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Executive Summary
Open Arms Birth Services is a doula practice in Michigan that gives expecting families steady, hands-on support before, during and after birth. A doula is a trained support person who is not a doctor or a nurse. We do not deliver babies or give medical advice. We help a family feel prepared, stay comfortable during labor, ask good questions of their medical team and get through the first weeks with a newborn.
Many families have no one nearby who has been through birth recently, and some are doing it alone. We offer three services: birth doula packages, postpartum visits in the home and childbirth and newborn classes. We keep our prices fair, and we offer reduced fees to families who cannot afford the full rate.
Here is what our numbers show. We expect about $76,200 in sales in Year 1, growing to about $288,380 by Year 5 as more families find us and we add associate doulas. We expect a profit of about $8,500 in Year 1 and about $17,200 in Year 2. Year 3 is lower, about $8,200, because we hire a second associate doula and a part-time coordinator before the extra families arrive. Profit then grows to about $48,400 in Year 4 and about $60,900 in Year 5.
We need $26,000 to open, as the Funding Need Calculator in this plan shows. That covers $11,200 of startup costs and a cushion of about three months of Year 1 expenses. We plan to start with $27,000: $10,000 of my own savings and $17,000 in startup support. These figures are estimates built from the assumptions at the end of this plan. They are not promises.
I am Renee Alvarado, the founder and lead doula, and I am the person each family will meet first.
Company Description
Open Arms Birth Services will be a limited liability company (LLC) owned by Renee Alvarado and based in Michigan. We will meet families in their homes, at the hospital or birth center they have chosen and in a small rented classroom for our classes.
What we believe. Every family deserves to feel supported and listened to while they bring a baby into the world, whatever their income.
What we offer:
- Birth doula packages: two prenatal visits to make a birth plan and practice comfort tools, on-call support from about week 37 until the baby arrives, continuous support during labor and birth, and one visit after the birth.
- Postpartum doula visits: four-hour visits in the home to help with feeding support, newborn care, rest and simple meals, so parents can sleep and recover.
- Childbirth and newborn classes: small group classes in labor, comfort measures, feeding and caring for a newborn.
- Reduced-fee spots: a set number of packages each year at a lower price. The prices in our model are the average we actually expect to collect, after these reduced fees are included.
What we do not do. We do not provide medical care, diagnose, give medical advice or speak for a family to their doctor. We help families understand their options and speak up for themselves. We tell every family this in writing in our service contract.
Legal setup and training. I will register the LLC with the state, get a business bank account, carry liability insurance and complete a doula certification before our first paid client. Rules and certification requirements for doulas differ by state and by hospital, so we will check what applies in Michigan and what each birth location requires. All of these are included in our startup costs.
Where things stand today. I have a written service contract, a list of prenatal topics for each visit and a shortlist of two classroom spaces that rent by the hour. I am talking with a local clinic and a community center about sending families our way.
Problem & Opportunity
Having a baby is exciting and it is also stressful. Families often tell us the same things. They do not know what to expect in labor. They are afraid they will not be heard when decisions have to be made quickly. Their parents and friends live far away, or they have no one who has recently had a baby. After the birth, the sleepless nights start and the help stops, because the people who came for the first few days have gone home.
Three problems stand out in our area.
First, there is not enough steady support during labor. Nurses and doctors do important work, but they care for several patients at once and change shifts. Many families would feel calmer with one person who stays with them the whole time and knows their wishes.
Second, support after the birth is hard to find and hard to pay for. New parents are told to rest, but there is often no one to hold the baby while they sleep, no one to ask about feeding and no one to notice if a parent is struggling.
Third, doula care can feel like a luxury. Some families assume it is too expensive. Others would pay a fair price but do not know a doula exists in their area. Families with the least support at home often need it most.
We are a small practice and we do not claim to fix all of this. We can make the weeks around a birth feel less lonely for the families we serve, and we can make doula support something more families can afford.
Products & Services
Open Arms Birth Services offers one steady, caring person from the last weeks of pregnancy through the first weeks at home.
How the support works.
