In this exclusive Franchise Chatter FDD Talk post, you’ll learn the following:

Section I – Estimated initial investment (franchise costs) for a Nurse Next Door franchise, based on Item 7 of the company’s 2022 FDD

Section II – Initial franchise fee, royalty fee, and marketing fee for a Nurse Next Door franchise, based on Items 5 and 6 of the company’s 2022 FDD

Section III – Number of franchised and company-owned Nurse Next Door outlets at the start of the year and the end of the year for 2019, 2020, and 2021, based on Item 20 of the company’s 2022 FDD

Section IV – News updates on the Nurse Next Door franchise opportunity

Section V – Presentation and analysis of Nurse Next Door’s financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2022 FDD, including information on the:

• average, median, high, and low Gross Sales for Months 1-12 and Month 12 for the 13 franchised Nurse Next Door territories that were in operation 12 months or longer on September 30, 2022

• average, median, high, and low Gross Sales for Months 13-24 and Month 24 for the 7 franchised Nurse Next Door territories that were in operation 24 months or longer on September 30, 2022

• average, median, high, and low Gross Sales for Months 25-36 and Month 36 for the 5 franchised Nurse Next Door territories that were in operation 36 months or longer on September 30, 2022

• average, median, high, and low Gross Sales for Months 1-12 and Month 12 for the 18 franchised Nurse Next Door businesses that had at least one territory in operation for 12 months or longer on September 30, 2022

• average gross sales per client per month for franchised Nurse Next Door businesses during their 12th month of operation

Section VI – Key ratios, comparables, computations, and analyses for the Nurse Next Door franchise opportunity (exclusive content for Platinum subscribers)

Section I – Nurse Next Door Franchise Costs

• Nurse Next Door franchise costs, based on Item 7 of the company’s 2022 FDD:

• Initial Franchise Fee:  $68,000
• Technology Start-Up Fee:  $8,000
• Pre-Opening Branding and Promotion:  $7,000
• Foundations Training Program:  $0 to $4,000
• Office Equipment and Supplies:  $500 to $3,000
• Legal and Accounting:  $5,000 to $10,000
• Leased Premises:  $0 to $5,000
• Utility Deposits:  $0 to $500
• Local Marketing (Including Online):  $1,000 to $2,000
• Insurance (Excluding Worker’s Compensation):  $2,500 to $4,800
• Worker’s Compensation Insurance:  $2,000 to $15,000
• Crime Insurance (1st and 3rd Party):  $400 to $1,500
• State Bonds:  $0 to $200
• Vehicle:  $0 to $1,000
• Computers and Related Peripherals:  $500 to $3,000
• Licenses and Permits:  $200 to $5,000
• Consultant and/or Director of Nursing:  $0 to $15,000
• Accreditation:  $0 to $8,500
• G-Suite Costs (access to the technology system used to monitor caregiver attendance in real time):  $15 to $100 (for first 3 months)
• Additional Funds for 3 to 6 Months/Working Capital:  $20,000 to $50,000
• Total Estimated Nurse Next Door Franchise Costs:  $115,115 to $211,600

Section II – Nurse Next Door’s Initial Franchise Fee, Royalty Fee, and Marketing Fee

• Nurse Next Door’s initial franchise fee, royalty fee, and marketing fee, based on Items 5 and 6 of the company’s 2022 FDD:

• Initial Franchise Fee:  $68,000
• Royalty:  5% of Gross Sales, subject to annual minimum royalties
• General Brand Fund Fee:  1% of Gross Sales
• Local Marketing (including online):  you must spend the greater of $1,000 or 2% of gross sales, to a maximum of $2,000
• Regional Branding Cooperative:  pro rata share (based on the number of franchises in the region) of actual costs

Section III – Number of Franchised and Company-Owned Nurse Next Door Outlets

Franchised

2020

• Outlets at the Start of the Year:  106
• Outlets at the End of the Year:  30
• Net Change:  -76*

*Note: As of August 14th, 2020, St. Joseph Health, a large California-based health care system, began transitioning its 42 franchised units out of the Nurse Next Door system.

