B55/100FDD 2024
Boost Home Healthcare — Litigation & Risk
Health & Wellness - Other · FDD Items 3, 4 & 5
Moderate — Review
5 cases disclosed in FDD Items 3 and 4.
Source: FDD Items 3–5
FDD Items 3 & 4
Litigation Metrics
Cases disclosed
5
Total from FDD Items 3 and 4
Bankruptcy (Item 4)
—
Franchisor or officer bankruptcy
Overall risk score
55 / 100
FranchiseVerdict composite
Rating
MODERATE
STRONG / MODERATE / CAUTION / AVOID
7(a) FOIA data · FY2020–present
SBA Loan Performance
Aggregated from public SBA 7(a) loan disclosures. Default rate is the share of loans that were charged off or settled for less than the full balance.
Total 7(a) loans
1
Government-backed loans issued
Default rate
—
vs <3% typical · system-wide
5-yr default rate
—
Defaults
0 loans
Loans charged off or defaulted
Total loan volume
$348K
Avg loan size
$348K
Participating lenders
1
FDD Items 5, 6 & 17 — what you give up
Contract Risk Indicators
Mandatory arbitration
Not required
You retain the right to sue in court
Jury trial waiver
Waived
You give up the right to a jury trial
Non-compete
2 yrs
Post-termination restriction on similar businesses
Franchisor can compete
Yes
Franchisor can open competing locations in or near your territory
Right of first refusal
Yes
Franchisor can match any purchase offer when you try to sell
Governing law
Michigan
State whose law governs disputes — relevant if you're not based there
What drove the 55/100 rating
Risk Score Breakdown
- 01MINOROnly 6 units system-wide with unknown/stagnant growth trajectory raises sustainability concerns
- 02HIGHParent company and affiliated franchisors (Blue Moon, ComForCare) involved in 5 active litigation cases including royalty disputes and breach of contract claims
- 03MEDNo Item 19 (Average Unit Volume) disclosed despite $1.74M claimed average revenue—prevents verification of franchisee profitability claims
- 04MINORBlended royalty structure (5.0% Medicare/commercial, 3.5% Medicaid) creates unpredictable cash flow since Medicaid mix varies by territory and is often lower-margin
- 05MEDExtremely limited franchisee base (6 units) makes due diligence validation and peer networking nearly impossible
- 06HIGHLitigation involving controlled affiliates suggests systemic corporate governance and contractual compliance issues that could cascade to Boost
Severity inferred from FDD text — not a regulatory or legal classification
Litigation data from FDD Items 3, 4, and 5. SBA data from public 7(a) FOIA records (FY2020–present). Not legal advice — consult a franchise attorney before signing any franchise agreement.