Nursing Home Sample Plan

Non-Profit Sample Business Plan
The Nursing Home Sample Plan for a non-profit organization is provided below. It is
suggested that students who do not have an e-business idea attempt to create an e-
business plan for a non-profit organization in your community. For example: Soup kitchens,
shelters for the homeless, orphanages, friends of the animals (FORA), Rhino anti-poaching,
etc. All non-profit organizations still need to obtain funding to cover not only their
expenses, but also to obtain the necessary products to assist the community in which they
operate. It is advisable that you make an appointment with the manager of the non-profit
organization and find the necessary information from them, e.g. finances (expenses), if they
have donors supporting the cause. It would be advisable to indicate the ‘free’ marketing
prospects available by utilising social media.
http://www.bplans.com/nursing_home_business_plan/executive_summary_fc.ph Page 1
Contents
Executive Summary ................................................................................................................ 3

1.1 Objectives ..................................................................................................................... 3
1.2 Mission.......................................................................................................................... 4
1.3 Keys to Success ............................................................................................................. 4
Organization Summary ........................................................................................................... 5
2.1 What Makes Bright House Unique ............................................................................... 6
2.2 Legal Entity ................................................................................................................... 7
2.3 Start-up Summary......................................................................................................... 7
Market Analysis Summary...................................................................................................... 9
4.1 Market Segmentation ................................................................................................. 12
4.2 Target Market Segment Strategy ............................................................................... 12
4.3 Service Providers Analysis .......................................................................................... 15
Management Summary........................................................................................................ 17
5.1 Management Team Gaps ........................................................................................... 18
5.2 Caregiving Organizational Chart ................................................................................. 19
5.3 Personnel Plan ............................................................................................................ 19
Strategy and Implementation Summary .............................................................................. 23
Financial Plan........................................................................................................................ 26
7.1 Important Assumptions .............................................................................................. 26
7.2 Key Financial Indicators .............................................................................................. 27
Appendix .................................................................................................................................. 31
Nursing Home Sample Plan
http://www.bplans.com/nursing_home_business_plan/executive_summary_fc.php
Please note that this plan is from the abovementioned website and copyright DOES not
reside with Unisa. It is merely utilised to give students an overview of the contents of a
non-profit organization business plan. Your prescribed textbook also refers to the
abovementioned website for examples of business plans.
Executive Summary
Where would you want to live if you needed daily assistance? In your home, of course.
Bright House aims to be that home for 14 lucky full-time assisted living residents,
offering medically-skilled care in a respectful, self-sustaining community, and offering skilled
nursing care for short-term residents. On our beautiful, newly remodelled 6 acre property
(the former Wayfield Bed and Breakfast) in the small college town of Middletown, CT, Bright
House brings together decades of experience and innovative, alternative visions of the
potential in our elderly family members' latest years. In our first five years, we will establish
a new kind of Elder Care model based on the idea that the elderly are fully-realized persons,
with ideas, thoughts, and experiences which matter.
1.1 Objectives
For our first year, we have four financial objectives:
 To raise adequate funding for start-up.

 To fill all of the rooms in the main house over the course of six months.
 To open the Skilled Nursing Facility, and maintain it at 9 to 10 rooms occupied for 25
days per month thereafter.
 Begin development implementation for the ongoing funding needs of years two
through five.
We have other, non-financial objectives as well:
 To provide a warm, comfortable, safe and engaging home for up to 14 permanent
residents. Ongoing feedback through the resident House Councils will give us a weekly
update on our progress.
 To provide skilled medical care in a similarly respectful atmosphere to our temporary
Medicare residents.
 To provide adequate training, mentoring and recompense to our caregiving staff to
create job satisfaction.
1.2 Mission
At Bright House, we promote the dignity and self-worth of all of our residents, and strive to
give them excellent quality of life, as defined by the residents, individually and as a group.
To that end, we encourage resident group decision-making through the House Councils,
access to all areas of their homes here at Bright House, and self-determination in activities,
socialization, and food preferences. Bright House is not just a caregiving facility—it is their
home, and their community.
We also value the time, skills, and expert opinions of our staff. We are committed to
providing fair and living wages, reasonable, structured work schedules, and clear duties
and spheres of rights and responsibilities for each team member. We do not expect staff to
do work for which they are not trained; we do expect them to share their suggestions for
improving any aspect of Bright House working operations or caregiving. We aim to provide
jobs which not only provide sustenance for our workers' families, but also allow them a
space to make a difference in the world around them, through caring and expert assistance
to our community's most vulnerable members.
1.3 Keys to Success

We have identified four keys to success for Bright House:
 We offer more resident-oriented, small-scale, home-model care than our competitors;

 Our innovative use of Elder Assistants lowers the cost of providing this care
considerably;
 Our fair wages and team structure lower dissatisfaction, and thus turnover rates
among our staff;
 Our on-site Skilled Nursing Facility ensures continuity of care when our residents need
more intensive assistance.
Organization Summary
Bright House is chartered as a non-profit 501(C)(3) corporation in Middletown, CT, with the
goal of providing holistic and respectful assisted living and skilled nursing home care to a
small group of elderly residents. Our primary location is the old Wayfield Bed and Breakfast,
on Farmer's Road, which we have spent the last five months converting into a two building
nursing home facility in line with Eden Alternatives "Greenhouse" model for enlightened
elder living. (See architectural drawing, attached.)
Our Medical Director, Doctor Mildred Johnson, M.D., M.S.W., of New Haven, is one of the
most respected gerontologists in New England. She will be supported by four licensed
practical nurses, and six Elder Assistants, who will perform all non-clinical duties such as
daily assistance, laundry, cooking, and cleaning. Once a month, our contracted Nutritionist
will visit the retreat to give cooking lessons and to review individual residents' dietary
needs. The entire staff will meet with our Board of Directors three times a year to assess the
staffing and other needs of the facility.
Our Financial operations will be overseen by Madeleine Morgan, who has managed non-
profit funding and payroll departments for 27 years (see attached resume). She will be
supported by a full-time Medicare Liaison/Billing Specialist, and a part-time Development
Officer.
2.1 What Makes Bright House Unique

