with extensive training services for current and future franchisees. To begin the process, franchisees must make an initial investment of $87,000 to $137,400 and have a net worth of $350,000 with a minimum of $50,000 in liquid assets, according to Homewatch’s website. Randy and Kristine Martin used money from their retirement savings to open their home care business. If these requirements are met, the candidate fills out the ownership request application, and if approved, will work with a franchise consultant and the company’s online education platform to fully understand the business. When franchisees complete the training, which typically takes 30 to 60 days, they have the opportunity to speak with current Homewatch franchise owners and fly to Denver to meet the company’s support staff. After that, the new franchise is ready to launch. The Martins continue in training mode by speaking with a company coordinator every other week and by staying involved in the community. Kristine Martin said her biggest challenge initially was getting to know her market, which consists of Thousand Oaks, the San Fernando Valley, Simi Valley and Malibu. “I joined chambers and networking groups and went to facilities’ grand openings,” she said. “I work with the Greater Conejo Valley Chamber of Commerce and serve on several committees that help seniors and those caring for their parents or family.” The Martins’ Homewatch branch offers one-hour to round-the-clock services, including helping with daily living activities, bathing, transportation and whatever else is non-medically needed. Caregivers also have to go through extensive training via Homewatch’s online university and other training courses required by the state. Currently, the Martins employ 84 caretakers and serve about 55 clients a week. However, good help is hard to find as there is a current caregiver shortage nationwide. Home growth Greg Solometo, chief executive of New York-based home health care company Alliance Homecare, said finding qualified caretakers is one of the country’s leading challenges, especially as demand increases from the aging baby boomer population and as people are living longer due to medical advancements. “Because of the historically low rate of pay that has been given to caregivers, home health care is not attracting more talent and the right kind of talent,” he said. “The industry as a whole needs to think proactively and a little out of the box to pay better and attract more people of higher quality.” Despite the worker deficit, Homewatch CareGivers of Thousand Oaks has seen substantial growth, especially in 2016. During its three and a half years in business, the company has clocked in 125,000 hours of service with 43 percent of those hours accumulated last year. The Martins plan to continue expanding and are not considering retirement anytime soon. Kristine Martin has children from a prior marriage with careers of their own and no plans to take over the budding family business at this time. Currently, it costs a little more than $20 an hour for care through the Martins’ franchise, but Kristine Martin said that number may increase with the state minimum wage climbing to $15 by 2019. The uptick in business has led the couple to open a satellite office in a co-working space at the Village shopping center in Woodland Hills to better serve the Valley. They want to grow their company to meet the rising need and help families through the pain-staking process of finding quality local care for their loved ones. “We modeled so many business ideas after (our experience with) our parents, which helped us see what the need was,” Kristine Martin said. “If you can find what’s needed in your community, then you can provide them with what they want.”
