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Talem Home Care Franchise Costs & Fees

Date of Incorporation: 2012
Franchising Since: 2015
Headquarters: Broomfield, Colorado

Business Description: The franchisor is Talem Home Care Franchising, LLC. The franchises are for the operation of a business selling non-medical in-house services helping others with their daily activities including bathing, house cleaning, companionship and transportation, placement services and personal emergency response services under the name Talem Home Care

Franchise Offer: The franchisor grants franchises for Businesses operating under the Talem Home Care name and other marks.

Financial Assistance: The franchisor does not provide direct or indirect financing and do not assist in providing financing for franchisees. The franchisor does not guarantee any notes or financial obligations that franchisees may incur in setting up and operating their business.

Training and Assistance: The franchisor will provide franchisees a mandatory initial training program that is approximately 4 to 10 weeks in total. The initial training program is held remotely (telephone and on-line), at an affiliate-owned location, in Broomfield, CO or at another location that the franchisor designates and at the franchisee’s business location. The initial training program for up to 2 people is included in the Initial Franchise Fee. Accommodations, travel, room, board, and wage expenses during this period are borne by franchisees. Franchisees or any designated full-time manager must complete the initial mandatory training program to the franchisor’s satisfaction or it may terminate the Franchise Agreement upon refunding the Initial Franchise Fee. From time to time the franchisor may provide refresher training programs or seminars and may require that franchisees or their managers attend and complete them to its satisfaction. These programs and seminars will be held at locations the franchisor designates and will be provided without charge to franchisees.

Territory: If the location for the franchisee’s business has not been pre-approved, the area within which the Business may be placed may be identified using geographical or political boundaries, including radiuses and/or zip codes. The exact determination of the location of the business will be made at the franchisor’s sole discretion and will depend upon the franchisee’s approval and the franchisor’s market analysis, market penetration plans and franchise placement strategies. So long as the Franchise Agreement is in force, and franchisees are not in default of any provision of the Franchise Agreement or any related agreement with the franchisor or its affiliates, it will not establish or allow others to establish a Business within the Franchise Territory. Franchisees will not receive an exclusive territory.

Term of Agreement and Renewal: The length of the initial franchise term is 10 years. If franchisees are in good standing, they may renew for periods of 10 years under the terms of the then-current Franchise Agreement forms that may have materially different terms and conditions than the original contract.

Obligations and Restrictions: The franchisor strongly recommends that franchisees, or one of their owners if franchisees are a corporation or partnership, participate fully in the actual day-to-day operation of the franchise business. However, franchisees may designate a manager to assume responsibility for day-to-day operations. Any managers franchisees employ to help operate the franchise must successfully complete the mandatory training program. The manager and all of the franchisee’s owners must agree to be bound by the confidentiality and non-competition provisions of the Franchise Agreement. The franchisor requires that franchisees use, offer and sell only those Products and Services that the franchisor approves in writing and only from approved suppliers. Franchisees must offer all products and services that the franchisor designates as required by franchisees that are similarly situated.

Estimated Number of Units: Less than 10

Investment Tables:
Initial Investment
Name of Fee Low High
Initial Franchise Fee $44,900 $64,900
Real Estate/Rent $700 $1,500
Furniture, Fixtures & Equipment $1,000 $3,000
Insurance $500 $3,000
Office Supplies $1,000 $3,000
Grand Opening Advertising $2,000 $4,000
Computer Equipment (Hardware/Software/POS System) $500 $1,000
Training $1,500 $3,000
Licenses & Permits $0 $3,000
Legal, Accounting & Payroll $500 $5,000
Website Creation $1,500 $3,000
CSA Certification $1,000 $1,000
Additional Funds (3 months) $50,000 $100,000
ESTIMATED TOTAL $105,100 $195,400
Other Fees
Type of Fee Amount
Monthly Royalty Fee 6% of monthly Gross Revenue.
Monthly Advertising Fee 0.5% of monthly Gross Revenue.
Local Advertising Requirement Franchisees must spend at least 0.5% of the annual Gross Revenue on the local advertising.
Additional Initial Training Program The then-current fee per additional person, plus expenses. Current fee = up to $500 per person.
Additional Training Franchisees must reimburse the franchisor for its reasonable out of pocket costs (travel, accommodations, etc.)
Transfer Fee $10,000
Renewal $10,000
Relocation Franchisees will reimburse the franchisor for its reasonable out-of-pocket costs concerning the relocation.
Step-In-Right Expenses Amounts will vary.
Temporary Management Assistance Currently: a minimum of $50 per hour plus travel expenses.
Late Payment Interest and Administrative Fee $10 per day and interest equal to 1.5% per calendar month from the date due until paid in full.
Attorneys’ Fees Reasonable amount to prevailing party in any legal proceeding.
Audit Cost of audit (anticipated to be $1,000 to $5,000)
Dispute Resolution Costs and attorney’s fees as incurred.
Insurance Reimbursement of the franchisor’s costs.
Indemnification Amount of claim and costs incurred.

The above information has been taken from the FDD of Talem Home Care. Year of FDD: 2015

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