The Same Hospice, But Different
I was chatting with a client the other day, and he mentioned that he was approached by a hospice provider to rent one of his rooms on a permanent basis. They want the ability to place a hospice patient on short notice in a small care home. He was very interested because it provided guaranteed revenue without having to worry about marketing or resident turnover.
I mentioned this to my brother, Art, who works for a hospice company and he told me that in addition to having a number of their own homes, his company also rents out as many as four units in a larger facility. This provides them with the ability to grow while controlling overhead expenses.
I also spoke with a friend, Danette, who is a hospice nurse and she said these hospice companies will probably place very short term clients in those rooms and use the rooms more than once every month. (So this could bring up some issues with staff and alter the feel of a care home.)
Be Open To New Ideas & Market Needs
Now this hospice option may not be ideal for many facilities, but I am happy to hear that some people are exploring new ways of doing business. I have found that most people in the senior care industry seem to be locked into their current way of generating revenue, and even worse, not open to innovative ways to provide senior care and serve their community.
I have been imploring facility operators for years to consider providing day care. They already have the care and training in place from their 24 hour operations. They will have to make some units/rooms available for rest, quiet time and naps. And there will most likely be some hassles with licensing and transportation. But the upside is using available (unused) space/units, creating new revenue and having a built in feeder system for their 24 hour care.
When I bring this up, I am typically dismissed with quick excuses. However, if you look around, you will find this is being done by innovative providers. And the consumer/market is even demanding that the movement between services be easier on themselves. In fact, my friend Glenn has two (14 clients each) day care homes and his clients want him to open a 24 assisted living so they don’t have to leave his fabulous services.
Look To Those Who Already Serve Seniors
What are other possibilities for new profit centers? Some large facilities rent space to beauty salons who serve their residents. I believe there are other contractors who would like to use your available space as a home base or satellite office, especially if the space is accessible to foot traffic and/or street access. These include medical equipment companies, physical therapy professionals, charitable organizations and support groups.
In addition, I have seen an owner of three small homes provide in-home care, as well. His philosophy was that he already knew how to train staff to care for seniors. He then created a new profit center, created more flexibility for staffing his homes and provided a feeder system for his 24 hour care.
Better Utilize Your Assets & Strengths
Want to increase your revenue? Consider using your assets and strengths to add a new, but related profit center. Of course, this will require business acumen and good planning, as well as the investment of time and money. But done right, the payback in new revenue will be worth it and the overall services to your residents enhanced.
Links For Assisted Living Marketing Guild Clients
For Guild clients, here are resource links you can use to help you develop a new profit center and increase your revenue.
- Offer Something “New” Guide & Checklist
- Increasing The Length Of Your Average Resident Stay Is Possible
- Marketing & Service Alliances
(Once you click on a link, just add your username and password.)
Our Services & Systems Increase Your Move-Ins
Would you like us to take an active role in improving your census? We have the services and systems. Just give us a call at (888) 213-5026.