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Unit 385 Business Practice for Complementary Therapies

Please read through this information carefully before you begin this project

Students always worry– and then once they actually start doing

it, they get carried away with it and enjoy it – so don’t worry

about it, just start doing it……. After all –

How do you eat an elephant? Answer bottom next page

There is no exam for this subject any more - coursework only – students

used to do a project like this and then sit an exam on it –

How lucky are you?

The material pertaining to your life as a therapist will be discussed in the

class, but these are projects are to get you thinking ahead of that

During the course other ideas will materialise, and you can make changes

later, but get it done now (except where indicated in the question)

The answers may be just the written word and you may wish to use

chart (as in pie chart for example), spider diagram, graph or other

pictorial presentation, depending on the type of question.

Include the question in your answer, otherwise we can’t assess it -

the answer may be right, but we wont know the question

Cross reference when you can, but please copy your previous answer

and paste it so that we don’t have to search around for it? Thank you

Hardy & Sumner Book (H&S) is a mine of information on starting up a business –

look through this book, become familiar with it – there is a business plan on page

191 for example

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This whole project entails planning an appropriate business plan

for a potential complementary therapy practice – yours!

Now is the time to think about how you are going to work as a therapist – are you

going to work from home – if so where in the home? What work needs to be done,

what are the legalities for working from home where you live, if this is your plan –

this whole project should revolve around what you need to do to make your plan a

reality.

Perhaps you are thinking of renting a room – again, where, how much will it cost?

What are the restrictions? Now is the time to find out.

Perhaps you are thinking of buying a property, leasing a property – or ‘going mobile’.

Whatever you are going to do takes planning. This project should be personalised –

this is your business plan!

If you are already a therapist then include your present therapy in say the

publicity or brochure you devise and if you already have premises you will know in

retrospect how much it cost you to start up.

By the time you leave the course, having done this project, talked and discussed in

class about it, learned from your tutors the pitfalls of running a business (they all

run their own businesses), looked at what works in advertising, getting and keeping

clients etc – you will be fully armed and prepared to start up your own business or

make your present one more successful…….

This is part of ITEC’s assessment form and

this is where the project comes in to enable

you to be able to tick these items.

Answer: by taking one small bite at a time

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See notes on ITEC Business to help answer these questions

1 – Mission Statement

You need a mission Statement for your Therapy Business – if you are already a

therapist – include any previous qualifications too.

Notes to help you with this. Delete the notes when you hand in your project:

Example of a mission statements:

At The Therapy Agency we will strive to:

Work enthusiastically to maintain our position as the UK's leading supplier of

complementary therapies to the workplace and elsewhere.

Employ quality, integrity, technical innovation, and attention to detail to

deliver excellence whatever the requirements.

Adopt an ethical and holistic approach to nurture the health, wellbeing, and

quality of life of all, including our clients and therapists.

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2 Market Research

We have a market research project that has proved extremely valuable to our

students. It involves you going for a treatment and making brief notes on it – later in

the course this is discussed in class so that you can all learn from

the various experiences you have all had – this is best done half

way through the course when you have more idea what to expect

from a professional therapist!

More on that later in the course, so don’t worry about this question

for now. – leave a space for this information but hand the rest of the project in on

the due date please.

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3 Competitor Analysis

Part of the market research project will be to gather information on your competitors –

their prices and leaflets/brochures.

Start making enquiries now so that you have some material to start off your project and

you will be able to answer this question later.

But is it just about the price? Make a table and compare the market you are

about to enter, something like this. This can be done after you have done the

group marketing project which you start half way through the course

Competitor A Competitor B Competitor C

Price

Location

Length of

treatment

Qualifications

Other therapies

Similarities

Differences

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4 Premises & Location

4.1 Plan the interior of your ideal treatment room (a simple drawing and a list of

equipment)

4.2 Think about where you would like to practice from

Look at the pictures on the next pages – have a think about actually working

from home, in a clinic or visiting clients in their home.

Part of your training is to enable you to launch yourself into your business

with some ideas - this is where it all starts! You will be discussing this in

class as well and getting ideas and advice etc.

