Case Studies

Profit Improvements for Assisted Living Facilities

J.S. Held Acquires Element Forensic Engineering, Expanding Insurance-Focused Capabilities for Mid-Market and Large Loss Property Claims Across Canada

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Home·Profit Improvements for Assisted Living Facilities

The Situation

Assisted Living Facilities. 25 locations. $120 million in sales. $60 million debt.

  • The assisted living facilities were midway through various capital expenditure projects when the economic slowdown began.
  • $59 million of mortgage debt outstanding, with $19 million due within 2 years.
  • $37 million of Long-Term Debt Obligations.
  • Free cash flow from operations of $6 million did not cover $16 million of annual debt service.

How We Advised

Our experts met with senior management to understand significant developments and existing initiatives aimed at improving financial performance while reducing financial leverage.

  • Improved sales mix and reimbursement rates to increase profitability.
  • Negotiated with mortgage lenders and debt holders to extend terms and defer payments.
  • Explored the sale of real estate to investors.
  • Ceased dividend payments to investors.
  • Replaced TIC investors and refinance with SBA.
  • Increased Net Patient Revenue by 7.6%.
  • Managed the application and compliance process to refinance.
  • Investors allowed the company to refinance by escrowing funds.

Related Practice Areas

> Operational Performance Improvement 
We leverage extensive experience to serve as a partner to organizations to implement the appropriate operational steps to grow their business and create enterprise value. Our experts have diverse backgrounds and are expert problem solvers. We rapidly assess a situation, develop a holistic solution, and execute efficiently with purpose.

 

> Investor Solutions and Corporate Performance Improvement 
We help organizations and investors unlock enterprise value through operational excellence, strategic execution, and informed decision-making. Whether navigating a merger or acquisition, scaling through hypergrowth, or turning around underperforming assets, our experts deliver hands-on, results-driven support across the investment lifecycle. 

Key Contact

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