1. Prenatal visits. Two visits of about 90 minutes each, at home or in our classroom. We talk through fears, practice comfort tools such as breathing, massage, position changes and a birth ball and write down the family's wishes in plain words.
2. Labor and birth support. From about week 37 the family can call or text us. We join them when they ask, at home or at the hospital or birth center, and stay through the birth and the first hour or two afterward.
3. Postpartum visit. One visit within the first two weeks to talk through the birth, support feeding and check how the parents are doing.
4. Extra postpartum help. Families can book four-hour home visits for rest, newborn care and meal help. We can suggest local professionals, but we do not replace a doctor, midwife or lactation consultant.
5. Classes. Small classes teach labor basics, comfort tools, feeding and newborn care.
Why it works. Families who feel prepared and supported tend to ask questions, make decisions with their care team and feel better about their birth. We make no promises about medical outcomes, because birth is unpredictable. What we promise is that we will show up, listen and help.
Fair pricing. A birth package is $1,200 in Year 1 on average, a four-hour postpartum visit is $150 and classes are $175 per family. A set number of reduced-fee packages and visits each year are offered to families who ask, and we plan for that in our averages.
Market Analysis
Who we serve:
- First-time parents who want to feel prepared and have no experienced person nearby.
- Parents expecting another baby who want a different or calmer experience than last time.
- Single parents and parents far from family, who often have the least help at home.
- Military and shift-working families where one parent may be away at the time of birth.
- Parents who want help after the birth because they know the first weeks are hard.
How we estimate demand. We are a small practice, so we only need a small share of the families in our area. Our Year 1 plan is 36 birth packages, 150 postpartum visits and 60 families in our classes. That is about three births a month at our busiest, which one lead doula can handle with a backup. By Year 5 we plan for 112 birth packages, 540 postpartum visits and 204 class families with a team of a lead doula, three associate doulas and a coordinator.
Where families come from. Referrals from clinics, midwives, community centers and other doulas. Past clients telling friends. Parenting groups. Our classes, which are often the first time a family meets us. Search results for doula services in our city.
Seasons. Birth does not follow the calendar, but classes and prenatal bookings tend to dip around holidays. We plan for this by keeping our Year 1 numbers modest and our cash cushion healthy.
Competitive Landscape
Where families look for support today:
1. Hospital and birth center classes. They are convenient and often free or low cost, but they are large and general. They do not give one-on-one support during labor.
2. Other doulas. There are doulas in our area and we respect them. Some are fully booked, some serve only certain communities and some charge more than many families can pay. We want to work alongside them, and we will refer families to a colleague when we are full.
3. Family and friends. They are the best source of support when they are available. Many families do not have that help close by.
4. Online groups and videos. These are free and useful but cannot be with you in the room and do not know your situation.
5. Postpartum help from nannies or night nurses. This is expensive and often not focused on the parents' recovery.
Our advantage. We offer a full path from prenatal visits through the first weeks home with one team. We offer reduced-fee spots. We hold small classes and keep them friendly. We work gently with doctors, nurses and midwives instead of working against them, which helps hospitals and birth centers welcome us.
What we will not do. We will not compete by cutting corners. A family is better served by a doula who is rested and prepared than by one who takes too many births.
Marketing & Sales Strategy
How families will find us.
Before we open (the two months before our first client):
- Introduce ourselves, with a one-page handout, to clinics, midwife practices, childbirth educators and the pediatric offices nearby.
- Visit community centers, libraries and faith communities that host new-parent groups.
- Finish a simple website with services, prices, the reduced-fee option, a short bio and an easy way to book a free 30-minute meeting.
- Offer a free introduction class at a library to show what a doula does.
After we open:
- Ask each family, once they are comfortable, if they would be willing to share a few kind words, with their permission, on our website.
- Keep a short monthly email for families, with tips and class dates.
- Post simple, helpful content a few times a week on a social page that families already use.
- Hold one free question-and-answer night each quarter at a library or community center.
- Thank every clinic and professional who refers a family with a short note.
Pricing and offers. We use clear packages and do not rush families. The free 30-minute meeting lets both sides decide whether we are a good fit. We do not pressure anyone.
