factual

What must a BrightStar Care franchisee adhere to regarding licenses and accreditation?

Brightstar_Care Franchise · 2025 FDD

Answer from 2025 FDD Document

You need not have experience in the healthcare industry before acquiring your Agency franchise. You initially must obtain whatever licensure is required to perform Companion and Personal inhome care services in your state. Once you achieve $15,000/week in weekly revenue (although we make no representation how long this will take or whether it will occur as this relates to a unique combination of territory, competition, salesperson performance, national accounts opportunities, and operational execution by you) or have been open for one year (whichever occurs first), you must apply for Joint Commission Accreditation and, within 6 months following application for Accreditation, obtain Accreditation as well as licensure that enables you to perform the full BrightStar Care business model. If attaining skilled licensure in your state is delayed due to unpreventable administrative licensing issues at the state licensing authority, then an additional period of time not to exceed 6 months post-skilled license issuance will be allowed to obtain Joint Commission Accreditation. You must maintain your licenses and Joint Commission Accreditation in good standing while adhering to all rules, standards and regulations of your licenses and accreditation throughout the Franchise Agreement's term, including paying all licensure and accreditation dues and fees on time. The majority of our current franchisees have no prior healthcare industry experience. You should investigate the availability in your state of all required licenses before acquiring our franchise.

Home care clients to whom you will market your services include individuals of varying needs requiring in-home care. Your Registered Nurse will design a customized care plan for each home care client after their needs have been evaluated by the Registered Nurse and match the client or the client's family member with a qualified, pre-screened caregiver who is compatible with the client's needs. Other care you will offer includes ambulation and exercise based on an established care plan, transportation to and from doctor's appointments, travel companionship services, reporting of conditions and changes to supervising RN and/or doctor, bath visits, taking and recording vital signs as instructed, in-home injections and infusions with doctor's order, medication setups, assistance with administering medications, physical and occupational therapy, and medical social worker consultation and counseling (provided you and/or your employees are licensed under applicable law to do so, as some services may not be appropriate based on state or licensure regulations). You cannot specify a minimum number of hours for a given visit or a minimum number of hours in a week.

Institutional clients to whom you will market your services include facilities like hospitals, nursing homes, clinics and schools. You are solely responsible for screening and paying your staff so that the client has a low maintenance and reliable solution for its healthcare staffing needs with reduced human resources costs. Positions that you will offer to clients include registered nurses, licensed practical nurses, nurse practitioners, home health aides, medical assistants, medical secretary/receptionists, occupational health nurses, phlebotomists, physician assistants, certified nurse assistants, physical therapists, occupational therapists, speech therapists, case managers, and any other positions in any home or healthcare institutional (includes doctor's offices, hospitals, nursing homes, etc.) setting.

You will have qualified healthcare professionals available to clients on a regular basis or simply to fill in for absentee staff. Staffing services will be available 24 hours a day, 7 days a week. Twenty-four-hour live client service support staff will be available to all clients.

Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 9–14)

What This Means (2025 FDD)

According to BrightStar Care's 2025 Franchise Disclosure Document, franchisees must adhere to specific requirements regarding licenses and accreditation to operate their agencies. Initially, a franchisee must obtain the necessary licensure to provide Companion and Personal in-home care services as mandated by their state. Once the agency achieves $15,000 in weekly revenue or has been open for one year, whichever comes first, the franchisee is required to apply for Joint Commission Accreditation. Following the application, the franchisee has six months to obtain this accreditation, along with the licensure that enables them to fully implement the BrightStar Care business model.

It's important to note that if there are delays in obtaining skilled licensure due to administrative issues at the state licensing authority, an additional six months may be granted post-license issuance to secure Joint Commission Accreditation. Throughout the term of the Franchise Agreement, franchisees must maintain their licenses and Joint Commission Accreditation in good standing, adhering to all rules, standards, and regulations associated with these credentials, including timely payment of all dues and fees.

The FDD also states that franchisees must comply with all applicable federal, state, and local laws and regulations, including those related to healthcare, professional and facility licensing, and employment. They must obtain and maintain all necessary permits, licenses, and certifications required to operate their agency, such as a home health agency license, nurse staffing license, and Joint Commission Accreditation. BrightStar Care may also require franchisees to obtain specific permits, licenses, or accreditations as needed. Franchisees are responsible for investigating the availability and requirements for obtaining all necessary licenses in their state and creating state-specific policies and procedures that meet or exceed BrightStar brand standards and Joint Commission requirements.

Prospective franchisees should be aware that some states may have imposed a moratorium on issuing certain healthcare licenses, which could impact their ability to operate. It is crucial for potential franchisees to investigate the availability of required licenses before acquiring a BrightStar Care franchise, as they cannot operate without them. If a new license cannot be obtained, acquiring a previously-issued license from an existing provider may be an option, although BrightStar Care cannot predict the costs associated with this.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.