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Please add at least two more on each example: (use Advertising handout to help

with this )

Advantages and Disadvantages of Running a Clinic from Home

Advantages Disadvantages

Economical overheads Need to set aside a room

Flexible hours/can work when you like Never ‘away’ from work

Fits around other commitments Distractions

Secure premises Parking problems

+ +

+ +

Advantages and Disadvantages and Working From a Group Complementary Clinic

Advantages Disadvantages

No disruption to home and family Not possible to create your own environment

and atmosphere.

Ease of referral to other practitioners Cost of lease/rent

‘Off the street’ clients Business rates

+ +

+ +

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Advantages and Disadvantages of Carrying out Home Visits to clients.

Advantages Disadvantages

Client relaxed in own home Having to pack and transport equipment

No need for client to move Travelling adds to time spent

at end of treatment Hygiene may not be adequate

+ +

Having looked at the advantages and disadvantages of various options, what

are your plans for where you will work, mobile? Clinic? Any ideas please

discuss below:

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Question 5

Corporate Image and Design

` 5.1 Design a logo/business name, leaflet/poster, brochure and

business card for your business (this can be a drawing)

5.2 How important do you consider image for a business? How important do

you consider image for your business? And Why?

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Notes to help with Question 5

`

You have seen my logo – how much do you think that cost me? Not as much as you

might think! It cost £45. Here is the link to the website:

http://www.pcgraphicsdesignservice.com/

Did you know that you can get FREE business cards from Vistaprint? On the web.

You only pay for postage – they have lots of free offers on – you could even

practice with your business card during the course using Vistaprint (lots of

different designs). Sometimes their offer is a free bag – a cotton one and you can

have your ‘business name’ printed on it – fridge magnets, car magnets – for putting

on the car door – like the taxis do, even their leaflets are sometimes free....

Compare these two images

Ensure your advertising gives

the right impression! Obviously the

picture gives the game away – but what

about the wording you might use …..

This is a rhetorical question to make you think,

we don’t expect an answer here

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6 Products services and price

6.1 Your leaflet should clearly state the therapy that you offer along with the

price:

Produce a brochure (as above) for your therapy (or therapies if you already

have a qualification) showing time, price etc. (This question can be cross

referenced with question 5.1)

6.2 What are the benefits of offering a course of treatments?

Notes to help:

They come back!

They see the benefit from having regular treatments

They get to know you and feel more comfortable having treatments.

I am sure you can think of more?

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7 Fixed Costs

What would be your fixed costs per year (approx)

What would be your variable costs?

See notes on the next page to help with the two questions above

What to you estimate the start up cost of your business will be? Please give an idea of

what this money would be spent on (training costs, books etc as well as equipment are part

of the start up….)

Taking all this into consideration, what do you estimate the cost of your treatment would

be?

How many treatments do you need to do per year in order to break even?

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Notes to help with question 7

Fixed costs: (e.g. Professional costs, Insurance, Training (CPD), rent, heating, telephone,

purchase of equipment, marketing costs etc)

Variable costs? (i.e. those costs that you only incur when you have a client eg couch roll,

cream)

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8 Staffing requirements and employment opportunities

8.1

What are the advantages and disadvantages of employing staff? .List one more of

each below:

Advantages: 1. Can take on more clients

2. Potential to earn more income

3.

Disadvantages: 1. They may not give your high standard of treatment

2. They may not turn up for appointments

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8.2 What opportunities are there for therapists after you have done your basic

training? Name at least 4

Note to help: you could be a receptionist in a salon, run your own clinic, work in a

spa, work on a liner, work as part of a team in a gym , teach – what

possibilities are there for therapists?

•

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8.3 To be personally effective as a therapist you need to have a good working

relationship with other therapists, clients and suppliers. You also need to be

able to work as part of a team if you are working in a clinic. Why is this?

8.6 As a therapist you would keep strict client

confidentiality at all times other than with

the consent of the client or when reporting

treatments/clinical findings to a fellow

therapist/medical practitioner. Complete

the following sentences:

• I would not discuss the personal details of a client with another ………or

• I would ensure the client realises that the only reason information would be

disclosed would be to ascertain permission to treat from a GP or ………………………

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9 SWOT Analysis Strengths, Weakness, Opportunities and Threats

See notes on next page to help with this one

Regarding starting up as a therapist - have a think about your own strengths and

weaknesses, what are the opportunities for you and what are the threats? What will be

your USP (unique selling point)?

