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rumba@lemmy.zip ⁨2⁩ ⁨weeks⁩ ago

I would seem to me, there’s a market for opening a daycare that pays livable wages, and another where you could both undercut nursing facilities and pay the staff living wages.

I’m not a fan of capitalism by any means, but it does seem that this should market correct no? What’s stopping that from happening?

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cogman@lemmy.world ⁨2⁩ ⁨weeks⁩ ago
For a daycare, it’s because setting up a new one is expensive and risky. You need property, insurance, and licensing. You need employees you’ve vetted and trained. It takes months to do all this and during these months you aren’t making any income.

Nursing homes are even worse because they have a lot of legal requirements (that should exist!) which raises the barrier even further.

It’s hard to get the loans needed for these new businesses if you aren’t already wealthy.

The people that are wealthy enough to do this are instead investing in PE firms which buy up daycares and run them into the ground for profit.

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- alternategait@lemmy.world ⁨2⁩ ⁨weeks⁩ ago
  With regards to nursing homes there’s a second level. I’m going to borrow from my own past writing here :
  
  Due to the way that insurance pays these days and that they can take up to 18 months to review and deny a claim at which point you have to pay them back, it’s becoming harder and rarer for single practitioners or small groups to have the ability to have a practice (unless cash based, which is difficult and excludes a lot of people from care which I have FEELINGS about). Corporations have the administrative ability to have a dedicated coder, dedicated team for denial challenges etc. However corporations are predictably exploitative.
  
  I really don’t see any way to run anything medial based without a dedicated admin team ensuring cashflow. Which sucks. It also costs a ton of money up front.
  
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- rumba@lemmy.zip ⁨2⁩ ⁨weeks⁩ ago
  Interesting info, thank you!
  
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wpb@lemmy.world ⁨2⁩ ⁨weeks⁩ ago

What’s stopping that from happening?

Capitalism, actually. The purpose of a system is what it does.

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glitchdx@lemmy.world ⁨2⁩ ⁨weeks⁩ ago
insurance, frivolous lawsuits, lack of cooperation from regulating authorities, take your pick

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