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Starting an Alternative and Complementary Health Care BusinessLast Verified:
2006-07-05
The following is intended to provide an understanding of potential license, permit or registration requirements when considering the establishment of an alternative and complementary health care business in Canada. This document was prepared by the Canada Business Service Centres (CBSCs) and contains a series of possible steps and issues to consider in carrying out your project. The extent to which the information will apply to you will depend on the circumstances related to your situation. For further information on individual topics identified herein, contact your local Canada Business Service Centre. Because this document is only meant as a guide, the CBSCs will not accept responsibility for business decisions made based on the information provided. TABLE OF CONTENTS
BASICS TO GETTING STARTED Starting a business can be a rewarding undertaking, but it comes with its challenges. Before starting a business in Canada, it is wise to do your research. You should also make sure you are suited for entrepreneurship, and understand that significant effort may be required. As such, you should thoroughly enjoy the field you are getting into, and you must believe in your product or service as it may consume much of your time, especially during the start-up phase. There are many issues to consider such as regulations, financing, taxation, managing your business, advertising, and much more. The Canada/Manitoba Business Service Centre also offers free business and trade seminars which can help you to prepare for owning and operating a business in Manitoba. You can obtain a listing of seminars from the Centre or visit our website at http://www.cbsc.org/manitoba. The following is additional information to consider: INDUSTRY OVERVIEW The Fraser Institute published a report on the use of complementary/alternative medicine by Canadians and found that during the 1997 calendar year, Canadians spent approximately $1.8 billion out of pocket on visits to complementary and/or alternative health care providers and an additional $2 billion on herbs, vitamins, diet programs, and books. A definition frequently referenced in research comes from the National Center for complementary and Alternative Medicine (NCCAM) in the United States. They define alternative medicine as a group of diverse medical and health care systems, practices, and products that are not presently considered to be part of conventional medicine (medicine as practiced by medical doctor or doctors of osteopathy and by their allied health professionals, such as physical therapists, psychologists, and registered nurses). Alternative health care is often referred to as complementary and alternative health care. The terms "alternative" and "complementary" refer to using a same therapy differently. That is, alternative refers to using a particular therapy instead of conventional treatment; and complementary is used along with conventional medicine. Other terminology used can include:
Some types of alternative health care are more commonly used than others in Canada. In their study, The Fraser Institute identified the following practices as most commonly used: chiropractic (36%), relaxation techniques (23%), massage (23%), prayer (21%), herbal therapies (17%), special diet (12%), folk remedies (12%), acupuncture (12%), yoga (10%), self-help group (8%), lifestyle diet (8%), and homeopathy (8%). The Statistics Canada study examining patterns of use of alternative health care in Canada found that the use is higher among women, people with higher education and higher income, people experiencing chronic conditions or pain, and in Western Canadians (explained in part due to more flexible provincial health care plans). Further, it concluded that Canadians were visiting alternate health care providers not as an alternative to conventional medicine, but rather to complement it. It is speculated that the demand for services within the alternative health care industry will continue to grow, fuelled in part by Canada's aging population and the increase in chronic illness. Types of Operation The following are examples of such practices (but are not limited to): Acupuncture is an ancient Chinese art based on the theory that Qi energy flows along meridians in the body, and can be stimulated by inserting fine needles at specific points. Acupuncture is used to treat asthma, addiction, arthritis, depression, anxiety, blood pressure disorder and problems with the digestive system. Aromatherapy involves the use of essential oils (extracts or essences) from flowers, herbs, and trees to promote health and well-being. Ayurveda is an alternative medical system that has been practiced primarily in the Indian subcontinent for 5,000 years. Ayurveda includes diet and herbal remedies and emphasizes the use of body, mind, and spirit in disease prevention and treatment. Chiropractic is a system that focuses on the relationship between bodily structure (primarily that of the spine) and function, and how that relationship affects the preservation and restoration of health. Chiropractors use manipulative therapy as an integral treatment tool. Natural Health Products are defined as vitamins and minerals, herbal remedies, homeopathic medicines, traditional medicines such as traditional Chinese medicines, probiotics, and other products like amino acids and essential fatty acids. Natural health products are available for self care and self selection, and do not require a prescription to be sold. In Canada, natural health products, also referred to as complementary medicines or traditional remedies, are subject to the Natural Health Products Regulations. Homeopathic medicine is a system based on the belief that "like cures like" meaning that small, highly diluted quantities of medicinal substances are given to cure symptoms, when the same substances given at higher or more concentrated doses would actually cause those symptoms. Massage or massotherapy is the manipulation of muscle and connective tissue to enhance function of those tissues and promote relaxation and well-being. Naturopathic medicine is an alternative medical system in which practitioners work with natural healing forces within the body, with a goal of helping the body heal from disease and attain better health. Practices may include dietary modifications, massage, exercise, acupuncture, minor surgery, and various other interventions. Reflexology is a type of deep foot or hand massage designed to relax the whole body through the reflex response. The thumbs are used extensively to break up crystalline deposits that have formed at the nerve endings, particularly on the bottom of the feet. Reiki is a Japanese word representing Universal Life Energy. Reiki is based on the belief that when spiritual energy is channelled through a reiki practitioner, the patient's spirit is healed, which in turn heals the physical body. Therapeutic Touch is derived from an ancient technique called "laying-on of hands". It is based on the premise that it is the healing force of the therapist that affects the patient's recovery; healing is promoted when the body's energies are in balance; and, by passing their hands over the patient, healers can identify energy imbalances. Yoga has been shown to alleviate stress and, at the physical level, has been seen to be useful in the treatment of those who suffer conditions that affect or are affected by posture, such as backache and arthritis. Practitioners of alternative health care may be home-based, practice from an office or spa-like environment, or take their business directly to the client at their home or office (for example, chair massages in the workplace); or even a combination of these. For more information regarding establishing your business, see the following documents:
Some practitioners may specialize in one discipline while others may train to offer multiple therapies. To complement their practice, some practitioners incorporate a retail aspect to their business and may, for example, sell natural health or cosmetic products. For more information regarding starting a retail business, see the following document: Winning Retail is a useful " how to" publication aimed at the retail industry. For a student of retail, you will find in its pages practical ideas from the real world of retail to help form your understanding of the business. Another type of business, pending on the discipline and qualifications of the practitioner can include teaching techniques to others. According to the Department of Foreign Affairs and International Trade, the high costs of pharmaceuticals for many developing nations creates exporting opportunities for Canadian firms that specialize in alternative and natural health practices. Whether delivering these therapies directly to patients or providing training to individuals within the foreign market, there exists the potential for new and profitable experiences.
