Home care services

Home care services

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Home care services

Sector
Most major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Health Care
Sub Sector
Most major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Health Care Providers
Indicative Return
Describes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
< 5% (in GPM)
Investment Timeframe
Describes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Long Term (10+ years)
Market Size
Describes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
< USD 50 million
Average Ticket Size (USD)
Describes the USD amount for a typical investment required in the IOA.
USD 500,000 - USD 1 million
Direct Impact
Describes the primary SDG(s) the IOA addresses.
Good health and well-being (SDG 3) Good health and well-being (SDG 3) Good health and well-being (SDG 3) Gender Equality (SDG 5) Decent Work and Economic Growth (SDG 8)
Indirect Impact
Describes the secondary SDG(s) the IOA addresses.
Reduced Inequalities (SDG 10)

Business Model Description

Home care services consist of home assistance, companionship, help with personal hygiene, medication management and specialized care. Clients and beneficiaries include the elderly, people with disabilities, children, and patients with long-term health conditions requiring specialized care.

Expected Impact

Transform healthcare by providing personalized and accessible services, contributing to gender equality and reducing marginalization.

How is this information gathered?

Investment opportunities with potential to contribute to sustainable development are based on country-level SDG Investor Maps.

Disclaimer

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The descriptions on this page are provided for informational purposes only. Only companies and enterprises that appear under the case study tab have been validated and vetted through UNDP programmes such as the Growth Stage Impact Ventures (GSIV), Business Call to Action (BCtA), or through other UN agencies. Even then, under no circumstances should their appearance on this website be construed as an endorsement for any relationship or investment. UNDP assumes no liability for investment losses directly or indirectly resulting from recommendations made, implied, or inferred by its research. Likewise, UNDP assumes no claim to investment gains directly or indirectly resulting from trading profits, investment management, or advisory fees obtained by following investment recommendations made, implied, or inferred by its research.

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Country & Regions

Explore the country and target locations of the investment opportunity.
Region
  • Ozama
  • Valdesia
Learn more

Sector Classification

Situate the investment opportunity within sustainability focused sector, subsector and industry classifications.
Sector

Health Care

Development need
The country faces health challenges, such as: infant mortality rate of 21.5/1000 and a life expectancy of 74.5 years. It has 1.6 beds and 1.5 doctors per 1000 people (1,2,3).

Policy priority
In 2019, public spending on health accounted for 2.7% of GDP and 16.3% of total public spending, while out-of-pocket spending on health accounted for 42.9% of total health spending (1).

Gender inequalities and marginalization issues
Gender inequalities and marginalization affect equity in access to health care. Rural and low-income women face additional barriers to accessing maternal and child health services. The maternal mortality rate is 107 per 100,000 live births, highlighting the gap in care (4).

Investment opportunities introduction
The Dominican health sector offers opportunities in hospital infrastructure, medical technologies, and primary care services. The growing demand for private health insurance creates an expanding market. Telemedicine is also gaining relevance (5).

Key bottlenecks introduction
Although access to care has improved, there is still geographic inequity and limitations in specialized human resources. Dependence on public funding limits sustained investment.

Sub Sector

Health Care Providers

Development need
The Dominican Republic has a population of more than 10.7 million, requiring significant improvement in infrastructure and access to medical services. In 2020, per capita health spending was approximately US$466, well below the regional average (6).

Policy priority
The Dominican government has recognized the importance of healthcare and included it as a priority in its National Health Plan 2022-2030. It seeks to expand coverage, improve the quality of care, and strengthen medical infrastructure to achieve the Sustainable Development Goal (SDG) related to health and well-being (7).

Gender inequalities and marginalization issues
Marginalized communities, especially in rural and low-income areas, may have limited access to quality health services. Care providers in these regions may face additional challenges in providing effective services due to lack of infrastructure and resources (4).

