How to Buy a Long-Term Care Facility For Sale
A long-term care facility is a medical facility that takes care of seniors and the disabled for the duration of their lives when they are no longer able to manage self-care. Many people know long-term care facilities as nursing homes, retirement homes, group homes and assisted living homes. The first consideration when you buy a long-term care facility is to determine exactly what type of long-term care facility it is that you are purchasing. You will need the assistance of a business lawyer, accountant and financial advisor when you are ready to buy a long-term care facility.
There are many State regulations associated with operating and maintaining a long-term care facility. In order to buy a long-term care facility and operate it effectively you need a strong understanding of the State regulations for that type of long-term care facility. Each type of long-term care facility has basic State regulations and specific regulations for that particular type of care. Additionally, there are government regulations for Medicare compliance, HIPPA compliance and OSHA compliance. Many technical and secondary institutions offer instruction and training on your State’s laws and regulations for long-term care facility management. You can also look on the Internet for online courses covering this topic.
Transitioning Into the Facility after the Sale
There will be a transitioning period into the long-term care facility after the sale. You need to take a tour of the facility, review the books and talk with the shift leaders of the building. Understanding how the long-term care facility operates will make the transition much easier after you buy the long-term care facility. Will you need to make changes to increase the quality of life for the residents? Is the facility partially State funded or completely privately owned? Having a full understanding of a long-term care facility for sale is very important. You will have the chance to make a significant difference in patient’s lives and create a wonderful environment for patients and their families. Buying a long-term care facility for sale is an extremely rewarding experience once you have all the details of the sale and an understanding of the facility worked out.
Understanding the Final Purchase
Like other businesses, it is important to iron out the specific details of exactly what it is that you are purchasing. Specifically state all equipment that will be included with the sale, debts that you will assume, liability and other financial issues. Also, find out if you will be assuming the current lease for the facility or if you will need a new lease when you buy the long-term care facility.
Insurance coverage is not automatically transferred when you buy a care facility. It is important to transfer insurance coverage to your name and check with the insurance company about the details of the coverage. Buying a long-term care facility puts you at risk for law suits from family members, particularly for wrongful deaths. This is not a significant risk as long as you have the proper insurance coverage. The benefits of buying a long-term care facility are much greater than any potential liability risks with adequate insurance.