MN 245D HCBS Provider, Twin Cities Home & Community-Based Services

Full Editorial Writeup

This is a Minnesota 245D licensed Home and Community-Based Services (HCBS) provider operating in the Minneapolis and St. Paul metro area. The company delivers state-authorized disability and long-term support services including Individualized Home Supports (IHS), Semi-Independent Living Services (SILS), 24-hour emergency assistance, and Integrated Community Supports (ICS). It holds licensing for 20 ICS units across three locations, each carrying long-term lease eligibility, and has already been revalidated by the state.

The business generates roughly $2.12M in annual revenue with $553,678 in cash flow, a healthy 26 percent margin for a services operation. Revenue in this model is largely funded through Minnesota Medicaid waiver programs (DHS), which pay providers on ongoing authorized care plans for enrolled clients. That structure creates sticky, government-backed cash flow that does not evaporate in a downturn because the underlying need (care for disabled and dependent adults) is non-discretionary.

Notably, the seller requires the buyer to already be a current owner in the industry, which reflects the heavy regulatory gating around 245D licensure. The deal is SBA pre-approved at a 3.61x cash flow multiple, and the combination of established licensing, revalidation, and secured multi-site lease eligibility makes this closer to a turnkey licensed platform than a startup build.