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Homewatch CareGivers is excited to announce the promotion of Michael Mitchell to executive director. As part of his new role, Mitchell will oversee business development, managing sales, and operations.
He said the healthcare franchisees’ stress during the pandemic was magnified by long hours, increased numbers of child care issues with schools closed because of the outbreak, and low pay.
Is This Franchise Investment Opportunity Still So Appealing?
Caring for seniors and other individuals at Home has become increasingly popular in recent years. The aging baby boomer population and the desire of families to provide care for their loved ones have led to the development of several successful franchise concepts that offer home care services.
Owning a Homewatch caregivers franchise can bring you lots of joy, but you’re bound to have pitfalls along the lines.
Hello, this is Dan Rowe from Fransmart, the #1 franchise opportunity finder for you. Connect with us for information on everything related to the franchise industry to specific franchise opportunities. We have 20 years of experience developing franchisees and have helped more than 100 franchise owners be entrepreneurs of their dream businesses.
As each industry has its advantages and disadvantages of franchising, we don’t intend to generalize it. But, if you have an eye for finding opportunities in an emerging sector, we recommend you give a thought to the fast-casual restaurant’s franchise.
With the help of our expert, We also have an excellent assortment of Multibagger and some award-winning franchises with low risk and capital.
The most important thing while buying a franchise is its ROI. After all, money is the only reason we are in it.
What would prefer –caregivers with a low return on investment or a company with a high return on investment?
Each Homewatch Franchise territory comprises a minimum of 30,000 and a maximum of 35,000 senior citizens (ages 65 and older). A territory’s size depends on how many seniors reside in the region. If the region has a higher population density with more competition, you’ll have a smaller territory. If it’s less densely populated with fewer competitive brands, your territory will have more households to manage.
We couldn’t find any official statement about the potential income you would make after buying a Homewatch franchise, but according to the existing franchise owner, it’s somewhere around $99,000. If you want to know how much you can earn or become successful with this franchise, watch the video below that will help you to analyze all the factors, including:
- Expenditure
- Competition
- Training
- Restrictions
- Track Record of the brand with other franchise owners, and
- Your market’s requirements
What is the best thing about Homewatch CareGivers home care franchise?
Homewatch CareGivers franchisees get a lot of support from their franchise company. The initial investment is $83,000, and the cost will vary by territory allocated to a franchisee. One of the most significant differences with Homewatch CareGivers is that they provide medication management to their clients. Caregivers keep a detailed log of dosages and times and even use a unique pill dispenser when needed.
Their mission is to provide superior quality home care services, a compelling employment opportunity, and a trusted partner within the healthcare continuum. They expanded their business with the franchise system and now have over 109 franchise owners. Homewatch caregivers have over 230 franchises in seven countries.
Four Reasons To Consider Before Buying Homewatch Caregivers Franchise
The success of any franchise business depends on many different factors, including the franchise’s available territory, the company’s marketing strategy, the franchisees’ management abilities, the pricing system, the brand awareness of the market, and more.
By comparing with competitors and doing extensive research on the ongoing market trends, we have found some valid reasons to consider before you buy a Homewatch Caregiver Franchise.
Moreover, we also researched the Franchise prerequisites, laws, brand value, and investment requirements; before reaching any conclusion.
#1 Initial Franchise Investment Cost is too High In Comparison To Return On Investment
Setting up a new franchise is always a significant financial commitment.
The initial investment for setting up the Homewatch Caregivers franchise is as follows:
- Franchise Fee: $49,500 – $75,750
- Telephone System: $250 – $500
- Training Expenses: $2,000 – $5,000
- Home Care Toolkit Fee: $1,000 – $1,000
- Licenses, Permits and Professional Fees: $500 – $8,000
- Additional Funds for 3 months: $25,000 – $45,000
- Royalty Fee: 5%
- Brand Fund Contribution: 2% of gross revenue.
- Estimated Total: $91,435 – $163,435
Homewatch Caregiver’s initial franchise fee of up to $75,750, with a total initial investment range of $91,435 – $163,435. The cost of setting up the Homewatch Caregivers franchise is way higher than other franchises like Golden Heart Senior Care Services.
#2 Franchisor Have Only A Small Percentage Of Market Share:
In 2020, the home care services industry in the United States was worth $97 billion, while Homewatch caregivers only brought in a mere $442.3 million, which amounts to a 0.45% market share for this company. There is no benefit of owning a franchise if the franchisee creates market space and goodwill from day one.
#3 Competition With Bigger And Better Names:
Unlike Home instead or Golden heart senior, or other significant home care franchise companies, Homewatch Caregivers is still a relatively new business. It’s hard to compete with an established company with more experience and name recognition among consumers and other companies. At the same time, they have to struggle against the new companies, which provide better rates to the clients and more profit margin to the franchise owners.
#4 Effects of Pandemic On Home Caregiver Services Companies
The home care services industry was one of the hardest hits in the pandemic. They had trouble both ways, with clients being scared of getting sick in their homes and caregivers refusing to go into clients’ homes because they were afraid they’d catch the virus.
Over 600,000 home care services have been affected by the pandemic, and over a thousand have died. Home care agencies across the country are struggling to cope with increasing workloads and a dwindling workforce.
Conclusion
By now, you know all you need to know about this company and the pitfalls of being its franchise owner. You decide to buy the franchise or not. However, there is no denying that this company does offer a unique model and robust set of services. Homecare Franchises: This homecare franchise network provides a lot more than just primary caregiving. At the same time, investing in the franchise is not ideal for investors who want some safe and lucrative return on short-term investments.
Sources:
https://smallbiztrends.com/2020/07/senior-care-franchise.html