factual

If the Franchise Agreement for Brightstar Care relates to a "Small" Territory, what must the franchisee do?

Brightstar_Care Franchise · 2025 FDD

Answer from 2025 FDD Document

BACKGROUND

  • G. The Franchise Agreement relates to a "Small" Territory, and you agree to comply with the obligations set forth in the Franchise Agreement and this Addendum in connection with the Protected Territory.

Source: Item 23 — RECEIPTS (FDD pages 118–387)

What This Means (2025 FDD)

According to Brightstar Care's 2025 Franchise Disclosure Document, if the Franchise Agreement relates to a "Small" Territory, the franchisee agrees to comply with the obligations set forth in the Franchise Agreement and the corresponding addendum in connection with the Protected Territory. This indicates that franchisees operating in smaller territories are subject to specific performance standards and requirements as outlined in both the Franchise Agreement and any attached addenda.

Specifically, the franchisee's monthly performance must meet or exceed certain "Monthly Performance Standards" beginning twelve months after the Minimum Start Date (MSD). The MSD is defined as the earlier of the date of the first billing or 180 days after signing the agreement. However, if licensure for Companion and Personal in-home care services takes longer than 180 days to obtain, the MSD will be the Monday following the receipt of such licensure. The franchisee is required to actively pursue all necessary licenses to fully implement the Brightstar Care business model.

This requirement ensures that franchisees in smaller territories are held accountable for meeting specific operational and financial benchmarks. Prospective franchisees should carefully review the Franchise Agreement and any addenda to fully understand the performance standards and obligations associated with operating a Brightstar Care franchise in a "Small" Territory. Understanding these obligations is crucial for assessing the feasibility and potential profitability of the 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.