Sunlit sitting room with an armchair, blanket and garden view, How to Open an Assisted Living Facility (CRCF) or Adult Day Care in South Carolina

How to Open an Assisted Living Facility (CRCF) or Adult Day Care in South Carolina

How to Open an Assisted Living Facility (CRCF) or Adult Day Care in South Carolina

If you want to open a senior care home in South Carolina, start with the license name. The state does not issue a license called an assisted living license. Assisted living is called a Community Residential Care Facility (CRCF), and the South Carolina Department of Public Health (DPH) licenses it under regulation R.60-84. Adult day care is a separate DPH license under regulation R.60-75. Choosing the wrong license, or forming the wrong business before you know which one you need, can cost you months.

This guide covers the steps in the order most owners handle them: choosing the license, forming the business, getting local permissions, hiring a licensed administrator, and applying to DPH. Where a figure is not settled, we tell you which agency to confirm it with.

This is informational content, not legal or tax advice. Talk with a South Carolina attorney and a CPA before you sign a lease, form an entity, or hire staff.

CRCF or Adult Day Care: Which License Fits Your Plan

The two licenses serve different people and carry different fee structures. A CRCF cares for residents around the clock. An adult day care serves participants during the day and sends them home at night. Confirm which model you are building before you choose a site.

LicenseState ruleDPH license feeDPH inspection fee
CRCF (assisted living)R.60-84$10 per bed or $75$75 plus $5 per bed
Adult day careR.60-75$3 per participant$225 plus $10 per participant

Two CRCF points affect your budget. South Carolina does not require a certificate of need (CON) for a CRCF, so you do not need state approval of community need before applying. CRCFs may also serve residents who receive Optional State Supplementation (OSS). Check current OSS rules with the agency that administers the program before you build revenue projections around those residents.

What You Need Before You Start

  • A business plan stating your bed count (CRCF) or participant capacity (adult day care), your target population, and your staffing model.
  • A business name that is available in the Secretary of State records, which you can search at the South Carolina business entity search.
  • Operating capital for entity filings, local licenses, DPH fees, renovations, insurance, and the first months of operation. A CPA or lender can help you size the reserve.
  • A site that your local zoning office confirms in writing allows residential care or adult day care use.
  • A candidate for licensed administrator (CRCF), plus a plan for covering the role if that person leaves.
  • A federal Employer Identification Number (EIN) from the IRS, which you need for payroll and bank accounts.

Step 1: Form Your Business Entity

An LLC is the most common structure for a small care operator. Filing Articles of Organization for a domestic LLC costs $110 under S.C. Code Section 33-44-203. File through Business Entities Online, where documents are returned within 24 to 48 business hours. The Secretary of State publishes no separate expedite fee, so online filing is the fast path.

The LLC name must contain the words limited liability company or limited company, or an abbreviation such as LLC, L.L.C., LC, or L.C. It must also be distinguishable from names already on record. If you need to hold a name while you finish paperwork, a name reservation lasts 120 days, is nonrenewable, and costs $25.

Every LLC must designate a registered agent with a South Carolina street address for legal papers. The agent must be a South Carolina resident individual, a domestic corporation, another LLC, or a foreign corporation or company authorized to do business in the state. The agent's name and address must appear on the formation document.

A standard LLC files no annual report and pays no annual state franchise tax. A corporation files Articles of Incorporation ($110) with Form CL-1 and a one-time $25 initial License Fee within 60 days of doing business in the state. Sole proprietors and general partnerships do not file organizing documents with the Secretary of State at all. Ask a CPA which structure fits your payroll and liability picture.

South Carolina has no state DBA filing. If you operate under a trade name, record it with your county or municipality, usually on your local business license, and list it on your EIN application and your SCDOR Business Tax Application.

Step 2: Get Your Local Business License

South Carolina has no general statewide business license, and a Secretary of State filing does not count as one. Most cities levy a local business license tax. Only nine counties do: Beaufort, Charleston, Dorchester, Horry, Jasper, Marion, Orangeburg, Richland, and Sumter. Whether you need a license depends on whether your address sits inside a city that levies the tax or inside one of those counties.

Local licenses run on a May 1 to April 30 license year and are due April 30. Renew at localblrenewal.com. Ask your city or county business license office which license applies to your address before you open.

Step 3: Confirm Zoning, Building, and Fire Requirements Early

Zoning is the step most likely to change your budget. Get written confirmation from the local planning or zoning office that residential care or adult day care is allowed at the address before you sign a purchase agreement or lease. Many local codes also limit how many people a residential building may house.

