About Medicap Pharmacy Franchise
Medicap Pharmacy is a community pharmacy franchise that has been serving neighborhoods across the United States since 1974.
Operating under Cardinal Health, one of the largest healthcare companies in the country, Medicap Pharmacy locations offer prescription services, health screenings, immunizations, and personalized wellness consultations.
The brand is known for a customer first approach that prioritizes accessibility and attentive care.
Medicap Pharmacy Franchise Cost & Fees
Minimum Investment
$455K
Average Investment
$668K
Maximum Investment
$880K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $0 | One-time payment upon signing |
| Royalty Fee | 3% of Gross Sales or $599 per month of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | $0 | National brand fund |
| Total Investment Range | $455,050 – $880,205 | Includes build-out, inventory, working capital |
The investment range of $455K–$880K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (3% of Gross Sales or $599 per month) and marketing fee ($0) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Fee | $0 | $0 |
| Furniture, Fixtures & Equipment | $42,000 | $80,000 |
| Pre-Opening Costs | $3,000 | $10,000 |
| Leasehold Improvements | $55,000 | $175,000 |
| Signs & Installation | $15,000 | $35,000 |
| Opening Inventory | $95,000 | $150,000 |
| Grand Opening and Marketing | $4,000 | $34,000 |
| Accounts Receivable Financing | $40,000 | $60,000 |
| Computer and Pharmacy Equipment | $23,000 | $33,974 |
| Retail Solutions | $0 | $13,866 |
| Telepharmacy | $0 | $35,865 |
| Accreditation Costs | $3,050 | $7,500 |
| Additional Funds – 3 months | $175,000 | $245,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $1,000 |
| Renewal Fee | $0 |
| Technology Fee | Varies |
| Audit Fee | Varies |
| REIMBURSEMENT CONSULTING SERVICE | $255 - $300 per month |
| FRONT-END PRODUCT MANAGEMENT (RETAIL PRICING AND PLANOGRAMS) | $89 per month |
| FRONT-END PRODUCT MANAGEMENT (RETAIL PRICING ONLY OR PLANOGRAMS ONLY) | $55 per month |
| RECONCILIATION SERVICES | $145 - $170 per month |
| RECONCILIATION PLUS | $272 -$320 per month |
| CARDINAL HEALTH INVENTORY MANAGER™ | $300 per month, plus $0 for remote implementation/training or $2,500 for one on-site implementation/training |
| CARDINAL HEALTH™ PHARMACY MARKETING ADVANTAGE (PMA) | $199 per month |
| CARDINAL HEALTH™ PHARMACY MARKETING ADVANTAGE (PMA) DIGITAL MARKETING | $299-$999 per month |
| CARDINAL HEALTH™ PHARMACY MARKETING ADVANTAGE (PMA) COMMUNICATION PACKAGE | $299 - $399 per month |
| CARDINAL HEALTH™ PHARMACY MARKETING ADVANTAGE (PMA) PLUS | Currently $49 per month per store site if enrolled in PMA Digital Package |
| CARDINAL HEALTH™ PHARMACY MARKETING ADVANTAGE (PMA) COMMERCE | Currently $99 per month per store site |
| CARDINAL HEALTH™ PHARMACY MARKETING ADVANTAGE (PMA) REPUTATION MANAGEMENT | Currently $199 per month per store site |
| CARDINAL HEALTH™ PHARMACY MARKETING ADVANTAGE (PMA) PATIENT ENGAGEMENT PLATFORM | Currently $169 per month per store site |
| COLLABORATIVE PRACTICE PROGRAM | $110 per month or $55 per month (for immunizations SCC member pharmacies only) |
| CARDINAL HEALTH POINT-OF-CARE TESTING | $99 per month |
| CARDINAL HEALTH MEDICAL BILLING | Base services: claim charge of $0.75-$1.25 based on type of claim. $30 per month minimum. Advance services: $99 per month plus claim fees. Plus services: $129 per month plus claim fees. |
| IMMUNIZATIONS SPECIALIZED CARE CENTER | $199 per year |
| 340B DIRECT® | Average of $6.00 per claim |
| PRESCRIPTION CLUB | $0.35 per claim |
| LEADER VITAMIN CLUB | One-time payment: Adult Marketing Kit -$100 Kids Marketing Kit - $100 |
| MYSCHEDULING | Currently $39 per month per pharmacy location. 2,000 text messages per month included, and currently $0.029 per text above 2,000 text messages per month. |
| ORDER EXPRESS ADVANCED REPORTING | After 30-day free trial, $99 per month per user ID |
| NAVIXRX SERVICES | Currently $18 per compliance package per patient per month and $10 dispense fee charged per vial fill prescription |
| TELEPHARM | One-time onboarding fee: First facility - $25,000, Additional facilities - $15,000. Subscription fee of $600 per month and video fee of $200 per month. Monthly usage fee based on number of prescriptions filled (between $125 - $655 per month). Virtual Verification: One time onboarding fee - $5,000, monthly subscription fee - $500 per month per store site |
| LATE CHARGES | 1½% per month on unpaid balances. Interest will not exceed the highest rate permitted by law. |
| COSTS AND ATTORNEYS’ FEES | Will vary under circumstances |
| INDEMNIFICATION | Will vary under circumstances |
| SUPPLIER EVALUATION EXPENSES | Will vary under circumstances |
| PHARMACEUTICAL AND MARKETING INVENTORY | Varies |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Not provided by franchisor |
| Classroom Training | null |
| On-the-Job Training | null |
| Training Location | null |
| Additional Training | Franchisor may assist in obtaining web-based training for HIPAA, Fraud, Waste and Abuse, and provides access to the Natural Bridge Learning Solution. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | null |
| Description | You will not receive an exclusive territory. You may face competition from other franchisees, from outlets that we control, or from other channels of distribution or competitive brands that we control. Medicap and its other franchisees have the right to advertise and solicit customers, including those of other franchisees, using any medium. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | 5 years |
