Preview: figures awaiting verification
Some numbers on this page haven't been checked against their sources yet.
Non-Medical Home Care Business
A licensed agency that sends trained caregivers into older adults' homes for companionship, meals, bathing and errands; in California there is no legal one-person version, because the agency needs a state license, workers' comp and caregivers on its own payroll.
Figures last verified October 31, 2026
$25,165 – $70,165*Pending verificationSourcesCalifornia Secretary of State — LLC (domestic) forms and fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Franchise Tax Board — limited liability company(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Department of Social Services — Home Care Services application fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Department of Social Services — Information for Home Care Aides (registry application)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Insureon — Non-medical home care (personal care aides) insurance cost (updated October 29, 2026)(opens in a new tab)Tier 2 · Industry report · Accessed October 31, 2026California Division of Workers' Compensation — Employer information(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Home Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Always Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Right at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Computed from 10 startup budget line items: lean plan low to professional plan high. Some lines are not sourced yet and are excluded.
Startup cost
Coming soon
Time to first revenue
High
Difficulty
Moderate
Physical demand
No
Can run solo
Year-round; steady demand
Seasonality
* Startup cost excludes budget lines we haven't sourced yet.
Risk Meter
Eight factors from this guide's own data, each scored 1 (lowest risk) to 5 (highest). Every score shows why.
Overall risk
Moderate
2.7 out of 5
Average of 6 of 8 factors, weighted equally. 1 is the lowest risk and 5 the highest. It measures risk, not how much you'll earn, and it isn't a prediction. How we score risk.
Money at risk
Not scoredAt least $70,165
4 startup lines aren't sourced yet, so the real total is higher. We'll score this once the budget is complete.
Time to earn it back
Not scoredNot scored yet
Some startup or operating cost lines aren't sourced yet, so a payback time would look shorter than it really is.
Franchise closure rate
1 / 51.2% a yearPending verificationSourcesRight at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Griswold Home Care 2026 FDD (Minnesota CARDS), issued April 20, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Always Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Home Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Closures = terminations + non-renewals + outlets that ceased operations, divided by franchised outlets at the start of the year.
Average of 4 brands: Right at Home 0.4% (2025); Griswold Home Care 0.9% (2025); Always Best Care Senior Services 2.2% (2025); Home Instead 1.3% (2025). Our calculation from each FDD's Item 20.
Loan default rate
3 / 56.5% vs 7.2% for all industriesPending verificationSourceSBA 7(a) FOIA loan-level data, files as of September 30, 2026 (our count by NAICS code)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Charged off = the SBA wrote off the unpaid balance after the borrower stopped paying. An industry code can include businesses unlike this one.
48 of 734 SBA 7(a) loans to Services for the Elderly and Persons with Disabilities (NAICS 624120), approved FY2010–2019, were charged off. Our count from the SBA's loan-level data; 96 loans were still open, so the final rate may be slightly higher.
Demand trend
3 / 5About the samePending verificationSourcesU.S. Census Bureau — County Business Patterns 2019, U.S. file (cbp19us)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026U.S. Census Bureau — County Business Patterns 2023, U.S. file (cbp23us)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026
Services for the elderly and persons with disabilities, which includes non-medical home care (NAICS 624120), employer establishments +6.6% (37,784 to 40,265) vs +5.1% for all industries, 2019–2023.
Licensing and rules
5 / 5Heavy
California requires a Home Care Organization license from CDSS, plus registered, background-checked and trained caregivers, required insurance and a dishonesty bond (see Licensing).
Customer concentration
1 / 5Many customers
Many private-pay households; losing one client barely matters.
Physical demand
3 / 5Moderate
From the guide's at-a-glance rating; see the risks section for details.
Franchise vs. Independent
Same type of business. Two very different paths.
Franchise fee
- Franchise (4 brands)
- $49,500 – $54,000Pending verificationSourcesRight at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Griswold Home Care 2026 FDD (Minnesota CARDS), issued April 20, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Always Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Home Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Range across 4 franchise brands.
- Independent
- $0
Initial investment
- Franchise (4 brands)
- $89,725 – $350,550Pending verificationSourcesRight at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Griswold Home Care 2026 FDD (Minnesota CARDS), issued April 20, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Always Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Home Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026FDD Item 7 estimated initial investment (includes the franchise fee), across 4 brands.
