Franchising Since: 1998
Headquarters: Bryn Mawr, Pennsylvania
Estimated Number of Units: 720
Franchise Description: Living Assistance Services, Inc. (LAS) is the franchisor. The franchised business provides non-medical home care giving services to adult clients in their homes. The franchisor requires that franchisees rent or purchase a commercial location.
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Territory Granted: Franchisees will receive a protected territory in which to operate your “Visiting Angels, Living Assistance Services” franchised business. The initial franchise fee will be $51,950 in all regions in which a radius of 30 miles with the franchised address at the center comprises a population of 100,000 or less (and in which the protected territory cannot exceed 100,000 in population within 30 miles). In all regions in which the protected territory will be greater than 100,000 and less than 200,000 in population, the initial franchise fee will be $64,950. For franchises of 325,000 in population the initial franchise fee will be $89,950. The franchisor will determine how many franchises will be available in a given area and designate the number for a given area and where, in general, they should be located. The franchisor will then give franchisees the opportunity to select the protected territory they desire from among the available protected territories which the franchisor must accept or reject. The franchisor will not establish a business location for its own benefit within the protected territory. The franchisor will not license other franchisees to use its marks who would locate their franchised businesses within the protected territory, nor will it open a competitive business to be located within the protected territory under the same marks or any other marks during the term of the franchise.
Obligations and Restrictions: Franchisees must attend and successfully complete the initial training program. If franchisees are a partnership or a corporation, at least one of the general partners or corporate shareholders, as appropriate, must attend and successfully complete the training program on the franchise’s behalf. This person must serve as the principal person for the franchisor to contact in connection with the franchised unit and must be empowered to oversee compliance with the Franchise Agreement. Franchisees may not offer services which the franchisor has not specifically approved in advance. Franchisees must offer all services that the franchisor designates as required for all franchisees. The franchisor requires that franchisees rent or purchase a commercial location. Franchisees may lease a shared executive office service.
Term of Agreement and Renewal: The length of the initial franchise term is 10 years. If franchisees are in good standing, they can add additional 10-year terms.
Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee a franchisee’s note, lease or obligation.
Estimated Initial Investment
Name of Fee | Low | High |
Initial Franchise Fee | $ 51,950 - up to 100K pop; $64,950 up to 200K pop; $89,950, 325K pop. (Additional protected territory can be purchased for a fee). | |
Printing/Supplies | $1,500 | $1,500 |
Deposits, Insurances, Licenses, Lease | $5,000 | $5,000 |
Workers’ Comp Insurance Deposit | $9,500 | $9,500 |
Minimum Royalty | $1,485 | $1,875 |
Travel, Lodging Expenses During Training (per person) | $1,500 | $2,000 |
Computer | $0 | $3,000 |
Software | $1,450 | $3,000 |
Advertising Fee (first 3 months) | $1,275 | $1,725 |
Local Ads (first 3 months) | $1,800 | $3,600 |
Additional Funds (3 months) | $50,000 | $50,000 |
ESTIMATED TOTAL | $125,460 | $171,150 |
Other Fees
Type of Fee | Amount |
Royalty/Gross Service Fee | 3.5% of total gross revenues; 3.25% after $125,000 per month revenues are reached; 3.0% after $225,000 per month revenues are reached. Minimum $495 ($625/month in 325K pop. territory) by 2nd month after training; minimum $650 per month ($825/month in 325K pop. territory) in the 24th month; minimum $875 per month ($1,075/month in 325K pop. territory) in the 48th month. Minimum $1,095 per month ($1,295/month in 325 K pop. territory) in the 60th month. |
Cooperative Advertising | $425 per month ($575/month in 325K pop. territory) or 2.5% of gross revenues if higher; 2.25% of gross revenues after $150,000 per month revenues are reached if higher; 2.0% of gross revenues after $250,000 per month revenues are reached if higher; Due the 2nd month after the conclusion of training class. Increases to the minimum $550 (minimum $695 in 325K pop. territory) per month in the 24th month; $750 (minimum $950 in 325K pop. territory) per month in the 48th month; $895 (minimum $1,195 in 325K pop. territory) per month in the 60th month. |
Email Fee | Then-current fee, which is currently $60 - $168 per user, per year, depending on the type or email account the franchisee requests. |
Technology Fee | The then-current fee, not currently charged. |
Additional Training | Currently, $3,500 per person. |
Additional Assistance | Paid by service fee. |
Transfer | Transferring Franchisee: $9,500 to $25,000 or 2.5% of sale price, if greater; based on sale price. Purchasing Franchisee: $15,950 for up to 325K population, $22,950 for up to 500K population, $29,950 for up to 750K population, $37,950 for up to 1M population, $45,950 for up to 1.25M population and $49,950 for above 1.25M population. |
Audit | Cost of audit plus 10% interest on underpayment. |
Renewal Fee | $10,000 |
Attendance Fee for National Conference | $899, subject to increase. |
Minimum Annual Purchase Requirement | N/A |
Insurance Fee | Dependent on circumstances. |
Indemnification Fee | Dependent on circumstances. |
Attorneys’ Fees | Dependent on circumstances. |
Late Fees | 10% of service fee immediately due, .167% each day after. |
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