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NOV.19, 2020

Private Counseling Practice Business Plan

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Private Counseling Practice Business Plan

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Table of Content

    Private Counseling Practice business plan for starting your own social service agency

    Are you a psychologist, social worker, or marriage counselor? Did you know that you can make money from a prosperous business by going into private practice like any of the trainers mentioned above? Yes, the profession of counseling, social workers, and marriage counselors are one of the largest and most lucrative professions in the United States, open to interested entrepreneurs who are qualified and able to come in as a private trainee and earn a great income. This counseling private practice business plan has the insights.

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    Executive Summary

    USA Private Counselors LLP is a professional and licensed consulting (private practice) organization that specializes in helping its clients cope with their challenges, achieve their personal goals, and improve their skills, competence and productivity.

    The scope of our private counseling practice business offerings covers areas such as clinical psychology, industry-organizational psychology, all other psychology, psychosocial work, marriage, and family therapy, child, family and school social workers, online counseling services and retail sale of self-help books. And materials and others.

    Our business is located between a well-populated residential estate and a business district in Pennsylvania – Smethport, Pennsylvania, USA.

    USA Private Counselors LLP, is a customer-centric and consequently operated private consulting firm that offers a wide range of consulting, learning approaches and experience at an affordable fee that is in any way to put a hole in our clients’ pockets. We make sure to work hard to meet and exceed the expectations of our customers because whenever they hire our services, it is related to their professional and personal goals.

    The Business

    USA Private Counselors LLP is the overall best interest of our clients comes first, and everything we do is entirely guided by our values ​​and professional ethics. We make sure to hire professional and certified psychologists, social workers and counselors of various skills who are well experienced and enthusiastic.

    Management of Social Service Agency

    In the private counseling practice business plan, we ensure that we are responsible for the highest standards by accurately and fully meeting the needs of our customers. We will cultivate a work ambience that gives a humane, sustainable approach to practicing, earning and living in our world for our associates, employees and our clients.

    Customers of Social Service Agency

    While starting a social service agency it may seem like a dream too high, but we are sure it will attract more customers like celebrities, public figures, and Private Job based customers. As we have done lots of research and feasibility, studies and we are excited and confident that Smethport is the right place to start our private consulting business.

    Business Target

    Our primary goal is to satisfy our customers and establish our business location. So people can learn about us and our dress code. Our business plan Private counseling practice is to gain as many customers as possible and expand our Social service agency line to many countries. Profit is a secondary thing, but the primary concern is to satisfy our customers and their queries.

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    1. How to start a business?

    Well, this is the most challenging part because the person starting the business never knows about the future. Whether the business will work or not; it will always be an opportunity, and because of this, many are sacred. Most people ask how to start a business? Therefore, the answer here is, you need to identify the needs of the people. You need to check the latest market trends and what people want to do.

    Private Counseling Practice Business Plan - Startup Cost

    Start-up Expenses
    Legal $750
    Stationery etc. $10,000
    Brochures $5,000
    Consultants $50,000
    Insurance $10,000
    Rent $2,105
    Research and Development $15,000
    Expensed Equipment $100,000
    Other $0
    Total Start-up Expenses $192,855
    Start-up Assets    
    Cash Required $2,400,000
    Start-up Inventory $560,000
    Other Current Assets $0
    Long-term Assets $69,800
    Total Assets $94,938
    Total Requirements   $287,793

    2. What are the costs involved in opening a business?

    The start-up cost of the counseling business can be low or high depending on your goals, vision and aspirations for your business. The start-up capital for a home-based private consulting business without any overhead can be as low as $250,000 to $350,000, while a medium and large scale value is definitely higher.

    3. How to implement business management?

    Our management staff and this is based on the performance of the company for a period of three years or more. We know that if it is put in place, we will be able to successfully hire and retain the best staff for management, which we can get in the industry. They will be more dedicated to helping us build the business of our dreams.

    4. What target of this business?

    We have a private counseling practice business plan, our target areas are local people, celebrities, and social media influencers, and they can advertise our agency differently.

    Company Summary

    •  Plan your business

    USA Private Consultants LLP will ensure that the right foundation, structures, and processes are in place to ensure that the interests of our customers employees are well taken care of. Our company’s corporate culture is designed to move our business to greater heights, and the training and retraining of our employees will burn at the top of our business strategy.

