Faith Shari Care Facility Business Plan

Executive Summary

1.0

> Executive Summary

Faith Shari Care Facilities is an Assisted Living Company based in Southern Nevada. The organization is committed to providing senior housing options where residents receive assistance with activities of daily life in a comfortable environment that feels like home and family.

Our residents will be encouraged to maintain the highest level of independence possible based on their Medical Plan of Care. We have multiple partners in the community including Hospice, Home Health, Personal Care Agencies, Durable Medical Equipment, Pharmacy and Medical Providers. These and others will allow us to give full care to every resident who enters with the goal of this being their forever home when applicable.

Our Assistant living also has partnerships to provide respite and intermittent care to those that are in need of short stay options for mental or physical care needs.

PURPOSE

Assisted living facilities are created for people who require day-to-day assistance to be able to carry out basic tasks including but not limited to taking medications, bathing, changing clothes and feeding themselves.

It is important to note that people in licensed residential care may require more assistance daily as they usually have complex health care needs. Many with progressive illnesses that make their care change over time.

Typical clients are elderly and over the age of 65, however with mental health and chronic illness endorsements, this allows that facility to give care to a broader more diverse population of residents.

In Nevada, Assisted Living facilities range in a variety of sizes starting as small as 6 beds or as large as 200 plus licensed beds. We are recommending LLC Formation with S Corporation Status for Financial Stability.

> PROBLEM DEFINITION & VALIDATION

The aging Senior and disabled population in Nevada is growing rapidly in the last decade. The growth is to a point where building of facilities, especially moderately priced housing solutions is in high demand. The state is currently unable to keep up with the required amount of beds that is being required for assisted living, even though facilities are being built. Especially in the location where we are projected to have this facility, no others are currently in the same area of town.

Las Vegas, Nevada is a fun interactive city that boasts warm weather, music, entertainment, world class food, gaming, shopping and many other entertainments. These benefits attracts people of all ages to come to and visit and live.

People of retirement age are especially attracted to what our city has to offer them at reasonable cost. This is creating the effect known as the silver tsunami in our city. Most of these aging individuals will end up living the end of their lives here and

will overtime need more and more assistance. Population in Nevada is currently 3.1 Million People with 5% of that population living in Assisted living or long term care settings.

Projected Number of current elderly living in Nevada is 485,000, Disabled population is roughly 270,000, and 475,000 people in our state have Mental Health Issues, and over half a million individuals have chronic Illnesses. Thousands of people move to our state each year that will also needed to be estimated and added into the numbers of individuals that need care.

Current need for low and moderately priced Assisted Living care services is high. As population increases in number the need continues to increase. Most Facilities charge between 3,700 and 5,000 per month. Budget Limitations may require assistance from sources around the community that will supplement their fees.

1.3

> SOLUTION

Building a new facility with proper preparation and updated requirements is highly needed in this area of town. Families have been waiting for a reasonably priced accommodation that is close to their homes. With the cooperation of state and local authorities this project will be a huge asset to the community.

The location that we have selected for this facility is a plus due to it being central in an area of our city that has limited Assisted Living options close by. This area is high traffic area with easy accessibility through multiple modes of transportation.

Facility will be a new building that will allow for lower maintenance cost in the beginning while increasing resident capacity. This allows for a highly secured, well maintained clean and functionally correct structured Facility.

The proposed Primary Owner is an Executive Director who is Highly Experienced and Qualified in the Assisted Living arena. Some of the skills include:

• Ability to network to acquire and effectively train employees in the field of care giving.

• Highly Qualified in teaching classes to caregivers that are part of the requirements to obtain and maintain correct status.

• Nurse by profession allows for accurate and quality resolution in the Medical Director arena. The Ability to give qualified oversight to medications and perform multiple roles in the facility if the need arises is a definite bonus.

• Through working in the area as a Qualified Health Care Professional prior to becoming administrator, multiple contacts have been cemented for referral sources for residents as well as collaborations through out the valley for resources and assistance.

• Qualified in invoicing and billing residents including Medicaid and Clark County pay, and long term care insurance sources.

• Network of Health care and political allies ensures that positive progress and recognition will be given to the intent of this building.

1.4

> GOALS & OBJECTIVES

Assisted living facilities are created for people who require dayto-day assistance to be able to carry out basic tasks such as taking their medications, bathing, changing clothes and feeding themselves amongst others.

