Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

  • Anytime Fitness
  • CruiseOne
  • Firehouse Subs
  • Jimmy John's
  • Massage Envy
  • Menchie's
  • Orange Leaf Frozen Yogurt
  • Planet Fitness
  • The UPS Store
  • Yogurt Land
  • And Hundreds More...

No, thanks. I'm not interested in uncovering the actual earnings of hundreds of franchises at this time.

Considering a Right at Home Franchise? Don’t Overlook These 14 Important Franchise Fees

by Franchise Chatter on July 13, 2017

in Franchise Fees, Senior Home Care Franchises



Franchise Chatter Membership Information

Find the Ideal Business for You

Don't Invest in a Franchise Until You Check Out This List

Right at Home Photo

If you are considering a Right at Home franchise, don’t get blindsided by these 14 important franchise fees (from the initial franchise fee, to the royalty fee, to 12 other fees found in Items 5 and 6 of Right at Home’s 2017 FDD).

1.  Initial Franchise Fee:  $36,375 to $49,500

  • The standard initial franchise fee for one Franchised Business is $48,500 for all franchisees who attend Right at Home’s Discovery Day prior to April 21, 2017 and sign Franchise Agreements by April 28, 2017 or, if you reside in or will operate your Franchised Business in a state where Right at Home is required to renew the registration of the franchise, sign a Franchise Agreement within 20 days after Right at Home’s renewal is approved and it sends you the Franchise Disclosure Document and a Franchise Agreement (the “Initial Franchise Fee”).
  • The Initial Franchise Fee will be $49,500 for all Franchise Agreements signed after April 28, 2017 or more than 20 days after Right at Home’s renewal is approved and it has sent you the Franchise Disclosure Document and a Franchise Agreement.
  • The Initial Franchise Fee is deemed fully earned and nonrefundable upon payment.
  • The Initial Franchise Fee is charged for a franchise to operate from one location in an assigned specific territory that Right at Home describes as the “Designated Area.” The Designated Area will be defined by zip codes and generally includes a population of approximately 15,000 to 30,000 people aged 65 and older.
  •  The Initial Franchise Fee is uniform to all franchisees. You pay Right at Home no other fees or payments for services before your Franchised Business opens.
  • At Right at Home’s discretion, it may offer qualified candidates the right to open and operate multiple Franchised Businesses. Right at Home will discount the Initial Franchise Fee for additional Franchise Agreements by 25% if you sign the Franchise Agreements and pay the Initial Franchise Fees at the same time or do so prior to opening the office of your first Franchise Agreement.
  • Right at Home offers a 10% discount off the Initial Franchise Fee for the first Franchised Business to individuals who qualify under VetFran. This 10% discount does not apply to any additional Franchise Agreements or if any other discount applies.

2.  Royalty:  5% of Net Billings

  • Due Date:  Payable weekly.

3.  Local Advertising:  1% to 2% of Net Billings



  • Due Date:  As incurred.
  • Includes cost of local and internet advertising.
  • Payable to suppliers of advertising and internet service.

4.  Brand Marketing and Promotion Fee:  2% of weekly Net Billings on the first $1,000,000 of Net Billings, plus 1% of weekly Net Billings on the next $2,000,000 of Net Billings for each calendar year

  • Due Date:  Payable weekly.
  • You are required to contribute to the Brand Marketing and Promotion Fund. However, your required contribution will not exceed your MSA Cap each calendar year.
  • Right at Home may reduce or suspend the Brand Marketing and Promotion Fee with input and advice from the Brand Marketing and Promotion Council.

5.  Audit:  cost of audit and inspection, plus interest on underpayment

  • Due Date:  On invoice.
  • Payable if the audit shows an understatement in Net Billings of at least 2% and/or if inspection discloses franchisee operated the Franchised Business in violation of Franchise Agreement.

6.  Late Fee:  $50 per week for each item not submitted when due. Right at Home has the right to increase this up to $250, plus the highest allowable legal rate for open account business credit, not to exceed 1.5% per month

  • Due Date:  Automatically incur after due and payable date.
  • Applies to Weekly Reports, accounting and records, and all Royalty Fees and amounts due for purchases from Right at Home or any affiliates.

7.  Insurance Policies:  amount of unpaid premiums

  • Due Date:  Prior to opening your Franchised Business or commencement of any construction for leasehold improvements, you must have the issued policies.
  • Payable to Right at Home only if you fail to maintain required insurance coverage and Right at Home elects to obtain coverage for you.

8.  Renewal Fee:  10% of the then-current franchise fee at the time of the renewal for each renewal of a term approved by Right at Home

  • Due Date:  At the time of closing on the renewal.
  • This amount is meant to offset the time and expense Right at Home will incur in handling each renewal.

9.  Transfer Fee:  50% of the then-current franchise fee for a franchise at the time of the transfer or 100% of the then-current franchise fee if a Franchisee Consultant or Broker commission is payable

  • Due Date:  At the time of transfer.
  • This transfer fee does not apply to an assignment of interest to an entity under Section 18.4.1 or an assignment to a Permitted Transferee under Section 18.7 of the Franchise Agreement.

10.  Additional Manager Training:  current rates as published in the Brand Standards Manual; currently, $300 per day plus expenses

  • Due Date:  Time of additional training.
  • Right at Home provides 10 days of training to your Operating Principal and 2 additional persons, at Right at Home’s cost, at its headquarters.
  • You pay for costs of attending training and for additional training if you request it.

11.  Additional Onsite Assistance:  current rates as published in Brand Standards Manual; currently, $300 per day per person plus expenses

  • Due Date:  Time of assistance.
  • Right at Home provides approximately 2 days of onsite assistance within six months of the beginning of operations at its cost. You pay for additional assistance if you request it.

12.  Continuing Educational Programs, Seminars, Convention:  you are required to pay your expenses as well as your employees’ expenses in attending these educational programs, plus the fee Right at Home may charge to cover its costs of providing such programs

  • Due Date:  Time of educational program.
  • Attendance will not be required more than 2 times per calendar year and will not last more than 5 days.
  • If your Franchised Business offers Skilled Nursing Services, Right at Home can require you or a qualified person designated by you to attend additional training relating to Skilled Nursing Services.

13.  Cost of Enforcement or Defense:  all costs including attorneys’ fees



  • Due Date:  Upon settlement or conclusion of claim or action.
  • You will reimburse Right at Home for all costs in enforcing its obligations under the Franchise Agreement if it prevails.

14.  Indemnification:  all costs including attorneys’ fees

  • Due Date:  Upon settlement or conclusion of claim or action.
  • You will defend suits at your own cost and hold Right at Home harmless against suits involving damages resulting from your operation of the Franchised Business.


Franchise Matching Quiz



{ 0 comments… add one now }

Leave a Comment

Previous post:

Next post: