Individual and Family Services

Industry Profile Report

Dive Deep into the industry with a 25+ page industry report (pdf format) including the following chapters

Industry Overview Industry Structure, How Firms Opertate, Industry Trends, Credit Underwriting & Risks, and Industry Forecast.

Call Preparation Quarterly Insight, Call Prep Questions, Industry Terms, and Weblinks.

Financial Insights Working Capital, Capital Financing, Business Valuation, and Financial Benchmarks.

Industry Profile Excerpts

Industry Overview

The 62,700 individual and family services agencies in the US serve children and youth, the elderly and disabled, and persons in crisis. They also provide programs for people needing specific support, such as alcohol and substance abuse self-help programs, ex-offender support programs, and marriage counseling. About 52% of organizations are tax-exempt non-profits.

Dependence On Government Funding

Individual and family services agencies often rely on government grants or contracts for a large part of their annual revenue.

High Staff Turnover

Child welfare and other social service agencies experience an average staff turnover of 30-40% per year and the average length of employment for their staff is less than two years.

Industry size & Structure

A typical individual and family service organization operates a single location, employs 41-42 workers, and generates almost $1.8 million in annual revenue.

    • There are about 62,700 organizations providing individual and family services in the US. These include about 9,200 providing child and youth services, 31,300 providing services for the elderly and disabled, and 22,200 providing other services.
    • Individual and family services organizations generate over $111 billion in annual revenue and have 2.6 million employees.
    • Large organizations include Boys and Girls Clubs of America, Save the Children Foundation, Boys Town, and Uplift Family Services.
                                    Industry Forecast
                                    Individual and Family Services Industry Growth
                                    Source: Vertical IQ and Inforum

                                    Coronavirus Update

                                    Apr 26, 2022 - Increase In New COVID-19 Cases may Spur Demand For Services
                                    • 1. New COVID-19 case rates increased in late April, with the seven-day rolling average increasing to roughly 50,000 on April 27, up from 46,000 on April 22 and 30,000 cases per day on April 8, according to a New York Times COVID-19 case tracker. Experts note that the American population has different vaccination rates, levels of previous exposure to the virus, and degrees of underlying health conditions, so the trajectory of new cases could vary. Cases were rising in 38 states on April 22 and were climbing fastest in Washington, DC, Michigan, and New Hampshire, where they have more than doubled since the beginning of April.
                                    • A $46 billion federal program enacted by Congress to prevent evictions during the coronavirus pandemic is now distributing cash so quickly that many states are running out of money. The Biden administration announced in early January that 665,000 households had received aid through the Emergency Rental Assistance Program in November 2021, the most ever for any month, bringing the total distributed or planned to be spent to between $25 billion and $30 billion, according to the Treasury Department. Several states, including New York, Texas, and Oregon, have already used up nearly their entire share of federal funding from the program, however.
                                    • Housing advocates in New York City say that they’re seeing a wave of tenants, often foreign-born people in low-income neighborhoods, being forced from their homes. Eviction filings in several Texas cities are among the highest in the nation, according to the Texas Tribune newspaper. “We're reaching a critical moment for low-income people who may be struggling to stay in their homes while many of the safeguards are collapsing at the same moment,” said Ben Martin, a senior research analyst for the nonprofit advocacy group Texas Housers.
                                    • Some housing advocates say that evictions are increasing in many parts of the country after remaining relatively low during the first few months after the termination of the federal eviction ban in August 2021. Evictions remain below pre-pandemic levels due to the infusion of federal rental assistance and other pandemic-related assistance like expanded child tax credit payments, but some of those benefits are expected to end in early 2022. The increase is due in part to courts catching up on the backlog of eviction cases. Advocates say the upsurge also shows the limits of federal emergency rental assistance in places where distribution remains slow and tenant protections are weak. Rising housing prices in many markets also are playing a role.
                                    • Pandemic-related isolation has led to worsening symptoms among clients living with memory loss and other forms of cognitive impairment, according to some experts. Older adults have always been prone to isolation due to chronic illness, the loss of family and friends, and living alone. Lockdowns and other restrictions aimed at reducing the spread of COVID-19 compounded the problem for seniors, leading to a spike in symptoms such as stress, anxiety, and depression in that age group, according to a study published in Nature magazine. Industry stakeholders say that elevating the non-medical caregiving profession to a respected, well-compensated vocation and job creation engine is essential to prevent a worsening of the problem.
                                    • Legislation under consideration in the US Congress would provide $270 million to help address an increase in domestic violence than many experts say is due in large part to the coronavirus pandemic. The Stronger Child Abuse Prevention and Treatment Act has passed the US House of Representatives and is currently being debated in the Senate. Experts say that the coronavirus pandemic left more families at home together for long periods at a time of economic loss and overall anxiety, creating a breeding ground for child abuse across the nation. Many children who once found an escape from abusive caretakers at schools and youth programs were cut off from those safe spaces. Social pressure, poverty, and mental health struggles are all factors that can drive child abuse.
                                    • Family service providers are cutting staff as revenue declines during the coronavirus outbreak. YMCA affiliates were typically operating on margins of 3% or less before the pandemic, according to The New York Times. Revenues are down 30% to 50% nationwide, and most affiliates have furloughed 70% to 95% of their workers. The YMCA is not the only provider impacted by the pandemic: Tens of thousands of nonprofits are likely to close without some kind of rescue package, the research group Candid concluded from an analysis of tax filings.
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