CARE HOME BUSINESS SUPPORT SERVICES
Running your own care home business can be exciting but it is undeniably challenging. Difficulties can lead to sleepless nights and hours spent away from the family as you struggle to keep on top of all that needs to be completed; items such as managing cash-flow to ensure you are able to pay staff and suppliers and ensuring that your customers are paying you on time. Or just understanding how your business is performing against your business plan and your competitors on a rolling basis.
FD Business Ltd can provide you with Care Home Business Support Services to eliminate these worries, so that you can sleep at night and spend time with your family.
Using FD Business Ltd’s Care Home Business Support Services will provide you with a detailed management report by the tenth working day of the following month, highlighting 5 Key Performance Indicators.
We have found 10 ways to release hidden profits from within care homes. These are highlighted below and we’d love to share with you in more detail how they could work for your own care home.
We can even arrange review meetings to help set targets for the coming month, helping to move your business forward so that it provides you with the lifestyle you want.
It is just like having your own dedicated Finance Director but at a fraction of the cost.
Call 07966 532 199 now or email us to arrange a No Obligation meeting.
10 ways to release hidden profits in your Care Home
When running a care home you have to keep so many plates spinning and balls in the air that it is not surprising that sometimes one of the plates or balls falls, and causes problems elsewhere in your business. Not only do you need to understand, keep up to date with, and implement all the regulations required by the regulator, you need to amongst other tasks, market the care home, negotiate supplier’s contracts, manage your finances, and invest in and maintain the building.
Whilst achieving and maintaining a top rating by the regulator is important to keep you in business, many other items are also key in keeping your care home successful.
I list below 10 ways to improve the financial performance of your care home.
1. Increase Occupancy
By filling empty beds, additional income is generated with only a minimal increase in costs. Turning rooms around quickly between residents can increase occupancy. Is your occupancy in line with current market bench marks?
2. Increase weekly Private fee
Whilst Local Authority fees are set by the Local Authority, the fee charged to private clients has some scope for flexibility. £10 per week is £520 per annum per room, 50 rooms gives £26,000 per annum.
3. Control Staff Costs
Ensuring you have the right number of staff on each shift and the right grade of staff can have a dramatic impact on your home’s profitability.
4. Implement Stock Control
Implementing stock control across a range of expenditure can reduce waste and costs. One client saved 20% on laundry products just by controlling stock.
5. Monitor Food Costs
Peter Drucker once stated that what gets monitored gets managed; watching the food cost per resident per day can reduce waste and expenditure.
6. Provide additional chargeable services
Additional services can either be charged, or built into a higher room fee giving perception of greater value.
7. Control Debtors
Controlling and reducing outstanding debt can reduce finance costs and bank charges. You are a care home, not a bank.
8. Review Supplier Contracts
Supplier contracts should be reviewed regularly, including the total cost of purchasing items. What are the hidden costs of your purchasing process?
9. Monitor Utility usage
Are you using low energy light bulbs and thermostatic radiator valves? Are you on the best tariff available, are lights being turned off when not required?
10. Implement a Cloud-based Accounting system
Using a cloud-based accounting system not only helps control costs but also provides management information about your business and real-time cash balances. Being cloud-based means you can review, update and action payments without being on site.
Like all businesses, to run a successful care home you need to be able to manage many disciplines, which all take time, energy and finances. Outsourcing some of these to a specialist enables you to focus on running your home, and helps you to achieve your goals, adding value to your home. This is when an experienced finance professional adds real value to your business.
Contact us today to begin making your care home as profitable as it can be.
DESIGNED BY WOTSIT DESIGN LIMITED | COMPANY REGISTERED | FD Business Ltd. | Company Reg. No. 7681905 | Registered in England and Wales
VAT No. 143282919 | Memberships: CIMA, No: 1596