About FirstLight Home Care Franchise
FirstLight Home Care is a comprehensive home care franchise operated under Cornerstone Franchise Group, LLC, providing personal care, companion care, dementia care, and assistance with daily living activities for seniors and adults.
With a franchise fee of $49,900 and franchising since 2010, the brand also offers supplemental staffing services for healthcare facilities and, in some markets, skilled nursing care.
The FirstLight Home Care model serves clients in their homes while also providing staffing solutions to nursing homes, hospitals, assisted living facilities, and other institutional settings.
FirstLight Home Care Franchise Cost & Fees
Minimum Investment
$113K
Average Investment
$156K
Maximum Investment
$198K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $49,900 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Revenues of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Greater of 1% of Gross Revenues or $25 per month (not to exceed 2% of Gross Revenues) | National brand fund |
| Total Investment Range | $113,300 – $198,300 | Includes build-out, inventory, working capital |
The investment range of $113K–$198K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Gross Revenues) and marketing fee (Greater of 1% of Gross Revenues or $25 per month (not to exceed 2% of Gross Revenues)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $49,900 | $49,900 |
| Travel and Training Expenses | $2,125 | $4,040 |
| Business Premises | $0 | $4,800 |
| Start-Up Supplies and Inventory | $300 | $900 |
| Employment Screening | $275 | $360 |
| Equipment, Signage, Graphics | $250 | $2,450 |
| Marketing, Advertising and Promotions | $4,000 | $6,000 |
| Grand Opening Marketing | $2,500 | $3,500 |
| Other Paid Expenses | $7,850 | $9,850 |
| Business Permits, Licenses and Fees | $0 | $7,000 |
| Insurance as required under Section 7.16 of the Franchise Agreement | $6,000 | $12,000 |
| Computer Equipment | $2,500 | $5,000 |
| Additional Funds: 3 to 6 Months | $38,000 | $92,500 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | Up to 20% of the then current initial franchise fee |
| Renewal Fee | 15% of the then current initial franchise fee |
| Technology Fee | $195/month for Basic Operating Platform; $7-$9 per active client per month with a $200/month minimum for Client Management Software |
| Audit Fee | Costs and expenses (including attorneys’ and accountants’ fees) if audit finds understatement of Gross Revenues of at least 2% |
| Local Marketing, Advertising and Promotion | Greater of a minimum of $1,500 or 2% of Gross Revenues |
| Regional Advertising Cooperative | As determined by the cooperative members |
| Internet Marketing | $775 to $2,000 per month |
| Client Satisfaction Survey Fee | All costs of conducting client and/or caregiver satisfaction surveys (currently up to $32 per survey with monthly minimums between $32-$195/month) |
| Resale Referral Fee | Up to $10,000 |
| Tuition fees for initial training | Currently $0 (estimated $500 to $1,000 per attendee if established) |
| Advice and Consultation Fee | 150% of the total visit expenses for staff members for visits deemed beyond a reasonable number |
| Sales Reports | $500 for any month, or portion of any month, that franchisor does not have access to sales reports |
| Late Payment Fee | Lesser of 18% annual rate of interest or maximum permitted by law, plus costs for collection and up to a $500 late fee |
| Attorneys’ Fees and Disbursements, Accounting Fees and Disbursements and Court Costs | Prevailing party in a dispute is entitled to recover expenses |
| Inspection Fee and Related Fees | $50 per hour, plus 150% of the cost incurred by franchisor for inspection for violations, plus costs of removing/replacing nonconforming items |
| Indemnification of FirstLight HomeCare Franchising for Expenses of Claims | Amounts of all losses and expenses incurred in connection with legal actions arising out of franchisee's ownership, operation, construction or improvement |
| Approved Supplier Fee | Costs and expenses incurred in connection with examination, testing and/or inspection of proposed new approved supplier and goods or services (estimated $50 to $100) |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 5 days (on-site), plus 20-30 hours pre-course work and 10-15 hours post-course work |
| Classroom Training | 40 Hours |
| On-the-Job Training | 30 Hours |
| Training Location | FirstLight Home Care home office for classroom; Via Phone or Web Conference and at your location for on-the-job |
| Additional Training | Mandatory follow-up training programs in local/regional areas and attendance at least once per calendar year at regional or national meetings are required. Tuition fees for additional attendees may be established in the future. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | Approximately 250,000 residents, of which approximately 25,000 are residents of age 65 or older. |
| Description | An area defined by zip code(s) in the Franchise Agreement. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 years |
| Renewal Fee | 15% of the then-current initial franchise fee |
| Renewal Conditions | Franchisee must give written notice 6-12 months prior to term end, not be in default, exhibit ability to occupy premises, agree to update/remodel premises to current standards, sign current Franchise Agreement (which may have materially different terms), execute a general release of claims, comply with current training requirements, conform business to current standards, and pay the renewal fee. |
| Transfer Fee | Up to 20% of the then current initial franchise fee |
| Transfer Conditions | All monetary and other obligations to franchisor must be satisfied, transferor's right to compensation must be subordinate to franchisor's rights, franchisee must execute a general release of claims, transferee must sign an assumption agreement, meet franchisor's qualifications (educational, managerial, moral character, credit rating, financial resources, background checks), complete training, and pay the transfer fee. |
