Starting a Care Home Business
The type of care home is critically important to the business model. The type of care home is also important to what style of home you are going to need to operate it. The property matching your care home business model is vital for its success and profitability. The Property – Business Match starts with the business not the property. Doing it the other way can set the seeds for failure.
Is your care home going to have private rooms or double occupancy? Is the care home an ARF or RCFE? Is the care home going to be a Regional Center? If so, what level? Is your care home going to focus on poor or affluent clients? Is your care home going to work with ambulatory or non-ambulatory clients? Are you going to have Dementia and/or Hospice care?
The business-property match is important to both the operation and success of the care home. Coffee Real Estate works with our clients to understand the care home business model so we can match it with the correct property. Owning the correct property is a major reason for operating a profitable care home. Standard Realtors want you to tell them the price range, area, number of bedrooms and baths. Buying the wrong property can end the care home vision before it starts.
Finding a property with the correct number of bedrooms is not the only issue. Can the house meet the regulations the care home license demands? Will the clients you want for your care home want to live in this area? Is it the correct price to operate successfully? How much work is needed to modify the house to make it a care home? Does the community or neighborhood allow the house to be used as a care home? What does my business model need in a care home property? And many more questions.
One way Coffee Real Estate assists is using experts to help guide with the property purchase. Care home experts that know the licensing process understand what the property needs to meet the government regulations. The California Department of Social Services, Community Care Licensing Division, issues licenses for residential facilities. They have specific guidelines. The local fire district also has to sign off on the property. How hard is it to buy a property without expert assistance?
From the time of buying the property to getting the license to operate can be from months to years. For many people, having a prior to care home income from the property is important. Coffee Real Estate can help with some ideas on how to generate income from the property before you can operate as a care home.
Coffee Real Estate website containing information about care home and support documents are intended to provide general information only. Because legislative requirements for home care standards, employment law and business operations vary, the information presented should not be interpreted as being universally applicable. The information is given with the understanding that they do not constitute legal, medical, accounting or other professional advice. Legal advice & other professional assistance should be sought prior to commencing your care home business in order to determine the impact of all levels of government legislation, rules and regulations, local laws, licenses, etc. upon the operation of the care home business.