A ‘Common Sense’ Growth Approach Is Accelerating The Independent Home Care Company Village Caregiving

One of the faster-growing home care providers in the country is non-franchised and has taken no private equity funding to date.

The Barboursville, West Virginia-based Village Caregiving announced earlier this month that it would be opening three new locations in Indiana, growing its density in the state. Earlier this year, it also opened up shop in three other new locations – one in Minnesota, one in Indiana and one in Kentucky.

With over 60 locations now spanning 19 states, the company’s goal is to serve as many seniors in need of home care as possible, no matter the area or the payer. Jeff Stevens, the co-founder and CEO of Village Caregiving, told Home Health Care News that he would eventually like the company to be in all 50 states.

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But that’s a ways away – for now.

“Would I like to serve all 50 states? Yes, I would. Part of our entire purpose and mission is to serve clients no matter where they are,” Stevens said. “If we feel like we can cover those areas responsibly, and we end up in 30 states in three years, for instance, then we’ll do that. It’s really just about going where the need is, and providing our service to everybody that needs and deserves it.”

The company was originally founded by Stevens and two of his high school friends in 2013. All three used home care services for their loved ones at some point and saw a lack of consistency in the care provided.

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That inconsistency led to major familial disruptions, and eventually was the impetus for Village Caregiving’s start.

“We saw an opportunity there to start a home care company, after those similar experiences,” Stevens said. “We wanted to make it as affordable as we possibly could, the highest quality that we possibly could, and as consistent as we could. And really those three things – affordability, quality, consistency – are kind of the hallmark of what Village Caregiving is all about.”

Village Caregiving started with one location in West Virginia, and didn’t open up another office until three and a half years in.

Since then, there has been steady growth. That has mostly come in the organic form, with only one or two instances of acquisitions, generally of a mom-and-pop shop in a nearby area. Stevens did say, however, that he would be open to larger-scale acquisitions in the future.

Its payer sources completely depend on the area they’re serving. The company would like to be diversified as possible – and it is, across home care payer sources – but generally is fine with being paid by the payer source most dominant in a given county or market.

“We like to be diversified, if possible,” Stevens said. “Honestly, we just operate on common sense. If the need in a specific area turns out to be more family funded, or Medicaid, or VA, or long-term care insurance, we’ll do whatever it turns out to be. I’m not big on going to an area with an expectation on needing X percent of this type of payer or that type. I’m being genuine when I say we say yes to whoever needs the care, whoever needs the help.”

Village Caregiving has still not taken on any PE or VC money. That, Stevens believes, has enabled the company to learn the right lessons on its growth journey.

“In my humble opinion, we’ve done everything the right, organic, traditional way,” he said. “Because if you take private equity or venture capital money, I’m just not sure you learn all the lessons you need to learn along the way.”

Growth has now been accelerated. Six new locations opened up in the first quarter, and another six will open in the second quarter.

There’s no set-in-stone growth strategy for the next three years, Stevens said. But growth will continue. Currently, the company has over 3,000 employees serving more than 5,000 clients.

“If you look three years ahead – we’re in 19 states now – what does it look like then, 25?” he said. “I’m just not the kind of leader that writes a number on the wall. It’s more just what’s common sense here, what’s responsible here. If it makes more sense to continue to open more offices in a state like Wisconsin, or Indiana, or Illinois, where we already are, then we’ll do that. If we feel like we can cover those areas responsibly, and we end up in 30 states in three years, then we’ll do that. It’s really just about wanting to go where the need is.”

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