Addiction (Drug, Alcohol & Smoking) & Pain Management are growing problems in the Indian society. Often there is a disconnect between the patient, doctor & the treatment. The need of the hour is - Patient awareness, doctor training and the right arsenal of products and services to combat addiction & pain. The basic concept behind setting up Navicare™ Clinic is to be able to address all such needs in a comprehensive manner. The Clinic will essentially have three key components: Treatment Services, Counselling Services (Group / Family / Web counselling), and also a pharmacy with medicines as per Indian & global protocol for effective treatment all under one roof.
Franchising today is one of the most common business models which has been adopted by some of the most well-known brands. In the US, it is estimated that there are over 900,000 franchise businesses across 300 business categories in the U.S. which provide nearly 18 million jobs and generate over $2.1 trillion to the economy. Although in India the franchising industry has been slow to pick up, but it has had significant success with established companies like NIIT, Aptech, SSI, Archies, VLCC, Shahnaz Husain, Lakme etc. According to KPMG India estimates’, the franchising industry is expected to quadruple between 2012 and 2017. This is also expected to create job opportunities (including both direct and indirect) for an additional 11 million people by 2017.
A franchisor supports the entrepreneur (the franchisee) with its brand name and also vast industry/business knowledge. As a result, a typical entrepreneur has best of both the worlds, the satisfaction of running his own business and the support of a well-known speciality organization.
Setting up a clinic on a franchisee basis requires entering into an arrangement with Navicare™ Pharma (NP) Limited as the Franchisor. NP will be provide the technical know-how and the franchisee will operate the business.
Consistently superior quality of services is the cornerstone to ensuring success of the Clinic. Navicare™ therefore selects each franchisee with utmost care and after careful screening process. A proper due diligence is carried out before finalizing a franchisee.
An ideal franchisee will have the following characteristics:
- He will have a prior track record of running a successful business venture.
- He should be able to devote full time or a significant amount of his time to the clinic.
- He will have a social standing, enjoy good reputation and exhibit integrity.
- He will be genuinely interested in the healthcare sector.
- He will strictly abide by the guidelines given by Navicare.
- Individuals looking purely for quick returns or productive utilization of their idle space or building are not necessarily the right candidates and are likely to be discouraged.
What is the first step towards becoming a Franchisee and how can I obtain detailed information about the project?
Anyone who is interested in becoming a franchisee can contact the Head -Franchisee Operations of Navicare™ directly by telephone on our Toll-Free number - 1800 419 0702 or E-mail firstname.lastname@example.org He/she can also apply directly through the website by filling out the ‘Basic Franchisee Application Form’ online. On receiving the required information, the prospective franchisee will be contacted by the Navicare team. He/She will be required to fill and submit a ‘Detailed Franchise Application Form’. If your profile is found suitable, you will be required to attend a meeting with our Senior Management at the NP corporate office in Mumbai. During this meeting, you can obtain detailed information about the project, including financial projections. You could also seek clarification on any questions you may have, related to the project. We will also assess the franchisee’s ability to run a Navicare™ Clinic. Additionally, you could plan to visit some of our operational clinics at various locations in India, to get a first hand feel of 'Navicare™ Clinic’.
Once we are satisfied with our assessment, the prospective franchisee must sign the Franchise Agreement and pay the initial franchisee fee. You would also need to form a Private Limited company
Is it enough being the best brand in healthcare, having a good business model & location to drive a business?
Wrong. The most important ingredient for success is the franchisee himself. His managerial ability, interest in healthcare, extent of personal involvement in the business and the selection of qualified clinic staff determines the success of 'Navicare™ Clinic'. Which is why, as in all franchise businesses, we have extraordinary performers, average performers and non-performers.
The time taken from signing the Agreement to commencing operations depends to a large extent on a few critical factors like, the selection of a suitable site, tying up the finances and completing licensing requirements. Also, the time required for constructing ground up clinics is typically longer than that required for establishing clinics in existing buildings. If there are no major issues, it is easily possible to commence operations within a time frame of 3-4 months from the date of signing the agreement.
You can decide to partner with anyone else for taking the Clinic franchisee. However, NavicareTM will assess each person individually before signing the agreement. It is also to be noted that the Franchisee Agreement is signed with a limited liability company only. Change in partners/shareholders after the signing of the agreement is restricted by the terms of the agreement.
Can a franchisee only be an investor? If I put up funds and agree to a different sharing pattern, is Navicare willing to manage the business?
