Risk Score
Pending analysis
Investment Range
$218,838 - $323,988
Franchise Fee
$169,000
Total US Locations
13
Business Summary
An AmeriCare Area Representative franchise involves recruiting and supporting individual AmeriCare and AMLICare franchisees within a specific geographic territory. These individual franchisees provide non-medical home care services, such as companionship, transportation, meal preparation, light housekeeping, bathing, and grooming, to adults of all ages requiring lifestyle support. AmeriCare Area Representatives are also required to open and operate at least one of their own AmeriCare non-medical home care businesses as a pilot unit within their assigned territory.
Corporate History
AmeriCare, operating under HHCI, LLC, was established in Georgia on June 17, 2013. It acquired the assets of its predecessor, AmeriCare Alliance, Inc., which had been offering AmeriCare franchises since December 2004. HHCI, LLC continued this legacy, officially beginning to offer both Area Representative and individual AmeriCare home care franchises in November 2013. In 2018, AmeriCare also introduced the AMLI Care brand for the same business model. As of December 31, 2023, the AmeriCare system had grown to include 35 individual franchises and 13 area representative territories.
Financial Overview
Investment Range
$218,838 - $323,988
Franchise Fee (Low)
$169,000
Franchise Fee (High)
$299,000
Royalty %
6%
Equipment Costs (High)
$3,000
Working Capital
$49,688
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
AmeriCare (HHCI, LLC) reported a positive net income of $52,198 for the year ended December 31, 2023, and generated $130,087 in cash from its operating activities. However, AmeriCare is operating with negative working capital, as its current liabilities ($49,279) are greater than its current assets ($25,721) by $23,558, which could indicate short-term liquidity challenges. While the company's cash on hand was $20,821 at the end of 2023, significant cash was used for financing activities, primarily due to advances to affiliates ($67,050) and distributions to members ($65,431). AmeriCare also has a substantial amount of $228,891 in advances due from affiliates, which are classified as part of the member's deficit because these funds have no interest or repayment terms. Despite these financial movements, the independent auditors did not raise any concerns about AmeriCare's ability to continue as a going concern.
Financing Details
AmeriCare (HHCI, LLC) does not offer any direct or indirect financing to its franchisees. This means that AmeriCare will not provide loans, guarantees for notes or leases, or any other form of financial assistance. Franchisees will need to arrange all their own funding from third-party sources.
Performance Metrics
Total US Locations
13
Franchised Units
13
Corporate Units
0
Franchising Since
2013
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
AmeriCare has no litigation to report, indicating a clean legal history for the franchise system. According to Item 3, no litigation is required to be disclosed.
Bankruptcy History
AmeriCare has no bankruptcy history to disclose in this Franchise Disclosure Document.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
AmeriCare Area Representatives can renew their agreement for two additional 10-year terms. To do so, AmeriCare Area Representatives must provide written notice to AmeriCare at least 90 days before the current term expires, be in compliance with all material provisions of their agreement, and pay a $5,000 renewal fee. AmeriCare Area Representatives will also be required to sign AmeriCare's then-current Area Representative Agreement, which may include materially different terms and conditions from their original contract.
Training & Support Program
Franchisor Assistance
AmeriCare provides comprehensive assistance to its Area Representatives, both before and after they open for business. Before opening, AmeriCare conducts an initial three-day training program at its corporate headquarters for up to two individuals, and lends a copy of its comprehensive Operations Manual. Ongoing support from AmeriCare includes providing guidance and assistance, as deemed appropriate, in areas such as operating the Area Representative business, managing products and services, purchasing approved items, developing and implementing local advertising and promotional programs, administrative and recordkeeping procedures, and establishing franchisee training programs. AmeriCare also manages the collection and distribution of the Area Representative's share of initial franchise fees (100% of fees, less broker fees) and 2% of ongoing royalties from individual franchisees within their territory. Additionally, AmeriCare reviews all prospective franchisee applications submitted by the Area Representative and requires approval for all office locations, although Area Representatives may initially operate from a home office or co-locate with their pilot AmeriCare home care business.
Initial Training Hours
24
Training Location
Atlanta, Georgia
Ongoing Support
After AmeriCare Area Representatives open their business, AmeriCare provides continuing support by offering guidance and assistance in various operational areas, including the Area Representative Business's overall operation, approved products and services for individual units, purchasing strategies, local advertising and promotional program development, administrative and recordkeeping practices, and establishing franchisee training programs. AmeriCare also handles the financial aspect of collecting initial franchise fees and royalties from individual franchisees within the Area Representative's territory, then remitting the Area Representative's share (100% of franchise fees, 2% of royalties). AmeriCare reviews all prospective franchisee applications submitted by the Area Representative. Furthermore, AmeriCare maintains regular access to the Area Representative's WellSky Personal Care account through the Headquarters Portal for monitoring. While not presently mandatory, AmeriCare may offer additional training courses throughout the agreement term, with Area Representatives responsible for their own travel and accommodation expenses.
Franchise Requirements
Ideal Candidate Profile
AmeriCare is seeking Area Representatives who are actively involved in the day-to-day management and operation of their Area Representative business. Ideal candidates are expected to diligently promote the sale of individual AmeriCare and AMLICare franchises within their territory, which implies a strong capability in lead generation and customer acquisition. Area Representatives must also personally open and operate at least one AmeriCare home care business within their development area. Financially, candidates should be prepared for a total initial investment ranging from $218,838 to $323,988, which includes a minimum of $169,000 paid to the franchisor and its affiliates.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
Yes
Technical Skills Required
No
Operational Details
Location Type
hybrid
Owner Participation
hands-on
Territory Type
exclusive
Territory Size Requirements
AmeriCare Area Representative territories are typically defined by a list of zip codes and vary in size based on population. Smaller territories are designed to support at least six AmeriCare businesses, including the Area Representative's own prototype unit, and have a population of approximately 1,000,000 people. Larger territories are intended to support at least ten AmeriCare businesses, also including the prototype unit, with a population of 2,000,000 people.
Staffing Notes
AmeriCare Area Representatives are required to personally participate in the daily management and operation of their Area Representative franchise. If the Area Representative is not an individual, one or more of the entity's principals must be actively involved and complete training. AmeriCare does not impose limitations on whom Area Representatives can hire, nor does it require managerial personnel to have an equity interest in the business. Non-competition, confidentiality, or similar restrictions are not required for their employees.