Who bears the expense of bringing the Brightstar Care Agency up to current standards during renewal?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
- (6) at your sole expense and if necessary in our sole opinion, bring the Agency up to our then-current standards for an Agency, including installation or upgrade of computer hardware and software and the ABS.
- (b) If we choose to grant you a first five (5) year renewal franchise term as provided above, you will have the right to acquire a second and third (which will be the final) renewal franchise to continue operating the Franchised Business as a BrightStar Care Agency, the term of each of which will commence immediately upon the expiration of the immediately-preceding renewal franchise term and expire five (5) years from that date, but only if you have complied as of the end of the immediately-preceding renewal franchise term with the same conditions for a renewal franchise grant as those described in this Section 2.2 with respect to the first renewal franchise grant. Otherwise, you will have no right to acquire a second or third (which will be the final), as applicable, renewal franchise term.
Source: Item 23 — RECEIPTS (FDD pages 118–387)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the franchisee is responsible for the expenses associated with bringing the agency up to current standards during renewal. Specifically, the franchisee must cover these costs at their sole expense.
This requirement includes any necessary installation or upgrades to computer hardware, software, and the Brightstar Care ABS (presumably a business system). The franchisor retains the sole discretion to determine if such upgrades are necessary for the agency to meet the then-current standards.
This condition applies when the franchisee seeks a first five-year renewal term, as well as subsequent second and third renewal terms. Meeting these standards is a prerequisite for the renewal to be granted. Prospective franchisees should be aware of the potential financial burden of these upgrades and factor it into their long-term business planning. This is a fairly standard practice in franchising, as franchisors want to ensure brand consistency and that all franchisees are operating with up-to-date systems.