Investment opportunities introduction
The sector offers opportunities in the expansion of medical facilities, development of healthcare technology, and training of professionals. Telemedicine and digital services emerge as promising areas. Investment in medical infrastructure can capitalize on unmet demand for specialized medical services (5).

Key bottlenecks introduction
Despite progress, the sector faces significant challenges. Lack of trained medical personnel and outdated infrastructure limit the quality and availability of care. High dependence on the public sector and bureaucracy hinder efficiency.

Industry

Health Care Delivery

Pipeline Opportunity

Discover the investment opportunity and its corresponding business model.
Investment Opportunity Area

Home care services

Business Model

Home care services consist of home assistance, companionship, help with personal hygiene, medication management and specialized care. Clients and beneficiaries include the elderly, people with disabilities, children, and patients with long-term health conditions requiring specialized care.

Business Case

Learn about the investment opportunity’s business metrics and market risks.

Market Size and Environment

Market Size (USD)
Describes the value in USD of a potential addressable market of the IOA.

< USD 50 million

Critical IOA Unit
Describes a complementary market sizing measure exemplifying the opportunities with the IOA.

It is estimated that 550,000 people require care in the homes of the Supérate Program (9).

It is estimated that 85 % of children between 0 and 5 years old in 2018 did not have any institutionalized care services. In terms of dependency care for older adults, in 2018, it was estimated that public management coverage on a direct basis reached only 0.4 % of the total number of people over 60 years of age (8).

Indicative Return

GPM
Describes an expected percentage of revenue (that is actual profit before adjusting for operating cost) from the IOA investment.

< 5%

The profitability of this type of investment is associated with variables such as market demand, regulations, operating costs, and quality of services. In countries such as Malaysia, some companies generated profitability, while others showed losses.

Investment Timeframe

Timeframe
Describes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.

Long Term (10+ years)

It is an emerging business approach. The establishment of platforms capable of providing such services represents a long-term challenge, since authorized companies must adapt to the standards defined by the Ministry of Health.

Ticket Size

Average Ticket Size (USD)
Describes the USD amount for a typical investment required in the IOA.

USD 500,000 - USD 1 million

Market Risks & Scale Obstacles

Capital - Limited Investor Interest

Although there is a clear example of development and impact, investors are concerned about the length of time it will take for potential investments to generate returns, given the newness of the industry.

Market - Volatile

For this area to develop fully and comprehensively in conjunction with licensed providers, greater political backing and more rigorous implementation of regulations is essential.

Capital - Requires Subsidy

Subsidies would be needed to stimulate greater investment by the private sector, as it lacks effective mechanisms to reduce risks and thus facilitate responsible entry into this sector and sustain long-term investment.

Impact Case

Read about impact metrics and social and environmental risks of the investment opportunity.

Sustainable Development Need

The population of the Dominican Republic over 60 years of age represents 9.7%. It is estimated that by 2025 it will be 12.5% of the national population over 60 years old, and by 2050 it will be 21.4% (9).

In terms of dependency care for older adults, in 2018 it was estimated that public management coverage directly reached only 0.4% of the total number of adults over 60 years of age and 1.1% of the population over 60 years of age in the first income deciles (8).

It is estimated that 550 thousand vulnerable people require care in the homes of the Supérate Program. People with disabilities in a situation of dependency do not have public care services (8).

Gender & Marginalisation

More than 850,000 women of working age in the country report that they are not looking for a job because they are engaged in caregiving at home (10).

Gender inequalities in the labor market and the socioeconomic condition of women in the country are closely related to the inequities that persist in the distribution of care.

Women in the Dominican Republic dedicate an average of 31.2 hours to unpaid work, compared to the 9.6 hours that men dedicate to the same task, that is, 20 hours more per week than men, and in the case of care work, they dedicate 5 times more than men, approximately 15.7 hours per week, compared to 3.1 hours per week for mens (11).

