How is the Minimum Start Date (MSD) defined for a Brightstar Care franchise?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
to the Site Selection Addendum attached as Exhibit J to this Agreement, the terms of which will govern the parties' site selection obligations.
1.5 Performance Standards
Beginning the first twelve (12) months of operations after the Minimum Start Date, your monthly performance must meet or exceed the following "Monthly Performance Standards." Your Minimum Start Date ("MSD") will be the Opening Date (defined as the earlier of the date of your first billing or 180 days after signing this Agreement). You are initially required to obtain whatever licensure may be required to perform Companion and Personal in-home care services in your state. In states where it may take longer than 180 days to obtain the license to perform those services, the Minimum Start Date will be the Monday following the receipt of licensure which enables you to perform Companion and Personal in-home care services. You must diligently and actively pursue all licenses to enable you to perform the fullest extent of the BrightStar business model.
Source: Item 22 — CONTRACTS (FDD pages 117–118)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the Minimum Start Date (MSD) is a key milestone that triggers the start of monthly performance standards. For a new Brightstar Care franchise, the MSD is defined as the earlier of two dates: the date of the franchisee's first billing, or 180 days after signing the Franchise Agreement. This means a franchisee has a maximum of 6 months from signing to begin generating revenue, or their performance will be evaluated.
However, the definition of MSD can change based on licensing requirements. In states where obtaining the necessary licenses to perform Companion and Personal in-home care services takes longer than 180 days, the MSD is adjusted. In these cases, the MSD becomes the Monday following the date the franchisee receives the required licensure. This adjustment acknowledges the potential delays caused by state licensing authorities and gives franchisees additional time to meet performance standards.
For franchisees who acquire an existing Brightstar Care agency through a transfer, the MSD is simply the effective date of the transfer. This means that the performance standards for the new owner begin immediately upon taking ownership of the franchise. This is an important distinction for those considering purchasing an existing franchise, as they will be expected to meet performance standards from day one.