During your search for a senior living option for yourself or a loved one, it may be helpful to learn more about the two most common business models in the industry: for-profit and non-profit. The goals of both models are to provide quality service and care to aging adults, whether in assisted living, independent living, memory care, skilled nursing or beyond. However, there are some key differences that may influence your decision in terms of which type of community is right for you or your loved one.

For-profit organizations are the most common. If you are exploring an option with multiple locations nationwide, it is a safe assumption that they are for-profit since they have the resources to operate on such a large scale; nevertheless, it’s important to get the full story before assuming, so if you are unsure you can always reach out to a representative by phone or email to learn more about how they operate.


As mentioned, for-profit organizations are the most common. They often have greater resources and larger property holdings. While many of them offer quality care and services, sometimes these organizations may have priorities aside from just the resident experience. For example, they may be required to earn a certain level of profit in order to pay back the investors that helped them grow or expand. This kind of financial commitment may create complications for those they serve. These organizations may need to charge residents a premium to live in their communities or require costly fees for services and amenities that are included complimentary elsewhere. Conversely, they may need to create savings by limiting the kinds of activities they offer, or how many staff members they can hire to monitor residents and maintain safety. To be clear, there are plenty of wonderful organizations operating on a for-profit model, but their fiscal responsibilities may come into conflict other more resident-centric priorities.


One of the biggest differences with non-profit organizations is in their ownership. Instead of having owners to whom profits trickle upward, they are usually operated by a volunteer Board of Directors who oversee the various particulars of their ownership without having a financial stake in generating as much revenue as possible. The other key difference is what happens to the revenue that they do generate. Instead of paying out investors and allocating funds to executive bonuses, excess revenue is put right back into the community. This can mean more inexpensive rent for residents, higher staffing ratios, better training for team members, more life enrichment programs, more involved health and safety protocols, and any number of other areas that can improve daily life for those who call the community home.

During your research, there are many other factors to explore in determining whether a community is the right fit for you or your loved one, but the business model under which they operate is an important piece of the puzzle that is commonly overlooked.

If you have questions about non-profit senior living organizations, call Inland Christian Home today at (909) 983-0084 or contact us online.