Does Brightstar Care have requirements for local advertising?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
iring our franchise.
NOTE 9. Local Consumer Marketing. Beginning on your Agency's Opening Date, you must spend for local advertising the greater of:
- (i) 1.5% of your Agency's monthly Net Billings up to $200,000 (for a 4-week month or $250,000 for a 5-week month) and 0.5% of your Agency's monthly Net Billings over $200,000 (for a 4-week month or $250,000 for a 5-week month); or
- (ii) $1,000 per month. This is without regard to the General Marketing Fee you pay us. All local advertising must meet our then-current requirements.
- NOTE 10. Local Recruitment Spend (including job boards and retention software). Beginning on your Agency's Opening Date, you must expend on recruitment marketing, including job boards, the greater of:
- (i) 1.5% of your Agency's monthly Net Billings up to $200,000 (for a 4-week month or $250,000 for a 5-week month) and 0.5% of your Agency's monthly Net Billings over $200,000 (for a 4-week month or $250,000 for a 5-week month), plus an estimated $165 $378 per month for retention software (this amount for retention software, which is currently paid to a third party, may be increased from time to time depending on what the third party chooses to charge); or
- (ii) $1,000 per month, plus an estimated $165 $378 per month for retention software (this amount for retention software, which is currently paid to a third party, may be increased from time to time depending on what the third party chooses to charge).
- NOTE 11. State Electronic Visit Verification ("EVV") is required by some states when a franchisee participates in certain Medicaid programs. If EVV is required by the state, this fee covers the cost of integrating ABS with the state or third party selected by the state. The integration enables the data required to authorize and approve payment to flow automatically between ABS and the state.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 34–41)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, franchisees are required to spend a minimum amount on local advertising beginning on the Agency's Opening Date. This spend is the greater of two options: either (i) 1.5% of the Agency's monthly Net Billings up to $200,000 (for a 4-week month or $250,000 for a 5-week month) and 0.5% of the Agency's monthly Net Billings over $200,000 (for a 4-week month or $250,000 for a 5-week month); or (ii) $1,000 per month. This local advertising expenditure is separate from any General Marketing Fees paid to Brightstar Care.
Brightstar Care also mandates that all local advertising efforts must adhere to the company's then-current requirements. This gives Brightstar Care control over brand consistency and messaging at the local level.
In addition to local advertising, Brightstar Care franchisees must also allocate funds to recruitment marketing, including job boards and retention software. This recruitment spend follows a similar structure to the local advertising requirement, with franchisees spending the greater of (i) 1.5% of monthly Net Billings up to $200,000 (or $250,000 for 5-week months) plus an estimated amount for retention software, or (ii) $1,000 per month plus the retention software cost. The estimated cost for retention software is initially between $165-$378 per month, but this amount may be adjusted depending on third-party charges.
The initial investment table in Item 7 of the FDD estimates the Local Marketing Spend to be between $3,000 and $5,250. This covers expenses arranged with various approved and required vendors, with payment terms as per their invoices.