    • Define your brand

    The new business will have to face the initial problems in establishing a brand name in the head of the customer. We treat our customers well and take care of their needs and recommendations. We also did tailor-made projects for clients. We discuss with our team what the customer needs and how to apply it.

    • How to promote & market a business

    The truth is, if your customers have experienced a big difference in their lives as a result of hiring your company’s services, they will be compelled to help improve your company.

    • Establish a web presence

    Another notable trend in this field is the influence of technology; the advent of technology has led to an increase in the income of private consultants around the world. With technology, it is not easy for private consultants to provide advice to their client’s thousands of kilometers away from them.

    Any questions? Get in Touch!
    • Company Owner

    USA Private Consultants LLP- may be a new private consulting agency in Pennsylvania, but the board of directors and business owner are considered gurus in the industry. The woman is a leading professional, licensed and highly qualified psychologist and marriage counselor. She can help her clients cope with their challenges and successfully achieve their personal goal in the short term. These are the areas where we consider a competitive advantage.

    • Why the social service agency is being started

    Our owner loves to start new social services agency, but they feel like they can share their social ideas with others. They are learning about social causes and are now going to propose a big agency or business project so that people can also benefit from their practicing department.

    • How the social service agency will be started

    Being talented is one thing, knowing how to make people successful is another; That’s why you need to constantly get feedback to measure the progress and performance of your agency. Keeping all these things mind and with the help of private practice counseling business plan template, the business will be started.

    Products

    Our mission to start our private practice counselling business is to help our clients and staff to meet their challenges, achieve their personal goals, improve their skills, competence and productivity, and of course, make a profit from the field of counseling. In addition, you can work on starting your own counselling practice agency as well.

    Our service offerings are listed below;

    • Clinical Psychology
    • Industrial-organizational psychology
    • All other psychology
    • Social work on mental health
    • Marriage and family therapy
    • Child, family and school social workers
    • Online consulting services

    Marketing Analysis of Counseling Services

    • Market Trends

    The trend in the field of Counseling Services, social workers and other counsellors over the past half-decade shows that the industry continues to grow. Private consulting services are required regardless of economic conditions, which protect the industry from economic fluctuations.

    • Marketing Segmentation

    USA Private Consultants LLP will generate revenue by providing the following private consulting services;

    Private Counseling Practice Business Plan

     

    Market Analysis
    Potential Customers Growth YEAR 1 YEAR 2 YEAR 3 YEAR 4 Year 5 CAGR
    High-Income Women, 30+, in this area 5% 2,400 2,520 2,646 2,778 2,917 5.00%
    Personal Stylist Customers 30% 10 13 17 22 29 30.50%
    Total 5.15% 2,410 2,533 2,663 2,800 2,946 5.15%
    1. Clinical Psychology
    2. Industrial-organizational psychology
    3. All other counselling
    4. Social work on mental health
    5. Marriage and family therapy
    6. Child, family and school social workers
    7. Online consulting services
    8. Retail sale of self-help books and supplies
    • Business Target

    After opening a private practice business, our business target cuts across different classes of people and people from all walks of life. We come with a business concept and company profile in the field of psychologists, social workers and marriage counselors, which will help you, work with clients from different backgrounds and different positions.

    Private Counseling Practice Business Plan - 3 Years Profit Forecast

    Business Plan for Investors

    • Product Pricing

    Generally, starting your own counselling practice services are charged flat rates on an hourly billing rate and a weekly or monthly basis. As a result, USA Private Consultants LLP will charge flat fees to our clients, except for a few cases where special clients will have to pay on an hourly basis.

    Marketing Strategy

    We note that there is fierce competition among private consulting firms in the United States; So we were able to hire some of the best marketing staff to handle our entire sales and marketing.

    Also, our sales and marketing staff will be recruited based on their vast experience in the industry, and the goals of USA Private Consultants LLP.

    • Competitive Analysis

    Being more competitive in the field of counselling, the staff, counsellor and practitioners will provide consistent quality service, and our clients can experience significant difference and improvement, and meet the expectations of your clients at all times you can meet.