2021

• Outlets at the Start of the Year:  30
• Outlets at the End of the Year:  33
• Net Change:  +3

2022

• Outlets at the Start of the Year:  33
• Outlets at the End of the Year:  50
• Net Change:  +17

Company-Owned

2020

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2021

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2022

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

Section IV – News Updates on the Nurse Next Door Franchise

• Nurse Next Door Launches Franchise Development Program to Support Frontline Workers

• How Franchise Companies Are Shaping the Next Generation of Home Care Leaders

• Nurse Next Door Did Not Rank on Entrepreneur’s 2023 Franchise 500 List

Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Nurse Next Door Franchise (Item 19, 2022 FDD)

• Nurse Next Door makes the following historic financial performance representations about subsets of its existing franchised territories.

Part 1 – Gross Sales by Territory for Months 1-12

• Chart 1 below illustrates Gross Sales for the 12-month period from month 1 to month 12 for territories that were in operation 12 months or longer on September 30, 2022.

• Number of Franchised Territories:  13
• Highest Gross Sales for Months 1-12:  $456,000
• Average Gross Sales for Months 1-12:  $191,580
• Median Gross Sales for Months 1-12:  $154,338
• Lowest Gross Sales for Months 1-12:  $56,193
• Percent of Franchised Territories Meeting or Exceeding Average:  38%
• Number of Franchised Territories Meeting or Exceeding Average:  5
• Highest Gross Sales for Month 12:  $80,371
• Average Gross Sales for Month 12:  $27,673
• Median Gross Sales for Month 12:  $20,282
• Lowest Gross Sales for Month 12:  $10,201
• Percent of Franchised Territories Meeting or Exceeding Average:  31%
• Number of Franchised Territories Meeting or Exceeding Average:  4

• As of September 30, 2022, Nurse Next Door had a total of 50 territories operating. Chart 1 does not include information for 18 territories that had not been in business for 12 months or longer and does not include 2 territories that did not have performance obligations for 12 months or longer.

• In order to reflect changes in the industry, such as the impact of COVID-19, as well as changes in the Nurse Next Door system, Chart 1 also does not include 8 territories that began operations prior to June 1, 2018. Chart 1 also does not include 9 territories that were operated by different franchisees during the first 3 years. It does not include data from territories that ceased operations during the relevant period.

Part 2 – Gross Sales by Territory for Months 13-24

• Chart 2 below illustrates Gross Sales for the 12-month period from month 13 to month 24 for territories that were in operation 24 months or longer on September 30, 2022.

• Number of Franchised Territories:  7
• Highest Gross Sales for Months 13-24:  $561,060
• Average Gross Sales for Months 13-24:  $343,636
• Median Gross Sales for Months 13-24:  $311,755
• Lowest Gross Sales for Months 13-24:  $144,314
• Percent of Franchised Territories Meeting or Exceeding Average:  43%
• Number of Franchised Territories Meeting or Exceeding Average:  3
• Highest Gross Sales for Month 24:  $49,123
• Average Gross Sales for Month 24:  $30,560
• Median Gross Sales for Month 24:  $38,614
• Lowest Gross Sales for Month 24:  $7,402
• Percent of Franchised Territories Meeting or Exceeding Average:  57%
• Number of Franchised Territories Meeting or Exceeding Average:  4

• As of September 30, 2022, Nurse Next Door had a total of 50 territories operating. Chart 2 does not include information for 24 territories that had not been in business for 24 months or longer and does not include 2 territories that did not have performance obligations for 24 months or longer.

• In order to reflect changes in the industry, such as the impact of COVID-19, as well as changes in the Nurse Next Door system, Chart 2 also does not include 8 territories that began operations prior to June 1, 2018. Chart 2 also does not include 9 territories that were operated by different franchisees during the first 3 years. It does not include data from territories that ceased operations during the relevant period.

