Business Plan of Health and Residential Care

Running head: BUSINESS PLAN OF HEALTH AND RESIDENTIAL CARE
BUSINESS PLAN OF HEALTH AND RESIDENTIAL CARE
Name of Student
Name of University
Author note
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1BUSINESS PLAN OF HEALTH AND RESIDENTIAL CARE
Table of Contents
Introduction................................................................................................................................2
Financial Aspects:......................................................................................................................3
Policy Context............................................................................................................................6
Service User Roles, involvement, consultation:........................................................................9
Project Delivery plan................................................................................................................11
Performance measurers........................................................................................................12
Management plans...............................................................................................................13
Roles and responsibilities.....................................................................................................13
Start-up meeting.......................................................................................................................14
Scope statement....................................................................................................................14
Cost structure...........................................................................................................................14
Management plan.....................................................................................................................15
Staffing plan.............................................................................................................................15
Project quality..........................................................................................................................15
Project risks..............................................................................................................................15
Conclusions:.............................................................................................................................17
References:...............................................................................................................................18

2BUSINESS PLAN OF HEALTH AND RESIDENTIAL CARE
Introduction
To assist the living of the senior and old peoples in UK, the Residential Care will
provide them with healthy and safe place to reside and it will further assist them with
medicine, meals and healthcare. The service will be provided to them for a cost per week.
There will be also opportunity for them entertainment, fulfilment. The primary goal of the
Residential Care with provide better service to the seniors which will provide them homely
environment along with medical care and services (Kirzner 2015). This home will be situated
at Chelsea which will provide services to 50 of their residents with their trained staffs. All of
the rooms will have private access which will have all the amenities.
The rooms will be full furnished provided with all accommodations. There will be
laundry room along with The residents will be also provided with swimming pool and gym
with which will be well equipped with a lift which will help the senior with difficulties. There
will be open garden space where the residents can spent their time with others. The peoples
will be also provided snacks and meals per day along with the medication (Burns 2016). The
residents will be provided with transportation facility for any appointments. The residential
care will be provided on and from January in the year.
The residents of Residential Home Care will have to pay a minimum of £4,800 per
month to avail all the facilities along with living in this residential home. Along with this
£10,000 will be required from them for security and medical purpose.

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Financial Aspects:
INCOME YR1 YR2 YR3 YR4 YR5
Grant Finance £4,00,000 £4,00,000 £4,00,000.00 £4,00,000 £4,00,000
SS Finance £31,20,000 £31,82,712
£32,46,684.0
0
£33,11,94
2 £33,78,512
Savings Portfolio £24,000 £18,000 £12,000 £6,000 £0
GRAND TOTAL £35,53,600 £36,07,912 £36,63,484
£37,20,34
2 £37,78,512
EXPENDITURE
Staffing (Managers) £2,18,000 £2,22,578 £2,27,252 £2,32,024 £2,36,897
Staffing (Frontline) £2,30,635 £2,35,478 £2,40,423 £2,45,472 £2,50,627
Rent £3,60,000 £3,67,560 £3,75,279 £3,83,160 £3,91,206
Utilities £52,000 £53,092 £54,207 £55,345 £56,508
Maintenance £35,000 £35,735 £36,485 £37,252 £38,034
Food £1,97,100 £2,01,239 £2,05,465 £2,09,780 £2,14,185
Security £50,000 £51,050 £52,122 £53,217 £54,334
Licenisng £10,000 £10,210 £10,424 £10,643 £10,867
Transport £12,000 £12,252 £12,509 £12,772 £13,040
Laundry £26,000 £26,546 £27,103 £27,673 £28,254
Reg Compliance £36,000 £36,756 £37,528 £38,316 £39,121
insurance £1,24,000 £1,26,604 £1,29,263 £1,31,977 £1,34,749
Furniture £75,000 £76,575 £78,183 £79,825 £81,501
Gardening £3,600 £3,676 £3,753 £3,832 £3,912
Training £30,000 £30,630 £31,273 £31,930 £32,600
Grand Total £14,59,335 £14,89,981 £15,21,271
£15,21,27
1 £15,21,271
SURPLUS/DEFICIT £20,94,265 £21,17,931 £21,42,213
£21,99,07
1 £22,57,241
No of residents 50
Weeks/Year 52
WKLY Income from Grant/resident £153.84
WKLY Income from SS/Resident £1,200.00
Wkly Total Income (x50 residents) £67,692.00
Mthly Income from Grant/Resident £667
Mthly Income from SS/Resident £5,200
Mthly Total Income (x50 Residents) 2,93,332.00