It is important to state that people in licensed residential care may require more assistance daily as they usually have complex health care needs. Many with progressive illnesses that make their care change over time.

Typical Client are Elderly over the age of 65, however with Mental health and chronic illness endorsements this allows that facility to give care to a broader more diverse population of residents.

In Nevada Assisted Living properties range in multi sizes starting as small as 6 beds or as large as 200 plus licensed beds.

> MISSION STATEMENT

Our Mission is to provide quality, all inclusive assisted living service options in a dynamic way. Through Compassion and innovation we will make each day and each task as happy and memorable as possible. We will strive to assist residents achieve the best possible quality of life for their individual needs and lifestyle.

1.5

> KEYS TO SUCCESS Management Expertise

Faith Ramos has over 15 years of Executive Director Experience here in Las Vegas, Nevada. She has proved to be a true leader in the field of Assisted Living Care.

Service Quality

Top Quality Care will be administered with proven strategies to foster a highly ranked service oriented model of care. Maintaining a goal of excellence to meet and exceed expectation of those we serve.

Staff Training & Development

Facility to provide high quality training that follows rigorous state requirements. Following this standard will allow effective Communication and standards for all staff to follow.

Superior Customer Support

Exceptional customer service will play a pivotal role in the success of the Assisted Community. Resident and Family support will be aligned with the company’s aim to bring satisfied resident and enable repeat referral sources from within the Assisted Living as well as from the community

Project Summary

2.0

> Project Program

• 120 + Bed Assisted Living Facility

• 1 Story building with rooms that serve Double Occupancy

• Approx. 24,000 SF

Resident Rooms will include:

• Bathroom with ADA compliance

• Bed

• Dresser

• Night Stand

• Television

• Division Curtain for double occupancy

• Call Bell activation system

Facility Rooms/Amenities

• Commercial Kitchen

• Commercial Laundry

• Dining Rooms

• Small event Rooms for visiting and entertaining guests

• Entry way with sitting area

• Reception/Concierge area

• Medication Room

• Activity Room

• Beauty Area

• Exercise Area

• Outside Patio Areas

North Haven Health Care Campus

Carey Avenue

Martin Luther King Blvd.

DISCLAIMER:

THIS MASTER PLAN IS CONCEPTUAL IN NATURE, MEANING THAT THE BUILDINGS DEPICTED MAY NOT BE BUILD AS DESCRIBED OR BE BUILT AT ALL. THIS MASTER PLAN CANNOT AND SHOULD NOT BE RELIED UPON FOR ANY PURPOSES

Faith Shari Care Facilities

Project Information Assisted Living Center

Faith Shari Care Facilities are Residential Assisted Living environments based in Las Vegas, Nevada. The organization is committed to providing senior housing options where residents receive assistance with activities of daily life in a comfortable environment that feels like home and family.

The latest proposed project will be its flagship project, sited on just over 2 acres, it will be a single story building comprised of 24,000 and 120 beds.

OWNER | OPERATOR:

PROJECT SCOPE:

TOTAL PROJECT COST:

PROJECT STATUS:

PROJECT SCHEDULE:

Faith Shari Care Facilities

24,000 SF | 120 Beds

$ 16.8 MM including Land

Schematic Design

Drawing Time: 10 Months (est.)

Permitting Time: 4 Months (est.)

Construction: 12 Months (est.)

Carey Avenue

Financial Plan

Please note that this amount includes the salaries for staff that are in development and marketing and preparation before the official opening of facility as well of all staff for the first months of operation. Costs for furniture and fixtures is an estimate based on current market trends.

Monthly Revenue/Bed

• Minimum Assist $2,500-$3,000

• Moderate Assist $3,000-$3,500

• Maximum Assist $3,500-$4,500 - Depending on care needs

AVERAGE REVENUE PER BED $3,500 x 120 = $420,000/Mo. x 12 = $5,040,000/YR.

Resident fees will also be contingent on programs such as Medicaid, Clark County, and Southern Nevada Adult Mental Health which have program limits and requirements for pricing. An Assessment of care level shall be completed upon admission and services and programs assessed to ensure transparent pricing is shown as accurately as possible.

