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BUSINESS REFERENCE : CU017 / RightBiz RESIDENTIAL CARE PROVIDER FOR CHILDREN & YOUNG ADULTS | | | | | | Residential Care Provider For Children & Young Adults. Confidentially offered for sale Ref No:CU017 LOCATION: MIDLANDS ASKING PRICE: £3,100,000 | | | BUSINESS LOCATION: | Undisclosed West Midlands UNITED KINGDOM | | BUSINESS SECTOR: | Care | | TRADE TYPE: | Care & Nursing Homes | | SELLER: | Agent Sale | FREEHOLD: | £3100000 | | | | | | | | | | | BUSINESS DETAILS: | Business Profile:
This business was first established in 2000 to provide vulnerable and challenging children and young people with behavioural, emotional and mental health problems, with the best possible quality of life in community residential settings.
The company operates eight independent houses situated within close proximity of each other in a thriving Midlands city. All the houses are situated on regular residential roads close to local shopping and leisure facilities; in diverse, multicultural, urban areas; close to mainstream schools and colleges; with easy access by car and public transport. The resident young people regularly take part in various leisure and cultural pursuits, including trips to local restaurants, theatres, and cinemas, and activities such as bowling, climbing, ice-skating, horse riding, and indoor skiing.
The ethos of this business is a commitment to providing high-quality care in home-like environments maintained to the highest standards, with maximum opportunity for normalizing experiences and re-integration into the wider community. The primary aim is to provide safe, supportive, thoughtfully-created living environments that meet individual developmental, educational and therapeutic needs; promote personal responsibility, autonomy and independence; and safeguard both the young person and the community from harm.
The company provides residential accommodation to children and young people, both boys and girls, between the ages of 10 and 18 years, who require intensive supervision, support, and therapeutic help in the community, providing long-term placements, of several years' duration in some instances. Some of the company’s houses can accommodate 2 to 3 young people, whilst others cater for the needs of young people who are presently unable to share accommodation with others. Many of the resident children and young people placed with the company have a history of challenging, disruptive or aggressive behaviour. Crisis management and conflict resolution strategies therefore underpin the company’s work, with a view to anticipating, avoiding, de-escalating, and resolving incidents as quickly as possible.
Members of the company’s own residential care teams receive training in Positive Crisis Intervention. This is a system of incident management developed and designed to provide a graded response to challenging behaviour. The training teaches skills to establish and maintain appropriate behavioural boundaries; to challenge inappropriate behaviour; to de-escalate and defuse incidents. This training is consistent with the company’s organisational ethos that positive relationships with young people are essential and that staff have a duty to establish and maintain appropriate behavioural boundaries; and that positive methods (i.e. verbal encouragement, praise, rewards) are most effective in encouraging and maintaining desirable behaviour.
The company also places great emphasis on assisting children and young people to meet their full academic and educational potential and has successfully placed a number of young people in local mainstream or special educational provision, or alternatively arrangements are in place, when necessary, to provide education in-house, via a home tutor visiting the house on a regular basis. The company enjoys well established links with local colleges and community based projects to facilitate educational and vocational opportunities, resulting in some residents securing long term employment.
Key Strengths:
A key strength of this business is its key personnel and the company’s commitment to supporting those staff through a policy of continual development and training. Residential Project Workers either have, or are currently undertaking, the NVQ 3 Caring for Children and Young People . The underpinning knowledge required for this award is facilitated by the company itself and external support from a recognised educational resource.
All members of staff are provided with regular supervision and are expected to make an active effort to develop their personal skills and knowledge. Mandatory training is provided in line with National Minimum Standards, and this includes Child Protection, Positive Crisis Intervention, Food Hygiene; First Aid; Fire Awareness and Safety, and Care of Medicines.
Growth and Expansion:
This business is perfectly poised for substantial future growth. The enviable reputation that this company has developed within the residential care industry serves as the ultimate pedigree and "door opener" when it comes to forging relationships with new local authorities and private placement providers. However, the Directors are the first to acknowledge that the company’s approach to new business development has to date in the main been by way of re-active response and a new owner adopting a driven pro-active approach would easily facilitate growth to the next level. A new owner with drive and energy would also contribute fresh ideas and outside influence to build on an excellent and sound foundation and industry standing.
Key Opportunities:
The business is an organisation where the vendors have over time developed and nurtured a large team capable of overseeing daily business operations effectively, reducing the need for constant input from the vendors. Additionally, the company enjoys enviable close working relationships with the areas local authority and this client base could be greatly expanded by marketing the company’s services to further local authorities in other neighbouring regions or indeed nationwide. A particular strength of this business is that there are no significant alterations that need to be made to the average residential property before it can be occupied. As a consequence, additional rental properties are readily available at competitive rates facilitating growth and expansion of the present operation without complication or unnecessary delay.
Employees:
There is a high level of continuity of quality staff within the Company, which reinforces a commitment to providing a calm and safe environment for the resident youngsters. The current owners recognises that the key to success for any business lies with the personnel, to this end the Company has a skilled workforce of circa 90 full time staff who feel that their contribution is appreciated and valued. All of the company’s Residential Project Workers either have, or are currently undertaking, the NVQ 3 Caring for Children and Young People . The strength of this company lies with a highly professional committed and dependable workforce!
Advertising and Marketing:
The business’s impressive annual revenues are purely as a result of word of mouth recommendations and industry networking, bearing strong testimony to the excellent reputation enjoyed by the business. The company has not undertaken any advertising and therefore an excellent opportunity exists to grow the business via new client acquisition through a combination of marketing strategies, including targeted industry press advertising and the development of a networking internal sales team. The company has however very recently developed an informative web site.
Premises:
Included in the asking price are 2 x Freehold three bedroom residential properties, with a combined current market value of circa £400,000. Additionally, the company occupies 6 further similar residential properties which are held on favourable tenancy agreements. The asking price also includes all relevant furnishings for each of the 8 properties.
Financial Information:
The business is being offered for sale on a going concern basis, all financial discussions will take place directly between the vendor and all interested parties under the auspices of Turner Butler. We confirm that the business is financially stable with no borrowings, low overheads, positive cash flow, enjoys high gross and high net profits and has shown consistent strong and sustainable growth in annual profits since incorporation in June 2000.
This fabulous niche business continues to demonstrate a consistent annual turnover of circa £2,700,000 with gross profits of circa £2,500,000 resulting in a very healthy net profit of circa £450,000 per annum.
Reason for Sale:
Having spent the last seven years developing the business from scratch, the current owners now seek a more leisurely lifestyle to enable them to indulge personal interests and passions. The Principals also recognises that the business now celebrates an established industry reputation which affords tremendous opportunities for substantial further expansion. In short, the vendors now consider that the time is right for a more pro-active owner to take the business up to its next operating level.
Support and Training
The current owner will assist fully with the hand-over of the business to ensure continuity of trade, profitability and resident care | | | | | BUSINESS STATUS: | FOR SALE | | | | | CONTACT: | TURNER BUTLER | | TELEPHONE: | 01895 25 6000 | | REFERENCE: | CU017 / RightBiz | | ENQUIRIES: | | | | | | | | | | | | | | | | | | | | |