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Yearly Income from Grant/Resident £8,000.00
Yearly Income from SS/Resident 62,400
Yearly Total Income (x50 Residents) 35,20,000.00
Start Up-Costs:
Start Up Expenses
Start-up Expenses
Fixed Costs Particulars Amount
Staffing (Managers) £ 2,18,000
Staffing (Frontline) £ 2,30,635
Rent £ 3,60,000
Utilities £ 52,000
Maintenance £ 35,000
Food £ 1,97,100
Security £ 50,000
Licensing £ 10,000
Transport £ 12,000
Laundry £ 26,000
Reg Compliance £ 36,000
insurance £ 1,24,000
Furniture £ 75,000
Gardening £ 3,600
Training £ 30,000
Total Start-up Expenses £ 14,59,335
Start-up Assets
Sources of funds
Grant Finance £ 4,00,000
SS Finance £ 31,20,000
Savings Portfolio £ 24,000
Total Funds £ 35,53,600
The Residential Care would be dependent on the occupancy so that it can be
profitable. The total costs presently outweigh the sales revenues if there are only three seniors
that are occupying the facility. The overall sales and marketing goals of the business is

5BUSINESS PLAN OF HEALTH AND RESIDENTIAL CARE
focused on obtaining the facility to the highest level possible (Parker 2018). The business will
be accommodating 50 vulnerable residents that are normally placed in the service and getting
a weekly wages of 1200 per week. The business will limit its capacity of vulnerable patients
to fifty persons during its initial five year of operations. After successfully completing its first
five year of operations it would be positioned to take on additional 25 guests as this will help
in making the business profitable.
The business anticipates to have a yearly sales revenue of greater than $35million
during the first year of its operation on the basis of the assumption that there will be a
maximum of 50 guests living in the facility based on the one-time pre admission fee (Kuratko
2016). The total cost arising from the employee payroll would stand approximately £400,000
in the first year of operation. While the total other expenditure for the first year of operation
is anticipated to be £14, 59,335. These expenses mainly include the maintenance, security,
staffing, license etc.
The business anticipates slow growth in the span of two years during the first year of
operation. The business anticipate to make a surplus of £20,94,265 from the first year of its
operation. As the new gusts would be admitted to the facility, the profitability is anticipated
to increase to £21,17,931 in the second year of its operation. While moving into the third year
of operations the business is anticipated to be profitable as well as long as it has full capacity
guest of 50 people. The key to improve the profits is mainly to improve the total capacity at
home.

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Policy Context
Health and Social Care Act 2012
The health and social care bill was introduced in 2011 which was the biggest bill of
health in NHS. This health act discusses about the responsibilities of the citizens relating to
health which is primarily based on the health and services (Burns and Dewhurst 2016). This
act was highly controversial which helps the NHS to provide certain response about the
pressure on the budget of NHS. This law is very expensive yet effective in the health and
social care (Barringer 2015). This act helps the empowerment of the patients as well as
focuses on the health of the public. It is an act which was introduced to take steps regarding
inequalities of health. The changes in the authorities has been made by this act and the main
purpose of this act is the advancement of the equality into the business.
The social acts helps the authorities and the health sector to consider, environment
and social welfare of the services. The act helps to create social value which helps to reduce
the inequalities of health through action on the social health care and thereby assists the
employment and housing. It also helps to reduce the inequality in the local people which
helps to improve their health and therefore diminish the need of health and other services
(Shapiro and Hanouna 2019). It helped the patients with the healthcare of their own and
empowering their voice. The act will also help to give focus on the public health of the
people by putting the clinicians at the commissioning. This act helps the healthcare and
residential homes by providing effective law regarding health and social care.
The Care Act 2014
The Care Act was introduced on 2014 in the parliament of UK. This act safeguard the
adults by encouraging the caregivers. This law was created along with other legislations

