Adult Family Home (Small Residential Care)

Adult family homes provide small residential care in owner-operated homes serving 4-8 seniors in homelike setting.

With seniors preferring small homelike care over institutional facilities, adult family homes generate revenue of $130,000-$460,000 with 45-60% margins.

The business requires state licensing, residential home meeting requirements, live-in or on-site caregiver, and care capability.

Services include private or shared rooms, personal care assistance, home-cooked meals, medication management, family-like environment, and supervision.

Pricing typically $3,500-$6,000 monthly per resident.

Success factors include state adult family home licensing, creating genuine homelike atmosphere, owner involvement and dedication, maintaining full census for profitability, and building community reputation.

Most are owner-operated with family involvement.

Marketing focuses on local community, hospital discharge, and family word-of-mouth.

With small homelike care preferred and demand exceeding supply in 2025, adult family homes offer intimate care opportunities with lower barriers than large facilities.