QSR Franchises vs. Home Care Franchises: Market Analysis

Curious about how owning a QSR franchise compares to a home care franchise? See how current market trends favor home care franchises compared to the QSR industry.

Pros & Cons of Owning a QSR Franchise

More often than not, quick-service restaurants are what come to mind first when you think about a franchise. Why? Because they’re everywhere. From the golden arches of McDonald’s to the spicy allure of Taco Bell, QSRs are a staple in American culture. The market size for QSRs soared to over $362 billion in 2022, and about 37% of U.S. adults consume fast food every day. Sounds like a goldmine, right?

Sure, QSRs are in high demand because of their popularity and broad customer base. They also have streamlined operations with limited menus and no wait staff, lowering operational costs.

However, the QSR market is highly saturated, with one on nearly every corner. As a QSR franchise owner, you have limited control over your business because franchisors often have strict guidelines. If your restaurant fails, you lose the hefty investment you made to open it. The National Restaurant Association says 30% of restaurants fail within their first year. Restaurants also face significant struggles with supply chain delays and labor shortages, which can be costly to their bottom line, on top of the rising cost of goods and wages.

Oversaturation of QSRs

While the QSR market is large, it’s also incredibly competitive. Even if you manage to secure a franchise with a top brand like McDonald’s, the initial investment can be astronomical. And let’s remember, you’re taking on most of the risk. If the restaurant fails, you’re the one who stands to lose the most.

The Perfect Alternative: Senior In-Home Care Franchises

Now, what if you could invest in a franchise that offers not just financial returns but also emotional satisfaction? Enter the home care industry. The industry was valued at $152.9 billion last year and is expected to increase by more than $100 billion by 2030, according to Research and Markets. Plus, there are fewer home care businesses out there than quick service restaurants, meaning you capture more of that market worth.

The senior population in the U.S. is one of the fastest-growing demographics. Not only are we living longer, but by 2060, nearly 24% of the total U.S. population will be aged 65 and up. While there has been a drop in life expectancy in the U.S. since the COVID-19 pandemic, the average life expectancy has increased by more than three years from 2000 to 2020.

While people are living longer, they also want to stay in their homes longer, boosting the senior care industry. U.S. News & World Report surveyed adults 55 and older and found a staggering 93% say aging in place is an important goal for them. But a time will come when many of them will need in-home care. The Home Care Association of America finds that 70% of adults 65 and older will need assistance at some point in their lives. While several technological advances have helped seniors stay in their homes longer, an app can’t replace the help and support a caregiver provides.

Why A Place At Home Stands Out

If you’re looking to invest in a home care franchise, A Place At Home should be at the top of your list. Founded in 2012, we’ve become a beacon of innovation, commitment, and growth in the industry.

Our comprehensive care model provides owners with multiple revenue stream opportunities, from in-home care to care coordination, senior living alternatives, and staffing solutions. Our robust training and ongoing support to franchisees ensures you’re never alone on your entrepreneurial journey.

So, why settle for a saturated market with limited control and high risks when you can invest in a growing industry that offers both financial and emotional rewards? A Place At Home not only understands the nuances of the senior care industry but also leads with a vision for the future.

Take the first step toward owning a franchise by filling out the form to request more info.

 

How to Find a Low Cost Franchise With High Profit

There are low-cost franchises that claim to have high-profit potential, but a few key things separate the potentially lucrative opportunities from the rest. Learn more. 

Why Some Franchise Opportunities Fall Short 

Venturing into the realm of franchise ownership unveils a diverse landscape. Franchises can cost from as low as $20,000 or up to a couple of million, according to Lendio. But there are several affordable franchises out there that can fit your budget. 

It’s important to acknowledge that not all low-cost franchises with high-profit claims are created equal. While the prospect of a modest upfront investment might seem promising, there are several aspects to be wary of. 

One is insufficient support. Some low-cost franchises might cut corners on their support systems, leaving you to tackle challenges on your own without the necessary training, marketing aid, or operational guidance required for success. 

Opting for a low-cost franchise opportunity that lacks a proven track record is a risky endeavor. Without a history of success, you’re essentially walking into uncharted territory, making profitability uncertain. A franchise should encourage you to talk with current franchise owners. Talk to them about the brand’s business model and support system, and ask them whether they’d do it all over again with the same brand if they had the chance. 

Initial franchise fees are merely the tip of the iceberg when investing in a franchise. Some low-cost franchise opportunities may surprise you with hidden fees, ongoing expenses, and unexpected financial burdens that erode your profit margins. Study the brand’s Item 6 in their franchise disclosure document (FDD). This section discloses those ongoing fees, from royalties to advertising and technology fees.  

Identifying Low-Cost Franchise Opportunities 

Despite the above concerns, plenty of affordable franchises with liquid capital requirements below $75,000 can yield impressive profits — the secret lies in recognizing the distinguishing factors that set these opportunities apart. 

Low-cost franchises with high-profit results have a proven track record of success and a portfolio of satisfied franchisees. A location-tested business model significantly enhances your chances of turning a profit. It’s a good sign when a brand is experiencing growth and expansion because it shows its business model is working.  

