Senior Helpers: $1.32M Average Sales vs. $127K-$171K Franchise Cost

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

Section I – Estimated initial investment (franchise costs) for a Senior Helpers franchise, based on Item 7 of the company’s 2024 FDD

Section II – Initial franchise fee, royalty fee, and marketing fee for a Senior Helpers franchise, based on Items 5 and 6 of the company’s 2024 FDD

Section III – Number of franchised and company-owned Senior Helpers outlets at the start of the year and the end of the year for 2021, 2022, and 2023, based on Item 20 of the company’s 2024 FDD

Section IV – News updates on the Senior Helpers franchise opportunity

Section V – Presentation and analysis of Senior Helpers’ financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2024 FDD, including information on the:

• 2023 average, median, high, and low gross revenue for the 226 Senior Helpers franchised businesses that have been operating for 60 months or more as of December 31, 2023

• 2023 average, median, high, and low gross revenue for the 14 Senior Helpers franchised businesses that have been operating between 48 and 59 months as of December 31, 2023

• 2023 average, median, high, and low gross revenue for the 15 Senior Helpers franchised businesses that have been operating between 36 and 47 months as of December 31, 2023

• 2023 average, median, high, and low gross revenue for the 22 Senior Helpers franchised businesses that have been operating between 24 and 35 months as of December 31, 2023

• 2023 average, median, high, and low gross revenue for the 24 Senior Helpers franchised businesses that have been operating between 12 and 23 months as of December 31, 2023

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

Section I – Senior Helpers Franchise Costs

• Senior Helpers franchise costs, based on Item 7 of the company’s 2024 FDD:

• Initial Franchise Fee:  $55,000
• Travel and Living Expenses While Training:  $1,500 to $3,000
• Lease, Utility, and Security Deposits:  $3,000 to $4,000
• Leasehold Improvements:  $2,500 to $6,500
• Promotional Items:  $2,000 to $4,000
• Additional Staffing:  $22,000 to $25,000
• Furniture, Fixtures, and Equipment (including Computer System):  $7,000 to $9,000
• Supplies:  $700 to $1,500
• Initial Advertising:  $3,000 to $6,000
• Business License and Permits:  $0 to $12,500
• Legal and Professional Fees:  $100 to $1,300
• Insurance:  $3,500 to $5,000
• Recruitment:  $1,000 to $2,000
• Additional Funds for 3 Months:  $26,500 to $37,000
• Total Estimated Senior Helpers Franchise Costs:  $127,800 to $171,800

Section II – Senior Helpers’ Initial Franchise Fee, Royalty Fee, and Marketing Fee

• Senior Helpers’ initial franchise fee, royalty fee, and marketing fee, based on Items 5 and 6 of the company’s 2024 FDD:

• Initial Franchise Fee:  $55,000

• Royalty:  during the first year of operation, 5% of the Gross Sales from the preceding two-week period. Following the first year of operation, the greater of 5% of the Gross Sales from the preceding two-week period, or the Minimum Periodic Royalty Payment.

• Marketing Fund:  an amount up to 2% of your Gross Sales; currently, the greater of 1% of Gross Sales or $75 per billing period per territory

• Brand Management Fee:  currently, $150 per two-week period per territory, but Senior Helpers may increase this amount upon 30 days advance written notice

Section III – Number of Franchised and Company-Owned Senior Helpers Outlets

Franchised

2021

• Outlets at the Start of the Year:  301
• Outlets at the End of the Year:  316
• Net Change:  +15

2022

• Outlets at the Start of the Year:  316
• Outlets at the End of the Year:  315
• Net Change:  -1

2023

• Outlets at the Start of the Year:  315
• Outlets at the End of the Year:  333
• Net Change:  +18

Company-Owned

2021

• Outlets at the Start of the Year:  4
• Outlets at the End of the Year:  5
• Net Change:  +1

2022

• Outlets at the Start of the Year:  5
• Outlets at the End of the Year:  5
• Net Change:  0

