What net billings count towards the Brightstar Care Monthly Performance Standards?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
Only Net Billings from business within your protected territory, and Net Billings from National Accounts within and outside your protected territory, will count towards the Monthly Performance Standards.
Net Billings from business within and (if authorized) outside your protected territory will count towards the Monthly Performance Standards.
"Net Billings" is defined as the aggregate of all revenues and other income from whatever source derived (whether in the form of cash, credit, agreements to pay, or other consideration and whether or not payment is received at the time of sale or any of these amounts prove uncollectible), which arise or are derived by you or any other person from business conducted by or originating from the Agency. Net Billings also include all proceeds from any business interruption insurance.
Excluded from Net Billings are: (i) sales taxes and other taxes separately stated that you collect from clients and pay to taxing authorities; and (ii) no mark-up items such as personal protective equipment, testing costs, or credit card fees where the amount billed to client is at the franchisee's cost.
If you enter into the Expansion Option Agreement, all income or revenue generated in the Expansion Territory will be treated as Net Billings and be subject to the same conditions and obligations in the Franchise Agreement, including all Royalty/Continuing Fee obligations. However, except for income or revenue you generate from servicing National Account clients located in the Expansion Territory, no income or revenue you generate in the Expansion Territory
will count toward your Monthly Performance Standards or any other Net Billings thresholds under the Franchise Agreement.
Source: Item 6 — OTHER FEES (FDD pages 17–34)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the net billings that count towards the Monthly Performance Standards depend on the territory type. For a "Standard" territory, only Net Billings from business within your protected territory, and Net Billings from National Accounts within and outside your protected territory, will count towards the Monthly Performance Standards. For a "Small" territory, Net Billings from business within and (if authorized) outside your protected territory will count towards the Monthly Performance Standards.
Net Billings are defined as the aggregate of all revenues and other income from whatever source derived, whether in the form of cash, credit, agreements to pay, or other consideration, which arise or are derived by you or any other person from business conducted by or originating from the Agency. Net Billings also include all proceeds from any business interruption insurance. However, excluded from Net Billings are sales taxes and other taxes separately stated that you collect from clients and pay to taxing authorities, and no mark-up items such as personal protective equipment, testing costs, or credit card fees where the amount billed to client is at the franchisee's cost.
For franchisees considering an Expansion Option Agreement, all income or revenue generated in the Expansion Territory will be treated as Net Billings and be subject to the same conditions and obligations in the Franchise Agreement, including all Royalty/Continuing Fee obligations. However, except for income or revenue you generate from servicing National Account clients located in the Expansion Territory, no income or revenue you generate in the Expansion Territory will count toward your Monthly Performance Standards or any other Net Billings thresholds under the Franchise Agreement.
It is important for prospective franchisees to understand how their territory type and any expansion agreements will affect the calculation of Net Billings and the Monthly Performance Standards, as failure to meet these standards can result in default of contractual obligations and potential termination of the Franchise Agreement, regardless of payment of the Minimum Monthly Royalty Fee.