Assisted Living Business Loans

Assisted Living Business Loans

See Your Loan Options

Get Started

First Union Lending has provided working capital to many assisted living businesses run by passionate healthcare workers who enjoy treating their patients daily.

Our senior citizens have been through it all and have seen it all. Many seniors are ready to rest, relax, and be cared for as they have retired from hard work. Many seniors look to senior care facilities and services to help maintain their lifestyle and health. It requires patience, professionalism, and trust to keep our seniors healthy and happy.

According to the AHCA NCAL, there are approximately 28,900 assisted living communities in the United States today. Operating senior care or assisted living facility comes with many challenges, all of which can be overcome with excellent decision-making, high-quality customer service, and working capital to maintain business endeavors. It is a noble business and requires plenty of staff, maintenance, medication services, transportation, etc.

Many business owners obtain working capital through assisted living business loans to maintain trust and a healthy environment. Traditional and non-traditional lenders view assisted living facilities as noble investments worth funding. Businesses within the medical field tend to keep a steady flow of income and strong earning potential, making acquiring funds more straightforward.

First Union Lending has provided working capital to many assisted living businesses run by passionate healthcare workers who enjoy treating their patients daily. We are ready to help small and growing enterprises attain the necessary funds when needed.

What is a Assisted Living Business Loan?

Assisted living business loans are industry-specific loans offered by traditional and non-traditional lenders to support business needs. It provides small and growing senior care businesses with funds to manage capital flow, purchase necessary equipment, run payroll, etc.

There are a variety of assisted living businesses that provide services to individuals in need. Different assisted living businesses can use a loan to enhance their endeavors. See below for other assisted living businesses that can acquire working capital:

  • Board & Care Homes
  • Nursing Home Facilities
  • Skilled Nursing Facilities
  • Independent Living Facilities
  • Continuous Care Retirement Communities
  • And Other Relevant Care Facilities for Seniors and Those with Disabilities

Many successful assisted living businesses require a steady flow of clients and working capital to maintain operations. Many loan options are available to help your business thrive.

Types of Assisted Living Business Loans and Financing Options

Once you, the business owner, have determined the requirement for additional funds, consider the factors most important in acquiring a loan. Business owners should apply for loans that offer low-interest rates, down payments, and collateral requirements.

Here are some more widely used loans to help assisted living businesses grow.

SBA Loans: Partly guaranteed by the U.S. Small Business Administration, traditional and non-traditional lenders offer SBA loans. The program provides highly flexible rates and terms ideal for small businesses. Well-established companies looking to expand their initiatives can use several SBA loans.

Businesses must meet the following requirements to be eligible:

  • Operate for profit
  • Be considered a small business, as defined by the SBA
  • Be engaged in, propose to do business in, the United States or its possessions
  • Used alternative financial resources, including personal assets, before seeking financial assistance
  • Not be delinquent on any existing debt obligations to the U.S. Government

These SBA loans, in particular, can benefit small but growing businesses within the chiropractic field.

SBA 7(a) Loan: 7(a) loans are the most common within the SBA family. With up to $5 million in working capital for 25 years, these types are typically adequate for most industries. Interest rates are between 7 and 8%, depending on trade and the nature of your business. Most businesses opt-in for an SBA loan fall under this 7(a) category.

SBA 504/CDC Loan: 504 loans are particular; it provides long-term, fixed-rate financing through Certified Development Companies (CDCs), SBA's community-based partners who regulate and promote economic development within their communities. This may be the ideal loan program if your business needs to purchase commercial real estate or perhaps a large piece of equipment. The borrower may need to provide 20% of the total value, with the SBA kicking in 40% and the lender the rest. The cap on this type of loan is generally $5 million.

Businesses must meet the following requirements to be considered eligible:

  • Have a tangible net worth of less than $15 million
  • Have an average net income of less than $5 million after federal income taxes for two years preceding your application

Business Lines of Credit: Banks, financial institutions, and licensed lenders often extend credit to creditworthy customers to address fluctuating cash flow needs. It is effectively a source of funds that borrowers can readily tap into at their discretion. Borrowers use this financing option rather than a significant, long-term business loan. When borrowers open a business line of credit, they receive access to a state amount of funds to use as needed. A monthly statement reflecting the amount of credit used will also include any interest charges, and borrowers will only pay interest on the funds used.

Most lenders will require the following basic information during the application process:

  • Copy of Business License
  • Tax Returns
  • Three months of Bank Statements
  • Standard financial documents like P&L, AR, AP, Cash Flow, etc.