Choose a franchise that prioritizes your success through comprehensive training, ongoing assistance, and a well-structured operational framework. A robust support system can empower you to navigate obstacles efficiently. Not only do you want a franchise that preps you to open your business, but you want one that will support you throughout your franchise agreement term.  

Evaluating the Opportunities

Now that you know what to look for in a low-cost franchise with high-profit potential, it’s research time. Here are the top factors to consider when evaluating affordable franchises.  

  • Market Demand: Analyze the market demand for the products or services offered by the franchise. A thriving market with untapped potential can propel your path toward profitability. 
  • Scalability: Assess the scalability of the franchise. Will you have the potential to grow and expand as your business gains momentum? Scalability is a key factor in maximizing the return on your investment. 
  • Diverse Revenue Streams: Look for franchises that offer multiple revenue streams. This diversification can provide stability and increased income opportunities, reducing your reliance on a lone source of income. 

Where Affordability Meets Profit Potential

Enter the senior-focused home care provider franchise, A Place At Home. We’re a rapidly growing brand that’s also a low-cost franchise with high-profit potential. Our low initial investment costs, proven business model, and top-tier support have put us on numerous top franchise rankings. Franchise Business Review deemed us a 2023 Top Low-Cost Franchise, while Entrepreneur ranked us No. 97 on their 2023 list of Top Franchises for Less Than $100,000 ranking. Plus, we’ve experienced rapid growth over the years, doubling our number of locations in just three years. We still have plenty of prime territories for you to choose from. 

With a liquid capital requirement of just $50,000, we exemplify an accessible entry point for aspiring franchisees like yourself. Our total initial franchise fees remain under $150,000. Additionally, we offer a de-escalating royalty structure, which means that as your revenue increases, the percentage that goes to us shrinks, meaning more of your revenue returns to your pocket. 

Joining A Place At Home means investing in the thriving senior care industry. IBISWorld finds the industry is worth $64.4 billion and is only expected to grow because 10,000 Americans turn 65 every day. Additionally, the U.S. Department of Health & Human Services found that in 2020, 65% of seniors utilized some type of in-home care. 

With A Place At Home, you can capitalize on more aspects of the senior care industry than just in-home care. As a franchise owner, you can provide in-home care, care coordination, senior living alternatives, and staffing solutions for your community.  

Even as a low-cost franchise opportunity, we ensure that our franchisees are set up for success through our comprehensive CARE training program. From initial training to continuous support, we furnish you with the tools needed for success. Our committed team is at your side, ensuring guidance at every juncture. As of 2022, our five-step training track has a 95% success rate, which means serving clients in the first 60 days post-launch. 

Ready to begin your journey with us? Fill out our Request Information form to start. 

Synergy HomeCare Franchise vs. A Place At Home Franchise: Comparison

If you want to invest in the in-home care industry, now is the time. Fortune Business Insights projects the home health services market to grow from $94.17 billion in 2022 to $153.19 billion in 2029, with a 7.2% compound annual growth rate during that period. But choosing between the several different in-home care franchises can take time and effort.

Deciding between a Synergy HomeCare franchise opportunity or another franchise in the home care industry? See how they compare to A Place At Home and which is right for you.

Side-by-Side Comparison

Synergy HomeCare Franchise has been around for nearly 20 years and stretches across 39 states. They offer an affordable investment opportunity, but they’re not the only brand in the senior in-home care sector that does. A Place At Home, founded in Omaha, NE is carving its place in the industry. Let’s compare the two franchises side-by-side:

 

Synergy HomeCare A Place At Home
 
  SYNERGY HOMECARE A PLACE AT HOME
Franchise Fee $50,000 * $49,500
Initial Investment $72,718 to $145,833 * $84,185 to $148,517
Minimum Net Worth $150,000 – $250,000 $250,000
Liquid Capital Requirement $50,000 – $100,000 $50,000
Royalty Fee 5% 4.5% -5.5%
Monthly Ad Fund Fee 2% 1%
Services In-home care, including specialized care, companionship, memory care, hospital-to-home care, and fall and injury prevention In-home care, including specialized care,

Care coordination, Senior living advising, and staffing solutions

* SOURCE: Synergy HomeCare’s latest FDD.

 Investment

While the initial investment costs are very similar at first glance, it’s crucial to understand what you’re getting with that payment. Synergy HomeCare defines a territory as an area with 20,000 people 65 years or older.

Compare that to A Place At Home, where our territories are comprised of 40,000 people over 65 and an area with a strong workforce that can serve the population in need. This means you’re getting a more extensive potential customer base for a similar price.

A Place At Home also offers a de-escalating royalty fee. This means the more you make as a franchisee, the lower percentage you’ll pay in royalty fees. Additionally, our monthly ad fund contribution is less than Synergy HomeCare. Both of these factors allow A Place At Home franchise owners to pocket more of their revenue than a Synergy HomeCare franchise.

Revenue Streams

Synergy HomeCare and A Place At Home both offer a comprehensive range of home care services designed to meet the unique needs of seniors and others who need assistance. These services typically include personal care, companionship, transportation, medication reminders, meal prep, and light housekeeping.

