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FranchiseVerdict

How Much Does a Homewatch CareGivers Franchise Cost?

Data from the 2024 Franchise Disclosure Document

Investment Summary

Total Investment

$92K – $154K

Franchise Fee

$50K

Royalty

5.0%

Ad Fund

2.0%

Cost Breakdown

Initial Franchise Fee

The initial franchise fee for Homewatch CareGivers is $50K. This one-time payment covers the right to operate under the brand, access to proprietary systems, and initial training programs.

Total Investment Range

Opening a Homewatch CareGivers franchise requires a total investment of $92K – $154K. This range typically includes real estate or leasehold improvements, equipment and fixtures, initial inventory, signage, insurance, and working capital to sustain operations during the ramp-up period.

Working capital alone ranges from $25K to $55K.

Ongoing Costs

Beyond the initial investment, Homewatch CareGivers franchisees pay ongoing fees. The royalty fee is 5.0% of gross sales (Gross Revenue). The advertising or brand fund contribution is 2.0% of gross sales. There is also a technology fee of $175.

Net Worth & Liquid Capital Requirements

Homewatch CareGivers requires working capital of $25K – $55K to cover initial operating expenses. This is the liquid cash you should have available beyond the franchise fee and buildout costs.

What Can You Earn?

According to Homewatch CareGivers's Item 19 financial performance representation:

$1.2MAvg. Gross Sales

Median gross sales: $722K

This figure comes from Item 19 of the FDD. Gross sales are not the same as take-home profit. After deducting royalties, ad fund fees, rent, labor, and COGS, net income is typically a fraction of gross revenue.

How Do Banks View Homewatch CareGivers?

SBA Loans Issued

70

Default Rate

25.0%

The SBA (Small Business Administration) tracks loan performance for franchise brands. Homewatch CareGivers has 70 SBA-backed loans on record. The default rate is 25.0%, which is near the franchise industry average. A lower default rate generally indicates that lenders view the franchise as a safer investment, though past performance does not guarantee future results.

Next Steps

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