    • Sales Strategy

    USA Private Consultants LLP is all set to use the following sales strategies to attract customers. The sample proposal for counseling services will include the followings-

    1. Introduce our private consulting firm by sending introductory letters with our brochure to key stakeholders in Corporate, Religious Institutions, Families, and Smethport – Pennsylvania.
    2. Print flyers and business cards and drop them strategically in offices, libraries, public facilities and train stations and more.
    3. Use close friends and family to spread the word about our private consulting firm.
    4. Put information about our private consulting agency on bulletin boards in places like schools, libraries and local coffee shops.
    5. Placing a small or classified ad in the newspaper or a local publication about our private consulting firm
    6. Advertise our private consulting firm in relevant educational magazines, newspapers, television stations and radio stations.
    • Sales Monthly

    Well, here is a chart below where you can find monthly sales.

    Private Counseling Practice Business Plan

    Any questions? Get in Touch
    • Sales Yearly

    We are also exploring the market and its sales in the marketing plan for counseling center. Well, the counsellng is doing well, as you can see in the chart below.

    Private Counseling Practice Business Plan - Seles Yearly

    • Sales Forecast

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    We were able to critically explore the private consulting market, explore our opportunities in the industry, and we were confident and able to come up with the following sales forecast. Sales forecasts are based on data collected in the field and some strange assumptions for similar startups in Smethport – Pennsylvania.

    Below are the sales forecasts for USA Private Consultants LLP, which are based on the location of our personal training and training company, and of course the wide range of training we offer-

    Private Counseling Practice Business Plan

    • First financial year : $150,000 to $400,000
    • Second financial Year : $350,000 to $500,000
    • Third financial year : $500,000 to $550,000
    Sales Forecast Year 1 Year 2 Year 3
    Clinical Psychology $ 35,000 $ 42,000 $ 50,400
    Industrial-organizational psychology $ 42,000 $ 50,400 $ 60,480
    All other counselling $ 49,000 $ 58,800 $ 70,560
    Social work on mental health $ 29,000 $ 34,800 $ 41,760
    Marriage and family therapy $ 43,000 $ 51,600 $ 61,920
    Child, family and school social workers $ 56,000 $ 67,200 $ 80,640
    Online consulting services $ 60,102 $ 72,122 $ 86,547
    Retail sale of self-help books and supplies $ 34,500 $ 41,400 $ 49,680
    Total Sales $ 348,602 $ 418,322 $ 501,987
    Year 1 Year 2 Year 3
    Clinical Psychology $ 20,588 $ 23,774 $ 24,012
    Industrial-organizational psychology $ 17,370 $ 20,176 $ 20,378
    All other counselling $ 15,684 $ 18,272 $ 18,455
    Social work on mental health $ 16,447 $ 18,973 $ 19,163
    Marriage and family therapy $ 17,483 $ 20,288 $ 20,491
    Child, family and school social workers $ 13,874 $ 16,200 $ 16,362
    Online consulting services $ 9,922 $ 11,670 $ 11,787
    Retail sale of self-help books and supplies $ 11,990 $ 14,155 $ 14,296
    Subtotal Direct Cost of Sales $ 123,358 $ 143,508 $ 144,944

     Personnel plan

    • Company Staff

    Considering the above counseling services, we have decided to appoint qualified and competent hands to hold the following posts;

    1. Chief Partner / CEO
    2. Psychologists, social workers and marriage counselors
    3. Office Administrator
    4. Accountant
    5. Marketing executives
    6. Customer Service Administrator
    • Average Salary of Employees

    Any questions? Get in Touch!

    Well, this is the most important process for counseling private practice business plan. However, in the table below we have mentioned all the details about the salary.

     Personnel Plan      
    Year 1 Year 2 Year 3
    Chief Partner / CEO $45,000 $49,500 $54,450
    Psychologists, social workers and marriage counselors $34,000 $37,400 $41,140
    Office Administrator $23,000 $25,300 $27,830
    Accountant $28,000 $30,800 $33,880
    Marketing executives $40,000 $44,000 $48,400
    Customer Service Administrator $20,000 $22,000 $24,200
    Total Salaries $190,000 $209,000 $229,900

    Financial Plan

    In setting up a private counselling practice business plan, size, or cost depends on the approach and size you want to undertake. If you rent a space and want to go big, you will need a large amount of capital as you need to make sure your employees take good care of you.

    • Important Assumptions

    According to our assumptions, we will follow this plan to increase our business naturally. If there are any natural disasters, we control the things of our human condition. You can see the map.

