Home Instead

The franchise fee is $54,000 for standard new franchisees — a uniform flat fee regardless of territory. Veterans (honorably discharged) receive a 20% VetFran discount, paying $43,200. A $27,000 deposit option applies toward the full IFF if signed within the required timeframe; the deposit is partially refundable ($24,300) within 90 days if the franchisee withdraws.

Total investment of $91K–$270K reflects the office-based, low-physical-capital nature of the business. The franchise fee itself is $54,000. Real estate and improvements are minimal ($0–$9,000 — many franchisees start in a simple office or even a home office in the early months). Equipment runs $3,000–$21,500. The primary investment variable is working capital: $28,840–$134,120 for three months, reflecting the time required to build a caregiver base and client roster before revenue reaches operational scale.

The ongoing royalty is 5% of gross sales — competitive and in line with Comfort Keepers (the direct competitor in this dataset). The marketing fund takes 2% of gross sales monthly. Technology fees are $500/month ($6,000/year base) with additional Required Systems charges of $209–$3,418/month depending on the software configuration you deploy. At the high end, total tech costs could reach $3,918/month — a meaningful fixed overhead for early-stage locations.

The transfer fee is $25,000 — one of the higher flat transfer fees in the dataset. If you want to sell your Home Instead territory, budget for this as an exit cost. The renewal fee of $9,000 is mid-range for the senior care category.

Home Instead provides Item 19 data for 603 U.S. franchised businesses that operated the full 2024 calendar year — excluding the 16 businesses opened after January 1, 2024, and affiliate-owned businesses.

2024 results, 603 franchised businesses: - Average gross revenue: $2,609,616 - Median gross revenue: $2,261,503 - Highest: $10,914,442 - Lowest: $122,209 - At or above average: 248 businesses (41%)

The gross revenue figures are real — but they're not owner income. Senior home care businesses run on gross margins of 25–35% after direct caregiver wages (your largest cost). At the 2024 median gross revenue of $2.26M and a 30% gross margin, gross profit before overhead is approximately $678K. After 5% royalty (~$113K), 2% marketing (~$45K), $500/month technology fee ($6K/year), required systems fees ($2.5K–$41K/year depending on software configuration), and office overhead, a well-run median location could produce $400K–$500K in owner's benefit. The bottom quartile — operators below $800K in gross revenue — may struggle to reach profitability at all.

The Care Platform adopters (20 franchises) saw 12% average gross sales growth year-over-year — a meaningful signal if the technology adoption is part of your operational plan.

The high transfer volume — 54 transfers in 2024 on 625 total units (8.6% turnover) — confirms that Home Instead territories have real resale value. But it also means that buying a going-concern territory is the dominant entry path, and the $25,000 transfer fee is effectively a transaction cost paid by the buyer, not the seller. Budget for it.

Home Instead is one of the most stable systems in the senior care category: 619–625 total units over 2022–2024 with very consistent performance. Openings and closures are modest (10 opened, 7 closed in 2024), but the transfer count is high — 54 transfers in 2024 alone. Transfers dominate new franchisee entry into the system, meaning most people acquiring Home Instead are buying established territories from exiting franchisees rather than opening new ones.

This is actually a positive signal for buyers: the existence of an active transfer market means the asset has recognized value, and entering via transfer (with existing revenue, a caregiver base, and active clients) is lower risk than a cold open. The $25,000 transfer fee adds to acquisition cost but is reasonable given the revenue base being acquired.

Home Instead is owned by Honor Technology, a care coordination platform. The parent company has significant venture capital backing and has been building out technology infrastructure for the Home Instead system — this gives the brand a technology roadmap that pure franchise management companies lack.

The technology fee range ($209–$3,418/month in Required Systems fees on top of the $500/month base) is the most opaque element of the fee structure. The wide range reflects different technology adoption levels and software packages — clarify with the franchisor exactly what your required monthly technology commitment will be before signing.

The $25,000 transfer fee is significant as an exit cost. Home Instead territories transfer frequently (54 times in 2024), so if you're buying via transfer, factor this fee into the effective purchase price. If you're opening a new territory, understand that your eventual exit will cost the buyer $25,000 plus whatever broker fees apply — this reduces what new buyers will pay for your territory.

The Required Systems costs (e.g., software for scheduling, billing, care coordination) are payable to third-party vendors designated by Home Instead. These are ongoing operational costs that will increase as Home Instead expands its technology platform under Honor. The FDD notes that the $500/month technology fee can increase by up to 25% per calendar year with 60 days notice — model the high end of this over a 10-year term.

As with all senior care franchises, caregiver recruitment and retention is the primary operational constraint. Caregiver turnover in home care is consistently high across the industry (60–80% annually). Your ability to build a stable, high-quality caregiver workforce determines both your revenue capacity and your ability to retain clients long-term.