The situation
Standard commercial lenders decline care because they can't underwrite operating risk. Specialist lenders — a small, identifiable panel — actively lend to experienced operators with strong CQC ratings and reasonable occupancy.
How we approach it
We work with the specialist care lenders directly. Experienced operator, decent trading history and a Good CQC rating opens the door; new operators need a stronger deposit and often mentorship built into the deal.
What that looks like in practice
- Up to 70% LTV on trading homes with strong operator
- New-operator deals possible with experienced management team
- Closed-home reopening bridged then termed out post-CQC registration
- New-build care schemes — development finance then investment mortgage
- Working capital sometimes bundled in with acquisition finance
Typical timeline
- Weeks 1-3Trading accounts and CQC review, operator credentials assessed.
- Weeks 4-8Full application, valuation (specialist care valuer), legals.
- Weeks 8-14Credit approval, completion.
Common questions
Can a first-time operator get funded?
Yes but harder — usually requires an experienced operations director, higher deposit (35-40%), and stronger business plan.
How is a care home valued?
On EBITDARM (earnings before interest, tax, depreciation, amortisation, rent and management), applying a multiple — not bricks-and-mortar.
What CQC rating is needed?
Good is the baseline; Requires Improvement narrows the panel but doesn't necessarily block. Inadequate makes lending very difficult.
Send the trading pack
We'll route the deal to specialist care lenders — a small, identifiable market that we know well.