unit 3

Business Plan: Nursing Care Facility

Shannon Oberlin

1/15/2018

Business Plan: Nursing Care Facility

3.1. Industry

3.1.1 Industry description

The business offers Skilled Nursing Home services, and it is classified under Nursing Care Facilities Industry: NAICS 6231 which is under the nursing and residential care facilities subsector. Its main focus will be the provision of rehabilitative and inpatient nursing services to patients needing continuous and closely observed healthcare. Services offered in this industry differentiates from what is offered in the hospital, in that the nursing care facility will focus on treatments, medical monitoring. Other different types of care facilities in this industry include hospice care, assisted living and home care (NoAuthorFound, 2017).

The market research report of 2017 shows that the industry has generated revenue of up to $ 129 billion and a 1.4% annual growth between 2012 and 2017. The industry has up to 31,015 businesses operating in the US market which have created employment for approximately 1.7 million professionals. The Skilled Nursing Home will increase the employment rate of professionals in this subsector.

3.1.2. Resources used

Services offered in this by this industry serve a fast-growing population in the United States thus the need to expand the scope of operations in Skilled Nursing Homes. In 2001 the United States spent approximately $92.2 billion in providing nursing home care to its citizens. The largest percentage of this expenditure was used in reimbursing professionals and equipping the nursing homes with equipment.

The most important resources needed in operating the Skilled Nursing Home will be securing a suitable and secure location which has access to essential services. The center will also need professional services from at least 15 trained nurses who will be responsible for the welfare of the patients/client and also managerial purposes. Among the facilities needed for this business will be a standby ambulance which will be housed in the nursing home facility.

3.2. Customers

3.2.1. Target customer analysis

Explanation

According to the 2010 census report, there are 99 million persons aged 50 years and above living in the United States (FactFinder, 2017). Assuming that 75% of this population still can take care of themselves or have family members who take care of them our number will reduce to 74 million. Considering that we will only have one physical location, we can reduce the number of willing clients by the share of population covered by the location. The assumption is that we can only cater for people living in the county of location.

The target customers will include patients who need short-term care services and those who need long-term or extended care services. Due to an extended life expectancy in the United States, the population of people aged above 50 is expected to increase by 70%. This increases disability cases which will call for the use of services offered by the Nursing Care Facility. The demand for nursing care will lead to an increase in the number of adult patients aged 65 years and above. Besides this population, there is the elderly population who need assisted living care services in their old age. This includes persons who are 70 years and above. The main concerns of this class of patients are to be facilitated by well trained and skilled nurses as well as to be involved in the treatment and living plan.

Table

Older adults	Elderly:
Age:	50–65	Age:	65+
Income:	High or fixed	Income:	Fixed
Sex:	Male or Female	Sex:	Male or Female
Family:	Empty nest	Family:	Empty nest
Geographic:	Suburban	Geographic:	Suburban
Occupation:	White-collar or retired	Occupation:	Retired
Attitude:	Security minded, energy conscious	Attitude:	Calls for respect and active involvement in the treatment/living plan

References

NoAuthorFound, (2017). Long Term Care Market Analysis by Service (Home Healthcare, Hospice, Nursing Care, Assisted Living Facilities) and Segment Forecasts to 2024. Grand View Research, Inc. Retrieved from: https://www.grandviewresearch.com/industry-analysis/long-term-care-services-market

FactFinder, (2017). Profile of General Population and Housing Characteristics: 2010 more information 2010 Demographic Profile Data. Fact Finder. Retrieved from: https://factfinder.census.gov/faces/tableservices/jsf/pages/productview.xhtml?src=CF