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Home Helpers Franchise Cost & Fees

Date of Incorporation: 1996
Franchising Since: 1997
Headquarters: Cincinnati, Ohio

Business Description: The franchisor is H.H. Franchising Systems, Inc. (HHFS). A Home Helpers franchise provides senior care services such as home care, homemaker, personal care aide assistance, companion care, and medical services. The franchisor also offers a Direct Link franchise, which provides personal emergency response, medication management, and vital signs monitoring products and services.

Franchise Offer: HHFS offers franchises to operate home care, homemaker, personal care aide assistance, companion care, and medical service businesses under the trade name Home Helpers. At a minimum, the franchisee will offer non-medical services, including “homemaker” services such as light housekeeping, meal preparation, running errands, grocery shopping, reading, companionship and general assistance. The franchisee may also offer “personal care aide” and/or “home care aide” services, if, prior to providing these services, the franchisee satisfies all applicable federal, state and local laws and requirements for doing so, the franchisee maintains insurance that provides coverage for such services, and provides proof of compliance with these terms to the franchisor.

Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee franchisees’ note, lease, or obligation.

Training and Assistance: For the first Home Helpers franchise, HHFS will provide an initial training program for up to two people, one of which must be the person responsible for the general oversight and management of the franchised business. All of the initial training is presently conducted at the franchisor’s corporate headquarters in Cincinnati, Ohio. At the present time, the franchisor does not provide or require franchisees to attend additional training programs after their successful completion of the initial training program, but it may offer optional hands-on in-field training at various locations. After opening, HHFS will provide the franchisee with assistance via telephone, electronic mail, office visits, and Web-based programs to the extent deemed necessary.

Territory: HHFS will grant the franchisee an exclusive territory compromised of postal ZIP code(s) according to its mapping system in place at the time of executing the Franchise Agreement. The territory the franchisee will receive for the initial franchise fee will contain a population of up to 175,000. If the population of the territory exceeds 175,000, the franchisee must pay an additional $500 for all or part of every 1,000 people over 175,000. There is no maximum limit on the population of the territory. The exclusivity of the territory does not extend to clients that identified as National Accounts.

Term of Agreement and Renewal: The length of the initial franchise term is 10 years. If the franchisee satisfies the required pre-conditions to renewal, HHFS will offer the franchisee the right to obtain two additional 10-year terms.

Obligations and Restrictions: HHFS does not require that the franchisee personally supervise the franchised business, although it is recommended. The franchised business must be directly supervised “on-premises” by a manager who has been approved by the franchisor and has successfully completed the training program. The franchisee may not compete with, or own an interest in, any business that competes with, the franchise anywhere during the term of the franchise agreement, or within 15 miles of the franchise territory or any other franchisee's territory for two years after the expiration or termination of the franchise agreement. The franchisee may not use the premises on which the franchised business is located for any purpose other than the operation of the franchised business and the sale of authorized products and services (this restriction does not apply if the franchisee operates the franchised business from his/her home).

Estimated Number of Units: 630

Investment Tables:
Initial Investment
Name of Fee Low High
Initial Franchise Fee $44,900 $50,900
Monitoring Equipment $2,000 $2,000
Other Furniture and Equipment $500 $2,000
Computer System $2,000 $4,000
Travel & Living Expenses while Training $750 $2,500
Initial Rent, Telephone, Bank and Other Deposits $0 $2,000
Additional Funds - 3 months $15,000 $35,000
Gran Opening Kit $2,600 $2,600
Technology Fee $600 $600
Licensing Fee $0 $15,000
Monthly Office Rental Payment $0 $1,000
Insurance $2,000 $6,000
Estimated Total $70,850 $117,600
Other Fees
Type of Fee Amount
Royalty Fee 6% down to 3% of Gross Revenues;
$300 monthly minimum for 1st 2 years;
$1,800 monthly minimum after 1st 2 years;
the Royalty for Gross Revenues derived from Medicare services is from 5% to 2%
National Branding Fee 2% of Gross Revenues; $350 monthly minimum.
Local Cooperative Advertising Up to 3% of your Gross Revenues unless a majority of the cooperative members agree on a higher contribution.
Transfer Fee The greater of either $10,000 or 3% of the purchase price, plus legal and administrative costs, which presently total $2,500 per franchise.
Franchisee Meetings $225 to $375 per person.
Electronic Copies of Marketing Materials Variable.
Formation of Business Entity Variable.
Late Fee Greater of $50 or 10% of payment.
Interest 18%
Client Refunds Amount of expense advanced plus 18% interest.
Audit Fee Cost of audit plus 18% interest on underpayment.
Sales/Use Taxes Variable.
Reimbursement Amount of expense advanced plus 18% interest.
Legal Expenses Amount of expense advanced plus 18% interest.
Indemnification Amount of expense advanced plus 18% interest.
Monitoring Units Currently between $150 to $245 per unit.
Monitoring Services Currently between $11 to $21 per month per unit.

The above information has been taken from the FDD of Home Helpers. Year of FDD: 2016

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