While their in-home care services are very similar, the two brands adopt slightly different approaches to home care revenue streams. Synergy HomeCare solely focuses on performing care in the client’s home. A Place At Home allows franchisees to diversify their revenue beyond in-home caretaking. The franchise looks to guide seniors and their loved ones through the aging journey by also offering professional care planning and coordination, senior living search assistance, and staffing services for local assisted living, memory cares, rehabs, and other long-term care communities.

Training & Support

Comprehensive training and ongoing support are vital for success in any franchise venture. Synergy HomeCare franchise provides a comprehensive training program covering operations, marketing, caregiver recruitment, and business management. They offer support through their 10-week opening process, which includes 42.5 hours of training. They also provide ongoing support through regional meetings, annual conferences, and a dedicated support team.

A Place At Home has a robust training program, including both online and in-person training modules, as well as ongoing support through regular check-ins, webinars, and an extensive network of franchise owners. We created our own training program called CARE Track. That includes 40 hours of training at our headquarters at our flagship location in Omaha, Nebraska.

The CARE Track then guides you through set revenue goals, client and employee satisfaction benchmarks, and service integration. We’re so confident in CARE Track that if you don’t service a client within 60 days of launching your business, we’ll waive the first six months of royalties.

Invest With A Place At Home

A Place At Home is a fast-growing brand curating a community of dedicated professionals offering compassionate care across the country. The brand is experiencing massive growth, with a 115% increase in units over the last three years. Don’t miss your opportunity to join the booming home care industry with a brand that is quickly expanding but still connects personally with each of its owners. Submit a franchise form to learn more.

Buying into a Franchise: How to Find the Right Fit

Becoming a franchise owner is an exciting opportunity to become an entrepreneur and find financial success. However, choosing the right franchise and industry is crucial for long-term success. When buying into a franchise, it can be hard to decide between different opportunities. Read our guide to help you make the best decision for your business goals.

Assess Your Goals and Interest

Before embarking on your franchise journey, take the time to reflect on your personal goals and interests. What drives you? What are you passionate about? Identify your strengths, skills, and areas of expertise.

Also, consider how much time you want to put into the franchise. Are you looking to leave your corporate job behind and become an owner-operator? Or are you looking for a silent ownership type of opportunity?

This self-assessment will guide you towards industries and franchises that align with your interests, ensuring a more fulfilling and enjoyable experience as a franchise owner. The happier you are with the business, the more time you’ll willingly invest in it.

Consider Financials 

Before buying into a franchise, assess your personal financial situation. How much capital do you have available to invest? Will you need financing? There’s no use spending time researching and talking to franchise systems that you can’t afford. Be honest with yourself and set a price range.

The initial investment consists of the franchise fee, equipment, inventory, and other franchise startup costs. Franchises will also have liquid capital, net worth, and sometimes credit score requirements.

Later in your research, reconsider the financials as you look more in-depth at a potential franchise investment. Analyze the potential return on investment based on the financial projections provided by the franchisor and compare them to industry standards. Take into account the timeline for achieving profitability and whether it aligns with your financial goals.

Research Industries & Your Market

Now that you understand your goals, interests, and financial capability, it’s time to research different franchise industries. Look for industries that are growing and show potential for long-term profitability. Consider factors such as market trends, competition, and consumer demand. Some popular franchise industries include food and beverage, senior care, fitness, and home services.

When buying into a franchise, you must decide where the best market is. Are you going to open it in your hometown so you can run it yourself? That’s common practice for owner-operator franchises like many home service and senior care franchises.

Evaluate Franchise Opportunities

Once you’ve discovered a few industries that align with your interests, start evaluating specific franchise opportunities within those industries. Look for franchises with a strong brand reputation, a solid business model, a proven track record of success, and a comprehensive support system. Study their financial performance, franchise fees, ongoing royalty payments, and other costs. Additionally, research to see if you can find any legal issues they might have faced or currently are facing.

A robust training and support system is vital for your success as a franchise owner. Before buying into a franchise, evaluate the franchisor’s training programs, ongoing support, and marketing assistance. A franchise with comprehensive training will equip you with the necessary skills to run your business efficiently. Furthermore, the franchisor’s ongoing support and marketing initiatives will contribute to your brand’s success and market penetration.

After reviewing everything you can of the franchise system online, contact the franchise to begin the process of becoming a franchisee. After they vet you, one of the next steps will include visiting their corporate headquarters for a discovery day. Remember, they’re interviewing you as much as you’re interviewing them. The fit must be right on both sides of the agreement.

Attend Discovery Day

To gain deeper insights into the franchise you’re considering, attend their discovery day and any possible exhibitions. These events provide an opportunity to meet with members of the corporate team, ask questions, and get a firsthand look at their operations. Take advantage of this opportunity to assess the franchisor’s culture, values, and commitment to their franchisees’ success. Ask to talk with other franchisees to get their perspectives on the franchise and the support they receive.

Typically, the franchisor will provide you with their latest franchise disclosure document (FDD) at the discovery day. Franchisors are required to provide you with this document before you invest. The FDD paints a clear picture of the business relationship between the franchisor and franchisee, the investment costs, territory restrictions, litigation, bankruptcies, and financial statements. Some franchisors also include financial performance representations in an Item 19, but it’s not required.

Seek Advice 

Seek professional advice from franchise consultants, attorneys, and accountants who specialize in franchising. They can help you understand the legal and financial aspects of becoming a franchise owner, review contracts, and guide you through the due diligence process. Their expertise will provide you with an added layer of protection and ensure you make informed decisions.

Ask for current franchisee contacts from the franchisor (these are also included in Item 20 of the FDD). By contacting existing franchise owners, you can have open and honest conversations and discuss their experiences, challenges, and overall satisfaction with the franchise. Their firsthand knowledge will provide valuable insights and help you gauge the franchise’s potential for success.

Review and Negotiate the Franchise Agreement

After getting legal advice, negotiate any terms that you find unfavorable or unclear. This step is important to protect your interests and ensure a fair agreement between you and the franchisor. Once you feel comfortable with the investment, you can sign it and officially become a franchise owner.

Let A Place At Home Help Guide You

So now that you understand the process of buying into a franchise, let A Place At Home guide you through it. Our home care franchise offers a unique and rewarding business opportunity in the thriving senior care industry.

By becoming a franchisee with us, you can make sure your community has access to exceptional senior care services that prioritize the well-being and happiness of seniors while also ensuring their safety, comfort, and dignity. Our training and support equip owners with the knowledge and skills needed to run a successful home care business. Plus, you can capitalize on multiple revenue streams between in-home care, care coordination, senior living advising, and staffing solutions.

Start today by submitting a franchise form.

3 Home Care Challenges & How to Rise Above Them

How BrightStar Care Franchise shapes up against A Place At Home

Home care agencies are highly profitable but have some challenges. Get insights on some challenges in home healthcare businesses can face and how to rise above them.

1. Recruiting & Retaining Caregivers

Finding reliable and compassionate caregivers is one of the primary home care challenges. Caregivers play a crucial role in providing quality care to clients, and their skills and dedication directly impact the agency’s reputation and client satisfaction.

High turnover rates are costly to home care agencies. Home Care Pulse reported a median caregiver turnover rate of 64.9% in 2021. Then, national consultancy ICA Group calculated that turnovers cost the industry more than $6.5 million annually. That’s with a conservative estimate of turnover at 20% of annual wages and a 60% turnover rate. Additionally, the U.S. Bureau of Labor Statistics finds that the U.S. needs to see a 32% increase, or more than 1.12 million, of home health aides by 2030 to meet the demands of the growing senior population.

Rising Above the Challenge:

Establishing a comprehensive recruitment strategy, building retention programs, offering competitive compensation and benefits packages, and creating a supportive work environment will help you overcome these common problems with home care agencies. By advertising on job boards and partnering with local schools or nursing programs, you can create a pool of talent to pull from. By implementing a thorough screening and vetting process, you’ll ensure the suitability and qualifications of caregivers and increase the likelihood of retention.

By creating a supportive work environment that offers ongoing training and support, career advancement opportunities, and recognition for excellent performance, your staff will want to stay with you. Foster open communication and actively address caregiver concerns to enhance retention rates.

And when you franchise with a well-established home care brand like A Place At Home, you’re a step ahead in hiring quality caregivers. A Place At Home is among the top home care providers for caregiver satisfaction awards. More than half of our locations have earned Home Care Pulse’s Employer of Choice designation. We’ve implemented a range of benefits and incentives for our caregivers, including flexible scheduling, ongoing training and development, and opportunities for career advancement.

2. Compliance & Regulation

Both medical and non-medical home care agencies must adhere to specific regulations and licensing requirements. While compliance with these regulations ensures the safety and well-being of clients, it can be a complex and ever-changing landscape to navigate.

You’ll face more complicated compliance requirements and stricter regulations when providing medical in-home care. You must maintain comprehensive medical records and ensure proper documentation from medical professionals such as nurses, therapists, and doctors. Plus, manage insurance companies and navigate reimbursement processes.

Rising Above the Challenge:

As you open and manage your home care business, stay updated on federal, state, and local regulations governing the industry. Establish robust policies and procedures that align with regulatory requirements and regularly review and revise them. Invest in staff training and education to ensure they know compliance standards. Consider partnering with legal and compliance experts to safeguard ongoing adherence to regulations.

Franchise systems like A Place At Home have successfully helped dozens of owners open their home care businesses, meaning we know all the ins and outs of compliance and regulations.

3. Client Acquisition & Retention

Attracting and retaining clients is crucial for the success of any home care agency. With increasing competition in the industry, effectively marketing your services and building strong relationships with clients and their families can be a significant home care challenge. Doing so will increase your client retention. Remember, retaining a client is cheaper than marketing to new ones.

Rising Above the Challenge:

Develop a comprehensive marketing strategy that includes different outlets such as social media, search engine optimization, local partnerships, and community outreach programs to reach all seniors and their loved ones. By providing exceptional customer service and personalized care, you can build trust and long-term relationships with clients and their families. Encourage clients to provide feedback and then improve services based on their input.