Ideally we are not open such a business model, you can send us your enquiry by the franschisee form, and we will revert back if interested.
The Clinic will require a minimum area of about 1,000 sq.ft., preferably on the ground floor level and should be close to a large residential area. If the Clinic is on a higher floor, then the premises should have at least one functional lift. The area will vary according to the number of specializations being planned.
It is envisaged that the Clinic will be on fully owned or leased/rented premises. However, franchisees may also consider constructing a separate building, or purchasing existing building.
You can feel the difference between Navicare™ Clinic and other similar establishments right from the moment you enter the clinic. The ambience is designed to provide an experience which is most comforting to the customers.
The basic difference that Navicare™ clinics brings are:
Home-Based Treatment: Addiction, especially drug addiction, is a major problem in India and is generally attached with a lot of stigma and confidentiality concerns. All Navicare™ clinics provide home based treatment wherein the doctor visits the patients at the comfort and security of his house or a place of his choosing to avail the treatment. Pain management also requires home based treatment especially those who are bed-ridden or with limited mobility.
Tele-Medicine: The Clinic also offers tele-medicine facilities. Telemedicine provides the Clinic access to specialists and super-specialists who are located at different parts of India and the world. This is done using audio-visual devices that connect consultants in one facility (in this case the Clinic) with specialists and super-specialists in another facility. Doctors and customers in the Clinic have the option of consulting these specialists and super-specialists online without incurring the cost of travel, and within a short span of time. The end result is an expert opinion from a specialist with much less cost. The Clinic benefits by providing additional value-added services to its customers at minimal costs.
Treatment - Globally accepted treatment protocols. Our clinical as well as non-clinical procedures have been developed after research by a team of specialists from within the Navicare™ Group.
Products – a whole range of niche products which are licensed to Navicare™ Clinics.
Training – regular training of doctors and non-clinical staff gives a truly professional feel and patient satisfaction.
Licenses – since some of the medications required for the treatment of addiction & pain management, Navicare™ helps the franchisee to get various licenses and closely follow the law of the Land.
Toll-Free Helpline Support – Toll-free support for the patients of the Navicare Clinic and the staff of the Navicare is provided to enable a superior experience at the Navicare™ Clinic.
The relationship between the Franchisor (Navicare™) and the Franchisee is modelled on best international franchising systems. As the franchisor, Navicare™ will provide all support for setting up and later running the Clinic.
Given below is a brief description of Navicare™ support services to be provided to be franchisee:
Licenses: Navicare’s will assist and enable the clinic to get the Narcotic Drugs & Psychotropic Drugs (NDPS) licenses for the clinic to enable the doctors to store and dispense the much needed Narcotic & Psychotropic medicines used for the treatment of addiction and management of pain.
Audits: Regular audits from the Navicare™ Head office will help the franchisee ensure they are compliant as per the latest amendment in the NDPS laws of India.
Toll-Free Number & Service: Navicare’s pan-India toll free number:- 1800-419-0702 enables patients across India to connect to us and get more information on the services and locations of Navicare clinics.
Site selection Do's & Dont's
This is first step of project development, and is the most crucial element of Clinic setup and utmost care should be exercised in choosing the right place for the Clinic. A set of Do's and Don'ts to be kept in mind while looking for a suitable site for the Clinic
Architecture & Interior Design
NP has developed a comprehensive manual incorporating all possible design features to take care of all types of sites (of any size, shape, location, etc). Navicare™ will suggest design concepts to ensure safety, security and smooth working of the Clinic.
Selection and Procurement of Medicines
The franchisee is provided with the list of recommended medicines that will be required. Navicare’s strategic tie-ups, it is able to provide the best medicines currently known and globally accepted for the treatment of addiction and management of pain. These medicines have been selected after exhaustive negotiations with leading suppliers and have the best quality and prices. The franchisee need not reinvent the procurement process.
Selection of Personnel
Navicare™ has a highly structured system for selection and training of medical, para-medical and other administrative/support personnel in a Clinic. Navicare™ is also directly involved in screening of key positions in the Clinic, and a panel from Navicare™ Group is involved in conducting interviews for all key positions in the Clinic.
