In this FDD Talk post, you’ll learn the following:
- Section I – Background information on the Senior Helpers franchise opportunity, including relevant news updates
- Section II – Estimated initial investment for a Senior Helpers franchise, based on Item 7 of the company’s 2020 FDD
- Section III – Initial franchise fee, royalty fee, marketing fee, and other fees for a Senior Helpers franchise, based on Items 5 and 6 of the company’s 2020 FDD
- Section IV – Number of franchised and company-owned Senior Helpers outlets at the start of the year and the end of the year for 2017, 2018, and 2019, based on Item 20 of the company’s 2020 FDD
- Section V – Presentation and analysis of Senior Helpers’ financial performance representations, based on Item 19 of the company’s 2020 FDD, including information on the:
- 2019 average, median, high, and low gross revenue for the 203 Senior Helpers franchised businesses that have been operating for 60 months or more as of December 31, 2019
- 2019 average, median, high, and low gross revenue for the 11 Senior Helpers franchised businesses that have been operating between 48 and 59 months as of December 31, 2019
- 2019 average, median, high, and low gross revenue for the 19 Senior Helpers franchised businesses that have been operating between 36 and 47 months as of December 31, 2019
- 2019 average, median, high, and low gross revenue for the 20 Senior Helpers franchised businesses that have been operating between 24 and 35 months as of December 31, 2019
- 2019 average, median, high, and low gross revenue for the 21 Senior Helpers franchised businesses that have been operating between 12 and 23 months as of December 31, 2019
Section I – Background Information
20 Things You Need to Know About the Senior Helpers Franchise
Ramps Up Caregiver Hiring Amid COVID-19 Crisis
1. At the beginning of April 2020, amid the ongoing COVID-19 crisis, Senior Helpers said that it was seeing the demand for its services increase and had begun hiring new caregivers in most markets across the U.S. to focus more on taking care of others. Thousands of seniors have been told to stay in their homes. Many of these seniors need care, and Senior Helpers is being called on to help.
2. According to the Centers for Disease Control and Prevention (CDC), seniors are exceptionally vulnerable to the novel Coronavirus and should avoid being out in public. This makes in-home care one of the safest options available for seniors today, which means more seniors are now staying in their homes and need assistance.
3. Senior Helpers also announced an additional step to ensure its caregivers can deliver their services safely and effectively. Certified as a Great Place to Work, the company is the first, and so far the only, national in-home care provider to provide each franchise owner across its nationwide network with Personal Protection Equipment (PPE) designed to help ensure all caregivers and clients remain safe under its care amid the current pandemic.
4. Peter Ross, co-founder and CEO of Senior Helpers, said, “People want to keep their parents safe and follow the CDC’s recommendation to have seniors avoid groups of people. This has translated into a significant increase in the need for in-home care.”
5. With health and safety in mind for both its staff and applicants, Senior Helpers is taking the unprecedented step of using corporate resources to ship every location the PPE that is needed. Further, the company will host virtual interviews and pre-hire sessions for a safe and effective hiring process for all new team members. In addition to traditional onboarding, every new caregiver will also complete extensive, updated training with courses such as Hand Hygiene, Infection Control, Influenza Prevention, and Transmission-Based Precaution, among others.
6. Ross added, “We place the safety and care of our team members and clients above all else. We are looking for great people who are interested in joining a great company in an industry that is projected to grow consistently over the next 30 years.”
Appoints New Executive Vice President and Chief Performance Officer
7. In early January 2020, Senior Helpers announced the promotion of Mari Baxter to executive vice president and chief performance officer. A proven leader who has worked at Senior Helpers for over 10 years, Baxter has played a significant role in ensuring the success of franchise owners and staff nationwide. In her new role, she will lead Senior Helpers’ operations team at the franchise and corporate levels, help improve performance across all stores, and spearhead new programs to address caregiver workforce challenges.
8. A testament to her many accomplishments and contributions with Senior Helpers, Baxter’s promotion will help Senior Helpers navigate the changing industry landscape including shifts in requirements from healthcare partners. In addition to leading operations and improving performance through analyzing key performance indicators, Baxter will implement new data and outcome tracking to ensure ongoing success.
9. Peter Ross, co-founder and CEO of Senior Helpers, said, “It gives me great pleasure to recognize Mari’s exceptional leadership and contributions to Senior Helpers with a well-deserved promotion. I couldn’t think of a more deserving member of our executive team to lead Senior Helpers in its pursuit of exceptional operations and performance at every level. We are excited and know she will continue to play an important role in the company’s ongoing growth and success.”
10. Baxter originally joined Senior Helpers in 2008. Most recently, as the senior vice president of operations, she has led all field operations. In this role, her responsibilities included managing the team who works with owners on financial management, training, marketing, and client and caregiver management. She also worked closely with the resales and sales management teams to recruit new franchisees.
11. Baxter’s experience in leadership and business development spans two decades across various markets including food and beverage, childcare, and senior care. Baxter received her Bachelor of Arts degree in Journalism and Business from Central Michigan University.