At A Place At Home, our established marketing efforts will ensure that your business is put in front of potential clients. As for retention, through Home Care Pulse client satisfaction surveys, we are ranked among top home care brands as top providers with client satisfaction rates.

Franchise With A Place At Home

Don’t stress about how to get clients for your non-medical home care business; instead, let A Place At Home help you. We can alleviate the many struggles with these home care challenges. If you stick with our startup program, the CARE Track, you could serve your first client within 60 days of opening. Our proven business model, brand recognition, training programs, and ongoing support can help you find success.

Submit a franchise form to learn more about our brand and the franchising process.

Senior Care Business: 4 Reasons To Invest Now

Non-medical home care business profits

The senior care industry is experiencing massive growth right now. Over the next five years, Technavio predicts the industry will grow by $91.37 billion. Senior care businesses can be highly profitable and are seeing growing demand. Discover the top reasons to start or invest in a senior care business here.

1. Growing Aging Population 

The aging population is increasing at an unprecedented rate. Baby boomers are retiring, and the number of seniors requiring care is steadily rising. In 2034, seniors will outnumber kids under 18 years old for the first time in U.S. history, according to the U.S. Census. Plus, AARP reports that more seniors require additional care due to chronic illness. As a result, what once was 14% of seniors 85 years or older in 2010 will be more than a fifth of seniors in 2050 needing more care services. This demographic shift presents a unique opportunity for senior care businesses, as the demand for quality care services is higher than ever.

2. Long-Term Market Stability

The senior care industry is known for its stability and resilience, even during economic downturns. Regardless of market conditions, people will continue to require care and assistance as they age, making it a recession-resistant business opportunity.

The COVID-19 pandemic highlighted the importance of in-home care providers like A Place At Home. While nursing homes struggled to keep the virus from spreading and their occupancy levels up, in-home care businesses thrived. Because of this, in-home care businesses are more recession-resistant than nursing homes or assisted living facilities.

<h2> 3. Technological Advancements </h2>

Technology advancements are transforming the senior care industry, making it more efficient, accessible, and cost-effective. They’re revolutionizing how care is delivered, from remote monitoring systems to digital health records. Investing in a senior care business now allows you to use these innovations and provide top-notch care services to your clients.

4. Diverse Revenue Streams

Businesses in the senior care industry offer a wide range of services beyond basic caregiving. These may include specialized memory care, rehabilitation services, and staffing assistance. By diversifying your revenue streams, you can cater to various needs within the senior community and enhance your business’s profitability.

For example, the senior care franchise A Place At Home offers not only in-home senior care but also care coordination, senior living alternatives, and staffing solutions. This means owners can walk seniors and their families through the entire aging process, creating consistent care.

In-Home Care Vs. Nursing Home

There are several business opportunities in the senior care industry, with in-home and nursing homes being some of the most popular options. But here’s why in-home care is a better choice.

First, more seniors want to age in place. Many of them have lived in their homes for decades and don’t want to leave, making in-home care their preferred option.

Then, when you compare the expense of paying for in-home care versus a private room in a nursing home, it’s less than half the cost. SeniorLiving.org finds that the national average for the price of a home care aide for five days a week is $53,560 for the entire year. Compare that to what the American Council on Aging notes as the annual cost of a private room in a nursing home, $108,405.

Lastly, an in-home care business or franchise is more affordable to invest in than an entire nursing home facility. Investment costs for a home care franchise stay lower because they don’t require a large facility with several rooms; instead, a small office to hold consultations in will do. With A Place At Home, our startup costs range from $84,185-$148,517. In comparison, a nursing facility or assisted living franchise is a multi-million-dollar investment.

A Place At Home: A Turnkey Solution to Your Next Business Venture

The senior care industry is experiencing unprecedented growth. By investing in A Place At Home now, there’s no chance you’ll ever feel FOMO (fear of missing out). You’ll also gain a competitive advantage over those who try to invest years after you have a stronghold in the market.

Starting a business from scratch is daunting, but franchising with a reputable senior care franchise like A Place At Home eliminates many challenges and uncertainties. The support structure helps mitigate the risks associated with entrepreneurship and increases your chances of success.

We offer a turnkey solution with our proven business model, comprehensive training programs, ongoing support, and access to a network of experienced professionals. Leverage our expertise, best practices, and established systems to navigate the senior care market effectively and efficiently.

Learn more about your opportunity with us by submitting a franchise form.

Why Senior Care Franchises Are One of the Fastest Growing Franchises

How to Get Your Home Health Care Business License in 7 Steps

Franchises focused on seniors provide essential services to an aging population while also providing a rewarding business opportunity for entrepreneurs who want to make a difference in their communities. Choosing to invest in one of the fastest-growing franchises is a profitable move. See why senior care franchises are among the top booming franchise industries.

Growing Demand for Senior Care Services

The senior population is exponentially growing in our country. According to the U.S. Census Bureau, the number of Americans aged 65 and older is projected to nearly double by 2060, reaching 95 million. In addition, as the baby boomer generation ages, the number of older adults who need assistance with daily activities and managing their health is expected to rise. These factors are aiding the rise of elderly care franchises.
The demand for non-medical home care services has grown significantly as older adults seek to remain in their homes and communities for as long as possible. Senior care businesses offer assorted services that help improve older adults’ independence and quality of life, such as meal preparation, medication management, transportation, and companionship. By providing these services, senior care franchises help older adults live safely and comfortably in their own homes while also giving their families peace of mind.

