Updated March 202611 min read

How to Start a Home Care Agency in Delaware

Delaware requires non-medical home care agencies to obtain a Personal Assistance Services Agency (PASA) license. PASA is the non-medical model for agencies providing assistance with activities of daily living, companionship, homemaker services, transportation, medication reminders, and related support that does not require skilled nursing services.

Initial Fee
$500

Initial PASA License Fee

Timeline
3-4 Months

Estimated Licensing Timeline

Senior Pop.
195,000

Senior Residents

Market Rating
55/ 100

Moderate Opportunity

Delaware Licensing Overview

The Delaware DHSS, Office of Health Facilities Licensing and Certification (OHFLC) oversees all non-medical agencies.Delaware requires non-medical home care agencies to obtain a Personal Assistance Services Agency (PASA) license. PASA is the non-medical model for agencies providing assistance with activities of daily living, companionship, homemaker services, transportation, medication reminders, and related support that does not require skilled nursing services.

90-Day Probationary License

Initial applicants receive a probationary license period before moving into standard operations.

Strict Director Requirements

The director must be a full-time employee and must have at least an associate degree plus two years of healthcare or homecare supervisory experience.

Heavy Screening Rules

Delaware requires criminal background checks, abuse checks, and drug testing for employees and contractors.

Administrator Certification

Every Personal Assistance Services Agency (PASA) must designate an administrator who has completed the 0-hour certification program.

  • Training Hours:0 Hours
  • Training Cost:Varies
  • Topics:Director qualifications, supervision, agency oversight, and compliance readiness

Estimated Startup Costs (2026)

Budget for $45,000 - $80,000 to ensure 3-6 months of runway.

CategoryLow Est.High Est.
Initial PASA License Fee$500$500
Annual Renewal Fee$100$300
Business Formation / Legal Setup$500$2,000
General Liability Insurance$1,500$5,000
Surety Bond$500$2,500+
Workers' Compensation$500$3,000+
Background Checks / Fingerprinting / Drug Testing$1,000$3,000
Office / Administrative Setup$2,000$6,000
Initial Marketing$2,000$5,000
Working Capital$20,000$50,000

How to Get a Delaware PASA License

1

1-2 Weeks

Form Your Business Entity

Register your LLC or corporation, obtain an EIN, open a business bank account, and secure any required local business licenses.

2

1-3 Weeks

Hire a Qualified Director

Appoint a full-time director who meets Delaware's educational and supervisory experience requirements.

3

1-2 Weeks

Prepare Screening and Hiring Systems

Set up criminal background checks, abuse registry checks, fingerprinting, and drug testing for employees and contractors.

4

2-4 Weeks

Assemble Policies, Insurance, and Core Documents

Prepare proof of insurance, disaster preparedness materials, organizational documents, service lists, and director credentials.

5

1-2 Weeks

Submit PASA Application

Apply to OHFLC with the required forms, fees, exhibits, and ownership disclosures.

6

90 Days

Receive Probationary License

Delaware issues an initial probationary license for 90 days to agencies that complete the application process and meet the requirements.

7

During Probationary Period

Complete Required On-Site Review

Plan for the required survey and operational review during the probationary period.

New 2026 Legal Mandates

Probationary Initial License

Delaware grants an initial probationary license for 90 calendar days to qualifying PASA applicants.

Director Must Be Full-Time

The PASA director must be full-time and available to staff and consumers during operating hours.

Screening and Drug Testing

Employees and contractors must complete criminal background checks, abuse checks, and drug testing.

Business Name / Advertising Limits

PASA operators should avoid language in the title or advertising that implies the provision of healthcare services.

Separate Office Licensing

Each office location should be treated as its own licensing and service-area compliance question.

Caregiver Mandates

Important Warning

PASA is a non-medical model. Even if you hire CNAs or nurses, workers operating under the PASA must stay within PASA scope and cannot provide skilled nursing services through this license.

  • Criminal Background Check: All employees and contractors must complete criminal background screening.
  • Child and Adult Abuse Check: Agencies must attest that required abuse checks have been completed.
  • Drug Testing: Mandatory drug testing applies to employees and contractors.
  • Conditional Employment Window: Agencies may use a limited conditional employment period while awaiting certain federal fingerprint results, subject to state rules.

Regional Billing Snapshots

Wilmington / New Castle County$28 - $38/hr
Kent County$25 - $34/hr
Sussex County / Coastal Delaware$28 - $40/hr

*Regional rates vary by specialized care needs (Dementia, Parkinson's) and local competition.*

Regional Market Opportunities

Delaware is small enough that founders can build meaningful regional coverage relatively quickly, but they still need to respect office and service-area rules and differentiate in the Wilmington market.

Wilmington / New Castle County

Largest concentration of seniors, referral sources, and suburban family caretakers in the state.

Billing Rate$28 - $38/hr

Key: Strong opportunity from families tied to the Philadelphia metro who want reliable support for aging relatives.

Kent County

Smaller but still meaningful market with lower competition than Wilmington.

Billing Rate$25 - $34/hr

Key: Relationship-based referral building can matter more than flashy branding.

Sussex County / Coastal Delaware

Retiree-heavy areas and seasonal population patterns can create demand for premium private-pay support.

Billing Rate$28 - $40/hr

Key: The senior concentration helps, but staffing consistency becomes a real operational challenge.

Delaware Medicaid Programs

Medicaid and Additional Compliance

If the agency plans to serve Medicaid-funded populations, expect requirements beyond the base PASA licensure process.

Operational Readiness

It is smart to build documentation, visit tracking, and quality controls early even if you start with private-pay clients.

Becoming a Provider

1Secure your Personal Assistance Services Agency (PASA)
2Apply via State Medicaid Division
3Complete Credentialing with Managed Care Plans
4Sign the Provider Agreement

Essential 2026 Tech Stack for Owners

Licensing Document Management
Background Check and Drug Test Tracking
Scheduling and Care Plan Documentation
Audit-Ready Staff Credential Workflow

Delaware Licensing FAQ

How much does a home care license cost in Delaware?

The initial PASA application fee is commonly cited as $500. Renewal figures should be verified carefully before publishing, because publicly available Delaware materials show at least one renewal form listing a $100 annual licensure fee.

How long does Delaware licensing take?

A practical planning estimate is 3 to 4 months, and the initial license period includes a 90-day probationary phase.

What qualifications does the director need in Delaware?

The director must be a full-time employee with at least an associate degree and two years of healthcare or homecare supervisory experience.

Can a Delaware PASA provide skilled nursing services?

No. PASA is a non-medical model and does not authorize skilled nursing services.

Is Delaware a good market for home care agencies?

Delaware can be attractive because of its high senior share and compact geography, though the market is smaller than larger East Coast states.

Ready to start your agency in Delaware?

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This guide is for informational purposes only and does not constitute legal, regulatory, or business advice. Licensing requirements, fees, and regulations change frequently. Always verify current requirements with your state's licensing agency before making business decisions. HomeCareAtlas is not responsible for the accuracy or completeness of this information.