How to Start a Domiciliary Care Agency in the UK - The Complete 2026 Guide

By Kizito Chukwude

Starting a domiciliary care agency in England is one of the most regulated business ventures you can undertake. That is not a bad thing - the regulation exists to protect vulnerable people. But it means the setup process is more involved than most businesses, and the consequences of getting it wrong are serious.

This guide covers everything you need to do, in the right order, to get from idea to trading legally and compliantly.

Step 1 - Understand What You Are Registering

Domiciliary care - also called home care - involves providing personal care to people in their own homes. Personal care is a regulated activity under the Health and Social Care Act 2008. That means you cannot provide it without being registered with the Care Quality Commission (CQC).

Personal care includes help with washing, bathing, dressing, toileting, eating, and medication. It does not include purely domestic tasks like cleaning or shopping - unless those tasks are provided alongside personal care.

If you are unsure whether your service requires CQC registration, check the CQC website or seek specialist advice before proceeding. Operating without registration is a criminal offence.

Step 2 - Set Up Your Business

Before you apply to CQC you need a legal business entity. Most domiciliary care agencies register as a limited company at Companies House. This gives you limited liability protection and is generally preferred by commissioners and insurers.

You will need:

• A company name - check it is available at Companies House
• A registered address in England
• At least one director
• A memorandum and articles of association - Companies House provides standard templates

Registration at Companies House costs £12 online and takes 24 hours.

You will also need a business bank account. Most high street banks offer business accounts - you will need your Companies House registration number to open one.

Step 3 - Appoint a Registered Manager

Every CQC-registered service must have a registered manager - a named individual who is responsible for the day-to-day management of the service and who CQC holds accountable.

The registered manager must:

• Hold a relevant qualification - Level 5 Diploma in Leadership for Health and Social Care is the standard
• Have relevant experience in health or social care management
• Pass a fit person assessment conducted by CQC
• Be able to demonstrate the knowledge, skills, and experience to manage the service safely

The registered manager can be the same person as the owner or provider, or a separate individual. If you are the owner but do not have the qualifications or experience to be the registered manager, you will need to appoint someone who does.

Step 4 - Prepare Your Documentation

This is where most people spend the most time. CQC requires a comprehensive set of policies, procedures, and governance documents before they will grant registration. At minimum you need:

• Statement of Purpose
• Safeguarding Adults Policy
• Medication Administration Policy
• Mental Capacity Act Policy
• Complaints Policy
• Health and Safety Policy
• Lone Working Policy
• Infection Prevention and Control Policy
• Equality, Diversity and Inclusion Policy
• Moving and Handling Policy
• Care Planning Policy
• Recruitment Policy
• Staff Supervision and Appraisal Policy
• Duty of Candour Policy
• Whistleblowing Policy
• Data Protection and UK GDPR Policy
• Business Continuity Plan
• Service User Guide
• Staff Handbook

Every policy must be personalised to your specific service - not generic. CQC inspectors can tell immediately whether a policy was written for your agency or downloaded from the internet.

Step 5 - Apply to CQC

CQC registration is done online through the CQC provider portal at cqc.org.uk. You will need to apply as both the provider (the legal entity) and the registered manager (the individual).

The application asks for:

• Details of your legal entity
• The regulated activities you wish to carry out
• The service user bands you will support
• Your Statement of Purpose
• Details of your registered manager
• Evidence of your governance arrangements
• Details of your nominated individual if different from the registered manager

CQC will review your application and may request further information or documentation. Once satisfied, they will arrange a fit person interview with your registered manager. This is a detailed conversation about your knowledge of CQC regulations, safeguarding, mental capacity, safer recruitment, and how you will manage the service.

CQC aims to process registration applications within ten weeks, but complex applications can take longer.

Step 6 - Set Up Your Operational Systems

While your registration application is being processed, use the time to set up your operational systems:

Care management software: You will need a system for recording care plans, care notes, medication records, and staff rotas. Options include Birdie, Access, Log my Care, and several others. Choose one that is CQC-compliant and produces the evidence format inspectors expect to see.

Payroll: You need a compliant payroll system from day one. HMRC requires Real Time Information reporting every time you pay staff.

Insurance: At minimum you need employers' liability insurance (legally required), public liability insurance, and professional indemnity insurance. Your insurers must know you are a CQC-registered care provider.

DBS checking: Register with the Disclosure and Barring Service as a registered body so you can carry out enhanced DBS checks on staff. You cannot use third-party umbrella bodies as a substitute for your own registered body status.

Step 7 - Recruit Your Staff

Safer recruitment is a CQC requirement, not just good practice. For every member of staff you must:

• Verify their identity with original documents
• Verify their right to work in the UK
• Obtain an enhanced DBS certificate or confirm they are registered on the DBS update service
• Take up at least two references - one from their most recent employer
• Check professional registrations if applicable
• Conduct a structured interview with competency-based questions
• Complete a health assessment

All of this must be documented and kept on the staff member's personnel file. CQC will inspect staff files during inspection. Every new care worker should complete a structured induction that aligns with the Care Certificate standards within their first 12 weeks, and a probationary period of at least three to six months gives you the opportunity to assess competence in practice before confirming their position.

Step 8 - Source Your First Clients

There are two main routes to getting care packages:

Local authority commissioning: Contact your local authority adult social care commissioning team and ask how to get onto their approved provider list. The process varies by local authority but typically involves completing a tender application, demonstrating your CQC registration and quality standards, and agreeing to the local authority's standard terms and hourly rate.

Private clients: Market directly to individuals and families through your website, local advertising, and referrals from GP surgeries, hospitals, and community groups. Private clients pay your own rates - typically higher than local authority rates.

What Does It Cost to Start a Domiciliary Care Agency?

The total startup cost varies depending on your circumstances, but a realistic budget for the first six months includes:

• Companies House registration: £12 online
• CQC registration fee: currently £2,289 for a new provider registration plus £519 for the registered manager application (check CQC for current fees as these change annually)
• DBS checks: £38 per enhanced check - budget for yourself plus your first staff members
• Insurance: £500 to £1,500 per year for combined employers' liability, public liability, and professional indemnity
• Care management software: £100 to £400 per month depending on provider and features
• Office costs: you can start from a home office, but you need a secure location for staff files and records
• Policy and governance documentation: £800 to £3,000 if using a compliance consultant, or significantly less with specialist tools
• Training: safeguarding, medication, moving and handling, and first aid for yourself and initial staff

A realistic minimum startup budget is £5,000 to £10,000, though this can be higher if you lease office space or employ staff before securing clients. Some local authorities offer startup grants or support programmes for new care providers - contact your local authority commissioning team to ask.

How Long Does the Whole Process Take?

Realistically, from deciding to start a domiciliary care agency to taking your first client, allow six to nine months. The CQC registration process alone takes 10 to 16 weeks from submission to decision. Add time for company setup, documentation, recruitment, and systems, and six months is achievable if you move quickly and have everything prepared.

The timeline that most often slips is documentation. Writing 18 or more policies from scratch, each requiring specific regulatory references and agency-specific detail, takes most first-time applicants four to eight weeks.

The Biggest Mistake People Make

Underestimating the documentation. People with excellent care experience and genuine motivation to provide a good service are regularly delayed in registration because their policies and procedures are not up to CQC standard. It is not a reflection of their ability to care for people - it is a documentation gap that could have been closed much faster with the right tools.

CareDocPro's CQC Registration Pack generates every document on this list in one afternoon - personalised to your agency, your registered manager, your local authority. Each document cites the correct legislation and is structured for the current Single Assessment Framework.

Related articles