Selling a home care agency in Colorado

Two license classes

CDPHE's Health Facilities and Emergency Medical Services Division licenses home care agencies under C.R.S. 25-27.5 and Chapter 26 of 6 CCR 1011-1. Class A licenses cover skilled home health services, and Class B licenses cover non-medical personal care, homemaker, and companion services. CDPHE issues and surveys both.

The class you hold tells a buyer which platforms you fit. A Class A agency interests skilled home health buyers; a Class B agency interests personal care platforms; an agency with both may draw both. Make sure the services you actually deliver match your license class, since that is one of the first things diligence checks.

Change of ownership and payer contracts

Plan for a CDPHE licensing filing as part of any sale, and confirm with CDPHE and counsel what your structure requires for your license class. Medicare-certified agencies also go through federal change of ownership steps.

Colorado Medicaid, Health First Colorado, funds home and community-based services through waivers. Buyers look at how revenue splits between Medicaid, Medicare, and private pay, and how concentrated it is.

What moves value for a Colorado agency

The items buyers price most heavily in Colorado:

License class

Class A, Class B, or both, and services that match.

Survey record

CDPHE survey results and plans of correction.

Caregiver supply

Fill rate, turnover, and wages in high-cost Front Range markets.

Payer mix

Health First Colorado waivers, Medicare, and private pay.