Nursing Care Facilities (Skilled Nursing Facilities) Revenue Benchmarks
The average nursing care facilities (skilled nursing facilities) business in the United States generates $10.8M in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 10,186 nursing care facilities (skilled nursing facilities) businesses in the U.S., employing 1,421,763 workers with an average profit margin of 13.0%. The average employee in this industry earns $47K per year (Bureau of Labor Statistics QCEW 2023).
What Does a Nursing Care Facilities Business Actually Do?
Skilled nursing facilities providing 24-hour medical care for residents needing rehabilitation or long-term care. Heavily regulated at state and federal levels. Reimbursed primarily by Medicare (short-term rehab) and Medicaid (long-term custodial care).
Who buys: Post-hospital patients (short-term rehab), long-term custodial patients, and their families.
Average Revenue
$10.8M
per year
Profit Margin
13.0%
industry average
Revenue / Employee
$77K
per year
Total Businesses
10,186
in the US
Est. Owner Income
$1.4M
small business avg
Labor Cost
50.0%
of revenue
Avg Employee Wage
$47K
per year (BLS)
Market Saturation
3.1
firms per 100K people
How Much Do Nursing Care Facilities (Skilled Nursing Facilities) Charge?
Skilled nursing facilities are heavily reimbursed by Medicare and Medicaid; private-pay rates are higher.
| Service | Typical range |
|---|---|
Medicare short-term (Skilled) | $450–700/day (reimbursed) |
Medicaid long-term | $180–320/day (state-set) |
Private pay (semi-private room) | $260–400/day |
Private pay (private room) | $300–500/day |
Monthly private-pay equivalent | $8,000–15,000/month |
Ranges based on industry rate surveys and typical published pricing. Actual quotes vary by city, business size, and job complexity.
Complete nursing care facilities business plan
A 12-section data-backed business plan for a nursing care facilities (skilled nursing facilities) business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.
Cost Structure — Where Every $100 in Revenue Goes
Approximate P&L breakdown for the nursing care facilities (skilled nursing facilities) industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.
| Category | Per $100 revenue | Per typical business | What's in it |
|---|---|---|---|
Medical supplies & pharma | $13 | $1.4M | Disposables, medications, lab reagents, implants, and other direct patient supplies. |
Wages & benefits | $50 | $5.4M | Payroll for all employees at the business (owner comp not included for small owner-operators). |
Rent & facilities | $6 | $597K | Rent or mortgage on business location plus utilities tied to the space. |
Marketing & advertising | $2 | $199K | Google/Meta ads, SEO, print, referral fees, event sponsorships. |
Other operating costs | $17 | $1.8M | Malpractice insurance, billing services, equipment leasing, regulatory compliance. |
Net profit | $13 | $1.4M | What remains for the owner or shareholders after all business expenses. |
Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.
Average Revenue by Business Size
Industry Dynamics (Census BDS 2023)
New Business Rate
9.03%
openings/year
Closure Rate
7.32%
closings/year
Net Job Growth
+3.43%
annual
Businesses Closed
668
in 2023
Firm Count Trend
Should You Start a Nursing Care Facilities Business?
Startup Cost
$75K – $300K
Break-Even
2 months
5-Year Survival Rate
70.0%
Related Industries
Frequently Asked Questions
- What does a nursing care facilities (skilled nursing facilities) business do?
- Skilled nursing facilities providing 24-hour medical care for residents needing rehabilitation or long-term care. Heavily regulated at state and federal levels. Reimbursed primarily by Medicare (short-term rehab) and Medicaid (long-term custodial care). Post-hospital patients (short-term rehab), long-term custodial patients, and their families.
- How much do nursing care facilities (skilled nursing facilities) charge?
- Skilled nursing facilities are heavily reimbursed by Medicare and Medicaid; private-pay rates are higher. See the pricing table above for typical rates by service type.
- How much does the average nursing care facilities (skilled nursing facilities) make per year?
- The average nursing care facilities (skilled nursing facilities) business generates $10.8M in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $1.4M per year at a 13.0% profit margin.
- How many nursing care facilities (skilled nursing facilities) businesses are there in the US?
- There are 10,186 nursing care facilities (skilled nursing facilities) businesses operating in the United States, employing a total of 1,421,763 workers.
- How much does it cost to start a nursing care facilities (skilled nursing facilities) business?
- Startup costs for a nursing care facilities (skilled nursing facilities) business typically range from $75K to $300K, with a 5-year survival rate of 70.0%.
- What is the average salary in the nursing care facilities (skilled nursing facilities) industry?
- The average employee in the nursing care facilities (skilled nursing facilities) industry earns $47K per year, according to Bureau of Labor Statistics data (QCEW 2023).
Industry Growth & Survival
The nursing care facilities (skilled nursing facilities) industry is actively growing — adding jobs at a net rate of 3.4% per year. New establishments are opening faster than existing ones close (9.0% entry vs 7.3% exit), indicating healthy demand.
Approximately 68% of nursing care facilities (skilled nursing facilities) businesses survive their first 5 years. This is above the national average (~50%), making it a relatively safe industry to enter. In 2023, 668 firms in this industry closed permanently.
Employment & Wages
The average employee in the nursing care facilities (skilled nursing facilities) industry earns $47,034/year. This is below the national average of ~$65K — typical for this sector. With 19,888 establishments employing 1,418,010 people, the typical business has about 71 employees. These tend to be larger operations requiring significant staffing investment.
Industry Trend (2000–2023)
The nursing care facilities (skilled nursing facilities) industry has grown 24% since 2000 (from 7,892 to 9,802 firms).
See full historical statistics →Compare Nursing Care Facilities (Skilled Nursing Facilities) revenue with other industries: