Learn How to Make a Safer, Smarter Franchise Investment - Click Here
This special FDD Talk series will highlight the financial performance representations of 13 Senior Care franchises, with a cross-analysis of the featured franchises to be published at the end of the series.
Highlights of Right at Home’s Item 19 Financial Performance Representations (2012 FDD) – Part 2
Further Analysis of 191 Franchise Offices
- Over $1,000,000 in Net Billings: 68 offices (36%)
- $750,001 – $1,000,000 in Net Billings: 26 offices (14%)
- $500,001 – $750,000 in Net Billings: 31 offices (16%)
- $250,001 – $500,000 in Net Billings: 37 offices (19%)
- $0 – $250,000 in Net Billings: 29 offices (15%)
- Total Offices: 191 offices (100%)
Average Business Performance as a Percentage of Net Billings
- Gross Margin means Net Billings less Cost of Goods Sold. Cost of Goods Sold includes all direct costs related to direct care staff, including wages, workers’ compensation insurance, crime – fidelity employee dishonesty coverage, and other professional and general liability insurance. Payroll taxes and payroll related insurance for both office staff and direct care staff are included in Cost of Goods Sold because they were combined in the information reported to the franchisor by franchisees.
- Office Payroll means all wages for office staff employees. Payroll taxes and payroll related insurance are included in Cost of Goods Sold.
- Marketing Costs are those associated with marketing and promoting the business, including such items as local telephone directory advertising, web-based advertising, media advertising, and trade show fees.
- These are not the only costs associated with the business.
- In the section below, you will find financial data reported only by those Franchised Businesses that had been open for at least the entire year indicated.