Sunrise Adult Day Center

Words in [brackets] are blanks you fill in with your own details when you adopt this sample in Supreme Plan AI.

Executive Summary

Sunrise Adult Day Center is a licensed adult day center in Pennsylvania where older adults and adults with disabilities spend the day in a safe, active place while their families work or rest. We plan a center of about 3,500 square feet open on weekdays with a nurse on staff, trained aides, meals, exercise, music, games, outings and door-to-door transportation. Participants are people who need supervision and help with daily tasks but do not need a nursing home.

Millions of families care for an older parent or spouse at home, and many have jobs and children of their own. Without a safe place for the day, the caregiver may have to quit work, the older person may be alone or the family may turn to a nursing home sooner than anyone wants. Adult day care costs far less than a nursing home and gives caregivers a real break, and good centers are scarce.

Here is what our numbers show. We plan for about 3,000 participant-days in Year 1 (about 12 participants a day on average as we fill), which brings in sales of $330,800, growing to $1,166,492 by Year 5 at about 38 participants a day. We expect a loss of about $226,900 in Year 1 and a loss of about $84,300 in Year 2 because the center needs a full team before it has a full room, then a profit from Year 3 ($35,900), growing to about $115,500 by Year 5. Adult day care has high staffing costs, so we plan carefully for the early months.

We need $570,000 in total. Of that, $164,600 is startup costs (the room set-up, a wheelchair-accessible van, equipment, licensing and setup) and the rest is cash to cover the first months while the center fills. I am putting in $120,000 of my own money, and I am asking for a $450,000 SBA loan.

I am Lisa Mercer, the owner and director, a registered nurse with 15 years of experience, including six years managing a senior services program. These numbers are estimates based on the assumptions listed at the end of this plan, not promises.

Company Description

Sunrise Adult Day Center is a small, independently owned adult day center in Pennsylvania, planned as a limited liability company (LLC). We will lease about 3,500 square feet on the ground floor near a bus line, with a large activity room, a quiet room, a dining area, accessible restrooms and a secure outdoor space. We plan to apply for the state license for adult day services.

Our mission. To give older adults a good day and their families peace of mind.

What we believe. Everyone deserves respect, activity and company. We treat participants as adults, ask them what they want to do and keep a calm, safe place. We tell families the truth, and we communicate every day.

What we offer:
- A structured day. Activities, exercise, music, cognitive games, crafts, outings and time outdoors, planned around each person's interests and abilities.
- Nursing oversight. A nurse who gives medicines, checks vital signs and watches for changes.
- Meals and snacks. A hot lunch and snacks that follow dietary needs.
- Transportation. Door-to-door rides in our wheelchair-accessible van.
- Extended hours and respite. Early drop-off, late pick-up and occasional respite days for families.
- Family support. Caregiver education, regular updates and referrals.

Who we serve. Adults 55 and older who need supervision, help with daily activities, or social contact, including people with early to moderate dementia. Families pay privately, through long-term care insurance, veterans' benefits or state programs that may cover adult day services.

What we do not do. We do not provide overnight care, skilled nursing beyond what the state allows or care for people who need constant one-to-one supervision. We do not use physical restraints.

How we are run. I am the owner and director. A licensed practical nurse joins in Year 2. Activities staff, aides and a driver work with me from the start. A small advisory group of a physician, a social worker and a family caregiver tells us what is working.

Where things stand today. We have a lease option, a van quote, a draft program plan and letters of interest from two physician offices, a hospital social worker and a church. Before we begin, our attorney will review the lease and participant agreements, and we will confirm what Pennsylvania requires for licensing and staffing.

Problem & Opportunity

Families who care for an older adult at home face a hard choice. Many have jobs and children and cannot be home all day. Home care by the hour is expensive. Nursing homes cost much more and are more than most people need. Many older adults who are alone all day become isolated, inactive and at risk of falls and decline.

Adult day centers fill the gap and are scarce. In many areas, centers have closed, have long waits or do not accept people with dementia. Some centers have limited hours and no transportation. Cost is a barrier for families who do not qualify for programs.

