Home Oxygen Equipment & Respiratory Services

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Startup Cost
$60,000-$280,000
Difficulty
Advanced
Time to Profit
12-24 months
Profit Potential
$90,000-$420,000/year

Overview

Home oxygen providers supply oxygen concentrators, portable oxygen, CPAP machines, and respiratory equipment to patients with breathing conditions.

With COPD affecting 16+ million Americans and sleep apnea impacting 30+ million, oxygen providers generate revenue of $150,000-$520,000 annually with profit margins of 35-50% through equipment rentals, sales, and supplies.

The business requires oxygen equipment inventory, delivery vehicles, Medicare accreditation, respiratory therapy knowledge, and 24/7 emergency service capability.

Services include oxygen concentrator rentals, portable oxygen systems, CPAP/BiPAP equipment, nebulizers, respiratory supplies, equipment maintenance, and patient training.

Medicare reimburses oxygen at approximately $200-$300 monthly for concentrator and supplies.

Success factors include Medicare compliance, 24/7 service availability, patient education and support, equipment maintenance, and physician referral relationships.

Most providers offer delivery, setup, and ongoing patient support.

The business requires respiratory therapy expertise and emergency response for equipment failures.

Recurring monthly revenue from oxygen rentals provides stable income.

Marketing focuses on pulmonologists, primary care physicians, hospitals, and sleep clinics.

With respiratory conditions increasing and home care preferred in 2025, oxygen services offer essential healthcare opportunities for providers willing to deliver critical respiratory support to patients at home.

Required Skills

  • Respiratory therapy and oxygen equipment
  • Medicare oxygen billing and compliance
  • Patient assessment and training
  • Equipment maintenance and troubleshooting
  • 24/7 emergency service
  • Physician relationships and clinical knowledge

Pros and Cons

Pros

  • Recurring monthly oxygen rental revenue
  • Growing respiratory disease prevalence
  • Medicare reimbursement
  • Essential life-sustaining service
  • Stable patient base

Cons

  • 24/7 emergency service requirements
  • Complex Medicare oxygen regulations
  • Equipment investment and maintenance
  • Competitive oxygen market
  • Accreditation and compliance demands

How to Get Started

  1. Obtain Medicare respiratory equipment accreditation
  2. Acquire oxygen concentrators and equipment
  3. Set up 24/7 emergency service capability
  4. Implement Medicare billing systems
  5. Build physician referral relationships
  6. Provide excellent patient service and support
  7. Market to pulmonologists and sleep clinics

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