Portfolio management
NGA Care Home Brokerage managing director Nick Greaves. “An Outstanding rating won’t put
buyers off but could make them more cautious. From a transactional point of view, an Outstanding home will be valuable because it will have had the support and resources from the provider to earn the accolade. When you concentrate on the care, the profits will follow,” he adds.
PIR update Even if your CQC rating gives no cause for concern, ensure your PIR (Prior Information Return) is up to date. This online form needs completing annually and it is remarkable how quickly a year passes in care. The information submitted is part of
an ongoing assessment of the care you deliver, it is important not to neglect it prior to sale as it could impact the next owners and there may be repercussions. Even though the CQC say the PIR is voluntary, if you fail to submit they also state they are unlikely to award higher than ‘Requires Improvement’ for the well-led key question.
Go for growth A popular strategy for improving the appeal of your care home to investors, especially if occupancy levels are low is to tender for local authority contracts. These are viewed as dependable, regular sources of income that become leading revenue streams for homes, thus improving their onward sales prospects.
Selecting the right care contracts to
secure future occupancy is a complex calculation that must be made taking into account both existing and projected scenarios. “Occupancy is the key driver to revenue and profit in a care home,” says Greaves. “I would say if an operator is struggling to attract adequate levels of private paying residents then tender for local authority contracts.”
Show off your best bits Investors do their research and the easiest place to find out about you is online. What shape is your website in? Could it do with a revamp? Invest in a professional photographer to capture the property’s potential. Are there online reviews about your care home
that need a response? A little reputation management? How strong is your social media presence? Build trust and raise your profile with
regular posts on social media that reflect the positive ethos of your home and the happy environment your residents enjoy. Activities, celebrations, concerts and excursions all make interesting topics to focus on, offering insights into the daily life of the residence. A care home that invites the world
in, that shares its stories, exhibits a confidence and pride that transmits to the buyer. Ask happy clients to drop a Google review online; social proof is a powerful tool – make it work for you. If the building, location and grounds
are impressive why not invest in an overhead drone video? This gives buyers an idea of scale and potential and is an effective way of gaining attention. For a more traditional approach, commission a glossy brochure that tells the story of your home. Pack it with testimonials from
residents and their families, endorsements from staff and a wealth of detail about the establishment. Is it a historic property? Why not do some research, you may discover an interesting backstory to the building that enhances its cachet and in turn its price tag.
Know your numbers Have answers to all the questions buyers are likely to ask. Be transparent about the figures and provide historic data covering occupancy rates and fees, as well as average spend per resident on
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www.thecarehomeenvironment.com • October 2021
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