| Termination for Cause | Franchisor may terminate for various defaults, including failure to open business within 75 days, failure to complete initial training, misuse of the system/marks, failure to make payments or furnish reports, failure to operate in compliance with standards, failure to meet minimum satisfaction level, failure to maintain insurance, assignment for benefit of creditors not dismissed within 15 days, abandonment of business for 5 consecutive days, failure to comply with laws/regulations, attempted unauthorized transfer, material misrepresentation, seizure/foreclosure of business not dismissed within 30 days, admission of inability to pay debts, appointment of a receiver, bankruptcy filing, felony conviction, immediate danger to public health/safety, or two previous cured defaults within 12 months, or failure to meet Minimum Performance Standards. |
| Non-Compete Period | 2 years |
| Non-Compete Details | During the term of the franchise and for a continuous uninterrupted period of two (2) years after termination or expiration, franchisee (including officers, directors, shareholders, partners) may not directly or indirectly own, maintain, advise, help, invest in, make loans to, be employed by, or engage in any competing business within the Franchised Area, within a 25-mile radius from the boundary of the Franchised Area, or within a 10-mile radius from the boundary of any other FirstLight Home Care Business' franchised area (subject to state law). This does not apply to ownership of less than 3% of a publicly held corporation. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | Personal participation in the actual operation of the FirstLight Home Care Business is strongly recommended, though not obligated. The business must be under the direct on-premises supervision of the franchisee or a trained, competent individual approved by the franchisor who devotes full time and energy to the operation and has completed initial training. Franchisees must have a staff of at least two full-time equivalents, including a manager, who have completed all necessary training. |
| Required Suppliers | FirstLight HomeCare Franchising, LLC is the sole designated supplier for software platform license rights, Client Care Agreement, and other designated forms. Franchisees must obtain and maintain computer hardware and Internet access prescribed by the franchisor from the vendor(s) of their choice. |
| Supply Restrictions | Franchisees must purchase certain supplies, services, products, equipment, software, forms, marketing materials, signs, and image apparel only from franchisor-approved suppliers. Franchisees may propose prospective suppliers for review and approval by the franchisor. |
| Franchisor Revenue from Suppliers | $1,013,972, or 9.4% of total revenues of $10,779,729, was derived from required purchases of products or services from franchisees for the fiscal year ended December 31, 2021. No rebates, cash payments, discounts, promotional allowances, and/or other payments were received from designated or approved suppliers based on franchisee purchases or leases of required products or services for the fiscal year ended December 31, 2021. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | FirstLight HomeCare Franchising, LLC's affiliate, Cornerstone Finance, offers financing up to $25,000 for working capital (not initial franchise fee) to select franchisees purchasing existing businesses, and up to $25,000 towards the initial franchise fee for conversion franchisees. The loan bears 1.25% interest per month (18% per annum) and is payable in 36 monthly installments. Mandatory prepayments are 5% of monthly cash collections between $10,000 and $20,000, plus 10% of monthly cash collections over $20,000, with a minimum of $250 if collections are less than $10,000. Credit requirements include a minimum FICO score of 660, no personal bankruptcy within 5 years, and combined liquid assets of at least $75,000 (or $150,000 in net worth including home equity). The loan is secured by the franchisee entity’s stock and assets, plus a personal guaranty. Annual compensation is limited to $75,000, and tax distributions are limited to 40% of pre-tax income while the loan is outstanding. No debt senior to the Cornerstone Finance loan is permitted. |
FirstLight Home Care Franchise Earnings — Item 19
Average Revenue
$1.1M
Median Revenue
$899K
Revenue Range
$46K – $5.4M
Sample Size
147 units
Past financial performance does not guarantee future results. Individual results will vary.
FirstLight Home Care Litigation & Risk Flags
Clean Litigation RecordFirstLight Home Care has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
FirstLight Home Care System Growth
Total Units
183
Franchised
183
Company-Owned
0
FirstLight Home Care currently operates 183 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 16 | 4 | 185 |
| 2020 | 13 | 8 | 190 |
| 2021 | 8 | 15 | 183 |
Transfers: 8 | Closures: 15
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$10.8M
Net Income
$1.8M
Total Assets
$3.0M
Audited by DOUGLAS COREY & ASSOCIATES, P.C. for year ending December 31.
FirstLight Home Care Franchise — FAQ
The total investment to open a FirstLight Home Care franchise ranges from $113,300 to $198,300, per their Franchise Disclosure Document. This includes the initial franchise fee of $49,900. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
FirstLight Home Care charges a royalty fee of 5% of Gross Revenues of gross sales, plus a Greater of 1% of Gross Revenues or $25 per month (not to exceed 2% of Gross Revenues) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the FirstLight Home Care Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from FirstLight Home Care to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, FirstLight Home Care franchise owners report average revenue of $1.1M and median revenue of $899K. This is based on a sample of 147 units. Past performance does not guarantee future results.
FirstLight Home Care has been franchising since 2010. The FDD shows an investment range of $113,300-$198,300, a 5% of Gross Revenues royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $49,900 and the total investment ranges from $113,300 to $198,300 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from FirstLight Home Care and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with FirstLight Home Care or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com