The Money Side – Home Caring Franchise

The Money Side

A financial overview of starting a Home Caring franchise

YOUR INVESTMENT

Your initial investment amount depends on which location interests you and how quickly you can acquire new clients. Home Caring establish a new company to operate the franchise in the Marketing Area you select.

Home Caring establishes a new partnership entity as part of the recruitment process and the Partnership Franchisee will be allocated 50% of the shareholding in that business upon the signing of the agreements.

Home Caring will open the bank account for that company and on the signing of the legal documents, each party will invest the agreed amount into that bank account. This new company will also be the Franchisee so any payments will be made from that bank account to suppliers, care workers, office staff, the Franchisee’s salary and to the franchisor.  All income into the business will also be paid into the same account.

A complete breakdown of these costs will be made available at a later stage of the enquiry process.

You will also need to factor in the costs of obtaining legal, accounting or business advice

PARTNERSHIP OPPORTUNITY

Home Caring operates a partnership franchise system on a 50/50 basis. The benefits are:

  • A lower investment amount
  • A regular income – you will be paid a salary from the partnership franchise, removing the worry of having enough income to meet your personal financial requirements
  • an ongoing share of the profits
  • growth in the value of the business

PROFITABILITY

As part of the recruitment process, you will be provided with a template for a Financial Plan which we will go through together in detail. You should also use this plan with your professional adviser/s, so that they can see how the business model works.

How the Financial Plan works

The Plan incorporates the income streams available to a franchisee with the ongoing costs of supporting clients with home carers. We understand that as a new franchisee, it will take time to grow the business from day 1, so a ramp up scenario is included.

The plan also includes the ability to:

  • amend at the growth figures you believe you can achieve and see what could happen over a 5-year period
  • forecast what your expenses may be. For rental costs, it may not be necessary to open an office immediately but after an appropriate time – when you start to employ other people to help operate the business.
  • determine the number of support staff required depending on the growth of the business, which will ensure you have sufficient people to offer the highest quality service to clients
  • see full details of the earnings of the business for a 5-year period and the possible Return on Investment
  • ascertain the possible future value of the business if you decided to sell your shareholding

We will provide information about the performance of existing franchises, so you have a guide for completing your Financial Plan.

NEXT STEPS

Browse through the other pages on this web site and if you are interested in getting more information, please complete the enquiry form on the Contact Us page.