- Independent
- $25,165 – $70,165*Pending verificationSourcesCalifornia Secretary of State — LLC (domestic) forms and fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Franchise Tax Board — limited liability company(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Department of Social Services — Home Care Services application fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Department of Social Services — Information for Home Care Aides (registry application)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Insureon — Non-medical home care (personal care aides) insurance cost (updated October 29, 2026)(opens in a new tab)Tier 2 · Industry report · Accessed October 31, 2026California Division of Workers' Compensation — Employer information(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Home Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Always Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Right at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Computed from 10 startup budget line items: lean plan low to professional plan high. Some lines are not sourced yet and are excluded.
Ongoing royalties
- Franchise (4 brands)
- 5% – 6% of revenuePending verificationSourcesRight at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Griswold Home Care 2026 FDD (Minnesota CARDS), issued April 20, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Always Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Home Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Percent of gross revenue, across 4 brands.
- Independent
- None
Operating costs (5 years)
- Franchise (4 brands)
- $27,240 – $44,740Pending verificationSourcesAlways Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Health and Safety Code §1796.37 (Home Care Services Consumer Protection Act — license applicant requirements), via california.public.law(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Insureon — Non-medical home care (personal care aides) insurance cost (updated October 29, 2026)(opens in a new tab)Tier 2 · Industry report · Accessed October 31, 2026Griswold Home Care 2026 FDD (Minnesota CARDS), issued April 20, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Franchise Tax Board — limited liability company(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Five years of the operating costs we have sourced so far (insurance, software, fees), charged to both paths.
- Independent
- $27,240 – $44,740
Brand, training, and support
- Franchise (4 brands)
- Included
- Independent
- You build your own
5-year total cost
- Franchise (4 brands)
- $197,661 – $678,667
- Independent
- $52,405 – $114,905*
5-year totals assume $212,070–$484,824 in yearly revenue (our forecast presets at full volume), the same sourced operating costs (insurance, software, fees) on both paths, and both the lean and professional independent plans. Franchise investment figures come from each brand's disclosure (FDD Item 7) and already include the franchise fee. * Excludes independent startup lines we haven't sourced yet. Adjust the assumptions.
What franchisees report taking in
From each brand's own disclosure (FDD Item 19), copied exactly. These are gross sales before royalties and costs, not profit, and not a promise of what you will earn.
Right at Home
Item 19 reports 2025 net billings (revenue, not profit) for 390 offices, split by how long each office has been open; this is the only brand here that shows offices in their second year separately, so we lead with those.
- Median 2025 net billings, offices open 13–24 months (19 offices; revenue, not profit)$448,134 a yearPending verificationSourceRight at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 202610 of 19 (53%) reached the median. Lowest office $135,178, highest $1,368,166. FDD Item 19, Table 1. 'Net billings' is revenue before royalties, caregiver wages and all other expenses — not profit. Unaudited figures reported by franchisees for January 1–December 31, 2025; conversion franchises are excluded. Some franchisees have earned these amounts; there is no assurance you will do as well.
- Average 2025 net billings, offices open 13–24 months (19 offices; revenue, not profit)$491,975 a yearPending verificationSourceRight at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 20267 of 19 (37%) reached the average. FDD Item 19, Table 1. 'Net billings' is revenue before royalties, caregiver wages and all other expenses — not profit. Unaudited figures reported by franchisees for January 1–December 31, 2025; conversion franchises are excluded. Some franchisees have earned these amounts; there is no assurance you will do as well.
- Median 2025 net billings, offices open 25–36 months (14 offices; revenue, not profit)$718,951 a yearPending verificationSourceRight at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Average for the same 14 offices: $781,091. FDD Item 19, Table 1. 'Net billings' is revenue before royalties, caregiver wages and all other expenses — not profit. Unaudited figures reported by franchisees for January 1–December 31, 2025; conversion franchises are excluded. Some franchisees have earned these amounts; there is no assurance you will do as well.
- Median 2025 net billings, all 390 offices open a year or more — mature system: 332 of them open over five years (revenue, not profit)$1,334,579 a yearPending verificationSourceRight at Home 2026 FDD (Minnesota CARDS), issued March 31, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Average $1,836,498. Dominated by offices open 61 months or more (median $1,434,822). The FDD also reports an average gross margin of 44.60% after direct caregiver costs (Table 3A). FDD Item 19, Table 1. 'Net billings' is revenue before royalties, caregiver wages and all other expenses — not profit. Unaudited figures reported by franchisees for January 1–December 31, 2025; conversion franchises are excluded. Some franchisees have earned these amounts; there is no assurance you will do as well.
