Home Healthcare Franchise Costs: What to Expect
Venturing into the realm of home healthcare can be a rewarding and lucrative endeavor, especially when you choose to invest in a franchise. As you consider this path, explore the different home healthcare franchise costs you should expect, from franchise fees to supplies and more.
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The Initial Investment
The journey begins with an initial investment, which can vary depending on the franchise brand. Typically, this range includes the initial franchise fee, which can cost between $20,000 to $50,000. This fee grants you access to the brand’s proven business model, training, marketing, and support systems.
But it’s important to note that the home healthcare startup costs don’t end there. You’ll also need to consider expenses such as office space, equipment, payroll, local marketing, and insurance. With a franchise brand like Always Best Care, your startup costs range from $89,725-$145,900, including our $49,900 franchise fee, to get your location up and running.
Ongoing Expenses
Even after your location is accepting clients, you’ll still have additional home healthcare franchise costs to account for. A big advantage to joining a franchise brand is the support and guidance you receive from industry professionals. However, these services come at a price. Franchisors require franchisees to pay royalty fees, which are typically a percentage of your gross revenue and are usually paid on a monthly basis. Depending on the industry, royalty fees can range between 4% to 12%.
Additionally, many franchisors charge an advertising royalty fee, which is also a percentage of your gross revenue. The amount can vary by brand, so you’ll want to carefully evaluate the franchise disclosure document (FDD) to understand how much you’ll be contributing monthly. This fee helps subsidize the brand’s national marketing efforts, which can ultimately help your individual franchise location. The more people who are aware of the brand, the more likely you are to build a strong clientele.
Why Invest in a Franchise?
In addition to an established business model, brand recognition, and top-notch support and training, investing in a franchise can be a highly strategic move for entrepreneurs for even more reasons.
- Purchasing power: Being part of a larger network allows franchisees to benefit from the franchisor’s bulk purchasing power. This can lead to significant savings on equipment, inventory, and other necessary business services.
- Networking opportunities: Franchisees can network with other franchise owners to collaborate and share best practices, advice, and support. This community aspect can be a valuable resource for problem-solving and innovation.
- Easier access to financing: Banks and financial institutions often view franchises as less risky investments compared to new startups. This can make it easier for potential franchisees to secure loans and other financing.
- Exclusive territories: Many franchisors offer territorial exclusivity, which can protect your investment from competition from other franchise locations within the brand.
- Exit strategy: If you decide to sell your business, having a franchise can make it more attractive to buyers due to the established systems, brand recognition, loyal customer base, and ongoing support.
Get Started with Always Best Care
Discover the rewarding opportunity of owning a home healthcare franchise with Always Best Care. Renowned for exceptional franchisee support, Always Best Care equips you with comprehensive training, creative marketing strategies, and robust operational guidance.
With a variety of home care franchise territories available, Always Best Care offers a unique opportunity to invest in a growing industry. Our franchises provide essential services including in-home care, skilled home healthcare, special care services, respite care, and senior living referral services, allowing you to maximize your investment through a wide array of care offerings.
If you’re ready to make a difference in your community while building a successful business, request information today, and a member of our team will be in touch with you soon.
