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Broker Name:Ronald Cervelli
Broker Email:contactus@regalconsultants.com
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NJ Medicaid Approved Family Services
(Services)
Hudson County , NJ
Listed Price: $ 175,000
Listing ID: SVS361

Listing DetailsGross Revenue: $ 226,328
FFE: $ 300,000 (Included in Price)
Inventory: $ 1,500 (Included in Price)
Reason for Sale:

The owner seller presently cannot place the required time maintain this business


Training & Support:

Regarding training to the purchaser, the present owner will supply four weeks of onsite personal training which is expected to be satisfactory to maintain this company.


OperationsYear Established: 2013
Days & Hours of Operation: Mon.-Fri. 9am-5pm
Non-owner Payroll: $ 17,000
Employees: 22
Absentee Owner: No
LocationLease Expire: 0000-00-00
Lease Security: 1000
Monthly Rent: $ 750
Square Footage: 1200
Facilities:

This company is in a mid-size office building which consist of approximately 1,200 square feet. The business location is in Northern New Jersey, Hudson County, however they are licensed for the entire state of New Jersey.


SummaryBusiness Description:

New Jersey Medicaid approved company which provides assorted services to families in need of social assistance, with prompt guaranteed payments from the state agency. The company is a closed provider, and no new licensing approvals are available or possible in the State of New Jersey. This company is approved by the Division of Medical Assistance and Health Services (DMAHS) for New Jersey Medicaid participation as an Intensive in Community (IIC), Division of Children’s System of Care (DCSOC). The state of NJ also offers on going grants to the providers which represents a substantial return on investment. This children’s service company is approved and licensed to conduct business throughout the state of NJ. The company is a growing Family Service Organization, who advocates for the development of families through the foundation of the parent. They recognize that the underlying foundation for strong and healthy homes start with the parent(s) and brings individuals with a sincere passion to help children and families all under one umbrella. They supply three primary functions, Parent Mentoring, Basic cleaning services, and parent assistance related to the children and the state of NJ pays the company, hourly for each of these services. Their Parent Mentor initiative provides parents with a much-needed ally, advocate, and guide that they may need to accomplish the goals necessary for their family development. Parent Mentors assist parents in satisfying everyday services that help re-structure their path to success. This assists parents to take the first step to healing possible trauma and stress, to create development and hope. They also provide cleaning services to homes that are cluttered, and a possible safety risk to their children. These homes are thoroughly cleaned, and parents are involved in the process of changing their environment. Cleaners teach parents diverse ways to maintain their homes safe for their children. For parent observers service, the company provides extensive and comprehensive observation services to maintain a child’s safety and well-being in the home. The Parent Observers are trained to follow intensive guidelines and formats to provide in-depth understanding of familial routines. The payment to the company for these numerous services are from the Medicaid provider and ranges from $18.80 to $23.45 per hour. The company has the appropriate licenses which also includes Medicaid approval. Due to the unavailability of these licenses, a corporate purchase is required. Each of the Home Health Aides are required to complete an appropriate training course to function in this industry. This company has two full time employees and an additional twenty home aids, and no one is unaware of the pending sale, fully expected to remain post-closing, and the monthly payroll expense is approximately $17,000. The business has an assignable commercial lease which expires 2025-01-01, plus additional options, with a monthly rent of $750, cost per square foot is estimated at $18.00 and rent security of approximately $1,000. The business fixed assets has an estimated value of approximately $300,000 which is based on equipment and licensing replacement cost. The existing licenses are no longer unavailable which substantially increases their value. This business opportunity consists of a New Jersey state licenses, Medicaid approved children’s services provider. The hard equipment consists of website, required licenses, web site, social media venues, POS system, tables, computers, software including all the necessary equipment to maintain the day to day business operation and a list of assets will be supplied to purchaser upon request. This social services agency company’s operation is active five days per week, with hours from 9:00 am to 5:00 pm, however the home aids function as part time workers at the individuals home. The sale includes all the required documentation including the required state licenses, the municipal certificate of occupancy and any other required state or city licenses to conduct its day to day business. The 2017 yearly gross income is $226,328 based on the present absentee owner and prior to any debt service.  The business has been valued / priced at $175,000 or best offer,  based on a multiple of the net yearly income which includes the value of the specific business assets. Also, seller / bank financing has been conditionally approved to a qualified buyer with an appropriate down payment, collateral and credit rating. This is a dependable safe business opportunity and based on the asking price, required down payment and yearly net income, this business expects to supply a consistent return on investment to the owner operator. Please do not disturb business, this sale is confidential, the employees are Unaware of the pending sale, all viewings are by appointment only and photo does Not represent this particular business opportunity.


Competition:

Regarding competition, this is a closed provider, no other Medicaid or state licenses are available to obtain, and no other new competitors are expected near to this business. Additionally, the owner has agreed to supply an appropriate non-compete agreement to the purchaser.


Potential Growth:

Due to the limited number of licensed Medicaid children services in the state of New Jersey the value of this business opportunity continues to expand. To further develop this company, an onsite owner operator must take a full-time position. The company must be introduced to the many social agencies and train new aids into the industry. Additionally, the company requires an improved marketing plan, and web site in order to further develop the business yearly gross sales.


Financing/Terms:

Can be available to a qualified buyer with an appropriate down payment.