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which was made on social care in UK. The acts helps the adults who are neglected and
abused and whose voices are not heard (Madura 2020). This act helps the adults and old
people who is vulnerable in safeguarding their own. This act empowers the adults as well as
protect them regarding any healthcare policies. This law helps the adults with prevention
from most abuses and therefore protects them from long term damage whether
psychologically or physically. This law also helps the vulnerable adults with local service
and communities so that the authorities can quickly take action regarding this matter.
Residential Care home will safeguard the adults by following the act as well as
provide them with security. It will also help them to communicate with their families and
therefore establishing good communications (Finkler, Smith and Calabrese 2018). This act
influences the old people also it provides control to them as well as support them where they
need. This act discussed about how the social care units should provide their service to the
people. The laws talks about the mental health, law and the social policy and care of the
people. The law significantly impacts on the welfare of the people which majorly improves
their quality of living which will be the primary goal of the residential home.
The Better Care Fund 2014:
The better care fund was introducing during the year 2013 in June as the part of
spending round. This act is useful for the business to offer an opportunity to transform the
local services where people are offered with better integrated care and support. It is useful in
encompassing the substantial degree of funding to assist the local areas in administering the
pressure and enhance the long-term sustainability (Burtonshaw-Gunn 2017). This fund is
important in the current business as it allows integration of agenda forward at a scale and
speed by acting as the significant catalyst for change.

8BUSINESS PLAN OF HEALTH AND RESIDENTIAL CARE
The Better Care fund offers an opportunity to enhance the live of some of the highly
vulnerable people in the society. It is useful in providing them with control, placing them at
the centre of their own care and providing them necessary support. By doing so, people that
are highly vulnerable would be able to get better service and quality of life. The Better Care
fund is useful in providing support to those people that need appropriate care, at the correct
place and at the correct time. It also includes noteworthy expansion of care in the community
setting as well (Storey 2016). The present business will be enacting the Better Care Fund on
the clinical commissioning groups and councils that are already doing integrated care with
the help of community budgets and understanding the patient and service user experience.
The present business looks forward to use the fund in a manner that it provides
support to the adult social care service in the locality where it serves as this will help in
offering vulnerable people with enhanced health benefit. Nevertheless, anything beyond the
broad condition, the business would offer flexibility in service for the local areas to ascertain
how this investment in the social care service is better used (Nambisan 2017). In agreement
with the responsibility of the business under the Health and Social Care Act, an added
condition regarding the transfer is that councils and clinical commissioning groups would
regard to the joint strategic need assessment for the local populations and the current business
plan emphasis on both the health and social care in how it can use the funds.

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Service User Roles, involvement, consultation:
The business is committed to working and indulging with the service users, patients,
families, friend’s carers and the public a wide variety of manner. Assuring that the views of
the people are heard at every levels and across every part of the trust it is very much
necessary for creating and offering better health as well as care service (Light, Bhachu and
Karageorgis 2017). The service users and people that look after someone can get involve in
consultation procedure in following ways;
a. Offering their views as representative at the service improvement meeting or working
group.
b. Getting indulge in the process of recruiting and selling the staff
c. Providing assistance in inspecting the building with the objective of auditing or
emphasising inspection on the patient led assessment of care environment.
d. Co-delivering the training
e. Speaking at the event
f. Making a contribution in the development of the policies or reviewing the
The aspects of care mainly correlates with the good patient’s experience. Patents
usually wants to be listened in order to obtain a good explanation from the professionals. In
order to have their questions answered, it is necessary to share in terms of decisions and
should be treated with empathy and compassion (Lipset 2018). These type of aspects are
normally found in the individual consultation and team work. However, the arrangement
relating to integrated care should be very much crystal clear regarding the roles and contact
which numerous professionals would have service users.
People normally demands a lot from the healthcare, this includes the continuousness
care and even transition. The current can only achieve this through planning and co-

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ordination. They might not need organizational integration. By effectively deploying multi-
professional resources, the co-ordinated system of care must be better able to deliver the
other things which is required by the patients (Meyer, Neck and Meeks 2017). This involves
fast access, effective treatment, respect for their preference, support for the self-care and the
involvement of family. For those people that want integration is mainly relevant, particularly
for those that want long-term conditions, constantly say that they want system to two
combine two things at one place;
a. Knowledge of the patient/service user: This includes the circumstances of their
home, lifestyle, views and preferences, confidences needed to care for themselves and
administer their conditions along with their health status.
b. Knowledge of relevant condition: Knowledge regarding their relevant conditions
and all the required options for treating, managing and reducing them, together with
the knowledge of all the obtainable support services (Cooper 2017).
The present business plan knows that they need to identify the wide variety of
professionals and support service but it also wants to establish a single trusted point of liaison
to which it can resort whenever necessary.
Besides this the residential home care also holds the intention of attracting the
potential customers with the help of marketing campaigns which will help in assuring that
there is higher visibility for the business in the target audience. The business has set up
feedback collection system that is simply based on the suggestion system (Cooper and Folta
2017). The feedback suggestion system has numerous statements which the patrons are asked
to rate from the scale of 1 to 5. The feedback system would also contain the open ended
questions which would allow the customers to freely offer the constructive criticism or praise.
The residential care homes would simply work hard to apply the reasonable suggestions so

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that it can enhance their service offering and also show their commitment to the customer in
which their suggestion would be valued.
The business here would also approach as much of their contacts in their work as this
will allow them to know their availability while carrying out their service (Roberts et al.
2016). The business here would acquire the reliable set of database in order to produce the
leads to provider higher customer value with the help of highly customized and personalized
approach for their product and service offerings, process of distribution that are tailored to
satisfy their needs of customers.
Project Delivery plan
Every upcoming business needs project plan to deliver a successful project. The
delivery plans are needed before starting any business. There are certain project plan which
any business should follow to successfully implement their business in the market (Mishra
2016). A well-developed delivery plan provides future sight of the health and residential care
to the shareholders as well as the managers of the business. The delivery plans which a health
and residential care should follow are discussed below
Key components of project plan
The shareholders of the health care business should understand the terms and
conditions of a project which is discussed in the business plan. The delivery plan helps the
management with the future direction of the project as well as the future value of the health
care in the market (Shirley 2016). There can be certain problems in the project which is
needed to be changed by the management in order to successfully run the business.
In order to successfully implement the business, the shareholders of the business
should properly understand the nature of the project as well as the delivery plan (Balinski et

12BUSINESS PLAN OF HEALTH AND RESIDENTIAL CARE
al. 2016). The management should properly understand the difficulties of the shareholders
and should properly explain the planning process to them. Without understanding the
importance of the plan, they cannot successfully cope up with the business.
The components of the project plan should include the following
Performance measurers
The baseline of the project are called the performance measurers of the project. This
should be properly understood by the authority of the health and residential care home (Rich,
Singleton and Wadhwa 2018). The cost baselines, scope and schedule should be properly
measured by the managers and shareholders. This baseline helps the authority to understand
whether this project is going good or not.
Marketing campaigns:
Direct marketing:
The business aims to approach a large number of contacts that are available in its
network as this will allow the owners to make their business aware in the market while
performing service (Balinski et al. 2016). The company would also acquire a reliable source
of database as this will be helpful in producing greater customer value with the help of highly
customized and personalized approach for the product and services offered, distribution
procedure that is designed to satisfy the needs of customers.
Social Networks:
The residential homecare would make use of the power to socialize the networks in
order to spread its name as the bigger brand. A better designed and informative page in every
social networks would be formed for creating brand awareness. Social communities would be
invited as well to participate in the discussion.

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SEO Optimization:
The business would also optimize the search engine option which would function as
the overall marketing strategy. The residential care would undertake specific measures as this
will help in assuring that the websites has the highest visibility amid the major search engines
(Falkenström, Ohlsson and Höglund 2016). The business will make use of relevant key words
which will help in optimizing the content and driving the higher traffic to the website.
Management plans
The plan of management includes the proper documentation which should be properly
followed by the project. The authorities of the upcoming residential home should properly
view and manage the plans of the project.
Roles and responsibilities
In successfully start a residential home, the authorities should properly understand and
allocate the roles and responsibilities in able to successfully approach the project (Cha et al.
2015). The roles of the people in the residential care are explained below
Project sponsor owns and funds the project which is needed throughout the project.
Business experts helps to determine the need of the project and checks the documentations
needed for the project.
Project manager helps the business with creating and controlling the business plan.

