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Yes, you need to show three months of operating expenses in your bank account. Along with your application, you need to submit three months of bank statements that show you have three times your operating expenses.  Licensing expects your expenses will zero out on your estimated budget. That means if you have a monthly income of $20,000.00, you will spend all $20,000.00 to operate your facility. Therefore you would need to show $60,000.00 in the bank.

The amount is calculated using the Monthly Estimated Budget form that is part of the license application.

Regional Center Reimbursement Rates are based on the level of the facility.

Levels refer to facilities, not clients.

If you will be working with mental health clients you will need to see what is the social security income received by the client. Most clients with long-term psychiatric disability receive between $1000.00 and $1100.00 per month.

Decide what type of business entity you will be. Most people who operate residential care homes form a Corporation. As a corporation, you are protecting your personal assets in case you are sued. Common civil lawsuits are for falls in the shower and medication errors. Many people use Legal Zoom to form their corporation.
Legal Zoom

You must have a property to submit a license application.  The license is attached to the wall of the inside of the house. You cannot transfer or sell the license. You must also check that the property is not within 300 feet of another Community Care Facility. You can check your property here.

You may own or lease a property.

Register for the Component 1 Online Orientation.

Now you are good to go and ready to complete the license application.

Submit the correct fee with your license application to the
Centralized Application Bureau

To operate your own facility you must have a licensee and certified administrator.
Most people who open their own facility are both the licensee and administrator.
So the first step 99 percent of the time is to become a certified administrator and take the ICTP ARF Course .

The licensee is responsible for the business and has ultimate authority and control and liability.
The administrator is responsible for the day-to-day operation of the facility and compliance with all laws and regulations.

As the licensee, you may hire an administrator if you wish. If you hire an administrator you do not need to take the ICTP ARF course to become a certified administrator. If you decide to hire someone to act as the administrator then you will be the licensee.

Once you complete the ICTP ARF course you will be issued a certificate of course completion.
Next pass the state exam and the state will issue you your official  State Administrator Certificate that is good for two years. You renew your certificate every two years by taking 40 hours of CEU.