ComForCare Franchise Sales, Costs & Profits (2023)
This article was updated with the 2023 Franchise Disclosure Document
Since it started franchising in 2001, ComForCare has grown steadily and now has more than 200 franchises across the US. So if you’re looking for a senior home care franchise with a strong track record of growth, you may want to seriously consider ComForCare.
But what about the financials? Like for most senior home care franchises, starting a ComForCare franchise is affordable: you would spend on average $156,000 to open a new location.
What about profits? In this article we’re looking at ComForCare franchises and the latest Franchise Disclosure Document to find out how much it (really) costs and how profitable it really is. Let’s dive in!
Key stats
| Franchise fee | $29,500 - $57,000 |
| Royalty fee | 5-7.0% |
| Marketing fee | 2.0% |
| Investment (mid-point) | $156,000 |
| Average sales | $1,108,000 |
| Sales to investment ratio | 7.1x |
| Payback period | 3-4 years |
| Minimum net worth | $400,000 |
| Minimum liquid capital | $65,000 |
ComForCare Franchise Business Plan
All the stats: startup costs, profits, breakeven, etc.
5-year financial projections built with the FDD
Excellent 4.8/5 based on 70 reviews
About ComForCare Home Care
ComForCare Home Care is a network of in-home caregivers owned by Best Life Brands, LLC, headquartered in Troy, Michigan.
It provides personal home care, dementia in-home care, Alzheimer’s in-home care and more.
ComForCare Home Care was founded by Mark Armstrong in 1996 and has since grown to position itself as a leading senior care franchise, helping families have peace of mind by providing their loved ones with the best life possible in the comfort of their own homes.
ComForCare Home Care began franchising in 2001 and had opened 212 franchises in the US by 2022.
The ComForCare Home Care franchise is a promising opportunity for entrepreneurs and investors who want to make meaningful differences in the lives of older adults in their communities. It provides franchisees with tools and programs such as DementiaWise to benefit their clients and families and was ranked the Top franchise for 2020 by Entrepreneur magazine’s Franchise 500®.
ComForCare franchise pros and cons
The Pros
- Third-party financing: The franchisor provides its franchisees with financing through third-party associates for the startup costs, franchise fees, equipment, inventory and payroll.
- Exclusive territory: The franchisor grants the franchisee protected territories to operate their businesses in, defined by individual zip codes. It does not license any other franchise or operate similar businesses in the protected location.
- Diversified revenue streams: With a diversified service mix, ComForCare Home Care provides franchisees with multiple ways to boost sales and improve revenue earning potential. These include medical staffing, hospital-specific discharge planning programs, onsite programs in elder care communities and emergency response programs, among others.
- Quality training and support: The franchisor has a detailed training program consisting of classroom and on-the-job hours. It trains franchisees about the business systems, setting up their franchises, compliance, hiring qualified staff, customer service and sales.
- Marketing and publicity: The franchisor helps franchisees create awareness about their services, attract clients and maintain high customer retention rates. It offers them solid marketing and advertising systems such as web development, email marketing, national and regional advertising and social media.
- Site selection and development: The franchisor provides its franchisees with site selection assistance to identify a suitable location in terms of demographics and helps them set up their clinics.
The Cons
- Not a home-based opportunity: A comfort franchise cannot be run from home or a vehicle. Franchisees must have a fixed office space, retail facility or warehouse.
- Not a passive investment: The franchise does not allow for semi-absentee ownership. Franchisees must actively take part in the decision-making and running of their franchises.
- Not a part-time business: The clinics must be open full-time for at least 40 hours per week.
ComForCare franchise costs
You would have to invest on average $117,000 to open a new single-unit ComForCare Home Care franchised business.
Yet, note that you would invest instead $194,000 on average to open a multiple-unit ComForCare Home Care franchised business.
The investment covers all the start-up costs you may need to open a ComForCare Home Care franchise business. You must pay the franchisor an initial franchise fee of $30,000 – $57,000. In addition to this franchise fee, the investment also covers:
- Formulation costs: signs, licencing fees, etc.
- Equipment: office equipment, computer systems, etc.
- Operating costs: travel expenses for training, real estate and related expenses, miscellaneous opening costs, accreditation fees, insurance, office supplies, recruiting expenses, additional funds for 3-6 months, etc.
Single-unit franchise
| Type of Expenditure | Amount |
|---|---|
| Initial franchise fee | $29,500 – $57,000 |
| Formulation costs | $100 – $6,575 |
| Equipment | $5,300 – $11,800 |
| Initial marketing fees | $6,000 |
| Operating costs | $32,075 – $80,550 |
| Total | $72,975 – $161,925 |
Multi-unit franchise
| Type of Expenditure | Amount |
|---|---|
| Initial franchise fee | $59,000 – $147,000 |
| Formulation costs | $100 – $6,575 |
| Equipment | $5,300 – $11,800 |
| Initial marketing fees | $6,000 |
| Operating costs | $42,825 – $103,150 |
| Total | $113,225 – $274,525 |
ComForCare franchise fees
The initial franchise fee for a ComForCare franchise is $29,500 – $57,000
In addition to the initial franchise fee, you must pay to the franchisor a royalty fee of 5-7.0% of revenues, as well as a variable marketing fee of 2.0% of revenues.
ComForCare franchise sales
On average, a ComForCare Home Care franchise makes $1,108,000 in sales per year.
This number is the average sales per outlet for approximately 188 of the 257 franchised outlets that operated in all of 2022.
Is ComForCare a good investment?
We estimate that a ComForCare franchised business has a 3 to 4 years investment payback. In other words, you would repay the initial investment within 3 to 4 years on average by using the profits generated by the business.
This is an excellent and in line with most senior home care franchises.
ComForCare Franchise Business Plan
All the stats: startup costs, profits, breakeven, etc.
5-year financial projections built with the FDD
Excellent 4.8/5 based on 70 reviews
Disclaimer
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