    General Assumptions
    Year 1 Year 2 Year 3
    Plan Month 1 2 3
    Current Interest Rate 10.00% 11.00% 12.00%
    Long-term Interest Rate 10.00% 10.00% 10.00%
    Tax Rate 26.42% 27.76% 28.12%
    Other 0 0 0
    • Break-even Analysis

    The Break-Even Analysis is based on our private counseling practice business plan to reach the level in only one year.

    Private Counseling Practice Business Plan - Break-even Analysis

     Break-Even Analysis  
    Monthly Revenue Break-even $81,000
    Assumptions:
    Average Percent Variable Cost 28%
    Estimated Monthly Fixed Cost $41,972.00
    • Projected Profit and Loss

    Our private counselling practice business works well, but we don’t cover the monthly budget, so we try to cover it for the next four months.

     Pro Forma Profit And Loss      
    Sales $348,602 $418,322 $501,987
    Direct Cost of Sales $123,358 $143,508 $144,944
    Other Costs of Goods $0 $0 $0
    Total Cost of Sales $123,358 $143,508 $144,944
    Gross Margin $225,244 $274,814 $357,043
    Gross Margin % 64.6% 65.7% 71.1%
    Expenses      
    Payroll $190,000 $209,000 $229,900
    Sales and Marketing and Other Expenses $1,000 $1,000 $1,000
    Depreciation $389 $389 $389
    Rent $1,055 $1,055 $1,055
    Utilities $900 $1,100 $1,300
    Insurance $141 $141 $141
    Payroll Taxes                    15% $0 $0 $0
    Other $0 $0 $0
    Total Operating Expenses $193,485 $212,685 $233,785
    Profit Before Interest and Taxes $31,759 $62,129 $123,258
    EBITDA $31,759 $62,129 $123,258
    Interest Expense $316 $312 $309
    Taxes Incurred $6,603 $12,982 $25,819
    Net Profit $24,840 $48,836 $97,130
    Net Profit/Sales 7% 12% 19%
    Net Profit/Sales 0.00% 0.00% 0.00%
    • Profit Monthly

    The monthly profit chart will be as below-

    Private Counseling Practice Business Plan - Profit Mounthlt

    • Profit Yearly

    The yearly profit chart will be as below-

    Private Counseling Practice Business Plan - Profit Yerly

    • Gross Margin Monthly

    The below gross margin lines are showing the future figures, and we hope they will get thicker by the time.

    Private Counseling Practice Business Plan - Gross Margin Monthly

    • Gross Margin Yearly

    Slow, dense lines, as we can see. This year we will cover.

    Private Counseling Practice Business Plan - Gross Margin Yearly

    • Projected Cash Flow

    The psychotherapy finances or cash flow can be seen below where we can not only get out of debt, but also find profits.

     Pro Forma Cash Flow      
    Cash Received      
    Cash from Operations
    Cash Sales $66,840 $97,760 $113,402
    Subtotal Cash from Operations $66,840 $97,760 $113,402
    Additional Cash Received
    Sales Tax, VAT, HST/GST Received $0 $0 $0
    New Current Borrowing $0 $0 $0
    New Other Liabilities (interest-free) $0 $0 $0
    New Long-term Liabilities $0 $0 $0
    Sales of Other Current Assets $0 $0 $0
    Sales of Long-term Assets $0 $0 $0
    New Investment Received $0 $0 $0
    Subtotal Cash Received $66,840 $97,760 $113,402
    Expenditures Year 1 Year 2 Year 3
    Expenditures from Operations
    Cash Spending $20,094 $23,837 $30,784
    Bill Payments $52,681 $63,756 $68,288
    Subtotal Spent on Operations $72,775 $87,593 $99,072
    Additional Cash Spent
    Sales Tax, VAT, HST/GST Paid Out $0 $0 $0
    Principal Repayment of Current Borrowing $5,000 $0 $0
    Other Liabilities Principal Repayment $0 $0 $0
    Long-term Liabilities Principal Repayment $7,000 $7,000 $7,000
    Purchase Other Current Assets $0 $0 $0
    Purchase Long-term Assets $0 $0 $0
    Dividends $0 $0 $0
    Subtotal Cash Spent $84,775 $94,593 $106,072
    Net Cash Flow ($17,935) $3,167 $7,329
    Cash Balance $6,883 $10,050 $17,379

     