Expected Development Outcome

Improving the quality of life of the people served by providing home assistance, companionship, help with personal hygiene and medication management, achieves an intended outcome of increasing their well-being and autonomy, enabling them to live more fully and with more dignity.

This business model provides for people in vulnerable situations to have access to high quality services that may have previously been limited by economic, social or geographic barriers, which not only improves their well-being, but also decreases the social and economic gap.

This model has the potential to generate an unintended outcome of economic empowerment for people who can become care providers, especially important for women who could play key roles in this sector, thus contributing to gender equity and economic development.

Gender & Marginalisation

The business model can contribute to addressing gender inequalities by creating employment opportunities for women in care-giving roles. This contributes to the economic empowerment of women, thereby contributing to the economic empowerment of many families and communities.

Care services can alleviate the disproportionate burden of unpaid care that often falls on women and girls. By providing home care and specialized support, it frees up time and energy for women to participate in other aspects of life.

This business model envisions reducing marginalization by providing care services to those who have historically been excluded. This not only addresses inequality of access to care, but helps to promote social inclusion.

Primary SDGs addressed

Good health and well-being (SDG 3)
3 - Good Health and Well-Being

3.1.1 Maternal mortality ratio

Current Value

Between 2000 and 2019, infant mortality in the Dominican Republic decreased from 39.1 to 21.5 per 1000 live births, a decrease of 45% (1).

Target Value

Decreased maternal mortality rate from 94.8 to 74.3 per 100,000 live births (14).

Good health and well-being (SDG 3)
3 - Good Health and Well-Being

3.4.2 Suicide mortality rate

Current Value

As of 2019, suicides affected 4.9 people (per 100,000 inhabitants) (12).

Good health and well-being (SDG 3)
3 - Good Health and Well-Being

3.c.1 Health worker density and distribution

Current Value

As of 2019, there were 1.5 doctors per 1000 people (2).

Gender Equality (SDG 5)
5 - Gender Equality

5.4.1 Proportion of time spent on unpaid domestic and care work, by sex, age and location

Decent Work and Economic Growth (SDG 8)
8 - Decent Work and Economic Growth

8.5.2 Unemployment rate, by sex, age and persons with disabilities

Current Value

The unemployment rate by sex in the Dominican Republic for 2021 is 12.1% for women and 3.9% for men. For ages 15 to 24, the unemployment rate corresponds to 17% (13)."

Secondary SDGs addressed

10 - Reduced Inequalities

Directly impacted stakeholders

People

Older adults, people with disabilities, children, chronically ill patients, men, and women of different ages who need medication management and ongoing support.

Gender inequality and/or marginalization

Mostly, women have assumed the burden of care in the home and women in care work, who face the challenges of equitable remuneration and representation in leadership roles.

Indirectly impacted stakeholders

People

Family members of direct beneficiaries who may experience relief from the burden of care, which can improve their quality of life. Local communities can benefit from having services that support their most vulnerable members, promoting social cohesion.

Gender inequality and/or marginalization

The business model encourages greater participation of men in caregiving roles, which is seen as a positive indirect result, and marginalized people, who indirectly benefit from more accessible and quality services, reducing barriers to care.

Corporates

Technology companies, who develop technology platforms for the coordination and management of care services, can experience indirect growth.

Public sector

Improving the availability of care services can reduce the burden on hospitals and clinics, optimizing resources.

Outcome Risks

The business model could perpetuate gender inequalities if not adequately addressed by assigning traditional caregiving roles predominantly to women, limiting their opportunities in other areas.

If the demand for services exceeds the availability of trained professionals, quality and time of care issues could arise, negatively affecting the experience of beneficiaries.

Uncontrolled expansion of care services could have a negative environmental impact if sustainable practices, such as responsible resource use and medical waste management, are not implemented.

Gender inequality and/or marginalization risk: Failure to take into account the specific needs of marginalized groups could result in the exclusion of these individuals.

