Assisted Living Facility
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Overview
Assisted living facilities provide housing with personal care assistance, supervision, and services for seniors who need help with daily activities but don't require nursing home care.
With assisted living demand massive as boomer aging accelerates, facilities generate revenue of $500,000-$1,800,000+ with 35-50% margins through monthly fees.
The business requires state licensing, residential property, 24/7 staffing, medication management capability, and care services.
Services include private or semi-private apartments, personal care assistance, medication management, three meals daily, activities and social programs, and care coordination.
Pricing typically $3,000-$7,000 monthly per resident.
Success factors include state assisted living licensing and compliance, trained caregiving staff 24/7, creating homelike environment, medication administration capability, and maintaining census for profitability.
Marketing focuses on hospital discharge, families, and long-term care insurance.
With assisted living filling gap between independent living and nursing homes in 2025, assisted living offers care opportunities requiring healthcare licensing and substantial investment.
Required Skills
- Assisted living licensing and regulations
- Healthcare staffing and management
- Medication administration
- Care planning
- Facility operations
- Compliance and inspections
Pros and Cons
Pros
- High monthly revenue per resident
- Growing boomer frailty needs
- Long average stays (2-3 years)
- Private pay and insurance
- Essential care continuum
Cons
- Very high capital and licensing
- Complex healthcare regulations
- 24/7 staffing challenges
- High liability
- State inspections and compliance
How to Get Started
- Get state assisted living license
- Secure property and financing
- Build out facility
- Hire 24/7 caregiving staff
- Develop care protocols
- Get liability insurance
- Market to families and discharge planners
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