Induction & Continuous Training Programs (Onsite / Head Office / Web-based)
A 1-2 day training package is conducted by the Navicare team, for the administrative and technical staff at the Clinic wherein the following topics are covered with the relevant personnel:
- Treatment Protocols & SOPs
- Licenses & Quotas & relevant law governing the procurement / storage / dispensing & record-keeping
- IT – Clinic management software
Refresher training and upgrades are provided to the employees on a periodic basis. The induction training sessions are conducted usually carried out on-site or at our head office in Mumbai. The refresher training courses can also be conducted over the web.
Clinic Management Software
Navicare™ has a well-developed Clinic Management Software. This comprehensive software addresses all medical and non-medical functions of the Clinic. The software is implemented by Navicare/IT partners, and the Clinic staff will also be trained by Navicare™/IT partners.
Local Sales Support
NP's marketing executives will train the franchisee's sales personnel in sales and promotion of the Clinic. They are actively involved in developing product and pricing strategy and also the pre-launch activities.
On-going Service Quality Training & Audit
Navicare™ will carry out periodic medical and service quality audits of the Clinic function, which help in maintaining and improving service quality standards of the Clinic. This includes regular clinical and non-clinical audits, developing standard operating procedures and checklists, and assistance in implementing service quality. Navicare™ also sets and monitors monthly revenue targets for the clinics.
The Clinic will derive its income broadly from the following services:
Consultation including counselling services
- Individual Counselling
- Group / Family Counselling
- Web Counselling
Treatment Services for Addiction & Pain:
- Others (Telemedicine, referrals etc)
The Clinic is expected to generate revenue through all of the above sources. It is also expected that there will be a large degree of cross-referrals between various revenue generating streams. In the first year of operation, the Clinic in India can expect to generate a gross turnover between ₹ 84,00,000 – ₹ 1,20,00,000 per year.
Navicare™ charges an 'Initial License Fee' of ₹10,00,000 per clinic at the time of signing the Agreement. This license is valid for a period of Five (5) years, which is the tenure of the License Agreement. As ‘Royalty Fee, Navicare™ will charge 12% of the gross turnover of the clinic, which will be payable on a monthly basis.
Since the chain of Navicare™ Clinic is being set up on a franchise basis, the franchisee will be responsible for the entire investment. Where requested, Navicare™ will assist the franchisee in arranging term loan from a bank. However, Navicare™ will not make any investment in the clinic. It will also not give any guarantee to the lender.
Every clinic will be called "Navicare™ Clinic". No deviations are allowed. The name and signage has been standardized and no deviation, beyond Navicare’s stated guidelines in the ‘Operating Manual’, will be permissible.
Typically staffing requirements at a Navicare™ clinic vary between 4 to 5. Actual staffing could vary depending on a number of variables including the number of facilities set up and the number of floors occupied by the Clinic.
The Clinic will have a ‘Core Team’ on a full-time/on-call basis which comprises of:
- Clinic Manager – 1 person
- Doctors / Counsellors – 2 people for treating addiction and pain separately.
Besides the ‘Core Team’ the following manpower may be required on a full-time basis:
- Pharmacist – 1 person
- Receptionist – 1 person
- Outreach workers (Optional) – 1 to 2 outreach workers - for generating leads of patients seeking treatment for addiction.
The hours of employment may however be decided based on the local conditions.
The method of employment of doctors & counsellors would vary from city to city. Navicare™ will help in providing job descriptions, assessing the financial implications on the business and recommend full time employment, revenue sharing based association or any other method that is considered appropriate. Good technical staff is adequately available in the market. It is the responsibility of the Franchisee to recruit qualified staff by various means and Navicare™ can assist in conducting interviews, and short listing the potential Navicare™ clinic staff.
The professional manager should preferably be an MHA (Master of Health Administration) with excellent managerial skills, marketing acumen and a flair for customer relationship management. He would have about 7-8 years of work experience, preferably in a primary healthcare facility. Doctors in administration may also fit the profile.
Can I invest in 10 clinics in different locations at a single time? What are the economies of scale involved for the franchisee in such a case?
We would recommend the Franchisee to start with only one clinic in the beginning. Based on the business performance and customer feedback, we would consider allocating licenses for more clinics.
Are the locations for opening an Navicare™ clinic restricted? Can the clinics be set up anywhere in India or abroad?
Navicare™ has prioritized certain cities based on market surveys conducted for the establishment of new clinics. Some of these cities are being considered for implementation in the first phase itself. Other cities shall be covered in the second and third phase. We foresee completion of all three phases in the next 2 years itself. For information regarding specific locations, please contact 1800-419-0702.