Five Year Occupancy Projections

• First Fiscal Year (FY1): 75% Occupancy

• Second Fiscal Year (FY2): 80% Occupancy

• Third Fiscal Year (FY3): 85% Occupancy

• Fourth Fiscal Year (FY4): 90% Occupancy

• Fifth Fiscal Year (FY5): 95% Occupancy

Five Year Annual Gross Revenue Projections

First Fiscal Year (FY1): $3,780,000/yr.

Second Fiscal Year (FY2): $4,032,000/yr.

Third Fiscal Year (FY3): $4,284,000/yr.

Fourth Fiscal Year (FY4): $4,536,000/yr.

Fifth Fiscal Year (FY5): $4,788,000/yr.

> Projected Annual General & Administrative Expenses

> Projected Annual Profit and Loss Statement

Executive Director Summary

4.0

> Executive Director Summary

Faith Ramos is currently practicing as a Licensed Administrator/Executive Director, holding an active license as a Nurse in Nevada. She owns four residential assisted living facilities, each with a maximum population of 10 residents. Current locations are one in the South West, two in Silverado Ranch area, and one on the east side of the valley. She is licenced for 40 resident beds with a current occupancy of 39. She has held a Residential Facilities Administrator License in Nevada since 2010 and has a proven track record for clean well run facilities. The lowest Occupancy rate in last 36 months for all combined facilities has been 95%. Occupancy rates at these facilities is currently 97.5%. Our facility is in contract for the remaining bed and new resident will be placed before end of this week for 100% Occupancy.

Her facilities operates on a waiting list system turning away applicants monthly due to availability. Average time to fill new beds for openings at facilities is 5-7 days usually with a portion of those days waiting for new resident under contract to be released from hospital or rehabilitation centers.

BIOGRAPHY | EXPERIENCE

Faith is the Owner and Licensed Administrator of 4 Assisted Living/Care Home Facilities. Owning multiple facilities in the Las Vegas Valley since 2010. Faith also serves as Director of Business Development for HR Global Consulting.

CAREER SUMMARY

Faith was born in Columbus, Georgia. Then Raised in Davao City, Philippines and has been a proud resident of Nevada since 1991. She loves giving back by donating her free time to help with non-profit organizations in our community. In addition to being the Chief Operating Officer for Angels of Las Vegas cancer society, Faith also serves as President for Nevada Care Providers a care home owner

Faith Ramos, RFA Founder FAITH SHARI CARE FACILITY

association, Clinical Coordinator and Secretary for Nevada Community Health Center, as well as Secretary for Nevada Health Professionals Network and Asian American Group.

EDUCATION

Education includes Bachelor of Science in Health Care Administration from University of Nevada, Reno and Bachelor of Science in Dual Education from University of Nevada, Reno as well as Associates of Science degree in Nursing from Lassen College, CA.

Business Strategy

5.0

> Business Highlights

Faith Shari Care Facilities plans on raising an equity investment of $850,000 through support from medical professionals who want to participate in the program. This will allow a firm start up in conjunction with our partners who have land equity. This business model will allow the assisted living to start and grow with support from multiple sources of assistance.

The company will be registered with the State of Nevada as an Limited Liability Sub-S Corporation. The business will be Managed by Faith Ramos, who will also be the principal investor of the business in coordination with SARGEM Management, LLC.

Assisted Living Services will be operated solely at the Martin Luther King and Carey Facility here in North Las Vegas, Nevada. It should be noted that Nevada is business friendly state that offers many incentives for those who operate core businesses catering to the public and their health care needs.

This project will the newest addition to the portfolio of FOUR existing Assisted Living Facilities located throughout the Las Vegas Valley. None of the other locations are in close proximity to this project.

> Target Audience

• Administer Care to Elderly and/or Disabled

• Mental Health Endorsement

• Chronic Illness Endorsement

• Apply for CLEA WAIVER for Assisting Diabetic Residents

> Additional Pay Sources

• Medicaid Frail Elderly Waiver

• Clark County Waiver for 64 and under

• Southern Nevada Adult Mental Health Waiver

• Autism, Parkinson’s, and Dementia Organizations provide extra grants, payments and referrals sources for additional Placement of residents.

• Respite Care from Home Health and Hospice Agencies who contract for short term care solutions also give placement options and payment sources.