Griswold Home Care
Item 19 reports 2025 gross receipts by territory count, quartile and years in the system, plus a year-by-year ramp for newer franchisees; we lead with the first-year and one-to-three-year figures.
- Average first-year gross receipts, new franchisees open at least one year (23 owners; revenue, not profit)$236,326 a yearPending verificationSourceGriswold Home Care 2026 FDD (Minnesota CARDS), issued April 20, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Median for the same 23 owners: $216,990. From the 'Year 1 through 5 Ramp' table, which covers territories open 12–60 months. FDD Item 19, Part V. Gross receipts before royalties, caregiver pay and all other expenses — not profit. Unaudited, reported by franchisees. Excludes 22 territories opened during 2025, one location that closed, and five affiliate-owned locations. Some outlets have earned this amount; your results may differ.
- Median 2025 gross receipts, franchisees 1–3 years in the system (revenue, not profit)$264,405 a yearPending verificationSourceGriswold Home Care 2026 FDD (Minnesota CARDS), issued April 20, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Average $345,714; lowest $128,874, highest $707,699. FDD Item 19, Part V. Gross receipts before royalties, caregiver pay and all other expenses — not profit. Unaudited, reported by franchisees. Excludes 22 territories opened during 2025, one location that closed, and five affiliate-owned locations. Some outlets have earned this amount; your results may differ.
- Median 2025 gross receipts, single-territory franchisees open all of 2025 (23 owners; revenue, not profit)$707,699 a yearPending verificationSourceGriswold Home Care 2026 FDD (Minnesota CARDS), issued April 20, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026FDD Item 19, Part II. Average $1,379,078; 9 of 23 (39%) reached the average. Lowest $61,937. FDD Item 19, Part V. Gross receipts before royalties, caregiver pay and all other expenses — not profit. Unaudited, reported by franchisees. Excludes 22 territories opened during 2025, one location that closed, and five affiliate-owned locations. Some outlets have earned this amount; your results may differ.
- Median 2025 gross receipts, all 59 franchised locations open all of 2025 — mostly mature, multi-territory owners (revenue, not profit)$1,492,691 a yearPending verificationSourceGriswold Home Care 2026 FDD (Minnesota CARDS), issued April 20, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026FDD Item 19, Part I. Average $2,048,633 across 112 territories; 23 of 59 (39%) reached the average. FDD Item 19, Part V. Gross receipts before royalties, caregiver pay and all other expenses — not profit. Unaudited, reported by franchisees. Excludes 22 territories opened during 2025, one location that closed, and five affiliate-owned locations. Some outlets have earned this amount; your results may differ.
Always Best Care Senior Services
Item 19 reports systemwide sales, 2025 gross sales for franchisees open two years or more, and gross sales and owner discretionary profit margin by years in operation; only 3 single-unit owners fall in the 1–5 year group, so treat those figures with care.
- Median 2025 gross sales, single-unit franchisees 1–5 years in operation (3 franchisees; revenue, not profit)$672,721 a yearPending verificationSourceAlways Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Average $535,185; lowest $255,532, highest $677,302. Only three franchisees. FDD Item 19, 2025 calendar year. Gross sales before royalties and expenses. Based on franchisees open all of 2025 that supplied profit-and-loss statements; 17 that opened or bought in 2025, 2 that closed and 35 that did not provide information were excluded. Some franchisees have earned this amount; there is no assurance you will.
- Average owner discretionary profit margin, single-unit franchisees 1–5 years in operation (3 franchisees; the FDD's own figure)16.3%Pending verificationSourceAlways Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Median 17.6%. The FDD defines owner discretionary profit as net profit plus the owner's salary and benefits, so it is what is left to pay you, not profit after paying yourself. Only three franchisees. FDD Item 19, 2025 calendar year. Gross sales before royalties and expenses. Based on franchisees open all of 2025 that supplied profit-and-loss statements; 17 that opened or bought in 2025, 2 that closed and 35 that did not provide information were excluded. Some franchisees have earned this amount; there is no assurance you will.
- Median 2025 gross sales, all single-unit franchisees open a year or more (13 franchisees; revenue, not profit)$1,020,454 a yearPending verificationSourceAlways Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Average $1,326,666; 10 of the 13 have been open six years or more. Average owner discretionary profit margin for this group: 17.1%. FDD Item 19, 2025 calendar year. Gross sales before royalties and expenses. Based on franchisees open all of 2025 that supplied profit-and-loss statements; 17 that opened or bought in 2025, 2 that closed and 35 that did not provide information were excluded. Some franchisees have earned this amount; there is no assurance you will.