Flexible Business Models

There are a variety of senior care business models you can tailor to meet your community’s needs. Whether that’s non-medical home care services, assisted living, memory care, or skilled nursing, you can choose what suits your interests and expertise.

Multiple Revenue Streams

Some senior care franchises provide multiple revenue streams, offering greater potential for rapid growth and diversified income. For example, A Place At Home franchisees can offer not only in-home care services for their clients but also staffing solutions, care coordination, and assistance in finding senior living facilities. Other franchises offer revenue opportunities like medical equipment sales. Having multiple revenue streams available allows franchisees to adapt to changing market conditions and meet the evolving needs of the senior population.

Lower Cost of Entry

Many elderly care franchises offer affordable initial investments depending on the type of senior care business you open. Unlike other franchise industries, senior in-home care franchises don’t require significant capital investment in physical facilities or equipment. As a result, you can often start one from your home office, with low overhead costs and minimal staffing requirements.
They also have the potential for a high return on investment. As the demand for senior care services grows, so does the revenue potential. Additionally, many of these types of franchises have recurring revenue models, which means you can earn a steady income over time.

No Experience Required

Depending on the type of senior care you offer, you don’t always need a medical background to run the business.
Non-medical senior care businesses, like A Place At Home, focus on providing home care services such as assistance with activities of daily living, housekeeping, meal preparation, and transportation. These services do not require specialized medical knowledge or training. Plus, there are fewer licenses and regulations to worry about when you’re not providing medical care.
Additionally, in most cases, you’re not providing direct care for your clients. Instead, you’ll typically hire caregivers for that. A Place At Home franchise locations have some of the highest caregiver and client satisfaction rates, according to Home Care Pulse.
Most franchises offer comprehensive training programs covering all business aspects, from marketing and sales to staffing and operations. This training can help you gain the knowledge and skills you need to run a successful franchise for seniors, regardless of your background or experience.

Consider In-Home Care With A Place At Home

When looking for an industry that will offer rapid growth, consider the home healthcare services market and A Place At Home. Fortune Business Insights projects the industry will grow from $94.17 billion in 2022 to $153.19 billion by 2029, growing at 7.2% annually.
A Place At Home offers all these factors contributing to a quick startup and fast growth. Committing to our CARE training program will put you on track to service a client in the first 60 days post-launch. Ready to become our next top performer? Start today by submitting a franchise form.

Most Profitable Senior Care Franchises Have These 5 Qualities

How BrightStar Care Franchise shapes up against A Place At Home

Senior care franchises can be profitable, but it depends on a few factors. Look at the qualities the most profitable senior care franchises have.

Rising Need for Senior Care Franchises

The senior care industry is rising as the number of older adults in our country grows. According to the U.S. Census Bureau, by 2034, seniors will outnumber children for the first time in U.S. history. There’ll be 77 million people 65 years and older, compared to 76.5 million kids under 18. This demographic shift means the demand for senior care services, including in-home care, will grow.

In-home care franchises like A Place At Home are becoming increasingly popular as more seniors want to age in place and receive care in the comfort of their own homes. These franchises offer meal preparation, medication management, personal care, and companionship services. In-home care is more affordable than independent and assisted living facilities for seniors and their families.

How Profitable are Senior Care Franchises?

While senior care franchises can be profitable for entrepreneurs, assisted living and nursing facilities often operate at a much lower profit margin than in-home care businesses because of the significant expense it takes to operate those facilities. A study by Fierce Healthcare found that most facilities run at a 3% profit margin or less. The healthcare news source performed the survey in 2020, the height of the pandemic, which significantly affected the senior care industry.

On the other hand, in-home care franchises have lower overhead costs. Home Care Pulse reported in 2021 that the median revenue for the home care industry was $2.02 million.

Consider these qualities when searching for the most profitable senior care franchises:

1. Strong Brand Recognition

When it comes to senior care, families want to know that they’re entrusting their loved ones to a reputable and trustworthy provider. That’s why a strong brand can go a long way in attracting clients and building confidence in your community. So, look for a senior care franchise with a recognizable brand name and a proven marketing strategy.

A Place At Home prides itself in our comprehensive training program, which includes how to market your business successfully. So, you’re not just buying into a senior in-home care franchise with us; you’re becoming a part of a nationally recognized brand.

2. Comprehensive Training and Support

Running a senior care franchise requires specialized knowledge and skills, particularly caring for individuals with dementia and other cognitive impairments. The most profitable senior care franchises provide comprehensive training and ongoing support to ensure their franchisees have the knowledge and skills they need to succeed.

At A Place At Home, we’re committed to helping our franchisees thrive. Through our CARE TRACK, we’ll coach you through your business setup, guide you to achieve set revenue benchmarks, and mentor you on maintaining a high client and employee satisfaction score.

3. High-Quality Care Standards

The success of a senior care franchise is directly tied to the quality of care provided. Therefore, look for a franchise with a strong reputation for delivering high-quality care, rigorous standards for hiring and training caregivers, and regular quality assurance checks.