Part 3 – Gross Sales by Territory for Months 25-36

• Chart 3 below illustrates Gross Sales for the 12-month period from month 25 to month 36 for territories that were in operation 36 months or longer on September 30, 2022.

• Number of Franchised Territories:  5
• Highest Gross Sales for Months 25-36:  $562,781
• Average Gross Sales for Months 25-36:  $330,418
• Median Gross Sales for Months 25-36:  $364,907
• Lowest Gross Sales for Months 25-36:  $103,409
• Percent of Franchised Territories Meeting or Exceeding Average:  60%
• Number of Franchised Territories Meeting or Exceeding Average:  3
• Highest Gross Sales for Month 36:  $39,388
• Average Gross Sales for Month 36:  $24,995
• Median Gross Sales for Month 36:  $22,803
• Lowest Gross Sales for Month 36:  $9,107
• Percent of Franchised Territories Meeting or Exceeding Average:  40%
• Number of Franchised Territories Meeting or Exceeding Average:  2

• As of September 30, 2022, Nurse Next Door had a total of 50 territories operating. Chart 3 does not include information for 26 territories that had not been in business for 36 months or longer and does not include 2 territories that did not have performance obligations for 36 months or longer.

• In order to reflect changes in the industry, such as the impact of COVID-19, as well as changes in the Nurse Next Door system, Chart 3 also does not include 8 territories that began operations prior to June 1, 2018. Chart 3 also does not include 9 territories that were operated by different franchisees during the first 3 years. It does not include data from territories that ceased operations during the relevant period.

Part 4 – Gross Sales by Franchised Business for Months 1-12

• Chart 4 below illustrates Gross Sales for the first 12-month period for the territories of franchised businesses from month 1 to month 12 and had at least 1 territory in operation for 12 months or longer on September 30, 2022.

• Number of Franchised Businesses:  18
• Highest Gross Sales for Months 1-12:  $456,000
• Average Gross Sales for Months 1-12:  $193,116
• Median Gross Sales for Months 1-12:  $177,943
• Lowest Gross Sales for Months 1-12:  $3,640
• Percent of Franchised Businesses Meeting or Exceeding Average:  44%
• Number of Franchised Businesses Meeting or Exceeding Average:  8
• Highest Gross Sales for Month 12:  $80,371
• Average Gross Sales for Month 12:  $29,135
• Median Gross Sales for Month 12:  $24,660
• Lowest Gross Sales for Month 12:  $0
• Percent of Franchised Businesses Meeting or Exceeding Average:  44%
• Number of Franchised Businesses Meeting or Exceeding Average:  8

• As of September 30, 2022, Nurse Next Door had a total of 29 franchised businesses operating. A franchised business means a franchisee who has one or more locations. Part 4 does not include 11 franchised businesses that had not been in business for 12 months or longer. On average the franchised businesses in Chart 4 are operating 1.8 territories. It does not include data from franchised businesses that ceased operations during the relevant period.

Part 5 – Gross Sales Per Client on 12th Month

• As of September 30, 2022, the “average Gross Sales per client per month” for franchised businesses during their 12th month of operation was $2,147.

• There has been no material change to the information provided in this Item 19 due to COVID-19.

Part 6 – Other Information

• The data above has not been prepared in accordance with generally accepted accounting principles. The figures were compiled from data received from the franchisees using a centralized scheduling system of reporting and may vary month to month.

• Some franchise partners have earned this amount. Your individual results may differ. There is no assurance you will earn as much.

• Gross Sales means all sales generated through the Franchised Business and includes fees for any services sold by you, and all other income related to the Franchised Business. Gross Sales does not include any sales tax that you collect from customers and pay to any taxing authority. Gross Sales also does not include the amount of any refund or credit given in good faith by you in respect of any services, or products returned or exchanged by a customer, provided that the original selling price was included in Gross Sales.

• These figures do not reflect the costs of sales, operating expenses, or other costs or expenses that must be deducted from the gross revenue or gross sales figures to obtain your net income or profit.

Section VI – Nurse Next Door Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️