- Median 2025 gross sales, franchisees operating two years or more — mature, mostly multi-territory owners (91 franchisees; revenue, not profit)$2,427,318 a yearPending verificationSourceAlways Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Average $3,290,081; 29 of 91 (31.9%) met or exceeded it. Range $39,041 to $20,448,193. FDD Item 19, 2025 calendar year. Gross sales before royalties and expenses. Based on franchisees open all of 2025 that supplied profit-and-loss statements; 17 that opened or bought in 2025, 2 that closed and 35 that did not provide information were excluded. Some franchisees have earned this amount; there is no assurance you will.
Home Instead
Item 19 reports 2025 gross sales for 611 U.S. franchises, mostly open more than 15 years, plus a count of franchises in each sales band by tenure; the young-franchise rows are counts, not averages.
- Franchises 1–2 years old with 2025 gross sales under $500,000 (7 of 14 franchises in that tenure group)7Pending verificationSourceHome Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Of the 14 franchises with 1–2 years' tenure, 7 had gross sales under $500,000, 5 had $500,000–$999,999 and 2 had $1,000,000–$1,499,999. FDD Item 19. Gross sales before royalties, caregiver wages and all other expenses — not profit. Excludes affiliate-owned businesses, 15 franchises opened after January 1, 2025, franchises that closed in 2025 and 4 terminated locations. Some franchised businesses have earned this amount; your results may differ.
- Franchises 3–4 years old with 2025 gross sales under $1,000,000 (8 of 17 franchises in that tenure group)8Pending verificationSourceHome Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Of the 17 franchises with 3–4 years' tenure: 3 under $500,000, 5 at $500,000–$999,999, 4 at $1,000,000–$1,499,999, 3 at $1,500,000–$1,999,999 and 2 at $2,000,000–$2,999,999. FDD Item 19. Gross sales before royalties, caregiver wages and all other expenses — not profit. Excludes affiliate-owned businesses, 15 franchises opened after January 1, 2025, franchises that closed in 2025 and 4 terminated locations. Some franchised businesses have earned this amount; your results may differ.
- Median 2025 gross sales, all 611 U.S. franchises — mature system: 411 of them have 21+ years' tenure (revenue, not profit)$2,352,450.95 a yearPending verificationSourceHome Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Lowest $38,465.40, highest $13,070,342.40. FDD Item 19. Gross sales before royalties, caregiver wages and all other expenses — not profit. Excludes affiliate-owned businesses, 15 franchises opened after January 1, 2025, franchises that closed in 2025 and 4 terminated locations. Some franchised businesses have earned this amount; your results may differ.
- Average 2025 gross sales, all 611 U.S. franchises — mature system (revenue, not profit)$2,750,875.94 a yearPending verificationSourceHome Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026242 of 611 (39%) met or exceeded the average. Average client hours served: 79,658. FDD Item 19. Gross sales before royalties, caregiver wages and all other expenses — not profit. Excludes affiliate-owned businesses, 15 franchises opened after January 1, 2025, franchises that closed in 2025 and 4 terminated locations. Some franchised businesses have earned this amount; your results may differ.
What a franchise does give you
Franchises cost more, but the fees buy real things. Weigh them honestly.
- A national home care brand with about 390 offices reporting
- RightStart training for the owner and two others, plus about two days of on-site help after opening
- A required personal care policy and procedure manual matched to your state's license rules
- Designated home care software and licensing support included in the setup fee
- No minimum royalty in the first 12 months after opening
- HomeCare Academy initial training at no fee (you pay travel)
- A required local marketing program for the first six months
- One of the lower monthly software fees among these brands
- Item 19 includes a year-by-year ramp for newer owners, so you can see the early years
- Headquartered in California, so the franchisor knows the state's licensing process
- Initial training for two people included in the franchise fee
- Item 19 discloses an owner discretionary profit margin, not just sales
- A path to add skilled nursing services later if you choose
- The largest brand here, with 611 U.S. franchises reporting in 2025
- Training, materials and lodging for two people included in the franchise fee
- A start-up kit with branded materials and basic equipment
- A refundable-in-part deposit option to reserve a market before signing
Going independent means
- You keep 100% of what you earn after costs — no royalties.
- You build your own brand, systems, and customer base.
- You need more self-reliance, especially in the first year.