A Place At Home franchisees nationwide rank among the top caregivers in Home Care Pulse’s “Best of Home Care” awards. These rankings prove that the brand is dedicated to quality, professionalism, and expertise in home care. The awards are based on clients’ unfiltered feedback.

4. Multiple Revenue Streams

Offering multiple revenue streams allows senior care franchises to increase profits. Look for a franchise that provides a range of services, from home health care to hospice care or memory care. This not only provides additional revenue streams but also ensures that you can meet the evolving needs of your community.

A Place At Home franchisees look to guide their clients through the aging journey, allowing owners to earn from multiple home care revenue streams. It starts with in-home senior care. Then you can offer care coordination, assist in finding senior living alternatives, and help local facilities maintain staffing levels.

5. Strong Local Market

Finally, senior care franchises succeed most in areas with a strong demand for senior care services. Look for a franchise that has done its homework on local market trends and demographics and has a proven track record of success.

Territories are available across the country for A Place At Home. Every territory has at least 40,000 qualified senior residents for your potential client base.

Invest with A Place At Home

We’re a younger brand with immense room for growth. Our franchisees follow a senior-focused care model that allows them to provide a unique service in their community. The senior care industry is rapidly growing; jump in now by submitting a franchise form today.

Franchise Royalty Fees: Are They Negotiable?

Learn everything you need to know about franchise royalty fees and where the money goes. Depending on the franchise, sometimes franchise royalty fees can be negotiable.

What Are Franchise Royalty Fees?

Simply put, they’re a percentage of your revenue that you pay to the franchisor in exchange for the right to use their brand name, products, and systems. In other words, it’s the cost of doing business as a franchisee.

Franchise royalty fees typically range from 4%-8% of your gross sales but can be as high as 12% or more, according to the Small Business Association. The exact percentage will vary depending on the franchisor and the industry. For instance, a food franchise is typically a high-volume business, which means a lot of customers purchase a lot of individual items. Because their revenues tend to be higher than other industries, they typically have a lower royalty fee percentage.

In contrast, another type of business, like a consulting franchise, doesn’t experience as high of a revenue volume, so their royalty fee percentage may be 10%. Then others fall in the middle, such as senior in-home care franchises such as A Place At Home.

Depending on the agreement, you’ll report your gross sales to the franchisor every month or quarter. They’ll then deduct the agreed-upon percentage from your revenue, leaving you with your net sales. Some franchises may charge a flat fee instead of a percentage, while others may have various rates for different types of products or services. In some cases, the franchisor may also require you to pay additional fees, such as marketing or technology, on top of the royalty fee.

It’s important to note that royalty fees are not the same as the franchise fee. Franchise fees are a one-time payment you make to the franchisor when you first sign on, whereas royalty fees are an ongoing cost.

Why Do I Have to Pay Royalty Fees?

As a franchisee, you’re essentially buying into a proven business model. The franchisor has already worked hard to develop a successful brand, create effective systems and processes, and build a customer base. You’ll get the right to use the franchisor’s brand name and logo, which can be a considerable advantage in a crowded marketplace. Perhaps most importantly, you get ongoing support and training from the franchisor, which can help you succeed in the long run. You’re essentially paying for the right to use all that hard work and leverage it will better position yourself for success than starting from scratch.

Are Franchise Royalty Fees Negotiable?

Franchisors are typically reluctant to negotiate their royalty fees, as they’ve already set them at a level they believe is fair for both parties. However, if you have a strong case for why you should pay less, it’s worth bringing it up with the franchisor and seeing if they’re open to negotiation. For example, if you believe you’re opening a less profitable location, they may lower the royalty expenses.

It’s also worth noting that some franchisors may offer discounts on royalty fees for specific situations, such as if you open multiple locations or are a veteran. Other franchisors, like A Place At Home, offer a sliding royalty fee structure. So, the more revenue you earn in one year, the lower your royalty percentage is. Their current royalty structure is as follows:

  • 5% – up to $999.99
  • 0% – $1 million to $1.5 million
  • 5% – + $1.5 million in sales

If you’re looking to try to get out of paying royalty fees altogether, don’t bother. These fees are a crucial part of the franchise business model and are typically a percentage of your gross sales. They provide the franchisor with ongoing revenue and help to cover the costs of continuing support services, such as marketing, training, and operations. While some franchisors may be willing to negotiate their royalty fees, it’s unlikely that you’ll be able to avoid paying them entirely. So, when considering a franchise opportunity, be sure to factor in the cost of royalty fees to ensure that it fits within your budget.

Red Flags to Watch for With Royalties

While lower royalty fee rates are great, experts at Forbes warn that if a franchisor is pushing for higher up-front costs with significantly lower royalty rates, that’s a red flag. This can be a sign that the franchisor is just looking for short-term cash flow and that they might not provide the best ongoing support.

You should also be suspicious if the franchisor is too eager to offer discounted royalty fees. Forbes says there are some sufficient reasons why they might offer reduced royalty fees, such as being a new franchise or trying to get a specific market to sell. But otherwise, if an established brand is overly willing to offer you a discount on their royalties, experts say it could be a sign they’re in financial trouble and need to sell territories.

