Tuesday, April 14, 2009

Beacon Hill Village Model

As I continue studying the various aging in place models, I am fascinated by the fact that the Beacon Hill Village Model costs far more to operate than its members seem willing to pay. 50% to 60% of operating costs must come from fund raising. Is this right? It reminds me of colleges. They need endowments and annual appeals for funds, plus tuition, room and board to keep going. But professors are doing research, and a university has a huge infrastructure to support.

Why do these aging in place models need so much so operate? Why do they only attract a small portion (a few hundred) of the thousands of seniors who could sign up? Why won't the members pay full freight? I understand having reduced fees for low-income seniors. But most members of villages are middle to high income.

I am continuing to wonder about this. What is wrong with this model? Is there anything wrong with this model?

The Beacon Hill Village model is a concierge service bureau for seniors who want to remain in their homes. The seniors join and then can call the village executive director for anything they need -- handyman services, transportation, shopping, health care....

The village also supplies all sorts of social activities and outings, thus keeping seniors active and ending isolation.

It's a great concept with a great mission. I just question the business model. I write business plans for entrepreneurs, so the financial aspects of a business (even a nonprofit) are of great interest to me. (www.upstartbusinessplanning.com). (www.upstartwyn.blogspot.com)

3 comments:

William Young said...

My mother is a member of one of these agency's, my sister and I signed her up and she likes it. My personal experience is there is some denial. My mother doesn't really believe that she needs help.. thus paying a small fee for services which she uses once a week at most, at least at this point makes sense. We want her to take better advantage of the services offered.. she is very reluctant at this point. My guess is if you look further you would find that this situation is not unique. The model serves as a way station between independence and assisted living.

cat said...

be entertained

Anonymous said...

Interesting that Beacon Hill Village has seized the initiative and created a "Village to Village" national concept. They have formed a partnership with AARP and CNB Capital to hold a symposium in Washington in late October. It will be a two-track single day event, with one track looking at starting such a model and the other for those who already have a village going and want to improve it. Check the website.