What we watch. Meetings booked, meetings that become clients, how families found us and how many referrals each source sends. We use that to decide where to spend our small marketing budget of $3,600 in Year 1.
Operations Plan
How the practice will run day to day.
A typical birth package. A family books a free meeting, signs our service contract and pays a deposit. We schedule two prenatal visits, send a short checklist and open on-call support around week 37. When labor begins we talk by phone, join the family when they ask and stay with them through the birth. We visit again after the birth and send a short follow-up note.
Backup. Every lead doula has a named backup doula so a family is never left without support if two births happen at once or someone is ill. Backup pay comes out of the cost of each package.
Postpartum visits. We book four-hour visits. We do not give medical advice or perform medical tasks. If we see something worrying, we encourage the family to call their doctor or midwife, and in an emergency to call 911.
Classes. Held in a rented classroom for 60 families in Year 1, in groups of about 6 to 8 families.
Privacy. We keep family information in a secure system, share it only with the family's permission and never post photos or stories without written consent.
Equipment. We buy about $3,200 of equipment at the start: a birth ball, a rebozo and comfort tools ($1,200) and a laptop, tablet and projector ($2,000).
Staffing. In Year 1 it is just me, working with a backup doula. In Year 2 we add an associate doula. In Year 3 we add a second associate doula and a part-time client coordinator who handles scheduling and paperwork. In Year 5 we have three associate doulas.
Risks and how we plan for them:
- Two births at once. Every family has a named backup and we limit on-call bookings per month.
- A slow start. We keep Year 1 costs low and our startup cushion covers about three months of expenses.
- A family unhappy with their birth. We listen, we do not promise outcomes and we review each case after the fact to learn.
- Burnout. We cap on-call births per doula and require days off after each birth.
- A hospital limits who can be in the room. We check each location's rules in advance and tell families early.
- A bad review or complaint. We respond kindly, fix what we can and keep records.
Management & Organization
Renee Alvarado, founder and lead doula. I started this practice because I believe families do better when someone steady is by their side. I am completing a doula certification before my first paid client, and that training is part of our startup costs. I will learn the rules for doulas in Michigan and keep my training current each year.
What I bring. I am organized, calm in stressful moments and committed to showing up. I also understand small business basics: keeping simple books, setting prices that cover costs and writing a clear contract.
Who helps me.
- A backup doula who will cover when I cannot attend a birth.
- A volunteer advisory group of three people: a local childbirth educator, a small business owner and a parent who used doula services.
- A bookkeeper, paid by the hour, who helps with taxes and monthly records.
- An attorney who reviewed our contract and business setup.
Growing the team. We hire associate doulas only after they complete a recognized doula training and pass a background check. We pay them fairly, support their continuing education and review each birth together. Associate doulas follow the same contract, privacy rules and scope of practice as I do.
My pay. I pay myself $40,000 a year from the first year. That is built into the numbers in this plan so the practice does not depend on unpaid work.
Milestones Narrative
Our goals and when we plan to reach them.
Before opening (Months 1 to 3):
- Month 1: Register the LLC, open a business bank account, buy insurance and finish the service contract.
- Month 1 and 2: Begin and complete my doula certification.
- Month 2: Build the website and book the first outreach visits.
- Month 3: Hold the free introduction class and open for bookings.
Year 1:
- Support 36 birth packages, 150 postpartum visits and 60 families in classes.
- Offer reduced-fee spots every quarter.
- Build referral relationships with at least five clinics and professionals.
- Collect feedback from every family with a short form.
Year 2:
- Hire the first associate doula.
- Grow to 56 birth packages, 240 postpartum visits and 96 class families.
- Save a larger cushion so we can handle a slow month.
Year 3 and beyond:
- Add a second associate doula and a part-time client coordinator.
- Reach 76 birth packages in Year 3 and 112 by Year 5.
- Explore partnerships with clinics and employers who want to offer doula support to families.
- Review rules about insurance or public program payments for doula care in our state and decide whether to participate. We will check the current rules before making any promises to families.
Funding Request
How much we need and how we will use it.
Total needed: $26,000, as shown by the Funding Need Calculator in this plan. We plan to start with $27,000, which covers that amount with a little room to spare.