5.1

> Project Startup

The founders of Faith Shari Care Facilities will infuse a capital sum of $150,000 initially with an additional $700,000 coming prior to close of escrow. SARGEM Management will subordinate the land costs with an approximate value of 2 Million. The remaining capital required will be secured through debt financing for construction and initial set up and carrying costs.

> Core Services

This new facility will allow for more housing options for the citizens of Las Vegas. Higher to mid functioning residents as well as those that need and want a more active environment with more residents qualify for this new housing option.

Those that are lower functioning or want smaller more intimate environment would continue to be placed in the current smaller facilities that are located all over the valley.

Will continue to deliver best quality Non Medical Senior Care. Included services to be Medication Management, Food Preparation, Laundry, House Keeping, Activities, and Transportation.

Demand in Las Vegas is high due to the ever increasing Senior population. Market trends expect senior population to continue to sky rocket causing the need for housing solutions to be ready.

We receive multiple calls daily for elderly and disabled that need assisted living care services.

Referral sources include Hospitals, Skilled Nursing, Rehabilitation Centers, Adult Day Care, Hospice Companies, Home Health Services, Private Home Care Services, Insurance Companies, Mental Health Institutions, and the Division of aging.

Administrative hours will be 8 to 5 with service staff working in shifts will provide 24/7 care to the residents.

5.2

> Competitive Advantage

Family Atmosphere

Our Assisted Living will provide residents with a family like feel to ensure they are comfortable and happy with our trained staff. Open communication is necessary to ensure satisfaction as well as accuracy of service provided.

Trained Staff

Our Staff will be trained in all aspects regarding care giving in order to give the best care possible.

Classes include: Medication Tech

CPR/First Aid

Chronic Illness

Care giving

Mental Illness

Dementia Care

Cultural Competency Infection Control

In Addition staff will receive multiple Device Trainings and Health and Wellness Trainings

Reputation

Our Assisted Living Facility will continue to build on its already present principles of Clean facilities and excellent care. By adding this larger Assisted living our goal is to move forward with more types of housing choices to offer our community, while maintaining excellence and professionalism.

> Resident Service Packages Offered

Depending on Individual needs

Resident fees will also be contingent on programs such as Medicaid, Clark County, and Southern Nevada Adult Mental Health which have program limits and requirements for pricing.

An Assessment of care level shall be completed upon admission and services and programs assessed to ensure transparent pricing is shown as accurately as possible.

Marketing & Sales Strategy

6.0

> Opportunity

Las Vegas, Nevada is a fun interactive city that boasts warm weather, music, entertainment, world class food, gaming, shopping and many other entertainments. These benefits attract people of all ages to come and visit and live.

People of retirement age are especially attracted to what our city has to offer them at reasonable cost. This is creating the effect known as the silver tsunami in our city. Most of these aging individuals will end up living the end of their lives here and will overtime need more and more assistance. Population in Nevada is currently 3.1 Million People with 5% of that population living in Assisted living or long term care settings.

Projected Number of current elderly living in Nevada is 485,000, Disabled population is roughly 270,000, and 475,000 people in our state have Mental Health Issues, and over half a million individuals have chronic Illnesses. Thousands of people move to our state each year that will also needed to be estimated and added into the numbers of individuals that need care.

Current need for low and moderately priced Assisted Living care services is high. As population increases in number the need continues to increase. Most Facilities charge between 3,700 and 5,000 per month. Budget Limitations may require assistance from sources around the community that will supplement their fees.

The location that we have selected for this facility is a plus, due to it being central in an area of our city that has limited Assisted Living options close by. This area is high traffic area with easy accessibility through multiple modes of transportation. Facility will be a new building that will allow for lower maintenance cost in the beginning while increasing resident capacity. This allows for a highly secured, well maintained clean and functionally correct structured Facility.

The Assisted Living Facility industry is worth over $33 billion in the United States and there are about 20,855 licensed and registered residential assisted livings with a workforce of about 506,551 scattered all across the United States. Please note that currently, around one million Americans live in some type of senior living community, and that number is expected to double by the year 2030. This is a positive for this type of business model, with having a reoccurring seemingly endless source of referral sources for a trained professional and knowledgeable facility to service. The assisted living facility industry is growing. As the baby boomer generation continues to enter retirement age, demand for senior care services has surged. Available data shows that by the year 2040, the 85+ population is expected to triple from the 5.7 million there were in 2011 to 14.1 million.