Affordable Senior Care Franchise Opportunity: A Place At Home

Our senior-focused franchise offers various services for seniors who want to age in place, find a living facility when it comes time for extra assistance, and help facilities keep their staff numbers at the required amount. Along with our other home care franchise costs, we keep our royalty fees lower because we believe in supporting our franchisees and helping them grow their businesses. As mentioned above, we lower the rate as you earn more revenue. Experts cite the industry average for royalty fees as 5%, so our top performers are actually paying lower than the industry average.

A Place at Home is committed to helping our franchisees succeed by providing affordable and flexible royalty fees and ongoing support and training. By doing so, we believe we can build a strong network of franchisees passionate about providing quality care to seniors in their communities.

Ready to get started and join our franchising team? Submit a franchise form

How to Start a Non-Medical Home Care Business In 6 Steps

Planning to start a non-medical home care business? Learn the steps here and see what it takes to open up your own non-medical home care business here.

Non-Medical vs. Medical Home Care

Before learning how to start a non-medical home care business, let’s understand how it differs from in-home medical services. Medical home care is skilled nursing care and medical services for patients who need medical attention at home. These providers may administer medications and perform wound care, physical therapy, and other medical services. Licensed healthcare professionals such as registered nurses or physical therapists typically perform this care.

On the other hand, non-medical home care assists with activities of daily living such as bathing, dressing, and meal preparation, as well as companionship and transportation services. Trained caregivers don’t need a medical background for this.

Senior in-home care franchise A Place At Home is a lower-investment franchise with high-profit potential. In-home care isn’t your only revenue stream either. You can offer professional care planning, assist clients in finding a senior living alternative, and help assisted living residences, memory care centers, rehabs, and other long-term care communities maintain staffing.

Why Choose Non-Medical Over Medical?

Non-medical home care is one of the fastest-growing sectors because of the aging population in the U.S. According to the U.S. Census Bureau, the number of Americans aged 65 and older is expected to double by 2060, reaching 98.2 million. This aging population prefers to age in place, meaning they want to remain in their homes rather than move to a nursing home or assisted living facility. Non-medical home care allows seniors to receive help with daily activities while still in the comfort of their homes.

Non-medical home care does not require a medical background, which lowers labor costs. In addition, while there are state or local licensing requirements for non-medical home care businesses, they’re typically not subjected to the same strict regulatory requirements as medical home care businesses. Both factors lower the barrier of entry for franchise investors.

Non-medical home care businesses have a broader potential client base than medical home care. Non-medical home care providers can serve not only seniors and individuals with disabilities but also individuals recovering from surgery or illness who may not require skilled medical care.

As a non-medical home care business owner, you can scale and grow your business easily. You can expand services to serve more clients without needing additional medical staff or equipment.

6 Steps on How to Start a Non-Medical Home Care Business

Starting a non-medical home care business requires careful planning and attention to detail, but it can be a rewarding and successful venture with the right approach. By following these steps on how to start a non-medical home care business, you can build a thriving business that provides essential services to those in need.

  1. Develop a Business Plan
    Before starting your business, you need to develop a comprehensive business plan. This plan should describe your services, target market, financial projections, marketing strategy, and staffing plan. In addition, a business plan will help you receive funding.
  2. Obtain Necessary Licenses and Permits
    Non-medical home care businesses may be subject to licensing requirements at the state or local level. Check with your state’s licensing board to determine what licenses and permits you need to obtain to start your business.
  3. Hire and Train Staff
    You must hire and train competent and compassionate staff to deliver high-quality care for your clients. Develop a thorough hiring process and offer ongoing training to your team to ensure they have the skills and knowledge necessary to provide the best possible care.
  4. Develop Policies and Procedures
    Developing policies and procedures for your business is essential to ensure consistency and quality of care. Your policies and procedures should cover areas such as client assessment, care planning, record keeping, and employee conduct.
  5. Establish Relationships with Referral Sources
    Establishing relationships with referral sources such as hospitals, rehabilitation centers, and doctor’s offices is essential to build your business. It’s key to network and build relationships with them.
  6. Market Your Services
    Marketing is essential to building a successful non-medical home care business. Develop a marketing strategy that includes online advertising, direct mail, and networking events to promote your services and build brand awareness.

Let A Place At Home Help You

Don’t let yourself become overwhelmed with those steps on how to start a home health agency. Instead, let A Place At Home help you build a successful business.

By investing in our lower-cost franchise, you’ll receive our proven business model that’s already been successful in other markets. You’ll undergo initial training on all aspects of the business, from marketing to operations, and have access to ongoing support from the A Place At Home team. A Place At Home franchisees benefit from the brand recognition and reputation we’ve established in the industry. This can help you attract clients and build your business more quickly than if you were starting from scratch. We provide you with a suite of technology tools. From a customized website to a client management system, these resources can help you streamline your operations and reach more potential clients. You’ll save money without group purchasing power for supplies and equipment.

Begin your journey to owning a home care franchise by connecting with us and submitting a franchise form. We’ll then be in touch with you shortly.