14BUSINESS PLAN OF HEALTH AND RESIDENTIAL CARE
Project team helps the manager with the execution of the project plan. In order to
successfully start the residential home, they should properly understand and execute the
project plan (Chernev 2018).
There are some other people who helps to create the project plan such as auditors, risk
analysts and others who should also participate the delivery plan of the project.
Start-up meeting
Before staring the residential care, the board of directors should properly and
effectively start a meeting before the business comes into the market. All the shareholders of
this business should come and discuss about the business (Aghazadeh 2015). The strategies
and future aspects of this business should also be discussed. The directors of residential care
should discuss the roles and responsibilities of the members as well as mention the future
market of the residential care.
Scope statement
It is one of the most important document of the project delivery plan. The authorities
should properly develop and understand the scope statement of the project in order to
successfully start this business. The statement should properly discuss all the fields of the
project as well as the problems that this residential care can face in the near future (West,
Ford and Ibrahim 2015). This helps to reduce the miscommunication between the
shareholders and the managers. After the statement is done, the deliverables of the project
should be properly understood by breaking down the delivery plan into a work breakdown
structure.
Cost structure
In order to successfully start the residential care, the cost structure of the business
should be created and followed. The cost structure should produce components of each cost

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followed by a budget (McDonald 2016). The estimate should be properly understood by the
management and should properly allocate the funding that is necessary in the structure.
Management plan
After the scope and the cost structures are properly created, the management of the
residential care should properly establish the framework before starting the project. The
authorities should properly study the management plan and therefore it should determine the
impact of the residential care in the market.
Staffing plan
The staffing plan includes the charts that should be followed in starting the project.
This is similar to management plan but it only have the time and the resources included in the
project. The residential care should properly plan their stuffs before staring the care. The
authority should observe whether the staffs properly care of their patients or not. The plan
will include everything that a staff should follow of the residential care.
Project quality
The project qualities should be understood by the authorities and the managements
that will impact the residential care. The quality plans should be followed by the staffs and
the insight of the future project should impact the quality of the nursing home. The
management and the directors of the residential care should observe the quality of the project
(Cegliński 2016). In order to improve the quality of the project, proper communication
should exist between the staff and the managers of the residential care. Without
communication, the business cannot establish their place in the market.
Project risks
The types of business varies from business to business that can impact the residential
care and their business in the future. The quality of the product and services of the residential

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care can reduce if there is any risk in their business. The risk that can impact the business are
discussed below
Cost risk can affect the business if it not properly mentioned and evaluated in the project
delivery plan therefore impacting massively in the business. The business cost of the
residential care should be properly evaluated by the authorities in order to successfully
implement the business. Forecasting of costs is necessary in order to estimate the cost of the
business in the near future.
Communication risk can be there if there is any miscommunication between the board of
directors and the managements. The communication must be there between the different
teams as well as the residents of the residential care.
Risk from technological resources comes into the business when there are some
components and devices which are not properly scaled or meet the need of the residential
care. The quality of the component can also impact the reputation of the residential care.
Shortfall of resources can impact this business and this impacts heavily in the business
(West, Ford and Ibrahim 2015). To manage the shortfall of the resources and products, the
shareholders of this business should be properly educated and therefore proper training
should be provided to them to understand the shortfall of resources.
Compliance risk affects the business of residential home. If the laws and regulations are not
meeting the rules of the state, it can heavily affect the business. The acts and laws relating to
health care should be properly implemented and followed before the start of the residential
care.

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Conclusions:
On a conclusive note the residential home care will be a company that would enter
into the home care industry by providing the patrons with the facility of shelter up to 50
occupants. The business will be providing a housing, food, transportation and the required
basic needs to their customers. Presently the business anticipates that there is an increased
demand of this type of service and the business is anticipated to grow by 3.1% over the five
year span. The current plan is based on the market research which contains numerous aspects
and is anticipated to produce revenue all through the five year span.

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