The proposed Primary Owner is an Executive Director who is Highly Experienced and Qualified in the Assisted Living arena. Some of those skills include:

1. Ability to network to acquire and effectively train employees in the field of care giving. Highly Qualified in-house teaching classes to caregivers that are part of the requirements to obtain and maintain correct status.

2. Nurse by profession allows for accurate and quality resolution in the Medical Director arena. The Ability to give qualified oversight to medications and perform multiple roles in the facility if the need arises is a definite bonus.

3. Through working in the area as a Qualified Health Care Professional prior to becoming administrator, multiple contacts have been cemented for referral sources for residents as well as collaborations through out the valley for resources and assistance.

4. Qualified in invoicing and billing residents including Medicaid and Clark County pay, and long term care insurance sources.

5. Network of Health care and political allies ensures that positive progress and recognition will be given to the intent of this building.

6.1

> Marketing and Promotions

Our target market for the Elderly includes Primarily Seniors 65 years and Above. We also target the market the includes care for Adults of all ages with Physical or Mental Disabilities.

We don’t have any restriction on the level of education of those we will accommodate in our residential assisted living.

We have no cap on the income level of those we will accommodate in our residential assisted living. We will work with those that have limited personal income to help spend down funds to qualify and be subsidized through varies community and government programs.

There is no restriction when it comes to the ethnicity of the people we will welcome to our residential assisted living. State of Nevada and our Facility have strong policies that ensure that no discrimination is allowed in selection of staff or residents.

There is no restriction when it comes to the language spoken by the people we will welcome to live and work in our facility. Residents from any geographical location will be welcome to live in our facility. We will try and assist family and friends if they need assistance with directions or accommodation choices while visiting their family members who are residents with us here in Las Vegas.

> Advertising & Promotional Strategies

• Continue to build on already Solid Referral Network.

• Try updated methods of referrals including Text Marketing.

• Create a call to action that rocks the community.

• Create landing pages on our website that convert into facility tours and ultimately resident placements.

• Turning business and Administrative Social Media Channels into Resources for referrals.

• Develop Business Directory Profiles for Administration and Facility Awareness.

• Promote the assisted living facility through multiple channels.

• Build Relationships with Non profits, Senior Centers, and other related organizations.

• Create a continued presence in the community by attending outreach events and medical symposiums to increase Market awareness of our Assisted Living Facility Brand.

Traditional Marketing Strategies

• Print Media Marketing – Newspapers & Magazines.

• Broadcast Marketing -Television & Radio Channels.

• Public Transits like Buses, Trains, Billboards, Street shows, Cabs and Senior centers.

• Direct mail (postcards, brochures, letters, fliers), print advertising (magazines, newspapers, coupon books, billboards).

• Referral (also known as word-of-mouth marketing).

Digital Marketing Strategies

• Social Media Marketing Platforms.

• Influencer Marketing.

• E-mail Marketing.

• Content Marketing.

• Search Engine Optimization (SEO) Marketing.

• Affiliate Marketing

• Mobile Marketing.

• Event Marketing.

6.2

> Advertising & Promotional Strategies (cont.)

Social Media Marketing Plan

• Start using chat bots.

• Create a personalized experience for customers.

• Create an efficient content marketing strategy.

• Create a community for our audience to give testimonials and positive interactions

• Gear up our profiles with a diverse content strategy.

• Use brand advocates.

• Create profiles on the relevant social media channels.

• Run cross-channel campaigns.

Pricing Strategy

When working out our pricing strategy, our facility will offer an all inclusive pricing option for room & board that includes single or double occupancy pricing as well as multiple levels of care. Considerations will include Room and Board, Laundry, Dining that includes 3 meals and up to 2 snacks daily, Medication Administration, and Assistance with Activities of Daily Living. Cost not included in prices are Personal DME equipment, Diapers, Bed Pads, Medication Co-Pays, Dental, Vision, Labs, X-ray, Medical Tests, Personal Medical Provider costs, Out side Hospital fees, Emergency or Non-Emergency Transport fees, as well as Companion costs for Care Staff accompanying residents to appointments. Cigarettes, personal Snacks and or other personal care and property items are not included or the responsibility of the Facility.