12. According to Baxter, “My career at Senior Helpers thus far has been truly rewarding, and I am honored and excited to take on this new role. I am passionate about advancing the company’s operational strategy and helping each and every team member feel empowered to be the best they can be for our clients. I appreciate Peter and the team’s ongoing support and look forward to implementing new tactics to ensure Senior Helpers continues to flourish.”
Partners with Aging Life Care Association
13. In early January 2020, Senior Helpers announced its corporate partnership with the Aging Life Care Association (ALCA), a leading nonprofit organization representing 2,000 professionals in geriatric care management who offer guidance and ongoing support for families and seniors in areas such as healthcare, housing, and legal assistance. Senior Helpers is ALCA’s only national in-home care partner. The two companies will continue to strive toward a shared mission to ensure all seniors receive personalized and compassionate care.
14. This includes exploration of care delivery informed by Senior Helpers’ LIFE Profile, a revolutionary data-driven process for evaluating ongoing care requirements and risks associated with social determinants of health that can lead to hospitalization and lower quality of life. Used in combination with Senior Helpers’ best-in-class caregivers, LIFE Profile has demonstrated that care plans that are personalized and prioritized towards risk reduction can significantly improve client care and reduce overall system costs.
15. According to the 2018 Profile of Older Americans, the 85 and over population is projected to more than double from 6.5 million in 2017 to 14.4 million in 2040, a 123 percent increase. Additionally, more than one in every seven, or nearly 16 percent, of the U.S. population is an older American – someone aged 65 and up. As the population grows older, the need for aging life care managers grows. Moreover, today, approximately 21 percent of seniors who are released from a skilled nursing facility are admitted to a hospital emergency room within 30 days.
16. Mike Hughes, vice president of strategic development for Senior Helpers, said, “We are honored to partner with ALCA, the nation’s premier organization for aging science and life care management. We look forward to working with the ALCA and its highly respected membership to elevate the quality of senior care nationwide. Together we are taking important steps forward in improving quality of life for the nation’s seniors despite age-related illnesses and mobility challenges.”
17. Senior Helpers, along with its owners across Florida, sponsored the ALCA Florida Chapter 2020 Annual Conference that took place at the Hyatt Regency in Sarasota from Jan. 9-11. The ALCA Florida Chapter is dedicated to promoting the professional field of care management by training, assisting, regulating, educating, and supporting qualified senior care managers who provide a full range of services to aging individuals, their families, and caregivers.
18. Senior Helpers was founded in 2001 by Peter Ross and his business partners in Timonium, Maryland. The company was founded on the belief that seniors should be able to age at home with dignity despite age-related illnesses and mobility challenges. After running the business for a few years, Ross started franchising Senior Helpers in 2005 and by 2016, the company had grown to 300 locations around the United States.
19. That same year, Senior Helpers was acquired by private equity firm Altaris Capital for $125 million from Los Angeles-based private equity firm Levine Leichtman Capital Partners (LLCP), which had owned Senior Helpers since 2012. Today, there are Senior Helpers locations all across the country.
Entrepreneur’s Franchise 500
20. Senior Helpers ranked No. 249 on Entrepreneur’s 2020 Franchise 500
Section II – Estimated Costs
- Please click here for detailed estimates of Senior Helpers franchise costs, based on Item 7 of the company’s 2020 FDD.
Section III – Initial Franchise Fee, Royalty Fee, Marketing Fee, and Other Fees
- Please click here for detailed information on Senior Helpers’ initial franchise fee, royalty fee, marketing fee, and other fees, based on Items 5 and 6 of the company’s 2020 FDD.
Section IV – Number of Franchised and Company-Owned Outlets
- Outlets at the Start of the Year: 268
- Outlets at the End of the Year: 280
- Net Change: +12
- Outlets at the Start of the Year: 280
- Outlets at the End of the Year: 289
- Net Change: +9
- Outlets at the Start of the Year: 289
- Outlets at the End of the Year: 299
- Net Change: +10
- Outlets at the Start of the Year: 0
- Outlets at the End of the Year: 3
- Net Change: +3
- Outlets at the Start of the Year: 3
- Outlets at the End of the Year: 5
- Net Change: +2
- Outlets at the Start of the Year: 5
- Outlets at the End of the Year: 4
- Net Change: -1
Section V – Financial Performance Representations (Item 19, 2020 FDD) and Analysis
- Presented below are the gross revenue figures for some franchised Senior Helpers Home Care Businesses in 2019.
- The information below contains data for certain franchised Senior Helpers Home Care Businesses that have been operating for at least 12 months as of December 31, 2019. The information is organized into five categories:
- (a) franchised businesses that have been operating for 60 months or more as of December 31, 2019;
- (b) franchised businesses that have been operating between 48 and 59 months as of December 31, 2019;
- (c) franchised businesses that have been operating between 36 and 47 months as of December 31, 2019;
- (d) franchised businesses that have been operating between 24 and 35 months as of December 31, 2019; and
- (e) franchised businesses that have been operating between 12 and 23 months as of December 31, 2019.
- The results from some franchised Senior Helpers Home Care Businesses were not included in the table below; please see the notes that follow for an explanation.
Franchised Senior Helpers Home Care Businesses: 2019 Gross Revenue (Unaudited)
Franchised Businesses (Open 60+ Months)