Startup Budget
One-time costs to launch, from cited sources. Totals are added up from the lines below.
| Item | Low | Mid | High |
|---|---|---|---|
| California LLC filing (Articles of Organization and Statement of Information)Pending verificationSourceCalifornia Secretary of State — LLC (domestic) forms and fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026$70 for the Articles of Organization plus $20 for the Statement of Information. The license application asks for your Articles of Organization if you form an LLC. | $90 | $90 | $90 |
| California LLC annual tax (first year)Pending verificationSourceCalifornia Franchise Tax Board — limited liability company(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Every LLC organized or doing business in California owes $800 a year. Only if you form an LLC. | $800 | $800 | $800 |
| Home Care Organization license (California Department of Social Services)Pending verificationSourceCalifornia Department of Social Services — Home Care Services application fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Covers a two-year license term, so plan for the fee again every two years (CDSS lists no separate renewal fee). You cannot legally arrange caregivers for clients in California without it. | $5,603 | $5,603 | $5,603 |
| Home Care Aide Registry fee (per caregiver)Pending verificationSourcesCalifornia Department of Social Services — Home Care Services application fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Department of Social Services — Information for Home Care Aides (registry application)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Per caregiver, for two years. Shown once here; multiply by the number of caregivers you hire if you pay it for them. | $35 | $35 | $35 |
| Live Scan fingerprinting (owner and each caregiver) | Data coming soon | ||
| Workers' compensation insurance, first year (required)Pending verificationSourcesInsureon — Non-medical home care (personal care aides) insurance cost (updated October 29, 2026)(opens in a new tab)Tier 2 · Industry report · Accessed October 31, 2026California Division of Workers' Compensation — Employer information(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Home Instead 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Insureon figure of $136 a month, $1,637 a year. Insureon figures for non-medical home care customers who bought through Insureon (most have fewer than five employees and five years or less in business). The page calls them both medians and averages. National, not California-specific. Your quote depends on payroll, limits and claims history. Workers' comp is priced on payroll, so it grows with every caregiver hour. Home Instead's FDD (Item 7, Note 6) says many states charge $3 to $12 per $100 of payroll for this work and that a few states, such as California, charge more. Expect a real California quote to be well above this figure once you have several caregivers. | $1,637 | $1,637 | $1,637 |
| Computer, phone and printer | Data coming soon | ||
| Policies and procedures, job descriptions and caregiver training plan | Data coming soon | ||
| Marketing launch (cards, brochures, website, visits to referral sources) | Data coming soon | ||
| Working capital for the first three months (caregiver payroll before clients pay)Pending verificationSourceAlways Best Care Senior Services 2026 FDD (Minnesota CARDS), issued April 13, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Always Best Care FDD Item 7 'additional funds' for the first three months, including employees' salaries; it does not include any pay for you. You pay caregivers every pay period, often before families pay their invoices, so this cash cushion is not optional. A franchisor's estimate; Right at Home's FDD puts the same three months at $17,000–$40,000. | $17,000 | $23,500 | $30,000 |
| Total (sourced lines only) | $25,165 | $31,665 | $38,165 |
Share of mid estimate
- California LLC filing (Articles of Organization and Statement of Information)0%
- California LLC annual tax (first year)3%
- Home Care Organization license (California Department of Social Services)18%
- Home Care Aide Registry fee (per caregiver)0%
- Workers' compensation insurance, first year (required)5%
- Working capital for the first three months (caregiver payroll before clients pay)74%
Budget spreadsheet
Every line with its sources, included in the complete kit.
Mid is the halfway point between low and high where a source gives only a range.
The total leaves out 4 lines we haven't sourced yet. We don't guess.
24-Month Forecast
An example to plan with. Every assumption is yours to change.
This is an estimate, not a prediction
Each 'job' is one billed caregiver hour. The rate is CareScout's 2025 national median ($35), below California's $40. Billed hours per week, the two-year ramp, flat seasonality and the 60% variable cost (caregiver wages, payroll taxes and workers' comp) are our assumptions; 60% is set higher than the direct-care cost implied by Right at Home's reported 44.60% average gross margin. Change any assumption to match your market. Your results will differ.
