Updated March 14, 2020.
Detailed Estimates of ComForCare Home Care Franchise Costs Based on Item 7 (Estimated Initial Investment) of ComForCare Home Care’s 2019 Franchise Disclosure Document
- For single unit Franchised Businesses that initially provide only personal care services and on-site community care.
1. Initial Franchise Fee: $49,500
- ComForCare does not finance any of this fee.
2. Travel Expenses for Training: $4,550 to $7,000
- You are required to attend the entire Phase Two Training at ComForCare’s corporate headquarters. In addition, you are required to have one other employee who works as your administrator, marketer, or Director of Clinical Services attend the Phase Two training days relevant to their position in your Franchised Business.
3. Real Estate and Related Expenses (3 to 6 months): $3,000 to $9,000
- If you do not own adequate office space, you must lease adequate office space. Typical locations are in office buildings. A typical new ComForCare Home Care office that provides personal care services and on-site community care would require 300-500 square feet of space. Rent is estimated to be $12,000 to $18,000 annually depending on size, condition, and location of leased premises.
4. Office Equipment: $1,100 to $2,100
- This amount may be necessary to purchase monitor and DVD unit for training, office furniture, decorations, fixtures, and incidental supplies.
5. Computer Systems: $3,000 to $5,000
- This amount is necessary to purchase and/or license your computer hardware, software, data storage, and access fees. This amount also includes your Technology Fee, G-Suite Fee, and a one-time $300 Quick Books integration fee for the client management software.
6. Signs: $100 to $500
7. Miscellaneous Opening Costs: $1,200 to $5,000
- This amount includes utilities, business licenses, incorporation, or applicable legal fees.
8. Licensing Fees: $0 to $6,000
- Your state of operation may require that you obtain some form of licensure and/or accreditation before being allowed to provide the Approved Services. Initial license fees as well as license renewal fees vary, but traditionally range anywhere from $25 to $6,000 per year and are your sole responsibility.
9. Accreditation Fees: $0 to $5,000
- Initial accreditation fees (as well as accreditation renewal fees) are currently $5,000 and are your sole responsibility.
10. Insurance (3 to 6 months): $1,250 to $4,000
- This amount represents an initial insurance deposit. Required insurance policies include comprehensive general liability, including automobile liability, third-party fidelity bond coverage, employment practices liability insurance, worker’s compensation, network security (cyber) insurance, and any other insurance required by statute or state law.
- The estimated cost for all insurance except workers’ compensation (which varies by location) during the first year of operation is $5,000 to $8,000.
11. Office Supplies: $1,000 to $2,000
- Exhibit D of the Disclosure Document details a list of items included with the franchise fee for new franchisees. You will, however, need to obtain an inventory of basic office supplies.
12. Local Marketing (3 to 6 Months): $3,750 to $7,500
- This amount represents charges in the first 3 to 6 months for various dues and memberships for marketing, e-newsletter distribution, promotional materials, internet advertising, advertising, and employee-related sales expenses.
- ComForCare recommends that you spend the greater of 2% of your Gross Sales or $1,250 per month on your local marketing efforts exclusive of your caregiver recruiting spend.
13. Recruiting Expenses (3 to 6 Months): $3,000 to $6,000
- ComForCare recommends that you spend at least $750 per month on your caregiver recruiting and retention efforts which include, but are not limited to, digital (online) caregiver recruiting, print hiring ads, job fairs, and third-party recruiting vendors.
14. Additional Funds (3 to 6 Months): $24,700 to $47,150
- ComForCare recommends that you begin your Franchised Business with at least 3 to 6 months additional working capital funds. These funds are usually allocated to administrative employee payroll/payroll (not owner’s salary).
- These figures are estimates and ComForCare cannot guarantee that you will not incur additional expenses starting the business.
15. Total: $96,150 to $155,750
- These figures are based on estimates from ComForCare’s experience in this industry since 1996.