Sales Process
We know it may be difficult to make the ultimate choice to sell your RCFE. You may have put years of effort, passion, sacrificed countless days, weeks, and years ensuring you provide quality care. Here at A-med Realty Group we understand that your facility is more than just a business. It has become an interictal part of your life and many of the families and residents you helped hold a special place in your heart. With over 17 years of experience in selling facilities, our financial and market knowledge help our customers develop an exit plan that best fits their needs. Every transaction benefits from our team’s extensive real estate, financial, accounting, and marketing knowledge. Our clients gain immensely from our collaborative approach. While each transaction is unique, the procedures outlined below provide an overview of what to expect while working with our team.
Preparations and Analysis
We examine both the real estate and the financial situation of the facility when selling an RCFE. This means we look at the property’s valuation as well as the business’s profitability. In order to acquire complete knowledge and appreciation of the asset and the revenue generated by the business, we will seek information from the customer. For that purpose, we ask the seller for information regarding their facility such as, rent rolls, payroll data, and floor plans/facility design.
Engagement
Once we present our customer with our analysis, we then go over our engagement agreement (listing) that specifies the terms at which the business and/or property will market for sale. This agreement also includes our fee structure for selling a business, property and/or leasing the property.
Marketing
Once our engagement agreement is executed. We will create a complete marketing strategy based on the demands of each individual customer. We take into account the client’s timeline, price goals, and need for confidentiality and privacy during the transaction. Our marketing strategies might be laser-focused and specialized, or they can be more broad-based, depending on the client. When creating a marketing strategy, we carefully consider the client’s specific goals. Our enormous database of eligible “buyers in waiting” for senior care facilities will be available to sellers that we have garnered after being in the industry for 17+ years.
Once a Buyer is found
The buyer places a pre-negotiated cash deposit into escrow after signing the purchase documents. There is a due diligence phase which normally lasts 17-30 days depending on the complexity of the business and transaction. Due diligence is defined as the buyer’s ability to conduct investigations, inspections of the real estate, and a study of the RCFE’s financial situation. Escrow paperwork is signed.
Closing The Transaction
Once the due diligence phase has been completed, we now work on the final touches to close the transaction. Buyers work with their lender to finalize their loan, if applicable. Interim Management agreements are developed for the licensing transition. Sample notification letters are provided to the seller to notify residents and family and any loose ends are covered. Most transactions close within 30-60 days once an agreement is fully executed.