Although the hospital model of care practiced in most nursing homes provides good results
for Medicaid and Medicare billing purposes—that is, easily quantifiable lists of procedures
and medicines administered, test results, and billable nursing hours—it does not provide
good quality of life for residents (or "patients," as they are referred to in the hospital
model).
At Bright House, we see a different way of assisting our elderly members through a new
stage in their lives. Acknowledging that where they live is their home, and belongs to them,
not to the medical staff, we have established a facility that not only meets their medical and
physical needs, but one that also nourishes their social connections, individual dignity, and
personal preferences. Each resident has a private room with bath, opening onto a central
shared common area containing the kitchen, living room, and dining room, where all meals
are shared communally at our 15 foot farm-style dining table.
Far more devastating than physical illness to our elders, is lack of purpose. Studies have
shown over and over that seniors who are engaged in activities they find meaningful are far
more likely to retain mental acuity, physical health, and emotional well-being. Although the
hospital model tries to provide such stimulation, its "activities" are usually organized by
staff, with little or no input from "patients," and become just one more set of required tasks
for all involved. At Bright House, we have already begun working with prospective residents
to identify areas of interest and methods of community involvement that will appeal to
them.
2.2 Legal Entity

Bright House is chartered as a non-profit 501(C)(3) corporation in Middletown, CT. Its Board
of Directors is drawn from the local medical and community-organization communities.
Board of Directors
 President: Dr. Michael Medical, M.D.

 Members: Laurie Law, Susie Social-Worker, M.P.H., John Leader.
2.3 Start-up Summary

Start-up Expenses
One of the largest items in our Start-up budget is a computerized medical records system.
Preliminary designs of this system have already been constructed by DigInfoMedTel. In
addition to the obvious benefit of allowing multiple care-team members to easily exchange
information as they change shifts, this system will allow our residents and staff to keep track
of chronic conditions, monitor gradual but serious changes in condition which might be
overlooked in day-to-day interactions, and corroborate quantifiable medical data for our
Medicare patients in the skilled nursing facility.
Start-up Assets
Current (Short-term) Assets include $6,000 of start-up inventory (bedding, cleaning and
disposable medical supplies) and non-expensed, smaller medical equipment that will
depreciate quickly, and will need to be replaced in year four or five.
Long-term assets include our existing location, the former Wayfield Bed and Breakfast,
currently assessed at $400,000 including renovations. The location was willed to us by
Evelyn and Jack Bright last February, with the condition that we include a small Medicare
facility as part of the overall plan. This category includes new Long-term Assets needed as
follows: $200,000 for (long-term, resalable) medical equipment, and $150,000 for initial
furnishings, after the renovation.
Medical Equipment:
 1 Fully-loaded Crash Cart

 Standard monitoring equipment (blood pressure, sugar, etc.)
 Call-button system
Furnishings:
For the common areas of both buildings, we will need couches, self-lifting recliners, tables,
and chairs suitable to our residents' needs. We have allocated $35,000 for furnishing the
four common rooms.
Each private room will need a hospital-capable bed, linens, a dresser, and a phone, at the
minimum. With the remaining funding, that leaves just over $6,000 per room. This budget
will allow us to provide attractive, functional, and comfortable surroundings to our residents
in their new homes. Each bedroom in the main building will have enough remaining space
that residents can bring plenty of familiar furniture with them (up to two side tables and
wingback/reclining chairs, and a second dressing table or its equivalent).
Funding
To fund these start-up costs, we have secured a low-interest loan for $210,000, and have
collected donations and pledges in the amount of $291,500. We have also included the
value ($400,000) of the Bright House property in the "donations collected" category to
accurately reflect our assets. We must raise an additional $7,650 by January 1st to begin
operations.
Market Analysis Summary

We are basing our Market Analysis on data from Middlesex and Hartford counties, affluent
portions of which, such as Glastonbury, are within a short drive of our facility.
Base Numbers for private residents:
The current total population of residents 65 and older, according to the 2000 U.S. Census, is
155,071 in Middlesex County, and 857,183 for the same group in nearby Hartford County.
(The percentage of elderly in both counties is slightly higher than the 12.4% of the overall
Connecticut population.) Our projections reduce that number by 70% to account for those
healthy enough to care for themselves, or with family members able to care for them,
leaving us with a total potential market of 303,676. We then reduce that number again by
half to get the total potential customers living within a 35 minute drive of Middletown
(these are small counties, and we are situated at their juncture), leaving us with 151,838. Of
these, we estimate roughly 8.5% will have the means ($150,000 or more family income) to
pay for full-time private care at our facility (based on the 2000 census data about
Connecticut income).
This leaves us with roughly 12,906 nearby upper-income residents of Hartford and
Middlesex County who are 65 or older, and in need of medical or other daily assistance in
their living situation. To project into the future, we again looked to the 2000 Census. The
Census' Projected Population of Connecticut is as follows:
1995 2000 2005 2015 2025
467,000 461,000 456,000 526,000 671,000
While the overall population of Connecticut is projected to decline over the next five years,
before rising again, we know that the proportion of the overall population age 75 and older
(our target market age) is slowly rising. We therefore include a modest projected increase in
potential customers of 1% over the next five years.
Medicare residents and short stays:
A study published recently in the journal Health Affairs by Morrissey, Sloan, and Valvona
found that the proportion of Medicare patients transferred to post-hospital care has
doubled since the Prospective Payment System (PPS) was introduced. Rather than staying in
the hospital until recuperated, the current system preferentially delegates recovery care to
private non-hospital facilities, leaving room in hospitals for urgent or crisis care. We base
our projections for Medicare residents on the same figures listed above, but looking at the
percentage of elderly with family incomes between $30,000 and $75,000 dollars,* rather
than just the highest bracket, we get 40% of the population, or 60,735. We apply the same
conservative 1% growth rate, below.
*This income range was chosen because it correlates with the kind of higher education
levels that most families choosing non-hospital model skilled nursing care report. Although
residents with lower incomes may have a need for our service, they are traditionally less
likely to seek out alternative care.
MARKET ANALYSIS
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Potential Customers Growth CAGR
Privately-paying Full-
1% 12,906 13,035 13,165 13,297 13,430 1.00%
time Residents
Medicare Patients 1% 60,735 61,342 61,955 62,575 63,201 1.00%
Other 0% 0 0 0 0 0 0.00%
Total 1.00% 73,641 74,377 75,120 75,872 76,631 1.00%
4.1 Market Segmentation

