How to start an adoption agency

Posted by Law Article on July 11th, 2009 at 12:18am

The following are the necessary steps for setting up an adoption agency. However, love for what you’re doing should be the most important consideration.

1/ Industry Knowledge

Starting an adoption agency requires primarily good knowledge of the industry. For example, what are the sources of babies for adoption? How often people adopt? Infants or older children are mostly demanded for adoption? Are there cultural inferences that should be taken into consideration? Are there racial preferences in adoptive families? Individuals interested in starting an adoption agency, should perform a thorough industry analysis in order to identify the trends of the adoption industry and how these may affect their business. The goal is to be able to show to prospective investors that the venture’s potential is real because industry forces are favorable.

2/ Market Research

A detailed market research should follow. A prospect adoption agency owner needs to understand the area. For example, how many families live there? What are the family demographics? What are the education and income levels? Is ethnicity an important consideration? Do younger or older people live in the area? Are those families interested in adoption? Are there neglected or abused children in the area? Are there other adoption agencies in the area? All this information is valuable in order to identify the market niche the agency will occupy as well as the competitive advantage in relation to other agencies in the area.

3/ Business Plan

A business plan should be developed. The new venture should be described including mission, vision, values, location, operations, target groups, and opportunity assessment to support why such a business makes sense in relation to the industry. The types of adoptions offered and the services provided as well as the legal form of the venture, the management team as well as the roles and responsibilities of personnel should be mentioned. Information about advertising plans, staff training, projected financial assumptions, sources and uses of funds, and proforma statements for at least 2 years should be included in the plan along with a risk assessment to anticipate unexpected and threatening events.

4/ Getting familiar with adoption laws

Adoption laws vary from state to state. Hence, starting an adoption agency requires a thorough knowledge of the pertinent state laws and regulations that govern the placement of children for adoption. State Licensing Specialists may provide such information as well as provide the licensing application to the adoption agencies that are to become licensed agencies. In addition, owners of adopting agencies should be aware of the Interstate Compact for the Placement of Children (ICPC) regulations that establish standardized legal and administrative procedures governing the interstate placement of children.

5/ IRS laws and regulations

The adoption agency should also be incorporated under the state laws and regulations of the Internal Revenue Service (IRS). In the majority of the states, an agency casework supervisor should hold a Master’s degree in Psychology or Counseling or a Master’s Degree in Social Work (MSW). Also, he or she should be familiar with any licensing requirements and regulations regarding adoption agencies in the particular state as well as informed on the latest updates on current practices and research in regards to family assessment, post-placement supervision, and post-adoption service resources.

6/ Other sources of gathering information

Even if someone doesn’t have too much experience in the adoption field, reliable information can be gathered from social workers, adoption magazines and federal adoption departments. Adoptive Families of America, Child Welfare, Child Welfare League of America, Children & Youth Services Review, National Resource Center for Special Needs Adoption, National Association of Social Workers, Roundtable, Pergamon Press, Adoption Studies Institute, Adoptalk, Adoption Quarterly, Adoptive Families and North American Council on Adoptable Children are some of them.

Tags: Adoption, Adoption Agency