Equipment Financing: Equipment loans are funding options for business-related equipment purchases. Companies opting for this loan can buy personal protective equipment (PPE), scales, beds, appliances, etc. Businesses, especially bars, will often need to purchase, replace, repair, or upgrade various equipment to serve their customers better. Assisted living facilities need to be new homes for their residents. Attaining the necessary furniture and equipment to maintain a happy environment is essential.

Long-Term Business Loans: This type of term business loan provides borrowers with a lump sum of funds, with a repayment plan of regular intervals of 5 to 25 years. A long-term business loan has a fixed floating interest rate and monthly or bi-monthly payments deducted from a business bank account. This financing option is best for businesses that need significant capital at a lower interest rate.

Short-Term Business Loans: Short-term loans can be highly beneficial during a growth period, fluctuating cash flow times, or a need for seasonal purchasing. It provides a lump sum upfront to a borrower and has a repayment period ranging from three months to three years. Small or medium-sized businesses can use these loans to enhance their activities.

Short-term loans have almost no limitations on their uses, and borrowers can decide how to spend the funds once they receive them within 1-2 business days. The application process requires proof of business ownership, financial statements, tax information, P&L statements, and a copy of your driver's license. Lenders will check your business and personal credit as well.

How to Apply for Assisted Living Business Loans: Requirements and Getting Started

How to Apply for Assisted Living Business Loans: Requirements and Getting Started

If your senior care or assisted living business has reached the point where funds are needed to generate a greater profit return, acquiring a small business loan may be the best option.

First Union Lending is ready to finance your business!

Submit your business information below to determine if you qualify for any available small business loans. Our Funding Specialists will analyze your qualifications and reach out to walk you through the required steps to receive funds.

See Your Loan Options

Get Started

While each of the available loans has varying qualifications, lenders will typically ask for the following general information:

  • Business Operations History
  • Business Revenue Statements
  • Personal & Business Credit Scores
  • Collateral if needed

Online lenders like First Union Lending provide various businesses across the United States with the funds needed to grow and generate revenue.

If you have any questions in regards to any medical industry-related business loans, feel free to give us a call: 863-825-5626

Advantages of Assisted Living Business Loans and Financing

Advantages of Assisted Living Business Loans and Financing

Depending on the loan you qualify for, there are many benefits in partnering with a lender to gain funds for business initiatives. The funds from these financing options can solve various challenges while opening new doors for a growing assisted living facility or company.

Loans provided through First Union Lending help borrowers cover a range of expenses in their day-to-day operations. The funds allow borrowers to cover payroll, make payments on equipment, pay the lease, and more.

Assisted living facilities require high-quality equipment to provide exceptional service to residents needing treatment. Many senior residents require skilled nursing or medication for treatment. Insurance carriers can generally cover these expenses, but businesses must have available services. Most assisted living facilities utilize a form of financing to cover items required for treatment and care for everyday use.

If your assisted living facility has reached capacity, loans can be used to expand or renovate a location to accommodate more residents. Borrowers can buy the real estate needed to enhance their business and bring in more customers with a business loan. Business owners can purchase a commercial property or acquire a neighboring business. Both of these options can be rather costly if paid out-of-pocket.

Overall, assisted living facilities can use these financing options to help run their business smoothly. The funds can cover most expenses in day-to-day operations, equipment upgrades, marketing, etc

Utilizing out-of-pocket funds can be expensive and quickly burn a hole in your pocket. Rather than spend your working capital on tedious expenses, look to a lender to finance your initiatives

Choose First Union Lending As Your Premier Lender

At First Union Lending, we believe that small and medium-sized businesses deserve the right to access the capital they need to succeed.

Our goal is to build long-term, lasting relationships by providing business owners with what they need when they need it. We pride ourselves on being educated, knowledgeable, and caring about conducting business. We have acquired much of the same licensing traditional banks require to cement our fiduciary responsibility to our clients and work culture.

We are here to consult, help you save, and guide you and your business to success.

We provide Assisted Living Business Loans in the following states:

Alabama

Alaska

Arizona

Arkansas

California

Colorado

Connecticut

Delaware

Florida

Georgia

Hawaii

Idaho

Illinois

Indiana

Iowa

Kansas

Kentucky

Louisiana

Maine

Maryland

Massachusetts

Michigan

Minnesota

Mississippi

Missouri

Montana

Nebraska

Nevada

New Hampshire

New Jersey

New Mexico

New York

North Carolina

North Dakota

Ohio

Oklahoma

Oregon

Pennsylvania

Rhode Island

South Carolina

South Dakota

Tennessee

Texas

Utah

Vermont

Virginia

Washington

West Virginia

Wisconsin

Wyoming

Becky: Hi! Let's find the best loan option for you