For a new center, the main challenge is that staffing is fixed and revenue depends on how many participants attend. A center needs a nurse, aides and activities staff whether 10 or 25 people come. Licensing, background checks and training take time. Families come through referrals, which take months to build.

We want to be clear about what we know and do not know. Demand for adult day services is growing as the population ages, and a good center can become full. We will use the most recent numbers for our area from the census and the state aging agency in our final plan and will not overstate them. We do not know how fast the center will fill, so our plan assumes a loss in the first two years and a high staffing level from day one.

Products & Services

Sunrise will give participants a safe, active, social day with nursing oversight, and give caregivers reliable care and rides.

How it works, step by step:
1. Inquiry and visit. A family calls or visits, tours the center and meets the director. We answer questions and explain costs in writing.
2. Assessment. The nurse meets the participant and family, reviews health, abilities, medicines and preferences and decides whether we can care for the person safely.
3. Agreement. We sign a participant agreement that lists services, fees, rules and rights, and help the family apply for any benefits.
4. Care plan. A written plan lists the person's needs, goals, activities and medicines and is reviewed regularly.
5. The day. The van arrives in the morning. Participants have a snack, join activities and exercise, take a rest, eat lunch, and have an afternoon program. The nurse gives medicines and checks health, and aides help with toileting and mobility.
6. Safety. The center has a secure door, staff count participants throughout the day and follow an emergency plan. Staff call 911 for emergencies and the family right after.
7. Communication. Families receive a daily note and a call about any change.
8. Quality. We track attendance, falls, incidents, satisfaction and caregiver feedback.

Why this approach is strong. A center with a nurse, trained aides and rides gives families confidence and real relief, and a small center can be warm and personal.

Market Analysis

Who we serve: older adults and adults with disabilities who need a safe, social day, and their families.

Our primary group is adults 55 and older who live with family or alone and need supervision or company. We will use the census and state numbers for older adults and caregivers in our area in our final plan. Our secondary group is the doctors, hospital social workers, home health agencies and faith communities that refer them.

How we sized our plan. We plan for 3,000 participant-days in Year 1 (about 12 a day on average), 5,600 in Year 2, 7,400 in Year 3, 8,600 in Year 4 and 9,400 in Year 5 (about 38 a day). The center has room for about 40 participants a day. We also plan for 1,500 transportation round trips and 800 hours of extended care in Year 1. Our Year 1 rates are about $96 a participant-day (a blend of private pay and lower waiver rates), $20 a round trip and $16 an hour of extended care, rising about 3% a year.

We do not take everyone. We cannot care for people who need more support than a day center can safely give, and we help those families find another option.

Competitive Landscape

Other choices for families, and what makes us different.

- Other adult day centers. Some are excellent and full. We compete on staffing, transportation and communication.
- Home care. One-on-one care at home works well for some and costs more for full days. We are less expensive for a full day and offer social contact.
- Assisted living and memory care. They provide residential care. We help families delay or plan for that step.
- Nursing homes. They are for people who need skilled care.
- Senior centers. They offer activities for independent adults and often do not offer supervision or nursing.
- Family and friends. Most care is provided by family, and we support them.

What makes us different.
- A nurse on staff and a high aide-to-participant ratio.
- Door-to-door transportation.
- Extended hours for working caregivers.
- Honest, written pricing and daily communication.

What we do not claim. We are new. Established centers have waiting lists and strong referral ties. We plan to earn trust one family at a time.

Marketing & Sales Strategy

How we will reach families and referral sources.

Referral sources. We will meet physicians, geriatric clinics, hospital and rehab social workers, home health agencies, elder law attorneys and the Area Agency on Aging and offer tours. We do not pay for referrals.

Families. We will keep a clear website with prices and photos, hold open houses and caregiver workshops at libraries and churches, and ask satisfied families for reviews.

Faith communities and senior groups. We will offer short talks and invite congregations to lead activities.

Payers. We will work with long-term care insurers, veterans' programs and state programs to be an approved provider.

Pricing. About $96 a participant-day in Year 1 (a blend of private pay and lower waiver rates), with $20 for a round trip and $16 an hour for extended care, published in writing.

Operations Plan

How the business will run.

