Under what conditions will Brightstar Care waive the office and salesperson requirements for a franchisee?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
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. You will be billed within 28 days of the end of each week for royalties.
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- Office/Salesperson requirement(s). You acknowledge and agree that the office and salesperson requirements under the Franchise Agreement are contractual obligations; however, we
Source: Item 23 — RECEIPTS (FDD pages 118–387)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, the franchisor may waive the office and salesperson requirements, which are typically contractual obligations, under specific conditions. To qualify for a waiver of these requirements, a franchisee must demonstrate substantial growth in their territory's net billings.
Specifically, the franchisee must grow the "Baseline Net Billings" in their Protected Territory by $5,000 per week within the first 12 months following their Opening Date. The "Baseline Net Billings" is defined as the net billings from services within the Protected Territory as of the Opening Date. For example, if a franchisee's Net Billings upon opening in their Protected Territory is $10,000 per week, they must increase this to $15,000 per week by the end of the first 12 months to qualify for the office and salesperson waivers.
If the franchisee meets the $5,000/week growth target within the specified timeframe, Brightstar Care will waive the office and salesperson requirements for the subsequent year. This waiver is contingent on sustained performance and growth, incentivizing franchisees to rapidly expand their business and market presence. This arrangement allows franchisees to potentially reduce overhead costs associated with maintaining a physical office and dedicated sales staff, provided they achieve significant revenue growth.