Although we have broken our target population into two groups based on income, our
marketing strategies rely on another level of breakdown—marketing to potential residents,
and marketing to the families of potential residents, who may or may not have similar
needs.
4.2 Target Market Segment Strategy

The overall populations we wish to serve are older people (65 and older), in need of daily
assistance, who value community and the contributions of their peers. Since Bright House
will become their home, we especially are seeking residents willing to make this house a
home, and learn from and teach each other.
We also recognize that we must meet the somewhat different needs of our residents'
families, who will help them make the decision to live with us, or recuperate here, and who
will almost certainly be contributing to the monthly payments necessary to provide for their
care.
4.2.1 Market Trends

“In the old days, families just took care of families and that took care of the problem of
aging, but we can no longer do that. Churches and other organizations can’t always take up
the slack in this area, and so we are left with public policy decisions about what happens.”
-Senator John Glenn, April 27, 1998 “Elder Care Today and Tomorrow,” Fielding Hearing of
the U. S. Senate Special Committee on Aging, Columbus, Ohio
As mentioned in our Market Analysis, the percentage of the population over 75 is growing
rapidly, thanks to better nutrition, preventative health care, and living conditions in our
country over the course of the last century, not to mention the Baby Boomers. At the same
time, the increasing kinds of career opportunities for women, and the growing cost of health
care, have contributed to a nursing shortage which threatens the quality of professionally-
provided elder care.
Phyllis Moen and Emma Detinger of Cornell University point out, in a paper for the Sloan
Work Family Policy Center, that the quote above, "...reflects an issue emanating from
structural lag, as policies and practices fail to keep pace with changes in the workforce, in
families, and in gender roles (Riley and Riley 1994, 2000). The organization of both work and
career paths reflects a continued reliance on the male breadwinner template, assuming a
workforce without family responsibilities (Moen and Yu 2000). But the new reality is that
almost half the workforce is now female, meaning that most workers—male and female—
have no one at home to provide care to older ailing or infirm relatives, much less child care
(see discussion in Harrington 1999 and Moen 1992). Moreover, most cannot afford to
purchase comprehensive, round-the-clock care. The 21st century will witness concerns over
childcare policies and practices morphing into concerns over dependent care policies and
practices—an amalgam of both childcare and elder care."
4.2.2 Market Needs

The aging of the Baby Boomers is a well-known and much discussed fact of our times. More
and more of this population, many of whom were instrumental in creating the counter-
culture of the 1960's and 70's, are unhappily surprised about the options available to them
as they age. Fortunately, just as AARP (formerly known as the American Association of
Retired Persons) has become a major representative of this non-traditional group, elder-
care alternatives along the Eden Care model are being founded.
Residents'/Patients' Needs
Our own experience, based on years of caring for elderly patients, is that people seeking
assisted living care and skilled nursing care have many of the same needs:
 To be treated with respect and dignity

 To be actively engaged in a community of some kind
 To be involved in his/her own treatment and living plan
 To be cared for by skilled, medically-knowledgeable clinicians and caregivers,
working as a team
You may notice that our list of "needs" seems to go in the opposite order to that of most
hospital-model nursing homes; this is not an accident. Unfortunately, most of our elderly
population who need care are treated with the billing system's needs, and not their own, in
mind.
Families' Needs
Similarly, the families of people seeking caring environments have their own set of needs
they are seeking to fulfill:
 Peace of mind about their loved-ones' physical and mental state

 Relief from the time-consuming job of caring for their family members themselves
 Relief from the feelings of guilt which often overcome them when they find they do
not have the physical, emotional, or intellectual resources to personally provide
appropriate care for those they love
The big, unstated elephant-in-the-room for families seeking care is the feeling of being a bad
daughter or son or spouse, who is not willing or able to put her life on hold to take care of a
much-loved family member. At Bright House, we do not seek to dismiss this feeling, but to
reassure families in everything we do that the choice to let us take care of their family
member is a loving, kind, and generous act.
4.3 Service Providers Analysis
There are a number of different options for families seeking nursing home care, from in-
hospital recovery centers, to for-profit chains, to specialized care for people with
Alzheimer's, AIDS, diabetes, and so on. The specialized care facilities, which are usually non-
profit, and offer individualized nursing care, come closest to our care model, but are usually
reserved for people with a particular ailment in need of intensive medical assistance.
4.3.1 Organization Participants

There are 125 Medicare-licensed senior care providers within 25 miles of Middletown (out
to Hartford, Glastonbury, and Farmington). These can be broken down into four rough
groups (in descending order):
 Private, for-profit nursing homes

 Church-based nursing homes
 Veterans' Homes
 Others (like the Alzheimer's Resource Network)
Of these, 57 are part of a multi-home chain, and only 15 are nonprofit. None of them
combine both assisted living and skilled nursing care with the alternative, non-hospital
model we use.
4.3.2 Alternatives and Usage Patterns

Families choose one elder care facility over another for a variety of reasons. The most
common issues involved in their decision are distance from their home(s), affordability,
quality of staff and facilities, and particular medical specialties necessary for their
family member. Families will usually choose the highest level of care affordable within 45
minutes to one hour of their homes, in order to make visiting their family member easier.
4.3.3 Main Alternatives

The following three organizations are representative of the types described above:
Fox Hill Center, Rockville
 For-profit, part of a chain

 3.37 nursing staff hours/resident day
 150 beds (not 150 rooms)
 11 deficiencies in Medicare inspection
Fox Hill Center is typical of the hospital-model nursing home. It is large (150 beds), for-
profit, and has a fairly low rate of nursing hours per resident day. Its size makes it able to
care for many patients, but often at the expense of individual attention.
Sister Anne Virginie Grimes Health Center, New Haven
 Non-profit, religious based, located in a hospital

