Xvir Healthcare Plc

Specialised Supported Living: Empowering Lives, Ensuring Stability, and Inspiring Responsible Investment

Consistency, future prospects, and the vital contribution to society make the sector an attractive option for responsible investors.
The demand for homes with professional support for individuals with disabilities or special needs continues to grow, making investment in quality provision a responsible choice for those seeking stability in uncertain times and those concerned about ethical investments. This sector offers a unique opportunity to make a meaningful difference in people's lives while also achieving a fair return.

Specialised supported housing is a rapidly expanding sector that caters to the needs of individuals requiring flexible support to live inclusively and safely in the community. With increasing demand and notable improvements in outcomes through quality provision, it's no surprise that the sector is experiencing rising demand while faced with limited supply.

Even during periods of economic uncertainty and crisis, the sector has consistently performed. The sector's steady growth and its association with government-backed funding and long-term requirements provide a level of certainty and commitment that other sectors struggle to match in unpredictable times.

Key indicators such as stable income, high occupancy rates, and revenue growth have remained robust, especially considering that most provision is intended for a lifetime. Recurring revenues, and long-term contractual agreements allow for accurate forecasting for longer periods which is attracting investors seeking reliable and sustainable returns.

The UK's specialist supported housing market presents a fragmented landscape, where providers range from large institutions, medium-sized operators to smaller often family-owned businesses which in some areas dominate. This environment provides promising opportunities for providers who can optimise operations, enhance efficiencies, offering significant potential for arbitrage in the consolidation process.

The historical segregation of services has marginalised individuals with learning disabilities, denying them their own home, choice, and control, ultimately hindering their social inclusion and citizenship. The sector offers valuable opportunities for providers who can ultimately enhance outcomes for those in need of long-term, stable provision.

Currently, only a small percentage of adults with learning disabilities have secure long-term tenancies or their own homes, which creates a strong demand and with additional factors such as the closure of residential settings, aging parents unable to provide ongoing support, and younger adults seeking independence will only continue to fuel demand.

The sector presents an appealing investment opportunity, but it's essential to be aware of the risks. Changes in government policies and funding allocations can affect the availability and stability of provision. Cost of entry and time frames in optimising a service are often misunderstood, and the competitive landscape within the sector gives its highly fragmented nature and growing appeal could lead to increased competition for funding and resources.

Operational challenges include managing staff recruitment and retention, ensuring the provision of high-quality support, and maintaining property maintenance and safety standards are all ongoing considerations. Providers must demonstrate a strong commitment to quality and invest in ongoing staff training and development with a particular focus on renumeration to effectively address these challenges.

Most importantly, responsible investing in the sector must prioritise the well-being and inclusion of individuals with disabilities or special needs. It is essential to maintain a focus on providing consistent quality rather than solely pursuing financial returns.
In conclusion, investing in specialised supported living not only presents a compelling financial opportunity but also holds the power to transform lives and contribute to a more inclusive society.

The sector's consistent performance, supported by government-backed funding and long-term requirements, offers stability and certainty even in uncertain times. With rising demand, limited supply, and a fragmented market, there are ample prospects for providers to optimise operations and enhance outcomes for individuals in need of long-term, stable provision.

If you are interested to understand more about opportunities in the sector and operational projects that can be accessed via private placement (business relief qualifying) for sophisticated investors - please get in touch.

WE ARE RECRUITING for team players who have experience of working in a 1:1 environment supporting people with learning disabilities and/or mental health conditions.

👉Specialist Pay Rates
👉Training & Qualifications
👉Flexibility & Support

We are growing our remarkable team of Day Support and Waking Night professionals.

Elan Care support people to live vibrant and independent lives in their own homes with minimal limitations.

Our moto is ‘care without limits’.

As an organisation, we are very proud of our teams achievements and support every person in developing their skills and careers. We respect the importance of professionals in the sector and as we grow, we are committed to rewarding the people who make that possible.

If you are interest in finding out more information, please get in touch by emailing [email protected] or drop us a message to request an application form.

Business relief - Heaven sent for investing with care

Everyone knows the saying “nothing in life is as certain as death and taxes”. Let’s face it, tax has not been designed to make you wealthier and business relief makes no exception to the general rule, at least not in your lifetime, but business relief does present an opportunity to leave behind a stronger financial legacy for those you care about.

Business relief, formally known as business property relief (BPR), is a fantastic relief that can help you to save inheritance tax (“IHT”) and pass on more of your estate to your loved ones.
In most cases it mitigates IHT, normally at 40%, to zero, as 100% relief applies on assets that qualify. Qualifying assets are defined as shares in a company you own and manage, like a family business or shares owned in an unlisted qualifying company.

Business relief is an extremely important estate planning tool
Who wouldn’t want to leave 40% more behind for loved ones, if you could? At very least it has the potential to leave a greater pot behind for beneficiaries to hedge the future, pay bills, including the certainty of increasing care costs and unpredictable inflation. The biggest risk is making sure the shares you hold are going to live up to your legacy. Afterall, it is pointless if the underlying shareholdings do not perform with a level of consistency and possess responsible characteristics.

Like with any good idea it comes with conditions. The rules around business relief may change in the future and qualifying assets are restricted, and limited, but a version of the relief has been around since 1976. If you don’t have your own family business, then you are going to need to find unlisted shares in a qualifying company, and in these unpredictable times finding companies that remain robust during times of extreme volatility is no simple task.

There is no stronger covenant than caring - The health and social care sector over the last decade has outperformed most asset-classes on a risk adjusted return basis and delivered stable returns when approached responsibly. The care sector qualifies for business relief and its contribution to society is one of the most valuable and future demand is similarly ‘as certain as death and taxes’.

Most will agree we’re in a period of great uncertainty – however, on the question of when we might expect the period to end, opinion remains sharply divided. And to many observers, the question is not even when but if the financial waters are ever going to calm. This situation makes it even more important than ever to adopt a strategy that offers a sustainable environment and still generates a predictable return.

Care is largely a misunderstood asset-class - Demand for social care is never going away and the fact that the sector holds little correlation to the wider uncertainty and volatility that continues to greatly impact more traditional asset-classes has an obvious appeal.

Health and social care is a generational necessity and this fact will never change, therefore well-run operations will continue to be a compelling space to be responsibly invested. If you are thinking about IHT planning, you will also be thinking about your own personal care needs and costs, so there is a logical rationale that the social care sector is the perfect partner for business relief because there will always be a consistent need for quality provision.

In a complex and shifting environment, how should investors approach the care market for long-term IHT planning purpose or investing in general? With evolving models of care and regulatory requirements increasing, how can those looking to deploy capital be sure what makes sense today is still fit for purpose tomorrow?

We could all benefit from some help in navigating through life's challenges and significant events. If you are interested in understanding more about the sector and our approach, please do to not hesitate to get in touch. www.xvir.co.uk