Impact Risks

If technology implementation is not done effectively, it could create an over-reliance on digital systems, excluding people who do not have access to or are unfamiliar with technology.

If care services are not effective enough to prevent long-term health problems, they could increase burdens on the public health system, affecting both patients and medical staff.

If care services do not meet expected quality standards, beneficiaries could experience a decrease in their quality of life and well-being, which would contradict the purpose of the model.

If service delivery is not carried out in a sustainable manner, such as inadequate generation of medical waste, it could have a negative impact on the environment and public health.

Gender inequality and/or marginalization risk:If the business model fails to achieve its goal of providing accessible services for all, it could increase existing inequities.

Impact Classification

C—Contribute to Solutions

What

Contribute to the improvement of the quality of life and well-being of vulnerable populations by providing high quality, personalized care services.

Risk

Mitigate risks of increasing inequities in access to health care by providing equitable and affordable services.

Contribution

Contribute to easing the burden on the health care system and reducing long-term medical costs through prevention and early care.

Impact Thesis

Transform healthcare by providing personalized and accessible services, contributing to gender equality and reducing marginalization.

Enabling Environment

Explore policy, regulatory and financial factors relevant for the investment opportunity.

Policy Environment

National Multi-Year Public Sector Plan 2021-2024: redesigns the planning process since the main objective of public policies should be to improve the quality of life of the people (15).

National Plan for Gender Equality and Equity (PLANEG III) 2020-2030: This document responds to the main problems and needs of women in the Dominican Republic, identified as a sign of social inequality and as part of the inescapable commitments subscribed by the state (16).

Building a National Care Policy with the actors of the territory: The Dominican State intends to promote the Communities of Care as a pilot exercise for the implementation of a National Care Policy, starting with a strategy (8).

Financial Environment

Financial incentives: Access to Financing: Multiple banks offer loans at market rates for business projects.

Regulatory Environment

National Development Strategy (END): This Law contains the formulation of the long-term vision of the Nation, the Axes, Objectives and Strategic Lines of Action, a set of indicators and goals that the country intends to achieve in the time horizon of application of the Strategy (17).

General Health Law 42-01: regulates all actions that allow the State to make effective the right to health of the population, recognized in the constitution (18).

Law No. 5-13, on Disability and its Decree No. 363-16 which establishes the Regulations for the Application of the Law. It protects and guarantees equal rights and equal opportunities to all persons with disabilities and regulates non-profit legal entities (19).

Law 352-98 of 1998 that creates the National Council of the Aging Person (CONAPE), entity responsible for designing national policies in favor of the elderly (20).

Marketplace Participants

Discover examples of public and private stakeholders active in this investment opportunity that were identified through secondary research and consultations.

Private Sector

Health care companies such as Servi enfermera, United Telemedicine Network, North Coast Elder Care.

Government

Ministry of Health, Ministry of Labor, Ministry of Women, Ministry of Economy, Planning and Development, CONAPE, CONADIS.

Multilaterals

International organizations such as WHO and UNDP that provide guidance and accompaniment to the government for the design and implementation of public policies.

Non-Profit

Charities and NGOs working in the care of older adults such as: Caritas Internationalis, FUNDAMA, Sociedad San Vicente de Paúl, Fundación Ventanas de Amor.

Target Locations

See what country regions are most suitable for the investment opportunity. All references to Kosovo shall be understood to be in the context of the Security Council Resolution 1244 (1999)
country static map
urban

Ozama

The Government is committed to advancing in the participatory construction of a National Care System and, as a starting point, has launched the Communities of Care pilot strategy in two prioritized municipalities, Azua and Santo Domingo Este, which will serve as a model for the entire country (21).
semi-urban

Valdesia

The Government is committed to advancing in the participatory construction of a National Care System and, as a starting point, has launched the Communities of Care pilot strategy in two prioritized municipalities, Azua and Santo Domingo Este, which will serve as a model for the entire country (21).

References

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