 4.16 nh/rd
 125 beds
 3 deficiencies
The Grimes Health Center, like many religious care centers, is non-profit, and has a slightly
higher rate of nursing hours per resident day than the for-profit centers, despite its large
size. Quality of care, however, is noticeably higher (3 deficiencies in inspection, compared to
11 at Fox Hill).
Leeway, Inc., New Haven
 Nonprofit
 5.04 nh/rd
 40 beds
 4 deficiencies
Leeway is a typical specialized private (not in a hospital) non-profit care facility. It is much
smaller than the other two described, has the highest rate of nursing care per resident day,
and high quality marks in inspection. Its small size and non-profit status allow it to focus on
providing individual attention. Leeway is Connecticut's first and only skilled nursing home
dedicated solely to the treatment of people living with AIDS.
Management Summary
Caregiving Management
Bright House offers a different management structure from that of the typical hospital-
model nursing home. Our primary caregivers, the 6 Elder Assistants, work as a self-managed
team, meeting with the Medical Director and the nurse on-call every morning to coordinate
care for the coming day.
Although the Medical Director has the ultimate responsibility for the health and well-being
of all residents and visitors, the nursing and caregiving staff, with their different kinds of
knowledge about the residents' physical, social, and mental well-being, are expected to
note, discuss, and recommend courses of action for all residents who, in their combined
estimation, need help.
A 2001 study by the Robert Wood Johnson Foundation found that the small percentage of
Chief Nursing Officers reporting no nursing shortages in their facilities at the time of the
study cited formalized programs focused on the needs of, and professional recognition for,
their nursing staffs as the reason for their adequate staffing. Our compensation packages,
management structure, and caregiving requirements are designed to continually remind our
LPNs and Elder Assistants how very valuable they are.
Dr. Mildred Johnson is our Medical Director. Dr. Johnson has served as the head of
Gerontology for six years at The Connecticut Hospital, and oversaw the creation, last year,
of their Elder Assistant training program, which provides certification for Certified Nursing
Assistants (CNA) to provide in-home hospice and respite care. Dr. Johnson has 20 years of
experience working with elderly patients in this area, and has been integral in designing the
physical layout, management structure, and priorities of Bright House.
The rest of our already-hired caregiving staff brings a whopping collective 75 years of
professional experience in caring for elderly patients.
Financial Management:
Madeleine Morgan has been overseeing financial management of non-profit organizations

in Connecticut for 27 years. She became involved in our project when her mother developed
a long-term care plan with Dr. Johnson which included home-based hospice care. "I wish
everyone could have the same love and attention Dr. Johnson showed to my mother,"
Madeleine said. Ms. Morgan will be in charge of all financial operations at Bright House,
overseeing billing, personnel payment and benefits, and development efforts.
Advertising and Marketing:
We are fortunate to have a skilled public relations officer in our group. Janice Ruthers is a
retired ad executive living in Middletown with her husband (a professor at the university).
She will be working 20 hours per week in our offices as a volunteer for the first two years of
our plan, helping us design advertisements and brochures, and to plan events like our Open
House in December to let the public see the results of our efforts.
5.1 Management Team Gaps

We still need to hire one swing-shift LPN, and one Elder Assistant. We are currently
recruiting through Dr. Johnson's connections at The Connecticut Hospital, and expect to
complete our team by mid-December, at the latest.
5.2 Caregiving Organizational Chart
5.3 Personnel Plan

One of the greatest stumbling blocks for traditional nursing homes is the dissatisfaction and
high turnover rate of its staff. Given the current and foreseeable nursing shortages, this is an
especially troubling tendency. Our Personnel Plan reflects our commitment to offer
employment that is not only meaningful, but compensates our employees fairly for their
time, energy, and the emotional toll it takes to spend your days caring for others.
A study in 2000 by the Connecticut Legislative Program Review and Investigations

Committee, the first to measure resident outcomes in relation to nursing staff levels, found
residents were at increased risk for malnutrition, bedsores, dehydration, and preventable
hospitalizations when nursing staff levels dropped beneath 2.75 hours per resident day (this
includes Certified Nursing Assistants). In addition to its small size, which provides for
individual attention, our Skilled Nursing Care Facility's personnel plan will provide no less
than 5 hours per resident day of nursing attention.
Our assisted living retreat across the lawn will make use of these skilled nurses, but will rely
for the most part on the care and attention of our Elder Assistants, nursing aides with
special training for providing care in a holistic setting.
Our commitment to fair, living wages is evident in our personnel plan. To ensure the best
possible care for permanent and respite-care residents, all full-time staff positions include
full health benefits, sick leave, and two weeks paid vacation time per year, increasing with
seniority in years two and three. All benefits are included in the Personnel monthly
payments. Our part-time positions (1 Medicare Holistic/Billing Specialist, and a
Development officer) offer benefits with a higher employee contribution, and paid vacation
in proportion to FTE (full-time equivalent) worked (.5 FTE = one week paid vacation/year,
etc.). Our Development Officer already has a second part-time position with a local patients-
rights advocacy group; we are working with them to coordinate her hours and provide her
with a full benefits package.
To meet our staffing goals, we need the following medical and caretaking staff:
 1 full-time Medical Director (Dr. Johnson)

 2 full-time LPNs (alternating 30- and 40-hour weeks—9pm to 7am, switching 4 and 3
days/week) (hired—will start training December)
 1 swing-shift LPN (35 hrs/week, 5-10pm) (still seeking)
 6 full-time Elder Assistants (5 CNAs with CPR and First Aid training are currently taking
part in our special Elder Care training; the sixth still needs to be hired)
We will also need administrative and development personnel:
 1 full-time Financial Manager (Madeleine Morgan)

 1 part-time (20 hours/week) Medicare Billing Specialist (Abby Hannah—currently
helping to plan our computerized medical records system)
 1 part-time Development officer (Jessica Breindel)
PERSONNEL PLAN
YEAR 1 YEAR 2 YEAR 3
Medical/Clinical Personnel
Medical Director $66,000 $66,000 $67,000
LPNs - Full-time 35-40 hrs, night $117,000 $118,000 $119,000
LPNs - swing shift, 30 hours, day $34,125 $58,500 $59,000
SUBTOTAL $217,125 $242,500 $245,000
Caretaking Personnel
Elder Assistants $221,520 $223,000 $255,000
Other $0 $0 $0
SUBTOTAL $221,520 $223,000 $255,000
Administrative Personnel
Medicare Liason / Billing Specialist $33,600 $34,000 $34,500
Financial Manager $64,800 $65,000 $65,500
Janice Ruthers - Part-time Marketing $0 $0 $0
SUBTOTAL $98,400 $99,000 $100,000
Fundraising Personnel
Development Officer - Part-time $14,400 $15,000 $15,500
Name or Title or Group $0 $0 $0
Name or Title or Group $0 $0 $0
SUBTOTAL $14,400 $15,000 $15,500
TOTAL PEOPLE 14 14 14
Total Payroll $551,445 $579,500 $615,500
Strategy and Implementation Summary