Levels of Care to include:

• Minimum Assist Care

• Moderate Assist Care

• Maximum Assist Care

> Sales and Distribution Plan

Sales Channels

Our channel sales strategy will involve using partners and third parties—such as referral partners, affiliate partners, religious organizations, nonprofit organizations, and charity to help refer residents to our facility. We plan to leverage the 4 Ps of marketing which are the place, price, product, and promotion. By carefully integrating all these marketing strategies into a marketing mix, we can have a visible, in-demand service that is competitively priced and promoted to our customers.

Inventory Strategy

The fact that we will need toiletries, disinfectants, sanitizers, hand gloves, medications, and foodstuffs means that it is necessary for us to operate an inventory strategy for ordering, maintaining, and processing items in our storage areas. We will use developed strategies with the same thoroughness and attention to detail as we continue to grow and accumulate more inventory.

Payment Options for Customers

Here are the payment options that are currently being accepted by our facilities and anticipate to continue to offer these mediums in the future:

• Payment via bank transfer

• Payment with cash

• Payment via Debit cards

• Payment via Green State Direct Payment Cards

• Payment via check

• Payment via mobile money transfer

• Payment via Zelle

Return Policy, Incentives, and Guarantees

Our facilities offer services, and the nature of the services we offer does not accommodate return policy and incentives. We guarantee our residents that they will get maximum assistance to help them carry out their daily activities based on their level of care and care plans.

Customer Support Strategy

Our customer support strategy will involve seeking resident feedback. Encouraging creation of residents council to help with resident suggestions and advocacy. These strategies will assist the facility staff in providing excellent customer service to our residents. Benefits include helping us to first understand their needs, experiences, and pain points so that we can create positive changes that benefit the residents where it counts most.

Operational Plan

7.0

> Operational Plan

Our operational plan will cover capacity planning, location planning, layout planning, quality planning, and methods planning.

Overall, we plan to expand our revenue Yearly starting from first year of operation until we hit maximum profitability levels in our industry. Strategic action includes a marketing, sales, and operations components.

The operations component of the plan would include attracting grants and using fund-raising strategies and other exposure to supplement the needs of low income individuals that need our facility type. These additional resource plans will help the facility to boost our service offerings and to support revenue growth as we try and serve the community.

A typical day at an Assisted Living Facility

In an assisted living facility residents live in the facility 24 hours a day and their typical day-today activities revolve around the activities inside and around the facility.

Staff duties include;

• Helping residents get into/out of bed or chair.

• Helping residents with Bathing, Toileting and/or Showering.

• Helping residents with Getting Dressed.

• Helping residents with Personal hygiene.

• Helping residents with feeding

• Helping residents with taking medications (Med Tech)

• Assist residents in Walking/Climbing Stairs.

• Activity Program interaction

• Be available to carry out safety and emergency responses when required

• Transporting of Residents to and from multiple points in facility as required.

A typical day at an Assisted Living Facility

The services procedure for a residential assisted living facility is geared towards assisting and teaching skills required to manage one’s basic physical needs. We encourage each resident to do as much as possible for themselves to maintain ultimate mobility for as long as possible based on each persons individualized care plan. Services include personal hygiene or grooming, dressing, toileting, transferring or ambulating, bladder control, toilet use, transfers (bed to chair and back), mobility on level surfaces, feeding, and bathing.

The Supply Chain

Facility will rely on hospitals, Medical facilities, religious organizations, and government agencies in our city to refer residents to us.

Facility has established long standing business relationships with wholesale suppliers for all facility needs including toiletries, disinfectants, sanitizers, hand gloves, medications, Durable Medical Supplies, and food and dietary needs of the residents at the facility.

Sources of Revenue

• Private Pay

• Fees paid by residents or from Medicaid

• Fees Paid by Clark County

• Fees paid by Southern Nevada Adult Mental Health

• Fees paid by Long Term Care Insurance Companies

• Fees paid by Autism, Parkinson’s, and Dementia organizations for short term contracts

• Contributions from partners and donors

• Grants from government agencies and charity organizations

• Community support

Please note that a report released by Genworth Financial shows that the average cost of assisted living in 2020 was $4,300 per month. So also, a report published by the National Center for Assisted Living shows that the median cost for assisted living in the United States is about $4,300 per month or $51,600 annually.