MergerPlace

Established West Kentucky Senior Care

Hopkinsville, Kentucky (Christian)


  • Asking Price: $820,000
  • Gross Income: $915,233
  • Cash Flow: $272,563
  • Real Estate: Not Disclosed
  • Inventory: Not Disclosed
  • FF&E: Not Disclosed
  • Listing ID: #215633
  • Established: 2007
  • Employees:

Business Description

THIS IS AN ESTABLISHED IN-HOME SENIOR CARE Franchise. The company serves seniors over the age 65/75 with daily living/activities, including companion care. The location has many clients & accounts, well-seasoned staff and a huge roster of quality caregivers already in place. This is a Super high margin senior care location. The business is dropping apprx. 29% of sales to what is going in the seller's pocket!! Many senior care businesses are lucky to get 15% of sales to the owner's pocket. Translation…this business is running correctly.

*Lender Ready for qualified buyers. The owner had a Wall Street level appraisal completed on the business which is the price that is stated (*appraised price). Wells Fargo, US Bank, Radius Bank, CIBIC Bank and about 10 other major banks use this valuation firm to do their own internal appraisals for their underwriter teams. The point is, this is a solid appraisal number.

HERE’S THE BREAKDOWN:
• Investment considerations: Projected ROI of 42%!
• Total purchase price: $820,000
• Down payment : $195,000 ($820,000 x roughly 23% = $195,000)
• Current SDE (*weighted ave.) (what you would earn in the business): $272,563*
• Amount financed $625,000 ($820,000 - $195,000 = $625,000)
• Debt service per year: $90,205 (10 years at 7.8% apprx.)
• SDE less debt service: = $182,358 ($272,563 – $90,205 = $182,358)
• Assume - New owner to pull $100,000 a year out of the business in wages
• Remaining cash flow after owner wages = $82,358 ($182,358 – 100,000= $82,358)
• Return on investment or your return on injected capital (down payment) year after year = 42%! ($82,358/$195,000 = 42%) Tough to get this in the stock market!
• This scenario doesn’t not include working capital nor does it take into account a possibly lower overall negotiated price.

• Important: do not take our word for it on the investment information, call and meet with your accountant and make sure he/she agrees with the outline above. Do not make any financial investment into this business where your money could be at risk until you agree with your financial advisors opinion and are comfortable with the presented numbers from the seller.

Sales: 2016 $634,387 SDE (seller’s discretionary earnings):$152,482
Sales: 2017 $929,347 SDE:$288,643
Sales: 2018 $915,233 SDE:$272,801
Sales (projected 2019): $957,250 SDE:$272,324 (projected)
SDE (*weighted ave.): $272,563*
*If any bank financing is to be used for the purchase, buyer will be required to put down $195,000 (roughly 23%).

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No Experience In The Medical Industry Is Needed. Extensive training is provided by franchisor and seller and ongoing support provided to help you build your business.

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Non-Disclosure Agreement (NDA) is required. The sale is confidential which is why we are not publishing sensitive financial information or the name. Information provided to qualified buyers with NDA in place.

*Gross Revenue and Cash Flow approximate and stated by seller. *SDE (Cash Flow) is Weighted Average . *All information, data, financials, valuations, appraisals, real estate values, etc. must be verified with the seller and buyer's own professional independent advisors, CPA, etc. Buyers should always verify all information with the seller and their own advisors before putting any money at risk. No brokers or students please.

Contact Us For the NDA For Details. We will email the short 3-minute online NDA form shortly after we receive your request. Please be sure to check your spam/junk folders also.


Business Details

Primary Business Category: Health Care - Nursing & Residential
Location: Kentucky
Metropolitan Area: Hopkinsville
County: Christian

Company Information

Year Established: 2007
Home Based: No
Franchise: Yes
Relocatable: No
Number of Employees:

Financial Information

Asking Price: $820,000
Gross Revenue: $915,233
Cash Flow: $272,563
Seller Financing Available: No

Property Information

Facilities:

Well-maintained, equipped offices. Well-trained staff. Quality caregivers.

Growth & expansion opportunities:

Aggressive Marketing. Build Relationships / Referral Sources. Senior Care Is A Booming Market -- This business serves the RAPIDLY growing $1.8 trillion healthcare industry. Two thirds of home care recipients are over the age of 65. Seniors represent the largest, wealthiest, and fastest growing market segment in the U.S. There are over 40 million people over the age of 65. Over 1.4 million Americans are receiving some form of home care. By the age of 85, nearly 50% need some support with everyday activities. Changes in fertility, women's labor force participation, and increases in the divorce rate have reduced ability to personally take care of older family members. The US Census Bureau shows that this is the fastest growing segment of the population today. In the year 2000, over 600 million people were over age 60. By the year 2025, there will be 1.2 billion in that age range and over 2 billion by 2050.

Competition:

The market for aging persons in need of home care and institutional clients is rapidly expanding. Already healthcare agencies are absolutely crucial to facilities lacking much needed staff. This trend will only continue considering the average age of the RN population. The average age of the RN population in March 2000 was estimated to be 45.2 years. In 2000, only 31.7% reported being under the age of 40. The most significant drop in numbers was seen among those RNs under the age of 35. In 1980, 40.5% of RNs were under the age of 35, compared to 18.3 percent in 2000. The RN population under 30 dropped from an estimated 25.1% in 1980 to only 9.1% in 2000 According to CNN, the baby boomers stand on the threshold of a big change. The oldest of them are nearing their 65th birthdays and their needs and wants are in flux. Their purchases will begin to revolve more around health care and housing than on rock and roll and athletic gear.

Support & Training:

NO EXPERIENCE IN MEDICAL NEEDED. Extensive training provided by franchisor.

Contact Business Seller

This form may be used only to contact the seller of this specific business listing. Please do not use this form for any other purpose.

Business Listed By:

Blue Stone Business Group

Blue Stone Business Group