We have set ourselves ambitious goals. The key to holding ourselves to these goals is to set
concrete, measurable milestones, with clear responsibilities and budgets, where applicable.
We have already mentioned the ongoing caregiver meetings, House Councils, and other
feedback to measure our caregiving performance.
The Milestones Chart, below, shows the concrete financial, marketing, and implementation
goals in graphic format. (Details can be found in the Milestones Table in the Appendix.)
MILESTONES
Milestone Start Date End Date Budget Manager Department
Collect Pledges for
5/13/2009 8/30/2004 $0 Breindel Department
Remaining Funds
Finalize Agreements
7/30/2004 9/30/2004 $0 Morgan Department
w/ Medical Suppliers
Morgan,
Finish All Remodelling 6/23/2004 8/15/2004 $5,000 Department
Ruthers
Morgan,
Buy Furnishings 8/15/2004 11/1/2004 $0 Ruthers, Department
Johnson
Inspection 11/1/2004 11/15/2004 $0 Johnson Department
Collect Donations Breindel,

7/26/2004 11/15/2004 $0 Department
Pledged Morgan
Install-Test
Computerized 9/1/2004 10/30/2004 $0 Hannah Department
Medical System
Place Ads in Hartford

10/1/2004 10/15/2004 $450 Ruthers Department
Courant
Finish Brochures 9/1/2004 11/1/2004 $2,000 Ruthers Department
Morgan,
Test Billing System 10/15/2004 11/10/2004 $0 Department
Hannah
Morgan,
Finish Hiring Process 8/1/2004 12/15/2004 $0 Department
Johnson
Alternative Care
12/1/2004 1/1/2005 $5,000 Johnson Department
Model Staff Training
Open House 12/10/2004 12/20/2004 $0 Ruthers Department
First Residents Move

1/1/2005 1/5/2005 $0 ABC Department
in
First Operational Johnson,

1/15/2005 1/30/2005 $0 Department
Review Morgan
Johnson,
House Councils Begin 1/20/2005 1/20/2005 $0 Elder Department
Assistants
Assisted Living Facility

6/1/2005 6/1/2005 $0 Johnson, Department
Full
Morgan,
Ruthers
Add "What's New"

Pamphlet to 6/1/2005 6/20/2005 $200 Ruthers Department
Brochures
Totals $12,650
Financial Plan
As our Break-even Analysis (below) shows, Bright House would need 13 residents per month
to break-even at current funding levels. We intend, of course, to do better than this.
7.1 Important Assumptions

A "full" elder care facility is generally 90% to 95% full. Our non-standard model allows us to
forecast for full occupancy in the main building, since turnover rates for assisted living
residents are expected to be quite low (1-2 per year, at most). The skilled nursing facility, on
the other hand, requires a certain number of empty beds to offer the flexibility needed to
accommodate shorter stays. We therefore are projecting reaching "capacity" of our eleven-
bed facility at 10 full beds.
Our resident monthly prices are based on the current Medicare nursing-hours-per-resident-
day rates for our kind of services. Medicare patients are billed at roughly $135/day for
nursing care, not including the cost of any medication to be administered by our staff. Our
private patients are billed at a slightly higher rate to account for the low Medicare
reimbursement rate, but also to pay for the extra benefits they receive as part of living at
Bright House. Our rates are roughly 2/3 of our nearest competitors, the difference being
made up for in donations, and savings gained through staff retention and the use of highly
trained, flexible, Elder Assistants.
The small size of our facility allows us a cost savings on maintenance and grounds.
One other important assumption concerns payables: We have assumed collection days of
60, which averages our private residents' monthly up-front payment, and the typical 60-90
day reimbursement rate from Medicare.
7.2 Key Financial Indicators