More than this, by looking at yourself and your competitors using the SWOT framework,

you can start to craft a strategy that helps you distinguish yourself from your

competitors, so that you can compete successfully in your market.

Now make a SWOT analysis for your potential business:

Strengths Weaknesses

-

Opportunities Threats

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Notes to help with question 9

SWOT Analysis Strengths, Weakness, Opportunities and Threats

Regarding starting up as a therapist - have a think about your own strengths and

weaknesses, what are the opportunities for you and what are the threats? What will be

your USP (unique selling point)? The above chart may have helped you with this already

SWOT Analysis is a powerful technique for understanding your Strengths and Weaknesses,

and for looking at the Opportunities and Threats you face. Used in a business context, it

helps you carve a sustainable niche in your market. Used in a personal context, it helps you

develop your career in a way that takes best advantage of your talents, abilities and

opportunities. What makes SWOT particularly powerful is that, with a little thought, it

can help you uncover opportunities that you are well placed to exploit. And by

understanding the weaknesses of your business, you can manage and eliminate threats that

would otherwise catch you unawares.

More than this, by looking at yourself and your competitors using the SWOT framework,

you can start to craft a strategy that helps you distinguish yourself from your

competitors, so that you can compete successfully in your market.

Here’s an example of a SWOT Analysis for setting up a new mobile massage business.

Strengths Weaknesses

- I can be more flexible than salon

based competitors

- My overheads are low so I can offer

massage at a competitive rate

- I have no market presence yet

- My cash flow is unreliable

- I can newly qualified and nervous

Opportunities Threats

- Trend towards natural health/holistic

approach benefits me

- Credit crunch means less money

around for treatments

- Other mobile therapist in area have

captured available business already

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10.1 Risk Analysis

To do a risk analysis regarding your business, you would need to look at various

means of employment:

What are the advantages and disadvantages of each of the following (P28 H&S book)

Advantages Disadvantages Sole Trader

Own decisions about

everything

Partnership

=

May argue about

premises and ways to

work etc. Limited Company

Volunteer

Employee

Employer

10.2 To do a risk analysis of your actual premises, what would you be taking into

consideration? (cross reference previous work done on this)

Notes to help with question 10.2 – safe storage of equipment – no trailing wires,

regular inspection of electrical equipment etc

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11 Marketing and Publicity

Use the Hardy and Sumner book for ideas for your answers:

a) Why is it important to find out what your customers need?

b) Why it is important for you to compare your products or services with your

competitors?

c) Why is it important for you to make your products or services different

from those of your competitors?

d) Why is it important to monitor your competition?

e) What are the advantages and disadvantages of the following forms of

advertising? Fill in the empty boxes below (see the advertising handout

for ideas)

Advantages Disadvantages

Newspapers Reaches large audience Can be expensive

• Leaflets Expensive and can be

binned

Mail shots • Targeted audience

Word of Mouth • Cheap – effective

• TV Large audience expensive

Cinema Expensive and may not be

target audience

• Radio People cant write down

details when driving

Posters Easily spotted May be missed!

Talks Cheap and effective and

people get to know you

Demonstrations Cheap and effective and

people get to know you

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11.2 Discuss and plan how you would advertise your business that will help you to

launch your new business.

Guidelines: you should include how you would go about determining the best way to

advertise and the things you would need to avoid putting in your advertisement. An

example of your proposed advertisement, detail of where you would advertise,

approximate costing of adverts from a) local paper b) yellow pages.

Did you know that you get a FREE line in Yellow Pages? But how much is a small

box?

Is it ‘cheap’ to advertise in the local paper? You’d be surprised if you don’t know!

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12 Finance and start up and running costs

Cross reference this answer if answered elsewhere in any of the projects.

