Comfort Keepers

The Comfort Keepers franchise fee is $55,000 for new franchisees, one of the higher entry fees in senior care. Volume discounts are meaningful: the 2nd franchise drops to $46,750 (15% off), the 3rd to $44,000, and the 4th and beyond to $41,250. Veterans pay $44,000 via VetFran. These discounts reward multi-unit operators — the model is designed to be built into a portfolio.

Total investment of $120K–$329K is driven heavily by working capital. The item 7 table allocates $39K–$191K to three-month additional funds — an unusually wide range reflecting the reality that senior care businesses take time to ramp as caregiver hiring, care recipient acquisition, and insurance billing cycles all build in parallel. The physical office space is minimal: $6K–$24K for three months plus deposit. Equipment runs $5,400–$10,000 (desks, computers, phones — this is an office-based service business, not a retail buildout).

The licensing line item ($0–$10,000) is variable by state — some states require home care agency licenses that involve fees, surety bonds, and inspection timelines. Budget at the high end if you're in a regulated state like California, New York, or Illinois.

Ongoing fees are reasonable: 5% royalty (with a $500/month minimum for the first 24 months — low enough that early-ramp months don't destroy cash flow). The national brand fund is capped at the lesser of $803/month or 2% of gross revenue, which is a franchise-friendly cap. The local advertising minimum of $1,000/month or 2% of gross revenue is standard for this category.

Comfort Keepers provides unusually detailed Item 19 data covering 600 franchised businesses open at least one year, reporting for the fiscal year ending August 31, 2025.

All 600 reporting franchised businesses: - Average gross revenue: $1,277,857 - Median gross revenue: $857,010 - Highest reported: $21,532,846 - Lowest reported: $8,829

Mature system (85+ months operating, 532 businesses): - Average gross revenue: $1,355,613 - Median gross revenue: $902,478

Top quartile (PMG, 50 franchisees): - Average gross revenue: $9,553,439 - Median gross revenue: $7,969,517 - Range: $4.5M–$30.6M

The PMG (Performance Management Group) top-quartile data is exceptional but represents roughly 8% of the system — these are multi-territory, multi-caregiver operations scaled over years. The median business doing $857K–$902K is the more representative starting point for a new operator.

Additionally, 51 PMG franchisees averaged $5,453,226 in revenue with a 39.2% gross margin and an 11.0% median owners' discretionary profit — translating to approximately $600K gross margin and $599K in owners' benefit at the average. At median gross revenue of $857K and a 39% margin, you're looking at roughly $334K gross margin before royalties, advertising, and owner salary.

Comfort Keepers has 624 total units (619 franchised, 5 company-owned) and has shown consistent low-closure performance. In 2025, 45 new locations opened against only 4 closures — a closure rate under 1% for the year. In 2024, 61 openings against 9 closures. The system grew from 619 to 624 net units over the reporting period.

The high transfer rate is worth noting: transfers (existing franchisees selling to new owners) are common in senior care as the business is owner-operated and owners age out or exit. Transfers are a sign of a liquid, valued asset — buyers pay real money for established care businesses. This is a positive indicator for resale value.

The $8,829 low-revenue disclosure in Item 19 is a flag: at least one franchised business generated under $9K in gross revenue for the year. This is likely a new location or a distressed one, but it confirms the model can fail to gain traction in some markets or with some operators.

Caregiving labor is the core operational challenge. Turnover in home care is consistently 60–80% annually industry-wide. Your ability to recruit, screen, retain, and schedule caregivers is the primary driver of both revenue capacity and client satisfaction. This is a people-intensive business — not passive income.

State licensing complexity varies significantly. Some states require separate licensed agencies, caregiver background check infrastructure, and compliance with Medicaid billing if you serve that population. Budget $5K–$10K for licensure in regulated states, plus several months of lead time before first revenue.

The transfer fee structure runs from $7,500 to $27,500 (capped at the higher amount for concurrent related transfers), plus broker commissions. If you buy an existing Comfort Keepers territory, factor this into your acquisition cost. The additional zip code fee ($300 per 1,000 residents) gives you a path to expand territory but adds to long-term cost of ownership.