We will be closely watching two things:
 Private Resident capacity

 Medicare Billing payment rates and collection days
FUNDING FORECAST
YEAR 1 YEAR 2 YEAR 3
Units
Assisted Living Main Residents 150 150 150
Medicare Residents - Skilled Nursing Facility 94 96 98
Other 0 0 0
TOTAL UNITS 244 246 248
Unit Prices Year 1 Year 2 Year 3
Assisted Living Main Residents $3,200.00 $3,200.00 $3,200.00
Medicare Residents - Skilled Nursing Facility $4,050.00 $4,050.00 $4,050.00
Other $0.00 $0.00 $0.00
Funding
Assisted Living Main Residents $480,000 $480,000 $480,000
Medicare Residents - Skilled Nursing Facility $380,700 $388,800 $396,900
Other $0 $0 $0
TOTAL FUNDING $860,700 $868,800 $876,900
Direct Unit Costs Year 1 Year 2 Year 3
Assisted Living Main Residents $0.00 $0.00 $0.00
Medicare Residents - Skilled Nursing Facility $810.00 $931.50 $931.50
Other $0.00 $0.00 $0.00
Direct Cost of Funding
Assisted Living Main Residents $0 $0 $0
Medicare Residents - Skilled Nursing Facility $76,140 $89,424 $91,287
Other $0 $0 $0
Subtotal Direct Cost of Funding $76,140 $89,424 $91,287
Appendix
Funding Forecast
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Units
Assisted
Living Main 0% 8 10 10 12 12 14 14 14 14 14 14 14
Residents
Medicare
Residents -
Skilled 0% 3 4 4 6 8 9 10 10 10 10 10 10
Nursing
Facility
Other 0% 0 0 0 0 0 0 0 0 0 0 0 0
Total Units 11 14 14 18 20 23 24 24 24 24 24 24
Unit Prices Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Assisted
Living Main $3,200.00 $3,200.00 $3,200.00 $3,200.00 $3,200.00 $3,200.00 $3,200.00 $3,200.00 $3,200.00 $3,200.00 $3,200.00 $3,200.00
Residents
Medicare
Residents -
Skilled $4,050.00 $4,050.00 $4,050.00 $4,050.00 $4,050.00 $4,050.00 $4,050.00 $4,050.00 $4,050.00 $4,050.00 $4,050.00 $4,050.00
Nursing
Facility
Other $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Funding
Assisted
Living Main $25,600 $32,000 $32,000 $38,400 $38,400 $44,800 $44,800 $44,800 $44,800 $44,800 $44,800 $44,800
Residents
Medicare
Residents - $12,150 $16,200 $16,200 $24,300 $32,400 $36,450 $40,500 $40,500 $40,500 $40,500 $40,500 $40,500
Skilled
Nursing
Facility
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total
$37,750 $48,200 $48,200 $62,700 $70,800 $81,250 $85,300 $85,300 $85,300 $85,300 $85,300 $85,300
Funding
Direct Unit
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12
Costs
Assisted
Living Main 0.00% $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Residents
Medicare
Residents -
Skilled 20.00% $810.00 $810.00 $810.00 $810.00 $810.00 $810.00 $810.00 $810.00 $810.00 $810.00 $810.00 $810.00
Nursing
Facility
Other 20.00% $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Direct Cost
of Funding
Assisted
Living Main $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Residents
Medicare
Residents -
Skilled $2,430 $3,240 $3,240 $4,860 $6,480 $7,290 $8,100 $8,100 $8,100 $8,100 $8,100 $8,100
Nursing
Facility
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal
Direct Cost $2,430 $3,240 $3,240 $4,860 $6,480 $7,290 $8,100 $8,100 $8,100 $8,100 $8,100 $8,100
of Funding
Personnel Plan
Month 1 Month 2 Month 3 Month Month Month Month Month 8 Month 9 Month Month Month
4 5 6 7 10 11 12
Medical/Clinical Personnel
Medical Director 100% $5,500 $5,500 $5,500 $5,500 $5,500 $5,500 $5,500 $5,500 $5,500 $5,500 $5,500 $5,500
LPNs - Full-time 35-40 hrs,

200% $9,750 $9,750 $9,750 $9,750 $9,750 $9,750 $9,750 $9,750 $9,750 $9,750 $9,750 $9,750
night
LPNs - swing shift, 30 hours,

100% $0 $0 $0 $0 $0 $4,875 $4,875 $4,875 $4,875 $4,875 $4,875 $4,875
day
$15,25 $20,12 $20,12

Subtotal $15,250 $15,250 $15,250 $15,250 $20,125 $20,125 $20,125 $20,125 $20,125
0 5 5
Caretaking Personnel
$18,72 $18,72 $18,72

Elder Assistants 600% $15,600 $18,720 $18,720 $18,720 $18,720 $18,720 $18,720 $18,720 $18,720
0 0 0
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal $15,600 $18,720 $18,720 $18,720 $18,72 $18,72 $18,72 $18,720 $18,720 $18,720 $18,720 $18,720
0 0 0
Administrative Personnel
Medicare Liason / Billing

100% $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800 $2,800
Specialist
Financial Manager 100% $5,400 $5,400 $5,400 $5,400 $5,400 $5,400 $5,400 $5,400 $5,400 $5,400 $5,400 $5,400
Janice Ruthers - Part-time

100% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Marketing
Subtotal $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200
Fundraising Personnel
Development Officer - Part-

100% $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200
time
Name or Title or Group $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Name or Title or Group $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200
Total People 13 13 13 13 13 14 14 14 14 14 14 14
$43,37 $48,24 $48,24

Total Payroll $40,250 $43,370 $43,370 $43,370 $48,245 $48,245 $48,245 $48,245 $48,245
0 5 5
Surplus and Deficit
Month Month Month Month

Month 1 Month 2 Month 3 Month 4 Month 5 Month 7 Month 8 Month 9
6 10 11 12
$85,30 $85,30
Funding $37,750 $48,200 $48,200 $62,700 $70,800 $81,250 $85,300 $85,300 $85,300 $85,300
0 0
Direct Cost $2,430 $3,240 $3,240 $4,860 $6,480 $7,290 $8,100 $8,100 $8,100 $8,100 $8,100 $8,100
Medical/Clinical $20,12 $20,12

$15,250 $15,250 $15,250 $15,250 $15,250 $20,125 $20,125 $20,125 $20,125 $20,125
Payroll 5 5
Non-reusable
$400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400
Medical Equipment
#NAME? $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$28,62 $28,62
Total Direct Cost $18,080 $18,890 $18,890 $20,510 $22,130 $27,815 $28,625 $28,625 $28,625 $28,625
5 5
$56,67 $56,67
Gross Surplus $19,670 $29,310 $29,310 $42,190 $48,670 $53,435 $56,675 $56,675 $56,675 $56,675
5 5
Gross Surplus % 52.11% 60.81% 60.81% 67.29% 68.74% 65.77% 66.44% 66.44% 66.44% 66.44% 66.44% 66.44%
Operating Expenses
Caretaking
Expenses
$18,72 $18,72
Caretaking Payroll $15,600 $18,720 $18,720 $18,720 $18,720 $18,720 $18,720 $18,720 $18,720 $18,720
0 0
Groceries $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400 $1,400
Cleaning Supplies $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100
Other Caretaking $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Expenses
Total Caretaking $20,22 $20,22

