Partnership Proposal - Dean
Partnership Proposal - Dean
A phased roadmap separating Facility #1, Facility #2, projected economics, reporting, and milestone events so each part of the partnership can be reviewed clearly.
Dean’s investment return is separate from Facility #1 control.
Phase 1 applies to the initial investment connected to WLR RCFE #1 at 12951 Campbell Ct. This phase defines the $30,000 investment, the 36% annual return, the $900 monthly payment, and the operational boundary for Facility #1.
Initial amount provided by Dean.
Presented as an annual return figure.
Paid monthly while the return obligation remains active.
This does not give Dean control over WLR RCFE #1.
Facility #1 boundary
Dean’s role in the facility at 12951 Campbell Ct. is passive. Financial information may be shared at Marky and Kelvin’s discretion, but it is not an automatic right.
Important clarification
The Facility #2 ownership split, governance terms, reporting rights, and partner roles are addressed separately. The Facility #2 discussion does not create ownership or financial rights in WLR RCFE #1 at 12951 Campbell Ct.
Dean receives protected first position for Facility #2.
Phase 2 separates the future expansion opportunity from Facility #1. Dean shall be kept reasonably informed about Facility #2 planning and shall have the first position before outside investors.
First position before outside investors
Marky and Kelvin shall not offer the Facility #2 opportunity to another investor first without giving Dean the opportunity to participate in good-faith discussions.
Reasonable visibility into Facility #2 planning
Dean shall be kept reasonably informed of material planning matters, including facility type, location, property options, financing needs, startup budget, vendorization pathway, ALW / CalAIM strategy, and proposed operating model.
Mutual agreement is required
Facility #2 proceeds only if all parties mutually agree on the major terms, including facility type, property, location, budget, financing, ownership, roles, timeline, licensing pathway, and exit rights.
Decision-making based on involvement, expertise, and responsibility.
Facility #2 is intended to be a true partnership built on transparency, accountability, and good-faith decision-making. The person or persons with the most relevant knowledge, responsibility, and involvement regarding the issue at hand should carry meaningful weight.
Founder / Operating Partner
- Licensing preparation and compliance strategy.
- Administrator or executive administrator role, if applicable.
- Vendorization, ALW, and CalAIM pathway planning.
- Marketing, admissions, systems, financial planning, and growth strategy.
- Reasonable compensation for actual work performed.
Co-Founder / Operations Partner
- Daily operations support and on-site execution.
- Resident care oversight and caregiver / DSP supervision.
- Staffing coordination, quality assurance, and facility readiness.
- Family communication, compliance support, and operational follow-through.
- Reasonable compensation for actual work performed.
Investment / Strategic Partner
- Involvement in major Facility #2 decisions.
- Financial oversight and review of revenue, expenses, occupancy, and profitability.
- Participation in budgeting, growth strategy, and regular partner check-ins.
- Input on admissions strategy and operational efficiency.
- Final role to be defined in the Facility #2 agreement.
Business and financial matters
For financial matters, budgeting, profitability, capital planning, revenue review, expense review, and growth strategy, all partners should have visibility and meaningful input.
- Budget planning and financial controls.
- Revenue, expenses, occupancy, and profitability review.
- Major expenses, capital needs, and growth decisions.
- Regular check-ins and dashboard review.
Care and operational matters
For resident care, staffing execution, caregiver workflow, compliance follow-through, admissions fit, and daily operations, the judgment of the partner or administrator with direct on-site involvement should carry significant weight.
- Resident care fit and immediate care needs.
- Caregiver and DSP workflow.
- Staffing execution and facility culture.
- Safety, compliance follow-through, and daily problem solving.
Knowledge should guide weight
If a partner is actively involved and informed, that partner’s input should carry meaningful weight. If a partner is not regularly involved in daily operations, that partner may still provide input, ask questions, and participate in major decisions.
Administrator recommendations
If a full-time administrator or manager is hired and is responsible for day-to-day operations, all partners agree to reasonably consider that administrator’s recommendations.
- Care quality and resident safety.
- Staffing levels and scheduling execution.
- Resident fit, admissions readiness, and discharge concerns.
- Compliance, documentation, workflow, and facility culture.
Compare two possible Facility #2 models.
The calculator compares a Government Funded RCFE model and an ARF Regional Vendorized Home model. All values are editable planning placeholders.
Government Funded RCFE
Level 4 ALW model with 6 residents.
Editable Inputs
Projected Monthly Output
A sample dashboard for regular partner check-ins.
This dashboard represents a sample of the type of periodic reporting that will be provided for Facility #2 to all partners if the parties proceed together. It does not create a right to receive financial reports, books, records, dashboards, payroll data, or bank information for WLR RCFE #1 at 12951 Campbell Ct.
Current census compared with licensed capacity.
Gross revenue snapshot for the period.
Payroll as a percentage of monthly revenue.
Estimated net income after core expenses.
Tracks inquiry quality, tour conversion, admission pace, and move-in velocity.
Reviews care quality, staffing coverage, incidents, deficiencies, documentation, family concerns, and follow-through.
When the monthly return may end after buyout.
Dean’s $900 monthly return may end after Marky and Kelvin buy out the $30,000 investment if one of the agreed milestone events occurs.
Dean obtains qualifying administrator experience.
Dean obtains at least one year of administrator experience in a Regional Center vendorized Level 4–6 facility, whether RCFE, ARF, or another mutually agreed qualifying facility model.
ARF vendorization approval.
An ARF facility is approved for vendorization to serve Level 4–6 Regional Center individuals.
RCFE government funding approval.
An RCFE facility is approved, accredited, or accepted for government-funded care participation, including ALW, CalAIM, or a similar government-funded reimbursement program.