E-mail: info@mtam.mb.ca
The federal government is responsible for the licensing and monitoring of drugs, food, medical devices and natural health products. Provinces and territories are responsible for the delivery of health care and the authority to licence and regulate healthcare practitioners and other service providers. The provinces and territories have passed legislation for many professions which delegates authority for the regulation of a particular profession from the province or territory to an organization comprised of members of the particular profession. These professional organizations are largely self-governing within the boundaries of their statutory authority and have been granted the privilege of self-governance in order to protect and promote the public interest. Certification and Training Training is available in Manitoba for massage therapy and selected other courses at the following institutions:
MANAGING YOUR OPERATION The following list is included to remind you not to overlook the complex areas of business insurance. It is best, however, to discuss your specific requirements with your insurance agent. Basic insurance:
Professional liability insurance
Marketing/Advertising A Web site is also a good marketing tool. It should have details to describe the location (your address, telephone and fax numbers, and directions on how to get to your establishment), hours of operation, services offered, credentials and anything else you think may be of interest to potential customers. However, once you launch a Web site, you must update it on a regular basis. Participating in community events is another way of advertising your business. You may also hold events that will promote your business. No matter how you choose to market your business, it is wise to track how your clients found or heard of your establishment - this may help determine your future advertising strategies. For more information regarding advertising and marketing, see the following documents:
The federal Competition Act governs misleading advertising and deceptive marketing practices for most businesses in Canada. The Act defines which marketing practices are illegal and the process of complaint investigation. For more information, consult the Competition Act - Misleading Advertising and Deceptive Marketing Practices, or visit the Competition Bureau Web site.
Guide to Market Research and Analysis In developing a marketing plan, your primary functions are to understand the needs and desires of your customer, select or develop a product or service that will meet customer needs, develop promotional material that will make the customer aware and ensure product or service delivery. You can obtain market research information at the Canada/Manitoba Business Service Library, 250-240 Graham Avenue, Winnipeg, MB. A good record keeping system should be simple to use, easy to understand, reliable, accurate, consistent and designed to provide information on a timely basis. Note: All staff working with cash should be trained to recognize counterfeit currency. Selecting Professional Services The use of professional services is essential to the success of a small business. Professionals can provide knowledge and expertise in the areas where you may have little. They can round out your management team to ensure your business is operating efficiently. Professional services often used by entrepreneurs may include:
Used Equipment - Consider buying used equipment as a cost-saving measure. Sources of used equipment could be a similar business that is closing or dealers in second-hand equipment. The drawback to this approach is that, often, there are no guarantees with the purchase. Leasing Equipment - Another alternative is to lease equipment to help keep start-up costs down. To obtain financing for capital leasing for new or used equipment for the creation of your business, see the document Capital Leasing Pilot Project. For more information on parts and materials, overhead, stock control and pricing, see the document Business Plan for Small Service Firms . Pay administration is a management tool that enables you to control personnel cost, increase employee morale, and reduce workforce turnover. Setting the right price can influence what consumers will buy, which in turn affects the total revenue and the profit. In the end, the right price for the product/service is the price that the consumer is willing to pay for it. Hence, correct pricing decisions are a key to successful management. Making a profit is the most important -- some might say the only objective of a business. Profit measures success. It can be defined simply: revenues - expenses = profit. So, to increase profits, you must raise revenues, lower expenses, or both. To make improvements, you must know what's really going on financially at all times. You can find additional information on managing your operations, by viewing our index of Popular Business Topics. ASSOCIATIONS
The following associations in Manitoba may offer additional information or help: Chinese Medicine & Acupuncture Association of Canada – Manitoba Chapter Manitoba Naturopathic Association Massage Therapy Association of Manitoba Inc. RESOURCES Publications Health Care Co-operatives Start Up Guide - information on how to start a health care co-operative Statistics Statistics Canada
BIBLIOGRAPHY Canada/Manitoba Business Service Centre 250 - 240 Graham Ave P.O. Box 2609 Winnipeg, Manitoba R3C 4B3 Canada Telephone: 204-984-2272 Fax: 204-983-3852 Toll-free (information): 1-800-665-2019 TTY Toll-free (hearing impaired): 1-800-457-8466 TTY (hearing impaired): 1-800-457-8466 E-mail: manitoba@cbsc.ic.gc.ca Web site: http://www.cbsc.org/manitoba Hours of operation: 8:00 a.m. to 5:00 p.m. Monday to Friday
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