factual

What does the HCO license in California enable a Brightstar Care franchisee to perform?

Brightstar_Care Franchise · 2025 FDD

Answer from 2025 FDD Document

up to three people.

NOTE 8. Business Licenses and Other Required Licenses. State rules vary on medical and staffing licensure and other associated licenses, e.g., CLIA waiver. As noted in Item 1, you are responsible for investigating the availability of and requirements for obtaining all necessary licenses in your state. You should conduct this investigation before acquiring our franchise because you cannot operate as a franchisee without all required licenses. A Home Health Agency License ("HHA") to perform skilled services is not required until you achieve $15,000 in weekly revenue. Some states will still require personal care or staffing licenses and costs will vary depending on your state. The high end of this range ($8,603) is for California, which requires a $3,000 surety bond for Nurse Registry application and $5,165 for the HCO license. The HCO license in California enables you to perform companion and personal care services. If you are not able to obtain a newly-issued home health agency or other required license in your state because of a state-imposed or other moratorium or because of a requirement to show a certificate of need, you mig

Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 34–41)

What This Means (2025 FDD)

According to Brightstar Care's 2025 Franchise Disclosure Document, a Home Care Organization (HCO) license in California allows a franchisee to perform companion and personal care services. Obtaining the necessary licenses is crucial for operating a Brightstar Care franchise, and the responsibility falls on the franchisee to investigate and secure these licenses before commencing operations. The cost for the HCO license in California is part of a broader range of expenses for business licenses and other required licenses, with the high end of the range being $8,603, which includes a $3,000 surety bond for the Nurse Registry application and $5,165 for the HCO license.

It's important to note that a Home Health Agency License (HHA) to perform skilled services is not required until the franchisee achieves $15,000 in weekly revenue. However, even before reaching this revenue threshold, some states may still require personal care or staffing licenses, with costs varying by state. This implies that while the HCO license enables certain services, additional licenses might be necessary depending on the specific services offered and the revenue generated by the Brightstar Care franchise.

Prospective franchisees should be aware that if they cannot obtain a newly-issued home health agency or other required license due to a state-imposed moratorium or certificate of need requirement, they might need to acquire a previously-issued license from an existing provider. The cost of such a license could be significantly higher than the estimated cost for a newly-issued license, and Brightstar Care does not control this cost. Therefore, it is essential for potential franchisees to consider the availability and cost of all required licenses before investing in a Brightstar Care franchise.

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.