| Renewal Fee | $0 |
| Renewal Conditions | Automatically renews for an additional 5-year term unless either party gives 6 months' notice of non-renewal. Franchisor may require signing a new, then-current form of agreement with potentially different terms and conditions as a condition of renewal. |
| Transfer Fee | $1,000 |
| Transfer Conditions | Transferee must meet franchisor's qualifications (good moral character, credit rating, financial capabilities, business qualifications), agree to attend mandated training, assume the existing agreement or sign a new one (with personal guaranty from owners), satisfy all accrued money obligations to franchisor, complete any required cleaning/repair/remodeling, and execute a general release of claims. Special conditions apply for transfers to wholly-owned entities or due to death/disability. |
| Termination for Cause | Franchisor may terminate immediately for events such as revocation/suspension of pharmacy license, unauthorized discontinuance of business, improper assignment, dishonesty, failure to cure acts threatening goodwill, unreasonable risk of diversion of controlled substances, or failure to commence operation within 90 days (existing business) or 12 months (start-up). Curable defaults (e.g., failure to provide reports, not being open minimum hours, breach of agreement, failure to pay monies owed) allow 10 days to cure, but a second default within 12 months may lead to immediate termination. |
| Non-Compete Period | Contradictory information: Item 3 states the franchise agreement 'may prohibit you from operating a similar business during the term of the franchise' and 'after your franchise ends'. Item 9 states 'Not applicable' for both during and after termination. |
| Non-Compete Details | Contradictory information: Item 3 states the franchise agreement 'may prohibit you from operating a similar business during the term of the franchise' and 'after your franchise ends'. Item 9 states 'Not applicable' for both during and after termination. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | While personal participation is recommended, it is not required. However, the business must always be under the supervision of a licensed pharmacist, and all employed pharmacists must be properly licensed. If operating as a corporation or LLC, owners must sign a personal guaranty. |
| Required Suppliers | Cardinal Health 110, Cardinal Health 112, and RGH are currently the required wholesale suppliers for pharmaceutical inventory if the franchisee elects the reduced continuing license fee. Otherwise, franchisees may purchase pharmaceutical inventory from any supplier meeting specifications. Medicap may issue specifications for store fixtures, equipment, cabinetry, flooring, insurance, certifications, computer hardware and software, and signs. |
| Supply Restrictions | Franchisees must purchase at least 95% of pharmaceutical inventory from Cardinal Health or its affiliates if they elect the reduced continuing license fee. If joining an approved buying group with a lower purchasing obligation, that obligation applies. Medicap may require specifications for various items and prohibit the sale of certain products (e.g., tobacco products, private label of another pharmacy retailer). |
| Franchisor Revenue from Suppliers | Medicap received $62,609 in rebates from suppliers for the fiscal year ended June 30, 2022. The combined revenue of affiliates (Leader, Rugby, Major private label products) from sales to franchisees was $397,363, and from all other goods and services was $188,274,166 for the same period. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligation. |
Medicap Pharmacy Franchise Earnings — Item 19
Medicap Pharmacy does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Medicap Pharmacy does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Medicap Pharmacy Litigation & Risk Flags
9 Pending Actions ListedReview the full FDD for details on pending litigation.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Medicap Pharmacy System Growth
Total Units
74
Franchised
74
Company-Owned
0
Medicap Pharmacy currently operates 74 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 |
|---|---|---|---|
| 2020 | 2 | 11 | 78 |
| 2021 | 2 | 3 | 77 |
| 2022 | 1 | 4 | 74 |
Transfers: 21 | Closures: 4
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
$181364.0M
Net Income
$-933,000,000
Total Assets
$43878.0M
Audited by Ernst & Young LLP for year ending June 30.
Medicap Pharmacy Franchise — FAQ
The total investment to open a Medicap Pharmacy franchise ranges from $455,050 to $880,205, per their Franchise Disclosure Document. This includes the initial franchise fee of $0. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Medicap Pharmacy charges a royalty fee of 3% of Gross Sales or $599 per month of gross sales, plus a $0 contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Medicap Pharmacy 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 Medicap Pharmacy to ensure you have the most up-to-date version.
Medicap Pharmacy does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Medicap Pharmacy has been franchising since 1974. The FDD shows an investment range of $455,050-$880,205, a 3% of Gross Sales or $599 per month royalty, and no Item 19 earnings disclosure. There are 9 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $0 and the total investment ranges from $455,050 to $880,205 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 Medicap Pharmacy and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Medicap Pharmacy or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com