$17,100 $20,220 $20,220 $20,220 $20,220 $20,220 $20,220 $20,220 $20,220 $20,220
Expenses 0 0
Caretaking % 45.30% 41.95% 41.95% 32.25% 28.56% 24.89% 23.70% 23.70% 23.70% 23.70% 23.70% 23.70%
Administrative
Expenses
Administrative
$8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200 $8,200
Payroll
Other Expense
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Account Name
Depreciation $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100 $100
Property Taxes $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000
Utilities $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000
Insurance $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200
Payroll Taxes 15% $6,038 $6,506 $6,506 $6,506 $6,506 $7,237 $7,237 $7,237 $7,237 $7,237 $7,237 $7,237
Grounds and
15% $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400
Building Upkeep
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total
$20,13 $20,13
Administrative $18,938 $19,406 $19,406 $19,406 $19,406 $20,137 $20,137 $20,137 $20,137 $20,137
7 7
Expenses
Administrative % 50.17% 40.26% 40.26% 30.95% 27.41% 24.78% 23.61% 23.61% 23.61% 23.61% 23.61% 23.61%
Fundraising
Expenses:
Fundraising Payroll $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200
Brochures,
$800 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Marketing
Fundraising
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Expenses
Total Fundraising
$2,000 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200 $1,200
Expenses
Fundraising % 5.30% 2.49% 2.49% 1.91% 1.69% 1.48% 1.41% 1.41% 1.41% 1.41% 1.41% 1.41%
Total Operating $41,55 $41,55

$38,038 $40,826 $40,826 $40,826 $40,826 $41,557 $41,557 $41,557 $41,557 $41,557
Expenses 7 7
Surplus Before ($11,516 ($11,516 $15,11 $15,11

($18,368) $1,365 $7,845 $11,878 $15,118 $15,118 $15,118 $15,118
Interest and Taxes ) ) 8 8
($11,416 ($11,416 $15,21 $15,21

EBITDA ($18,268) $1,465 $7,945 $11,978 $15,218 $15,218 $15,218 $15,218
) ) 8 8
Interest Expense $1,821 $1,808 $1,792 $1,775 $1,750 $1,725 $1,696 $1,671 $1,646 $1,621 $1,596 $1,579
Taxes Incurred $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
($13,324 ($13,307 $13,52 $13,53

Net Surplus ($20,188) ($411) $6,095 $10,153 $13,422 $13,447 $13,472 $13,497
) ) 2 9
Net
-53.48% -27.64% -27.61% -0.65% 8.61% 12.50% 15.74% 15.76% 15.79% 15.82% 15.85% 15.87%
Surplus/Funding
Pro Forma Cash Flow
Month Month Month Month Month

Month 1 Month 2 Month 3 Month 4 Month 5 Month 7 Month 12
6 8 9 10 11
Cash Received
Cash from Operations
$63,97 $63,97 $63,97

Cash Funding $28,313 $36,150 $36,150 $47,025 $53,100 $60,938 $63,975 $63,975 $63,975
5 5 5
$20,34 $21,32 $21,32

Cash from Receivables $0 $315 $9,525 $12,050 $12,171 $15,743 $17,787 $21,325 $21,325
6 5 5
Subtotal Cash from $84,32 $85,30 $85,30

$28,313 $36,465 $45,675 $59,075 $65,271 $76,680 $81,762 $85,300 $85,300
Operations 1 0 0
Additional Cash
Received
Sales Tax, VAT,

0.00% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
HST/GST Received
New Current
$5,000 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Borrowing
New Other Liabilities

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
(interest-free)
New Long-term
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Liabilities
Sales of Other Current

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Assets
Sales of Long-term
$0 $0 $0 $0 $0 $0 $25,000 $0 $0 $0 $0 $0
Assets
New Investment
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Received
Subtotal Cash $84,32 $85,30 $85,30

$33,313 $36,465 $45,675 $59,075 $65,271 $76,680 $106,762 $85,300 $85,300
Received 1 0 0
Month Month Month Month Month

Expenditures Month 1 Month 2 Month 3 Month 4 Month 5 Month 7 Month 12
6 8 9 10 11
Expenditures from
Operations
$48,24 $48,24 $48,24

Cash Spending $40,250 $43,370 $43,370 $43,370 $43,370 $48,245 $48,245 $48,245 $48,245
5 5 5
$24,31 $23,50 $23,45

Bill Payments $505 $15,244 $17,734 $18,145 $21,314 $22,879 $23,588 $23,482 $23,432
5 7 7
Subtotal Spent on $72,56 $71,75 $71,70

$40,755 $58,614 $61,104 $61,515 $64,684 $71,124 $71,833 $71,727 $71,677
Operations 0 2 2
Additional Cash Spent
Sales Tax, VAT,

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
HST/GST Paid Out
Principal Repayment
$500 $500 $1,000 $1,000 $1,000 $1,000 $500 $0 $0 $0 $0 $0
of Current Borrowing
Other Liabilities
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Principal Repayment
Long-term Liabilities
$1,000 $1,000 $1,000 $1,000 $2,000 $2,000 $3,000 $3,000 $3,000 $3,000 $3,000 $2,000
Principal Repayment
Purchase Other
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Current Assets
Purchase Long-term
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Assets
Dividends $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
$75,56 $74,75 $74,70

Subtotal Cash Spent $42,255 $60,114 $63,104 $63,515 $67,684 $74,124 $75,333 $74,727 $73,677
0 2 2
($23,649 ($17,430 $10,54 $10,59

Net Cash Flow ($8,943) ($4,440) ($2,413) $2,556 $31,429 $8,761 $10,573 $11,623
) ) 8 8
$63,87 $74,42 $95,59

Cash Balance $69,057 $45,408 $27,978 $23,539 $21,126 $23,682 $55,111 $84,994 $107,215
3 1 2
Pro Forma Balance Sheet
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month Month Month 12
10 11
Starting
Assets
Balances
Current
Assets
Cash $78,000 $69,057 $45,408 $27,978 $23,539 $21,126 $23,682 $55,111 $63,873 $74,421 $84,994 $95,592 $107,215
Accounts
$0 $9,438 $21,173 $23,698 $27,323 $32,853 $37,423 $40,960 $41,939 $41,939 $41,939 $41,939 $41,939
Receivable
Inventory $6,000 $3,570 $3,240 $3,240 $4,860 $6,480 $7,290 $8,100 $8,100 $8,100 $8,100 $8,100 $8,100
Other
Current $31,000 $31,000 $31,000 $31,000 $31,000 $31,000 $31,000 $31,000 $31,000 $31,000 $31,000 $31,000 $31,000
Assets
Total Current $115,00 $113,06 $100,82 $135,17 $144,91 $166,03 $176,63