    • Projected Balance Sheet

     Pro Forma Balance Sheet      
    Assets Year 1 Year 2 Year 3
    Current Assets
    Cash $184,666 $218,525 $252,384
    Accounts Receivable $12,613 $14,493 $16,373
    Inventory $2,980 $3,450 $3,920
    Other Current Assets $1,000 $1,000 $1,000
    TOTAL CURRENT ASSETS $201,259 $237,468 $273,677
    Long-term Assets
    Long-term Assets $10,000 $10,000 $10,000
    Accumulated Depreciation $12,420 $14,490 $16,560
    TOTAL LONG-TERM ASSETS $980 $610 $240
    TOTAL ASSETS $198,839 $232,978 $267,117
    Liabilities and Capital Year 1 Year 2 Year 3
    Current Liabilities
    Accounts Payable $9,482 $10,792 $12,102
    Current Borrowing $0 $0 $0
    Other Current Liabilities $0 $0 $0
    SUBTOTAL CURRENT LIABILITIES $9,482 $10,792 $12,102
    Long-term Liabilities $0 $0 $0
    TOTAL LIABILITIES $9,482 $10,792 $12,102
    Paid-in Capital $30,000 $30,000 $30,000
    Retained Earnings $48,651 $72,636 $96,621
    Earnings $100,709 $119,555 $138,401
    TOTAL CAPITAL $189,360 $222,190 $255,020
    TOTAL LIABILITIES AND CAPITAL $198,839 $232,978 $267,117
    Net Worth $182,060 $226,240 $270,420
    • Business Ratios

     Ratio Analysis        
    Sales Growth 0.00% 46.26% 16.00% 1.21%
    Percent of Total Assets
    Inventory 2.60% 3.83% 4.11% 14.83%
    Other Current Assets 0.00% 0.00% 0.00% 19.26%
    Total Current Assets 11.91% 17.54% 26.88% 52.51%
    Long-term Assets 88.09% 82.46% 73.12% 47.49%
    Total Assets 100.00% 100.00% 100.00% 100.00%
    Current Liabilities 6.41% 7.21% 7.39% 25.80%
    Long-term Liabilities 85.21% 76.37% 64.21% 25.21%
    Total Liabilities 91.62% 83.58% 71.61% 51.01%
    Net Worth 8.38% 16.42% 28.39% 48.99%
    Percent of Sales
    Sales 100.00% 100.00% 100.00% 100.00%
    Gross Margin 74.00% 74.00% 75.00% 21.95%
    Selling, General & Administrative Expenses 77.60% 60.27% 58.61% 13.02%
    Advertising Expenses 0.00% 0.00% 0.00% 1.44%
    Profit Before Interest and Taxes -15.26% 12.31% 15.46% 2.11%
    Main Ratios
    Current 186.00% 243.00% 364.00% 174.00%
    Quick 145.00% 190.00% 308.00% 105.00%
    Total Debt to Total Assets 91.62% 83.58% 71.61% 53.74%
    Pre-tax Return on Net Worth -221.61% 69.29% 63.48% 8.09%
    Pre-tax Return on Assets -18.58% 11.38% 18.03% 17.49%
    Additional Ratios Year 1 Year 2 Year 3
    Net Profit Margin -20.55% 5.97% 8.49% n.a
    Return on Equity -221.61% 48.51% 44.44% n.a
    Activity Ratios
    Inventory Turnover 1023.00% 1074.00% 954.00% n.a
    Accounts Payable Turnover 1212.00% 1217.00% 1217.00% n.a
    Payment Days 2700.00% 2800.00% 2900.00% n.a
    Total Asset Turnover 90.00% 133.00% 149.00% n.a
    Debt Ratios
    Debt to Net Worth 1093.00% 509.00% 252.00% n.a
    Current Liab. to Liab. 7.00% 9.00% 10.00% n.a
    Liquidity Ratios
    Net Working Capital 406800.00% 757600.00% 1487200.00% n.a
    Interest Coverage -289.00% 326.00% 464.00% n.a
    Additional Ratios
    Assets to Sales 111.00% 75.00% 67.00% n.a
    Current Debt/Total Assets 6.00% 7.00% 7.00% n.a
    Acid Test 145.00% 190.00% 308.00% n.a
    Sales/Net Worth 1078.00% 812.00% 523.00% n.a
    Dividend Payout 0.00% 0.00% 0.00% n.a

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