12.1 Discuss and plan the setting up of your new business (in real life!)

Guidelines: you need to discuss where you plan to work comparing the

benefits and the problems of working from home from a health centre or

similar or being a mobile therapist. Approximate costings of working from

home, in hired rooms or mobile. Legal requirements (insurance, licence – if

required) and costs. Equipment you will need and costs.

Find local premises from where you could potentially work.

Location Type of Premises (rent/freehold)

How did you find this premises?

What would you need to do to actually open up for business and begin trading? Eg

lighting, equipment, staff, products. What kind of budget would you need to begin

trading?

Bearing in mind the monthly cost of this premises, there are other fixed costs such

as ?

How much would you need to earn to ‘break even’ and how many treatments would you

need to do?

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13 Additional professional services

If you were seriously going to open premises or work from home you would need to

know the rates for the additional professional services, find out how much such local

professional services would cost you.

If you are going mobile, find out anyway in case you find that ‘going mobile’ isn’t

working out after all.....

This is part of the ITEC assessment so needs to be answered whether you are needing

to buy in extra services or not.

Eg Builders, decorators, plumbers, solicitor, electricians, accountants, printers,

administration. (MAKE IT UP!!!)

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14 Legal Requirements

The Health and Safety at Work Act is important and so is the following:

14.1 Local Byelaws are laws that relate to local areas – does your local council

require you to obtain a licence? Phone your local council to find out. If you

don’t need one for your therapy, what therapies require a licence, if any,

from your local council. What department helped you with this enquiry.

14.2 What are National Insurance Contributions for? Find out what your

contributions will be when you become self-employed. Would you need to pay

VAT? Why not?

14.3 When will you need to tell the Inland Revenue that you are self-employed or

earning money as a therapist (eg working evenings or weekends) whilst employed

elsewhere?

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15 Security and data protection

How would maintain security for your premises, goods and client records?

16 Customer service and communication

(if any part of this question has been answered elsewhere please cross reference your

answer)

16.1 Evaluate communication techniques and describe how to communicate

effectively with clients and colleagues: see BSB 1.4

Use the handout on communication skills which you will find on the same area as you

found this project

How I important is customer service to any business?

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17 Cancellation Policies: Before you read the following pages, please say if you agree with the principle of this example: An example: Please give 24 hours notice if you wish to cancel an appointment or 50% of treatment fee will be charged. Do you think this is fair? Yes / No Why? Now read this example of a thread written by professional therapists: A Went on a home visit to a client this morning, door was opened by her surprised-looking husband who said 'I don't think she's expecting you. She was working on her chapter all night and went to bed at 8 this morning. I'm not going to wake her up.' Checked my mobile (which I hadn't looked at til then, not being a teenager I don't keep looking at my mobile at all hours) and she had texted me cancelling this morning just before she went to bed this morning. That would be about 80-90 minutes before I'd set off to her, and hours after I'd packed the bag ready. Can I have suggestions on how to reply to her? She's asked if I can see her again another morning this week. Trouble is, this isn't the first time she's been a bit 'casual' about her appointments - a couple of weeks ago she wanted to change a 10.00 am appointment to 12.00 or 12.30 at just a couple of days notice (I said no to the change). I've mentally composed a couple of replies but they sound rather mardy and passive-aggressive, hence asking you lovely people! Thanks in advance

B How frustrating. Do you have a cancellation policy in place? A lot of places have a 'must give

24 hours notice' policy or a small fee is levied (although that said I don't think anywhere has ever actually levied a charge against me as normally when I've had to rearrange it has been some medical/child based unavoidable and totally understandable emergency not that I've been up all night tinkering on the computer!). It's a hard situation as you don't want to offend her but equally she's wasted your time this morning, you've had petrol costs and could have slotted in another client, met a friend for coffee or finished off some paperwork in the time you took to get to hers and back. So some how you're going to have to find a way of setting a boundary with her that it's not ok to have a last minute change of mind unless her child is sick or she's ill etc. A Absolutely, if it had been a health problem or a family crisis I wouldn't have minded so much. I

think I should come up with a cancellation policy, though I'm not sure it would help with this particular person - she seems a bit 'in her own world' where appointments and my convenience (or lack of it) are concerned! C I have a 24 hour cancellation policy and although i very rarely use it i do make it very clear that i

have a business to run and could have used that appointment for another client. Perhaps you could suggest another time but please could she BACS the money to your account before you

confirm the appt in future. She is probably completely unaware of her behaviour and would be