$85,917 $86,722 $91,458 $99,394 $155,460 $188,254
Assets 0 5 1 1 2 3 1
Long-term
Assets
Long-term $750,00 $750,00 $750,00 $750,00 $750,00 $725,00 $725,00 $725,00 $725,00
$750,000 $750,000 $725,000 $725,000
Assets 0 0 0 0 0 0 0 0 0
Accumulated
$0 $100 $200 $300 $400 $500 $600 $700 $800 $900 $1,000 $1,100 $1,200
Depreciation
Total Long- $750,00 $749,90 $749,80 $749,70 $749,60 $724,30 $724,20 $724,00 $723,90
$749,500 $749,400 $724,100 $723,800
term Assets 0 0 0 0 0 0 0 0 0
$865,00 $862,96 $850,62 $835,61 $836,32 $859,47 $869,11 $890,03 $900,53

Total Assets $840,958 $848,794 $879,560 $912,054
0 5 1 7 2 1 2 3 1
Liabilities and Month Month

Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 12
Capital 10 11
Current
Liabilities
Accounts
$0 $14,653 $17,133 $17,436 $20,552 $22,094 $22,776 $23,531 $22,724 $22,700 $22,676 $22,651 $22,635
Payable
Current
$5,000 $9,500 $9,000 $8,000 $7,000 $6,000 $5,000 $4,500 $4,500 $4,500 $4,500 $4,500 $4,500
Borrowing
Other
Current $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Liabilities
Subtotal
Current $5,000 $24,153 $26,133 $25,436 $27,552 $28,094 $27,776 $28,031 $27,224 $27,200 $27,176 $27,151 $27,135
Liabilities
Long-term $210,00 $209,00 $208,00 $207,00 $206,00 $199,00 $196,00 $190,00 $187,00
$204,000 $202,000 $193,000 $185,000
Liabilities 0 0 0 0 0 0 0 0 0
Total $215,00 $233,15 $234,13 $232,43 $233,55 $227,03 $223,22 $217,17 $214,15
$232,094 $229,776 $220,200 $212,135
Liabilities 0 3 3 6 2 1 4 6 1
Paid-in $699,15 $699,15 $699,15 $699,15 $699,15 $699,15 $699,15 $699,15 $699,15
$699,150 $699,150 $699,150 $699,150
Capital 0 0 0 0 0 0 0 0 0
Accumulated ($49,150 ($49,150 ($49,150 ($49,150 ($49,150 ($49,150 ($49,150 ($49,150 ($49,150 ($49,150) ($49,150 ($49,150 ($49,150)
Surplus/Defic ) ) ) ) ) ) ) ) ) ) )
it
Surplus/Defic ($20,188 ($33,512 ($46,819 ($47,230 ($41,135 ($30,982 ($17,560

$0 ($4,112) $9,360 $22,858 $36,380 $49,919
it ) ) ) ) ) ) )
$650,00 $629,81 $616,48 $603,18 $602,77 $632,44 $645,88 $672,85 $686,38

Total Capital $608,865 $619,018 $659,360 $699,919
0 2 8 1 0 0 8 8 0
Total
$865,00 $862,96 $850,62 $835,61 $836,32 $859,47 $869,11 $890,03 $900,53
Liabilities and $840,958 $848,794 $879,560 $912,054
0 5 1 7 2 1 2 3 1
Capital
Net Worth

Nursing Home Sample Plan

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Nursing Home Sample Plan

Uploaded by

Copyright:

Available Formats

Non-Profit Sample Business Plan

Executive Summary ................................................................................................................ 3

 To raise adequate funding for start-up.

We have other, non-financial objectives as well:

1.3 Keys to Success

 We offer more resident-oriented, small-scale, home-model care than our competitors;

2.1 What Makes Bright House Unique

2.2 Legal Entity

 President: Dr. Michael Medical, M.D.

2.3 Start-up Summary

 1 Fully-loaded Crash Cart

Market Analysis Summary

Base Numbers for private residents:

1995 2000 2005 2015 2025

467,000 461,000 456,000 526,000 671,000

Medicare residents and short stays:

YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Potential Customers Growth CAGR

Medicare Patients 1% 60,735 61,342 61,955 62,575 63,201 1.00%

Total 1.00% 73,641 74,377 75,120 75,872 76,631 1.00%

4.1 Market Segmentation

4.2 Target Market Segment Strategy

4.2.1 Market Trends

4.2.2 Market Needs

 To be treated with respect and dignity

 Peace of mind about their loved-ones' physical and mental state

4.3.1 Organization Participants

 Private, for-profit nursing homes

4.3.2 Alternatives and Usage Patterns

4.3.3 Main Alternatives

 For-profit, part of a chain

Sister Anne Virginie Grimes Health Center, New Haven

 Non-profit, religious based, located in a hospital

Leeway, Inc., New Haven

Madeleine Morgan has been overseeing financial management of non-profit organizations

Advertising and Marketing:

5.1 Management Team Gaps

5.3 Personnel Plan

A study in 2000 by the Connecticut Legislative Program Review and Investigations

 1 full-time Medical Director (Dr. Johnson)

We will also need administrative and development personnel:

 1 full-time Financial Manager (Madeleine Morgan)

YEAR 1 YEAR 2 YEAR 3

Medical Director $66,000 $66,000 $67,000

LPNs - Full-time 35-40 hrs, night $117,000 $118,000 $119,000

LPNs - swing shift, 30 hours, day $34,125 $58,500 $59,000

SUBTOTAL $217,125 $242,500 $245,000

Elder Assistants $221,520 $223,000 $255,000

SUBTOTAL $221,520 $223,000 $255,000

Medicare Liason / Billing Specialist $33,600 $34,000 $34,500

Financial Manager $64,800 $65,000 $65,500

Janice Ruthers - Part-time Marketing $0 $0 $0

SUBTOTAL $98,400 $99,000 $100,000

Development Officer - Part-time $14,400 $15,000 $15,500

Name or Title or Group $0 $0 $0

Name or Title or Group $0 $0 $0

SUBTOTAL $14,400 $15,000 $15,500

Strategy and Implementation Summary

Milestone Start Date End Date Budget Manager Department

Inspection 11/1/2004 11/15/2004 $0 Johnson Department

Collect Donations Breindel,

Place Ads in Hartford

Open House 12/10/2004 12/20/2004 $0 Ruthers Department

First Residents Move