Talem Home Care Franchise Costs, Fees & FDD

Year Business Began: 2012

Franchising Since: 2015

Headquarters: Broomfield, Colorado

Estimated Number of Units: 10

Franchise Description: The franchisor is Talem Home Care Franchising, LLC. The franchisor licenses a system for the operation of a Talem Home Care business that provides individuals with non-medical home care services that include personal care, companion care, and daily living assistance, senior living placement services and other services and products using the franchisor’s Talem Home Care trademark and logos, and programs, materials, office equipment, products, software, systems, and supplies that the franchisor designates.
Training Overview: The franchisor will provide initial training for franchisees (or if they are a corporate entity, the managing owner) plus one operating manager. Either franchisees or their managing owner plus their general must successfully complete the initial training program to the franchisor’s satisfaction no later than 45 days prior to the opening of the Talem business. The initial training program at the franchisor’s location takes place over an approximate 5 to 10 day period. The franchisor will also provide three weeks of additional training at the franchisee’s location. After the opening of the Talem business, the franchisor reserves the right to require that franchisees (or the managing owner if they are a corporate entity) attend a system-wide training program that the franchisor may establish in its discretion. The franchisor will not require attendance at a system-wide training program for more than a total of five days in any calendar year.

Territory Granted: During the term of the Franchise Agreement, provided that franchisees are not in default of their obligations to the franchisor or its affiliates and, except as to the reserved rights, neither the franchisor nor its affiliates will establish or operate, or franchise any third party to establish or operate, a Talem business using the licensed marks and system within the designated operating territory. The scope and size of the operating territory will vary depending on local factors and whether or not, at the time of signing the Franchise Agreement, the designated operating territory qualifies as a primary operating territory, a primary operating territory that has been supplemented with the purchase of up to three additional zones, or a small market operating territory. A primary operating territory consists of a geographic area that generally contains a population of approximately 400,000 to 500,000. Subject to availability, the franchisor’s approval and the franchisee’s payment of additional initial franchise fees, one to three additional zones may be added to the primary operating territory at the time of signing the Franchise Agreement. A small market operating territory will generally consist of a geographic area that contains a population of less than 400,000. The determination as to the approximate population within the operating territory will be based on U.S. Census Bureau data or other publically available data and will be based on raw data and without regard to demographics or other qualifying factors. The right to the territory and other rights under the Franchise Agreement are dependent upon the franchisee’s total gross sales and a minimum number of senior placements completed, as well as meeting the annual performance targets (as defined) for each franchised business and/or operating territory in which they operate for each consecutive 12 month period following the actual business commencement date.

Obligations and Restrictions: Franchisees or, if they are a corporate entity, their managing shareholder or partner will be personally responsible for the daily management and supervision of the franchised business. Franchisees may hire a manager to assume responsibility for the daily management and supervision of the franchised business only if: (a) the manager meets all of the franchisor’s minimum standards and criteria for managers; (b) the manager completes the initial training program; (c) the manager signs the confidentiality and non-competition agreements; and (d) the manager is supported by at least one trained and qualified operating manager who is actively involved in the management and operation of the franchised business. Franchisees may only sell the approved services and products as specified in the manuals or otherwise approved by the franchisor in writing and they may only sell the products and services required by the franchisor.

Term of Agreement and Renewal: The length of the initial franchise term is 10 years. If franchisees meet the conditions for renewal, they may renew for one additional term of 10-year term.

Financial Assistance: The franchisor generally does not offer direct financing of the initial franchise fee except for extraordinary circumstances, such as if the franchisee has applied for funding for the franchised business from a third party and requests a postponed payment date. The franchisor does not offer indirect financing. The franchisor does not guarantee any note, lease or other obligation on a franchisee’s behalf. For qualified individuals who were honorably discharged from any branch of the United States Military, the initial franchise fee for a primary operating territory or a small market operating territory is discounted by 20%. There is a 50% discount off the then current initial franchise fee for qualified employees that have been employed by franchisees, affiliates, or the franchisor for at least 24 months.

Estimated Initial Investment

Name of Fee	Low	High
Initial Franchise Fee	$48,500	$81,500
Onboarding Fee	$5,500	$5,500
Initial Business/ Professional Development Program Fee	$3,000	$5,000
Furniture, Fixtures and Equipment	$0	$3,000
Signs	$0	$2,000
Computer, Software and System	$500	$2,500
Prepaid Rent and Lease Deposits	$99	$3,000
Printing, Stationery and Office Supplies	$1,800	$3,000
Grand Opening Marketing Expense	$2,000	$4,000
Licenses	$0	$4,000
Senior Advisor Certification	$900	$1,200
Administrator or Nurse	$0	$10,000
Salesperson	$0	$30,000
Insurance Deposits and Premiums	$1,000	$3,000
Travel and Lodging for Initial Training	$1,500	$4,500
Professional Fees	$750	$3,000
Home Care Association of America Membership	$275	$275
Additional Funds – Initial period of 3 months	$25,000	$85,000
ESTIMATED TOTAL*	$90,824	$250,475

*Estimate is for a Talem Home Care + Senior Placement Services franchise. Please see FDD for the Home Care Only and Senior Placement Services Only franchise estimates.

Other Fees

Type of Fee	Amount
Royalty	5% of home care gross sales. Subject to a minimum royalty after the first year of operation.
Senior Placement Services Royalty	8% of senior placement. Subject to a minimum royalty.
Brand Development Fund	Up to 2% of gross sales.
Franchisee Directed Local Marketing	The greater of 1% of monthly gross sales with a minimum of $1,500 per month on digital marketing.
Local and Regional Advertising Cooperatives	As established by cooperative members, but not exceeding 2% of gross sales.
Business Management System License	Varies but not less than $100 per month for up to 10 active clients per month and subject to increases for more than 10 active clients per month.
Technology	Up to $750 per month. Currently the technology fee is $250 per month.
Customer Service and Refunds	Varies under the circumstances.
Additional Employee Initial Training	The then-current training fee, plus expenses. The current fee is $300 per person per day.
Supplemental On-Site Training	The then current daily rate per trainer, plus expenses. There is a two day minimum for assistance. The current daily trainer rate is $300 per day.
Annual Conference	The then current conference fee, not greater than $2,500.
Reporting Non-Compliance	$150 per occurrence.
Operations Non-Compliance	$450 to $1,000 per occurrence.
Payment Non-Compliance	$150 per occurrence.
Interest	18% per annum from due date.
Audit	Cost of audit.
Quality Assurance Audit	The then current rate, including actual costs incurred by the franchisor. Currently $300 per inspection and subject to increase by up to 10% per annum, plus actual costs incurred by the franchisor.
Transfer	$10,000
Renewal	$10,000
Collections	Actual fees, including attorneys’ fee, costs, and expenses.
NSF Check Fee of Failed Electronic Fund Transfer	5% of amount or $50 whichever is greater or maximum fee allowed by law.
Non-Compliance	Amount of fees, costs and/or expenses that the franchisor incurs in connection with non-performance of the franchisee’s obligations under the Franchise Agreement. Includes attorney fees.
Supplier Review and Implementation	$100 per hour based on time spent reviewing, approving, and implementing an alternative supplier and the franchisor’s actual costs.
Home Care Association of America Membership	$275 annually or then-current fee.

The above information has been compiled from the FDD of Talem Home Care. Year of FDD: 2025.
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