Listing ID: 77195
All the heavy lifting has been achieved in getting the non-profit approval from the State of California and the Department of Social Services issuance of a license to operate and maintain an ADULT RESIDENTIAL facility in Riverside County. This is a non-medical facility which provides 24-hour care and supervision to male individuals aged 18 to 59 years of age.
The home provides care, supervision, housekeeping and professionally supervised training for persons with severe deficits in self-help, physical coordination and/or disruptive or self-injurious behaviors. Additionally, these homes provide each resident with 16 hours of behavior consulting services every 6 months, by a licensed psychologist or a Board Certified Behavior Analyst (BCBA) that is provided by and paid for by the County.
The 2,937 square foot facility has a home environment with spacious family and dining areas and six fully furnished bedrooms that will accommodate 4 men plus two bedrooms for casual non 4i residents. The facility is available for an additional price of $625,000.
A licensed Administrator is in place. This is a turn-key opportunity with written job descriptions and procedures, Admission Agreement, etc. and a fully equipped kitchen. Riverside County has advised that they could quickly refer qualified patients to fill four of the rooms with four patients. The monthly rate per 4i patient paid by the County is $9,515 which amounts to over $38,000 per month/over $450,000 per year. Expected annual profits are a minimum of $210,000.
This is an excellent opportunity to acquire a very profitable business start-up opportunity as you help unfortunate men who need care and guidance.
- Asking Price: $250,000
- Cash Flow: $210,000
- Gross Revenue: $456,000
- EBITDA: N/A
- FF&E: N/A
- Inventory: N/A
- Inventory Included: N/A
- Established: 2021
- Property Owned or Leased:Own
- Property Included:N/A
- Building Square Footage:2,937
- Lot Size:N/A
- Total Number of Employees:6
- Furniture, Fixtures and Equipment:N/A
New 2,937 sf facility. Owner prefers to sell the facility at its fair-market-value of $625,000.
Seller’s and the Licensed Administrator
The venture was founded in 2021, making the business 1 years old.
The company has 6 FTE employees and resides in a building with disclosed square footage of 2,937 sq ft.
Why is the Current Owner Selling The Business?
There are all sorts of reasons why people choose to sell operating businesses. Nonetheless, the real reason vs the one they say to you might be 2 absolutely different things. As an example, they might state "I have way too many various obligations" or "I am retiring". For many sellers, these reasons stand. However, for some, these may simply be reasons to try to hide the reality of transforming demographics, increased competition, current decrease in revenues, or a range of other reasons. This is why it is really vital that you not depend absolutely on a vendor's word, yet rather, make use of the vendor's solution in conjunction with your overall due diligence. This will paint an extra practical image of the business's current scenario.
Existing Debts and Future Obligations
If the existing business is in debt, which lots of businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of operating businesses borrow money in order to cover things like supplies, payroll, accounts payable, etc. Bear in mind that occasionally this can indicate that earnings margins are too small. Numerous organisations fall under a revolving door of taking on debt as a way to pay back other loans. Along with debts, there may likewise be future commitments to think about. There may be an outstanding lease on tools or the structure where the business resides. The business might have existing agreements with vendors that need to be satisfied or may lead to charges if canceled early.
Understanding the Customer Base, Competition and Area Demographics
How do businesses in the area bring in new consumers? Often times, operating businesses have repeat customers, which form the core of their everyday earnings. Specific variables such as new competition growing up around the area, road building, and personnel turn over can affect repeat clients and negatively influence future profits. One crucial thing to think about is the placement of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the highway? Certainly, the more individuals that see the business often, the better the opportunity to build a returning client base. A final idea is the general area demographics. Is the business situated in a densely populated city, or is it situated on the outskirts of town? Exactly how might the local typical family income effect future income potential?