Setup (the 4 to 6 months before the first participant). We will form the LLC, sign the lease, make the room safe and accessible, buy the van and equipment, apply for the state license, pass the fire and health inspections, buy insurance, hire and train staff and write policies. We will not accept a participant until the license is in hand.

The center. About 3,500 square feet, open weekdays from 7 a.m. to 6 p.m. Rent is $4,800 a month in the plan.

Staffing. In Year 1: I serve as owner and director and am a registered nurse. Two direct care aides, an activities coordinator, a driver and a part-time program assistant work with me. A part-time licensed practical nurse joins in Year 2, and we add aides, an activities coordinator and a second driver as participants grow, keeping the aide-to-participant ratio at or below the state's requirement. We pay aides about $34,000 a year in the plan.

Training and screening. Every employee passes a criminal background check and a child and adult abuse check, and completes dementia care, first aid, CPR and abuse reporting training before working alone.

Medicines and safety. Only the nurse and trained staff give medicines, as state law allows, and every dose is recorded. The center has a secure door, an emergency plan and regular drills.

Meals and supplies. A hot lunch, snacks and care and activity supplies cost about $20 per participant-day in Year 1, and transportation costs about $10 per round trip in the plan.

Payments. Private payers pay monthly, and state and insurer payments arrive after billing. We keep about 3% of annual sales as receivables.

Insurance. We carry general and professional liability, abuse and neglect, commercial auto, property and workers' compensation insurance. Insurance is about $14,000 a year in Year 1.

Management & Organization

The people who will run Sunrise.

Lisa Mercer, owner and director. A registered nurse with 15 years of experience, including six years managing a senior services program. She leads care, hiring, licensing, family relations and finance. (Replace this paragraph with your own background.)

Licensed practical nurse (part-time, from Year 2). Gives medicines, monitors health and trains aides.

Activities coordinator. Plans and leads daily activities and outings.

Direct care aides. Help with mobility, toileting and meals, and supervise participants.

Driver. Drives and helps participants on and off the van.

Program assistant (part-time). Handles scheduling, records and billing.

Outside advisors. A physician, an attorney, an accountant, an insurance broker and a free mentor from SCORE or the Small Business Development Center.

Staff pay in this plan is a full year per person: owner and director $70,000, activities coordinator $38,000, direct care aide $34,000 each, driver $32,000 each, part-time licensed practical nurse $45,000 and part-time program assistant $26,000. Replace them with the pay you can offer where you live.

Milestones Narrative

Our goals and when we plan to reach them.
- Before opening (4 to 6 months ahead): get at least 3 letters of interest from referral sources and 20 families who would try the center, confirm the license process, get van and lender quotes, form the LLC, get an EIN and open a business bank account. Do not accept participants until the license is in hand.
- Year 1: about 3,000 participant-days (about 12 a day on average); $330,800 in sales and a loss of about $226,900.
- Year 2: about 5,600 participant-days and a part-time nurse; $636,128 in sales and a loss of about $84,300.
- Year 3: about 7,400 participant-days and the first profit; $866,144 in sales and a profit of about $35,900.
- Year 4: about 8,600 participant-days; $1,036,299 in sales and a profit of about $46,800.
- Year 5: about 9,400 participant-days; $1,166,492 in sales and a profit of about $115,500.
Growth depends on winning and keeping customers, so treat the later years as goals, not promises.

What we check every week: participants per day, inquiries and tours, aide ratio, falls and incidents, caregiver satisfaction and cash in the bank.

Funding Request

How much we need and how we will use it. Total we are raising: $570,000.

How we got that number. The Funding Need Calculator in this plan adds up three things:
- Startup costs of $164,600, listed item by item in the Startup Costs section: $45,000 for day room set-up: furniture, activity areas, a quiet room and accessibility changes; $52,000 for wheelchair-accessible van, used and inspected; $24,000 for activity, exercise and music equipment and a kitchenette; $8,000 for kitchen equipment for meals and snacks; $4,000 for tablets, a records system and phones; $9,600 for lease security deposit and first month of rent; $3,000 for adult day services license application, fire inspection and business license; $6,000 for attorney and accountant: participant agreements, consents and setup; $4,000 for sign, brochures and a website for families; $9,000 for staff background checks, dementia care training and the first insurance payments.
- The cash the business uses before it breaks even, about $206,937: because staffing is fixed and the center fills over time.
- A cash cushion of about $96,500: three months of Year 1 operating costs.
- Together that comes to about $468,037, rounded up to the nearest $500: $468,500.
We are raising $101,500 more than that, $570,000 in all, to cover the loan payments and the extra cash the early years take. With this funding, the lowest year-end cash balance is about $31,000, at the end of Year 2.