2023

• Outlets at the Start of the Year:  5
• Outlets at the End of the Year:  5
• Net Change:  0

Section IV – News Updates on the Senior Helpers Franchise

• Waud Capital Acquires Home Care Franchise Senior Helpers

• Advocate Health Sells Home Care Franchise Senior Helpers to PE Firm Waud Capital

• 5 Things to Know About the Waud Capital-Backed Senior Helpers

• Senior Helpers Increases Access to Senior Care with New Irving Location

• Senior Helpers Ranks Among Best Affordable Franchises in 2023

• Senior Helpers Ranked No. 172 on Entrepreneur’s 2024 Franchise 500 List

Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Senior Helpers Franchise (Item 19, 2024 FDD)

• Presented below are the actual, historical gross revenue figures for some franchised Senior Helpers Care Businesses in 2023.

• The information below contains data for certain franchised Senior Helpers Care Businesses that have been operating for at least 12 months as of December 31, 2023. The information is organized into five categories:

• (a) franchised businesses that have been operating for 60 months or more as of December 31, 2023;
• (b) franchised businesses that have been operating between 48 and 59 months as of December 31, 2023;
• (c) franchised businesses that have been operating between 36 and 47 months as of December 31, 2023;
• (d) franchised businesses that have been operating between 24 and 35 months as of December 31, 2023; and
• (e) franchised businesses that have been operating between 12 and 23 months as of December 31, 2023.

• The results from some franchised Senior Helpers Care Businesses were not included in the table below; please see the notes that follow for an explanation.

Franchised Senior Helpers Care Businesses: 2023 Gross Revenue (Unaudited)

Franchised Businesses (Open 60+ Months)

• Number of Franchised Businesses (Open 60+ Months):  226
• Range of Gross Revenue:  $116,192 to $10,833,902
• Average Annual Gross Revenue:  $1,494,426
• Median Annual Gross Revenue:  $1,201,968
• Number of Franchised Businesses Greater Than Average:  82 (36%)

Franchised Businesses (Open 48-59 Months)

• Number of Franchised Businesses (Open 48-59 Months):  14
• Range of Gross Revenue:  $125,243 to $3,126,274
• Average Annual Gross Revenue:  $1,049,253
• Median Annual Gross Revenue:  $880,586
• Number of Franchised Businesses Greater Than Average:  5 (36%)

Franchised Businesses (Open 36-47 Months)

• Number of Franchised Businesses (Open 36-47 Months):  15
• Range of Gross Revenue:  $70,621 to $1,532,834
• Average Annual Gross Revenue:  $719,044
• Median Annual Gross Revenue:  $627,587
• Number of Franchised Businesses Greater Than Average:  6 (40%)

Franchised Businesses (Open 24-35 Months)

• Number of Franchised Businesses (Open 24-35 Months):  22
• Range of Gross Revenue:  $195,287 to $2,238,103
• Average Annual Gross Revenue:  $971,101
• Median Annual Gross Revenue:  $932,206
• Number of Franchised Businesses Greater Than Average:  9 (41%)

Franchised Businesses (Open 12-23 Months)

• Number of Franchised Businesses (Open 12-23 Months):  24
• Range of Gross Revenue:  $31,497 to $1,425,784
• Average Annual Gross Revenue:  $589,472
• Median Annual Gross Revenue:  $431,280
• Number of Franchised Businesses Greater Than Average:  10 (42%)

• Each franchised business is a designated Territory under a Franchise Agreement. To the extent franchisees have multiple franchised businesses, or multiple territories, the operating results of each one is reported to Senior Helpers separately, and is reflected in this Item 19 as a separate franchised business.

• “Gross Revenue” represents the actual gross revenue for each franchised business in the sample for the period January 1, 2023 to December 31, 2023, as reported by franchisees to Senior Helpers. Included in gross revenue are all revenues from the offer and sales of all services (and products) to customers and clients of each franchised business in the sample.

