Risk Score
Pending analysis
Investment Range
$91,040 - $269,750
Franchise Fee
$43,200
Total US Locations
625
Business Summary
Home Instead operates a business that provides in-home care services for older adults and other individuals who need care. These services include companionship, personal care, nurse-directed care, specialized support like end-of-life and Alzheimer's assistance. Home Instead utilizes a unique system and proprietary care management platform, known as the Care Platform, to deliver these services through trained Care Pros. Franchisees are responsible for client outreach and management, while Honor, an affiliate, handles recruitment, training, employment of Care Pros, and client billing and collection for those using the Care Platform.
Corporate History
Home Instead, Inc. was incorporated in Nebraska on May 9, 1994. The company began selling franchises under the name Home Instead Senior Care in 1995. Home Instead has consistently focused on franchising businesses that provide home care, companionship, and specialized services for older adults. The company is currently owned by Honor Technology, Inc., a Delaware corporation, which acquired Home Instead on August 6, 2021. Home Instead has not offered franchises in any other line of business throughout its history.
Financial Overview
Investment Range
$91,040 - $269,750
Franchise Fee (Low)
$43,200
Franchise Fee (High)
$54,000
Royalty %
5%
Marketing %
2%
Equipment Costs (Low)
$3,500
Equipment Costs (High)
$38,500
Working Capital
$81,480
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Home Instead's independent auditor issued an unqualified opinion, indicating that the financial statements present fairly, in all material respects, the company's financial position and results of operations. The auditor also concluded that there are no conditions or events that raise substantial doubt about Home Instead's ability to continue as a going concern. In June 2023, Home Instead initiated a plan to reduce operating expenses, which resulted in a restructuring charge of $2,317,071, fully paid in 2023. The company has a significant note receivable from its parent company, Honor, totaling $179,394,645 as of December 31, 2024, which was extended to $225,000,000 in April 2025. This indicates strong financial ties and lending activity with its parent.
Financing Details
Home Instead does not offer direct or indirect financing to franchisees, except for any current pilot programs it might be conducting. The company also does not guarantee any franchisee's note, lease, or other financial obligations. Franchisees are expected to secure their own financing from external sources.
Performance Metrics
Total US Locations
625
Franchised Units
619
Corporate Units
6
Avg Square Footage
650
Franchising Since
1995
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Count
3
Litigation Summary
Home Instead has disclosed three litigation cases, all of which concluded in March 2024. Two of these cases, filed in September 2023, involved Home Instead asserting claims against franchisees and their guarantors for Lanham Act violations, trade secret misappropriation, and enforcing post-termination non-competition provisions after the franchisees failed to renew their agreements and continued operating. Both of these cases were settled, with the franchisees ceasing to be Home Instead franchisees, a stipulated judgment for monetary damages (not enforced unless post-term covenants are violated), and a permanent injunction for debranding and non-competition. The third case was a concluded action from November 2014 where a former franchisee sued Home Instead for wrongful termination. That case also settled in March 2018 with a judgment in favor of Home Instead on counterclaims including non-disclosure violations, misappropriation of confidential information, trademark infringement, and unfair competition, resulting in a $500,000 damage award satisfied by a transfer of rights.
Bankruptcy History
Home Instead has no bankruptcy history to disclose. Neither Home Instead nor any of its predecessors, affiliates, or officers have filed for bankruptcy, obtained a discharge of debts under the Bankruptcy Code, or been involved as a principal officer in a company or partnership that did so within the last ten years.
Agreement Terms
Initial Term
5 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement, Home Instead franchisees must typically meet several conditions. If the original transaction was a transfer or the purchase of a new location, franchisees can renew for an additional 5-year term under the same terms, provided they are not in default of any agreements with Home Instead or its affiliates and pay a $9,000 renewal fee. In all other cases, franchisees have the right to automatically renew for a 5-year term if they are not in default, can maintain possession of their office premises (or get approval for a new site), pay a $9,000 renewal fee, sign Home Instead's then-current standard franchise agreement (which may have different terms, including increased performance standards or new fees), and comply with current qualification and training requirements.
Training & Support Program
Franchisor Assistance
Home Instead provides pre-opening assistance by designating a Protected Area for the franchise, offering input on office location, and furnishing a list of pre-training requirements. Franchisees receive initial training for up to two people, covering operations, marketing, safety standards, client service, staffing, and computer software systems. After opening, Home Instead offers ongoing support through specialized guidance for new franchisees for the first 10 weeks, test marketing of new products and services, and periodic national and other meetings. They also provide operational advice, access to a confidential online Operations Manual with mandatory standards, and may offer optional programs like the Care Solutions Team for inbound call handling, lead nurturing, and client support, and a Click-to-Chat program for service inquiries. The franchisor also conducts advertising, marketing, and public relations activities at local, regional, and national levels.
Initial Training Hours
44.75
Training Location
Omaha, NE
Ongoing Support
After opening, Home Instead provides ongoing support and assistance to franchisees in establishing and developing their business. This includes specialized support, guidance, and resources for new franchisees during their first 10 weeks through regular telephone calls, video conferences, and email. Home Instead also tests additional products and services throughout the franchise term and schedules national and other meetings to foster business understanding and relationships among franchisees, which attendance may be required. The franchisor may advise on operational problems and offer assistance as deemed appropriate, and provides access to an online Operations Manual. Optional programs like the Care Solutions Team (CST Program) offer inbound service/inquiry call handling, outbound calls, lead nurturing, and follow-up. An optional Click-to-Chat program assists with service and Care Pro inquiries. The franchisor also conducts advertising, marketing, and public relations activities at local, regional, and national levels.
Franchise Requirements
Ideal Candidate Profile
Home Instead seeks franchisees (or their approved managers) who possess strong business skills, financial capacity, and personal character. The ideal candidate or their manager must commit to full-time, on-premises supervision of the Franchised Business and must have successfully completed Home Instead's franchise training program. Approved managers may be required to have an ownership interest in the franchisee entity. In cases where the business fails to meet minimum performance standards, the primary Principal Owner may be required to devote full-time and personal best efforts to operations. For transfers, proposed transferees must be of good moral character, have sufficient business experience, aptitude, financial resources, and meet Home Instead's then-applicable franchisee standards.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
commercial
Owner Participation
supervisory
Territory Type
exclusive
Territory Size Requirements
Home Instead grants franchisees a Protected Area defined as a geographic area containing an estimated minimum population of 10,000 people aged 65 years and older. The specific size and description of each territory are outlined in an exhibit to the Franchise Agreement, referencing a municipality, county, metropolitan statistical area, or a portion thereof. The older adult population data for a Protected Area is based on third-party demographic research and may be periodically updated by Home Instead.
Staffing Notes
Home Instead may require each franchised business to employ a Business Development Advisor (BDA) and a Client Care Advisor (CCA). The BDA is responsible for community engagement, developing relationships with referral sources, and supporting business growth through sales outreach. The CCA is responsible for conducting care consultations, overseeing care plans, and ensuring service quality and client satisfaction. For franchisees operating multiple businesses under a Multi-Territory Addendum, a single full-time Operations Manager may oversee up to three contiguous businesses in the same state, subject to approval, though Home Instead reserves the right to reinstate the requirement for separate Operations Managers with 120 days' notice. Institutional owners are required to have a designated top executive oversee operations, with other owners typically excluded from direct operational responsibilities.