Where the money comes from:
- My own money: $120,000.
- SBA 7(a) loan for startup and working capital: $450,000.

Kind of funding we are looking for. An SBA 7(a) loan through a bank or community lender, plus our own equity. Lenders for an adult day center look at the owner's experience, the license plan, the referral letters and a realistic plan for the months while the center fills.

How we will pay it back. We expect a loss of about $226,900 in Year 1 and a loss of about $84,300 in Year 2, then a profit of about $35,900 in Year 3, a profit of about $46,800 in Year 4 and a profit of about $115,500 by Year 5. With this funding, the business has money in the bank at the end of every year of the plan. The loan is planned at sba 7(a) loan for startup and working capital at 12.75% over 10 years, about $6,653 a month. That is about $6,653 a month in all, and it is already included in our cash flow. We chose these as cautious planning rates; ask the lender for the real rates, which may be lower or higher.

What we are offering the lender: a personal guarantee, a lien on the van and business assets and the signed lease.

A smaller first step, if needed. If we cannot raise the full amount right away, we can start smaller and grow into this plan:
- Phase 1: start with fewer days a week and a smaller room, which lowers staffing needs, and use rides from a partner.
- Phase 2: once you have steady attendance, add days, the van and a nurse and follow this plan.
To plan the smaller start, make a copy of this plan (use Duplicate) and lower the numbers to match.

All numbers in this plan are estimates. We will update them as real results come in.

Appendix Notes

Documents to attach before you send this plan:

- Your resume, nursing license and any administrator training.
- A personal financial statement (a list of what you own and what you owe; lenders usually provide a form).
- Business registration papers and your EIN (your business tax number from the IRS, free at irs.gov).
- The lease or lease option and a floor plan.
- Your state license application, or proof that you have applied.
- Van and equipment quotes.
- Insurance quotes or proof of insurance.
- Your participant agreement, care plan form and staffing schedule.
- Letters of interest from referral sources and families.
If you don't have any of this yet, no worries - let's continue.

The assumptions behind our numbers (change them in the Financials section to match your own):
- Participant-Days (private pay and waiver, blended): about $96.00 in Year 1, rising to $108; about $20.00 in direct costs, rising to $22.95; about 3,000 in Year 1, growing to 9,400.
- Transportation (round trips): about $20.00 in Year 1, rising to $22.51; about $10.00 in direct costs, rising to $11.48; about 1,500 in Year 1, growing to 4,700.
- Extended Hours and Respite Add-On (per hour): about $16.00 in Year 1, rising to $18.01; about $8.00 in direct costs, rising to $9.18; about 800 in Year 1, growing to 2,500.
- Participant-days about $96 each in Year 1 with about $20 in meals, supplies and care costs; transportation about $20 a round trip with about $10; extended care about $16 an hour with about $8, rising about 3% to 3.5% a year. Staff pay is shown separately.
- Pay (a full year, per person): owner and director (registered nurse) $70,000; activities coordinator $38,000; direct care aide $34,000; driver $32,000; licensed practical nurse (part-time) $45,000; program assistant (part-time) $26,000.
- Other yearly costs in Year 1: center lease $57,600, utilities $9,600, insurance $14,000, records, billing and scheduling software $4,800, marketing and referral outreach $14,000, accounting and legal $8,000, licenses, training and certifications $3,000, supplies and activities $7,000, payroll taxes and benefits (staff) $34,000. These grow between 3% and 12% a year.
- Startup costs and equipment ($164,600 in Year 1, then $4,000, $4,000, $4,000, $4,000) are spread evenly over five years in the plan's books.
- Customers and payers pay about 44 days after service. Income tax at 21%.
- Every dollar amount is an estimate. Replace them with your own quotes and research.

Startup Costs