Starting An Agency

Nurses Entrepreneurs


I'm exploring the possibility of starting an agency. I've worked agency for several years in an urban area with many hospitals (and agencies). I have a pretty good feel for what hospitals are paying agencies for nurses. I am thinking about a small recruitment of 12-20 experienced RNs, most of whom I have worked with and know to be excellent caregivers. And they are motivated to work. I know that I can charge less than any agency in the area, and at the same time pay my nurses more than anyone else, and still make money. My overhead will be very low, as I will run this from an office at home. I'm prepared for long hours and legwork. Certainly there are obstacles, not the least of which relates to payroll. I do not have the cash reserves to buffer against hospital billing cycles which can be anywhere from 2-4 weeks or more. Obviously, I want my nurses getting paid on time.

Any folks out there running an agency, or experienced in these matters? I'd appreciate any feedback.


53 Posts

You know I have been thinking about doing the same thing. But I am sort of like you in that its the detail information I lack and how to actually start setting up accounts.

But I do believe that we as nurses will never get our just reward ($$$) untill we are able to actually bill for our services or have countrol over how much we will work for. Nurses in areas should get together or try, and sort of form a cooperative and sell our services to the hospitals. I do know that what hurts us all in the pay area is there are way too many of us selling our services way to cheap.

What do you think?


1 Post

I work for a company that provides people like yourself a nursing agency to to speak. We are currently operating in the UK but because of the nature of the software (it runs through the internet) we can deploy it pretty much anywhere in the world with very little training. have a look



255 Posts

I've been thinking about this sort of thing, too. I work in a CVICU and do open-heart recovery. It seems to me that this is the type of field that could work the same way as dialysis nursing. Start an agency that contracts with cardio-thoracic surgeons. That way, the surgeon can do the surgery, and the recovery nurse would come in for the acute period (12-18 hours, usually) and pass the patient off to hospital staff when the time is right. Any ideas?


3 Posts

I actually have the paperwork that is needed to start a staffing agency. I live in Florida and had to call AHCA to get the paperwok. It's really expensive to start. Remember you have to have enough in the bank (about 3 months worth of your pay rates for each employee) to be able to pay your employees until the bill from the facilities are paid. Let me see if I can break it down...You have a RN that works 20 hours in a month and makes $32/hr. You bill $45 to the facility for those 20 hours. You have to pay that employee now but you won't get your bill paid from the facility for at least 2 months. You are out of $640 for 2 months and that is just for 1 RN. Think about LPNs and CNAs.

Get what I mean??????

Also, AHCA wants to know that you have the money in the bank. You have to sign a sworn affadavit that you have the money in the bank!!!!


3 Posts

I can relate to your concerns regarding starting an agency. I live in a rural area. I have had my certifications for my personal care agency for two years. My agency is incorporated. I purchased an office space. I have been ready to take patients for two years. I have tried to get assistance through the Small Business Administration, however, you have to be wealthy to qualify for one of their loan programs. "If I was wealthy, I wouldn't need SBA's assistance!" But, in the mean time I continue to work as an RN. I hope to someday locate the capital that I need to use for my business. If anyone has capital, and would like to invest, feel free to contact me. The personal care agency is funded through Medicaid.

renerian, BSN, RN

5,693 Posts

Specializes in MS Home Health.

I know in Columbus there are 30 agencies doing this. Is your market saturated yet? Might be something to check into.



2 Posts

Hi, I live in the PA but most of the facilities I work with are in NJ. I started out doing permanent placement but now my clients are asking for PRNs. They are also asking for rates. I'm not sure what kind of rates agencies are billing for PRNs. Can someone give me an idea of what to charge? I know the nurses in this area are looking for 30 - 50/hr, depending on their experience.

Any information on this would be a great help! Also, what is the AHCA?

Thank you!



3 Posts

AHCA is Agency for Healthcare Administration. I know Fla has to go through them for everything. I'm not sure about other states though.

Jay P

2 Posts

edited to removed solicitation

Has anyone started this from scratch?


127 Posts

I did just that. See my post (#79) under the heading "Nurses in other professions.

Start out slow - just you or maybe one other nurse. Then work to expand if you want to. You start out too fast or too big and you can get overloaded.

Figure 6-8 weeks from the time you bill to the time you actually receive a check. I am glad to share information, but will only do so if I am contacted by e-mail or private message due to the advertising restriction which I support.

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