• The gross revenue figures are compiled by using sales that are reported to Senior Helpers by franchisees. Senior Helpers has not audited or verified the reports, nor have franchisees confirmed that their reports are prepared in accordance with generally accepted accounting principles.

• “Average Annual Gross Revenue” is the total Gross Revenue for the franchised Senior Helpers Care Businesses in the sample, divided by the number of franchised Senior Helpers Care Businesses in the sample.

• “Median Annual Gross Revenue” is the Annual Gross Revenue figure for which one-half of the sample had Gross Revenue greater than this figure, and one-half of the sample had less than the figure.

• This Item 19 presents information for each of the franchised Senior Helpers Care Businesses that have been in operation more than 12 months. To avoid any skewing of data due to seasonality, revenues that may be generated from grand opening advertising or promotion, or effects (positive or negative) from start-up operations, the sample includes only franchisees who were operating during the entire 2023 calendar year and who were also operating for at least 12 months.

• As a result, the data in the table above includes a total of 301 franchised businesses.

• From the period January 1, 2023 to December 31, 2023, 13 Senior Helpers Care Businesses closed or were otherwise acquired by Senior Helpers and as a result are not included in this Item 19 information.

• From the period January 1, 2023 to December 31, 2023, one Senior Helpers Care Business closed after being open less than 12 months.

• Additionally, 31 franchised businesses had not been in operation for 12 months as of December 31, 2023.

• One franchised business operating between 24 and 35 months included in the Item 19 Gross Revenue information purchased an existing home care provider (not operating under the “Senior Helpers” brand and System) in 2021 that had been in operation at the time of the purchase.

• Two franchised businesses operating between 12 and 23 months included in the Item 19 Gross Revenue information purchased a Senior Helpers franchised business that the franchisor had acquired in 2022.

• As part of your due diligence, you are welcome and encouraged to speak to Senior Helpers’ existing franchisees about any or all of their operations.

• The data in the charts have been separated into five categories of results for:

• (a) newer franchised businesses (those who have been operating for between 12 and 23 months);
• (b) franchised businesses that have been operating for between 24 and 35 months;
• (c) franchised businesses that have been operating for between 36 and 47 months;
• (d) franchised businesses that have been operating for between 48 and 59 months; and
• (e) more seasoned franchised businesses that have been operating for 60 months or more.

• Senior Helpers has divided the franchised business data as noted because it has found that length of operation has a bearing on the results of a Senior Helpers Care Business due to the recurring nature of the clients and revenues from the business.

• The chart does not include any estimate of, or specific or historic data regarding, costs, expenses, or debts that franchised businesses have incurred, or may in the future incur. Prospective franchisees should be aware that in evaluating a financial performance representation or an earnings claim that includes revenue or sales figures, or one that does not include any or all costs of goods sold, operating expenses, and other expenses, that costs and expenses must be deducted from the gross revenue or gross sales figures to obtain net income or profit. This Item 19 financial performance representation does not include net income or profit.

• Costs and expenses that you may incur in the operation of your Senior Helpers Care Business include, among others, labor costs; any payments, compensation, or owner draws provided to the franchisee or the owner of the franchisee entity; marketing expenses; rent, mortgage, or other debt/financing costs; computer upgrades; legal and professional fees; income and other non-real estate taxes; royalty fees; and various other expenses.

• You will incur these and other costs, and you should conduct an independent investigation of the costs and expenses you will or may incur in operating your franchised Senior Helpers Care Business. Franchisees or former franchisees listed in the disclosure document may be one source of this information. Franchisees are not required to report this data to Senior Helpers, and Senior Helpers does not have these operating costs for franchisees.

• You are strongly encouraged to consult with your own financial advisors in reviewing the table and, in particular, in estimating your sales that you may achieve in operating your own Senior Helpers Care Business.

• Actual costs, expenses, and revenues vary from business to business, and from franchisee to franchisee. Senior Helpers cannot estimate the results of any specific business or franchisee.

• Some franchised businesses have earned this amount. Your individual results may differ. There is no assurance that you’ll earn as much.

Section VI – Senior Helpers Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️