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mortified if she was letting you down. I have learnt over the years that I have to be firm. It is really

difficult but her behaviour is unacceptable D I always text the night before with a friendly reminder. You'll always a get a few that mess us

about but It cuts a lot of cancellations or people forgetting and helps me out remembering who I have in. Maybe if you sent her a reminder text she might have allowed for the session or reschedule

E In my hypnotherapy business I have a cancellation policy which is hard to enforce but I now

send out a text 24hrs before. If they cancel within hours of an appointment I expect it to be an emergency (health kids etc) and I don't mind as that happens to us all. I think it's reasonable to now ask this lady for payment (or at least 50%) up front. If she refuses then you may need to ask if she's the right client for you. Your time is valuable and I'm not sure if she appreciates that.

F I now have a slightly different policy to preserve my sanity... and my time. This is the wording on

my website: Wherever possible with my treatments, I work on a basis of mutual trust. Should an emergency crop up, and I need to cancel a session, I will do my utmost to give at least 24 hours notice to change the appointment. And, wherever possible I ask my clients to do the same. I just find this period of notice gives us both enough time to reschedule our plans and gives me the option to offer the session to another client on the waiting list. As you can see, I have no mention of a cancellation fee. BUT!!! if people start messing me about like this lady has with you Liz, I let them go. I do accept emergencies and things crop up... that's fine. But, to be messed about like this (and regularly) is a clear message for me... the treatments are not taking priority in their life. And, I tell them that openly.... and say, I think it best we leave treatments as you clearly need to focus on your work (or whatever). That way, you do not have to continually cancel me at the last minute, which really is not good for me and my business... and, I can offer my sessions to someone else who is waiting to have a treatment with me. I never end the situation on a bad note. I just let them go, and concentrate on those who value what I do. It has taken me 6 years to work out that this is what works for me.... but, it really is a personal choice. A cancellation fee really does work for some... and I wholeheartedly agree with it. I just cannot face pursuing it as it drains me... both in terms of time, and energy!

A Back to the original poster!!: Well, the original client sent me about 4 texts during yesterday afternoon

asking for another appointment (I didn't see them til late last night as my phone is switched off while I'm driving or doing treatments) sounding quite desperate, so having told her I had no free time til the new year, she wanted to book in straight after the bank holiday. I've suggested a couple of dates to her - if she gets back to me I'll tell her face to face that I need more notice. It's so easy to get your tone wrong with just the keyed in word, I think face to face would be clearer. What is your conclusion as to having a cancellation policy now? What will you do?

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Once you have decided what your one will be: Put your policies on your website and on your leaflet

You could also:

Have people sign a copy of your policy when they come in. Is this a good idea? Yes/No

Put your policy on your phone message. Say something like “Please be aware if you are calling to cancel that you will be charge xx.oo amount if you cancel in less than 24 hours or if you are late, your appointment will end at the scheduled time.(or whatever you set up.) Is this a good idea? Yes/No

When new clients call to schedule an appointment, consider taking a credit card to secure their time and tell them of your policy right up front. Consider telling them that you are reserving that time for them and them alone so that you will not take another client in that spot. Is this is a good idea? Yes/No

An online scheduling system will allow you to take credit cards to secure the appointment. Is this a good idea? Yes/No

My comments on how to let my client know my policy:

Late arrival policy idea The Late Arrival Policy

The ideal late arrival policy says your time is valuable and you also respect my other clients time. You know things happen – traffic, last minute phone calls, things at work/home, but people need to responsible for their own time. An idea for a late arrival policy:

Your late arrival will require that I end the session at the scheduled time, meaning your session will unfortunately be shorter today. I have reserved this time for you and only you and have other people scheduled after your time.

My Comments on late arrival policy:

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Conclusion:

Write a few lines only to say if and how the business practice project has helped you plan your

proposed business.

-o0o-