Startup costs: $11,200.
- Doula certification training and exam fees: $1,400.
- Doula bag, birth ball, rebozo and comfort tools: $1,200.
- Laptop, tablet and class projector: $2,000.
- Business registration, contracts and attorney review: $1,500.
- Liability insurance first payment and background check: $1,100.
- Website, scheduling and booking software setup: $1,800.
- Class handouts, models and newborn care demo supplies: $900.
- Brochures, banners and first outreach events: $1,300.
Cushion. The calculator adds about $14,400 for roughly three months of Year 1 expenses, so a slow first season does not force us to close.
Where the $27,000 comes from. $10,000 of my own savings and $17,000 in startup support: a $12,000 startup grant we are applying for from a local small business center and $5,000 from family. We are not borrowing money, so there is no loan payment in our plan.
Phase 1: Start small. Open with just myself and a backup doula, offering birth packages and classes. Keep costs low until we have about ten families.
Phase 2: Add postpartum visits and our first associate doula once bookings are steady, using profit from Year 1 and Year 2.
Sales and profit. Year 1 sales are about $76,200. We expect to earn about $8,000 in Year 1 and about $16,800 in Year 2. Year 3 is about $8,200 because we hire before the new families arrive. Year 4 is about $48,200 and Year 5 is about $60,900. Year 5 sales are about $288,380.
Cash. The lowest year-end cash balance in the plan is about $31,000 at the end of Year 1. At the end of Year 1 we expect families to owe us about $2,286, mostly for postpartum visits that are billed after the visit. Most families pay at booking, so we keep unpaid balances small.
Where each Year 1 dollar goes. Our $40,000 salary for me, about $7,300 in direct costs for birth supplies, backup pay and mileage, and about $17,500 in other costs: classroom rental and utilities, insurance, marketing, mileage, phone and software and training.
Appendix Notes
Documents to attach before you share this plan:
- Your business registration and insurance certificate.
- Your doula certification, or proof you are enrolled.
- Your service contract and your scope of practice statement.
- A list of your backup doula and advisory group members.
- Letters of support from clinics, midwife practices or community centers.
- Your reduced-fee policy and how families apply.
- Quotes for your equipment and classroom rental.
- Your privacy policy and consent form.
If you don't have any of this yet, no worries - let's continue.
The assumptions behind our numbers (change them in the Financials section to match your own):
- Birth packages: 36 in Year 1 at an average of $1,200 (after reduced fees), growing to 112 at $1,400 in Year 5. About $120 per package goes to backup doula pay, supplies and mileage.
- Postpartum visits (4 hours): 150 in Year 1 at $150, growing to 540 at $170.
- Classes: 60 families in Year 1 at $175, growing to 204 at $195.
- Pay (a full year, per person, including payroll taxes): owner and lead doula $40,000, associate doula $32,000, part-time coordinator $26,000 (from Year 3).
- Other yearly costs in Year 1: class space and utilities $6,000, insurance and memberships $2,200, marketing and website $3,600, mileage, phone and software $4,200, training $1,500. These grow between 3% and 5% a year.
- Equipment: $3,200 at the start, then $600 to $1,000 a year.
- Startup costs: $11,200, paid once from $27,000 in startup money.
- About 3% of each year's sales are still owed to us at year end.
- Taxes: 21%, as a simple estimate. Check with a tax professional about how your LLC is taxed.
- Every dollar amount is an estimate. Replace them with your own prices, quotes and real costs.
Startup Costs
| Item | Category | Cost |
|---|---|---|
| Doula certification training and exam fees | Professional Services | $1,400 |
| Doula bag, birth ball, rebozo and comfort tools | Equipment | $1,200 |
| Laptop, tablet and class projector | Equipment | $2,000 |
| Business registration, contracts and attorney review | Legal & Professional | $1,500 |
| Liability insurance first payment and background check | Insurance | $1,100 |
| Website, scheduling and booking software setup | Signage & Branding | $1,800 |
| Class handouts, models and newborn care demo supplies | Initial Inventory | $900 |
| Brochures, banners and first outreach events | Marketing | $1,300 |
| Total | $11,200 | |