Financial Proforma

A drug rehab proforma is a financial model that projects the future income, costs, and profits of a treatment center. Lenders, investors, and partners use it to evaluate the business before it opens.

Startup costs, revenue projections by level of care, operating expenses, payer mix assumptions, a break-even analysis based on patient census, sensitivity scenarios, and a contingency fund. A three-year model with monthly projections is the standard lenders expect.

It depends on levels of care and payer mix. Detox bills $800 to $2,500 per day, IOP runs $250 to $650 per day, and a residential treatment episode can generate $45,000 to $180,000 per patient.

Residential centers achieve profit margins of 20 to 30 percent on average, and treatment facilities with 50 to 70 beds tend to perform strongest. Staffing is typically the largest expense.

Yes. Banks, SBA lenders, and private investors all expect a professional financial model before committing capital to rehab centers. A credible proforma also sharpens your own decisions.

In-network contracts bring lower reimbursement rates with steadier volume and faster payment. Out-of-network billing captures higher rates with slower collections. Successful centers balance private pay, insurance, and government funding, modeled separately.

Payer credentialing can take months per insurance provider, and you often cannot start it until late in licensing. It is one of the most common cash flow surprises in the startup phase.

It is a directional estimate built on national averages, not your market's reimbursement rates or payer contracts. Use it to frame the opportunity, then schedule a discovery call and we will build the real model on your numbers.

Initial costs commonly range between $500,000 and $1 million depending on state, property, and levels of care. Our full guide on the cost to open a rehab center breaks the startup costs down line by line.