How Much Does a Right at Home Franchise Cost?
Data from the 2024 Franchise Disclosure Document
Investment Summary
Total Investment
$89K – $161K
Franchise Fee
$50K
Royalty
The greater of 5% of Net Billings or the Minimum Royalty per Quarter
Ad Fund
The greater of 2% of weekly Net Billings on the first $1,000,000 plus 1% on the next $2,000,000, or the Minimum Brand Marketing and Promotion Fee per Quarter.
Cost Breakdown
Initial Franchise Fee
The initial franchise fee for Right at Home 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 Right at Home franchise requires a total investment of $89K – $161K. 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 $17K to $40K.
Ongoing Costs
Beyond the initial investment, Right at Home franchisees pay ongoing fees. The royalty structure is: The greater of 5% of Net Billings or the Minimum Royalty per Quarter. The ad fund contribution is: The greater of 2% of weekly Net Billings on the first $1,000,000 plus 1% on the next $2,000,000, or the Minimum Brand Marketing and Promotion Fee per Quarter.. There is also a technology fee of $2K.
Net Worth & Liquid Capital Requirements
Right at Home requires working capital of $17K – $40K 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 Right at Home's Item 19 financial performance representation:
Median gross sales: $1.2M
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 Right at Home?
SBA Loans Issued
158
Default Rate
3.4%
The SBA (Small Business Administration) tracks loan performance for franchise brands. Right at Home has 158 SBA-backed loans on record. The default rate is 3.4%, which is below the franchise industry average, indicating relatively lower lending risk. 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
Talk to current Right at Home franchise owners
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