Expect DPH to inspect the physical building, and expect local fire and building officials to review your plans. Ask each agency what it requires before you finalize renovation drawings, and confirm whether plan review is required and what it costs. This guide does not list those standards because the agencies set them.

Your contractor must hold the right license. Commercial contractor licenses apply to work above $10,000, and residential specialty work above $500 requires registration. Verify the contractor's status with the state licensing agency before you pay a deposit.

If your facility will prepare meals on site, confirm with the South Carolina Department of Agriculture whether your kitchen needs a retail food permit. Food permits come from the Department of Agriculture, not DHEC, which was split in 2024.

Step 4: Hire a Licensed Administrator

A CRCF needs an administrator licensed through the Long Term Health Care Administrators board, which operates under the South Carolina Department of Labor, Licensing and Regulation (LLR). Verify any candidate's license on LLR records before you make an offer, and ask the board to confirm current requirements. If you will serve as administrator yourself, confirm that you hold or can obtain the license before you apply to DPH.

Step 5: Apply for the CRCF License (R.60-84)

Request the current application packet from DPH and read the regulation before completing forms. The published figures are a license fee of $10 per bed or $75, and an inspection fee of $75 plus $5 per bed. Ask DPH to confirm in writing how the license fee applies to your bed count.

  1. Complete the DPH application with your bed count, ownership, and administrator information.
  2. Pay the license and inspection fees as DPH directs.
  3. Finish the building with zoning, fire, and building approvals in your file.
  4. Schedule the DPH inspection and correct every deficiency in writing, with dates.
  5. Post the license on site and calendar the renewal date DPH gives you.

DPH sets the processing timeline. Ask for it in writing rather than relying on a consultant's estimate.

Step 6: Apply for the Adult Day Care License (R.60-75)

Adult day care uses a separate DPH license under R.60-75. The published license fee is $3 per participant, and the inspection fee is $225 plus $10 per participant. Because the fees scale with participant capacity, set your maximum enrollment before you apply. Confirm the staffing and supervision requirements with DPH before posting job listings.

If you plan to run a CRCF and an adult day care at the same address, ask DPH how the two licenses will be reviewed and inspected. Do not assume one license covers both operations.

Step 7: Register for State Taxes

After your entity is formed and your EIN is issued, register with the South Carolina Department of Revenue (SCDOR) through the Business Tax Application on MyDORWAY at dor.sc.gov. Confirm with the department which accounts you need before your first hire. If you sell taxable goods, you will also need a Retail License, which carries a one-time nonrefundable $50 fee per location.

Tips for a Smoother Opening

  • Call DPH before you sign anything. A short conversation about bed count and building layout can prevent a costly redesign.
  • Get every zoning and fire answer in writing and keep it in your licensing binder.
  • Build your budget from the exact fee formulas, not rounded estimates.
  • Use advising resources. The South Carolina Small Business Development Centers can help with planning, and the SBA South Carolina district page lists local resources.
  • Name your administrator on the organization chart before opening, not after.

Common Mistakes to Avoid

  • Searching for an assisted living license and filing the wrong thing. The state license is a CRCF license from DPH.
  • Assuming a certificate of need is required. South Carolina does not require one for a CRCF.
  • Treating your Secretary of State filing as your business license. They are separate.
  • Signing a lease before the zoning answer is in writing.
  • Missing the 60-day CL-1 deadline if you choose corporate tax treatment.
  • Hiring an administrator without checking the license status with the LLR board.
  • Forgetting the April 30 local license renewal.

What the Process Can Realistically Produce

A complete application, a confirmed site, and a licensed administrator can help you reach inspection with fewer open questions. DPH makes the licensing decision, and inspection findings may require corrections before you open. Once licensed, a CRCF may be able to serve residents who need help with daily living, including OSS recipients. An adult day care may be able to offer structured daytime programs to participants who return home each evening. Your results will depend on your local market, staffing, reputation, and operating discipline.

Next Steps

Settle the two decisions that shape everything else: which DPH license you need, and which entity you will form. Then confirm zoning in writing, hire your administrator, and file a complete DPH application. Before you commit to a building, have an attorney review the lease and a CPA review your entity and tax setup.

Disclaimer: This article is informational content about South Carolina licensing and business formation. It is not legal, tax, or financial advice. Fees, deadlines, and rules change, so confirm every figure with the named agency before relying on it, and consult a qualified attorney and CPA for your situation.

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