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Home Services 551 Units

Right at Home Franchise Cost Breakdown

Complete investment analysis based on official FDD data

Total Investment

$92,100 – $165,309

Franchise Fee

$49,500

Royalty Rate

5.0%

Initial Investment Range

Low: $92,100 High: $165,309

The total initial investment to open a Right at Home franchise ranges from $92,100 to $165,309, as disclosed in their Franchise Disclosure Document. This includes the one-time franchise fee of $49,500.

Midpoint estimate: $128,704

Franchise Fee

$49,500

One-time initial fee

The Right at Home franchise fee is a one-time upfront payment made to the franchisor when you sign the franchise agreement. This fee grants you the right to operate under the Right at Home brand and is included in the total initial investment range above.

Ongoing Fees

Royalty Fee

5.0%

of gross revenue

Ad/Marketing Fund

2.0%

of gross revenue

Total Ongoing Fee Burden: 7.0% of gross revenue

Combined royalty and advertising fund contributions before any other fees.

Other Ongoing Fees

Fee Type Rate Type Notes
Royalty Fee 5.0 PCT See Basic Terms, Section 6.2.1 and Definition of Net Billings, Franchise Agreement
Minimum Royalty Fee N/A VARIABLE Amount is the greater of the Royalty Fee or a specified Minimum Royalty Fee per Quarter. See Basic Terms and Section 6.2.2, Franchise Agreement.
Local Marketing 2.0 PCT Amount spent on local marketing, sales, promotion and other Promotional Materials in Designated Area. Cap may apply. May permit spending on incremental spend programs including paid search, social, television. As incurred.
Brand Marketing and Promotion Fee 2.0 VARIABLE 2% of weekly Net Billings on first $1,000,000 of Net Billings plus 1% of weekly Net Billings on next $2,000,000 of Net Billings for each calendar year. Contribution to Brand Marketing and Promotion Fund. Fee may be increased, reduced or suspended with input from Strategic Leadership Council. MSA Cap applies if multiple Franchised Businesses in defined geographical area. See Item 11 and Section 6.2.3, Franchise Agreement.
Minimum Brand Marketing and Promotion Fee N/A VARIABLE Amount is the greater of the Brand Marketing and Promotion Fee or a specified Minimum Brand Marketing and Promotion Fee per Quarter. See Basic Terms and Section 6.2.4, Franchise Agreement.
Audit N/A VARIABLE Payable only if audit shows understatement in Net Billings of at least 2% and/or if inspection discloses franchisee operated in violation of Franchise Agreement. See Sections 12.2 and 12.3, Franchise Agreement.
Late Fee and Interest 50.0 FIXED Currently $50 per week, may be increased to up to $250 per week. Plus highest allowable legal rate for open account business credit, not to exceed 1.5% per month. Applies to Weekly Reports, accounting records, and all fees including Royalty Fees, Minimum Royalty Fees, Brand Marketing and Promotion Fees, Minimum Brand Marketing and Promotion Fees, and other amounts due. See Section 12.2.5, Franchise Agreement.
Insurance Policies N/A VARIABLE Payable only if franchisee fails to maintain Required Insurance Policies and franchisor elects to obtain coverage. Per invoice. See Item 8.
Renewal Fee 10.0 PCT Due prior to signing Successor Franchise Agreement for each Renewal Term approved. Meant to offset time and expense in handling each renewal. See Sections 5.3.6 and Exhibit F, Franchise Agreement.

What You Get

Category

Home Services

System Size

551 units

Franchise Score

88

out of 100

Right at Home offers in-home care services for aging adults and individuals with disabilities, including personal care, homemaking, and companionship support. The franchise enables seniors to age in place with dignity while providing family peace of mind through trained, compassionate caregivers.

Financial Performance (Item 19)

Median Revenue

$1,982,748

per year, per location

Profitability Estimate

Estimated Owner Profit

$456,032

per year

Profit Margin

23.0%

of revenue

Estimation method: benchmark

Estimated ROI (Simple Payback): 0.3 years

Based on midpoint investment of $128,704 and estimated annual owner profit of $456,032.

Unit Growth & Failure Rate

Avg. Annual Closure Rate

1.0%

Low risk — below industry average

Net Unit Growth

+57 units

From 2022 to 2024

Unit Activity History

Year Start Opened Closed Transfers End
2022 482 +25 -5 496
2023 496 +21 -6 508
2024 508 +40 -4 539

Is a Right at Home Franchise Worth It?

Based on the FDD data, here is a data-driven snapshot of the Right at Home franchise opportunity:

Overall Score

88/100

Strong opportunity

Est. Payback Period

0.3 yrs

Fast payback

Risk Level

Low

1.0% annual closure rate

Right at Home scores well across our evaluation criteria, indicating a strong franchise system. With median unit revenue of $1,982,748 and a combined fee burden of 7.0% of gross revenue, prospective franchisees should model their own financial projections carefully. For a complete analysis including risk factors, deal-breaker flags, and detailed financial modeling, see the full report.

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