- Break-even
- Month 14
- Year-1 revenue
- $79,130
- Year-2 profit
- $77,628
Show monthly table
| Month | Jobs | Revenue | Costs | Profit | Cumulative cash |
|---|---|---|---|---|---|
| 1 (Mar) | 43.3 | $1,517 | $1,510 | $7 | -$31,658 |
| 2 (Apr) | 69.7 | $2,440 | $2,064 | $376 | -$31,282 |
| 3 (May) | 96.1 | $3,363 | $2,618 | $745 | -$30,537 |
| 4 (Jun) | 122.5 | $4,286 | $3,172 | $1,114 | -$29,423 |
| 5 (Jul) | 148.8 | $5,209 | $3,726 | $1,484 | -$27,939 |
| 6 (Aug) | 175.2 | $6,133 | $4,280 | $1,853 | -$26,086 |
| 7 (Sep) | 201.6 | $7,056 | $4,833 | $2,222 | -$23,864 |
| 8 (Oct) | 228.0 | $7,979 | $5,387 | $2,592 | -$21,272 |
| 9 (Nov) | 254.3 | $8,902 | $5,941 | $2,961 | -$18,311 |
| 10 (Dec) | 280.7 | $9,825 | $6,495 | $3,330 | -$14,981 |
| 11 (Jan) | 307.1 | $10,749 | $7,049 | $3,699 | -$11,282 |
| 12 (Feb) | 333.5 | $11,672 | $7,603 | $4,069 | -$7,213 |
| 13 (Mar) | 359.9 | $12,595 | $8,157 | $4,438 | -$2,775 |
| 14 (Apr) | 386.2 | $13,518 | $8,711 | $4,807 | $2,032 |
| 15 (May) | 412.6 | $14,441 | $9,265 | $5,177 | $7,209 |
| 16 (Jun) | 439.0 | $15,364 | $9,819 | $5,546 | $12,755 |
| 17 (Jul) | 465.4 | $16,288 | $10,373 | $5,915 | $18,670 |
| 18 (Aug) | 491.7 | $17,211 | $10,927 | $6,284 | $24,954 |
| 19 (Sep) | 518.1 | $18,134 | $11,480 | $6,654 | $31,608 |
| 20 (Oct) | 544.5 | $19,057 | $12,034 | $7,023 | $38,631 |
| 21 (Nov) | 570.9 | $19,980 | $12,588 | $7,392 | $46,023 |
| 22 (Dec) | 597.2 | $20,904 | $13,142 | $7,761 | $53,784 |
| 23 (Jan) | 623.6 | $21,827 | $13,696 | $8,131 | $61,915 |
| 24 (Feb) | 650.0 | $22,750 | $14,250 | $8,500 | $70,415 |
Pricing
What customers typically pay, from large-sample cost data.
What customers pay
- Non-medical caregiver, hourly rate families pay (national median, 2025)$35Pending verificationSourceCareScout (Genworth) — Cost of Care Survey 2025, national medians(opens in a new tab)Tier 2 · Industry report · Accessed October 31, 2026Last verified October 31, 2026Per hour, up 3% from $34 in 2024. CareScout's 2025 survey (July–November 2025): about 16,000 completed provider surveys nationwide, 6,014 of them from home care providers. An industry survey of what providers charge, not a government figure. 'Non-medical caregiver' combines homemaker and home health aide services.
- Non-medical caregiver, hourly rate families pay (California median, 2025)$40Pending verificationSourceCareScout — Cost of Care Survey 2025, ranked median costs by state data tables (March 6, 2026)(opens in a new tab)Tier 2 · Industry report · Accessed October 31, 2026Last verified October 31, 2026Per hour. California ranks 10th of 50 states. CareScout's 2025 survey (July–November 2025): about 16,000 completed provider surveys nationwide, 6,014 of them from home care providers. An industry survey of what providers charge, not a government figure. 'Non-medical caregiver' combines homemaker and home health aide services.
- Non-medical caregiver, monthly cost at 44 hours a week (California median, 2025)$7,627Pending verificationSourceCareScout — Cost of Care Survey 2025, ranked median costs by state data tables (March 6, 2026)(opens in a new tab)Tier 2 · Industry report · Accessed October 31, 2026Last verified October 31, 2026Per month. CareScout's 44-hour week follows industry guidance for a professional in-home caregiver; many clients buy far fewer hours. CareScout's 2025 survey (July–November 2025): about 16,000 completed provider surveys nationwide, 6,014 of them from home care providers. An industry survey of what providers charge, not a government figure. 'Non-medical caregiver' combines homemaker and home health aide services.
What similar businesses take in
Context only, not a promise of what you will earn. Government figures cover every business in the industry; guide figures are rougher. Tap the source icon to see which is which. These are revenue, before costs.
- Average yearly receipts per 'services for the elderly and persons with disabilities' firm (NAICS 624120, U.S. employer firms, 2022)$2,092,588 a yearPending verificationSourcesU.S. Census Bureau — Statistics of U.S. Businesses 2022, U.S. and states, 6-digit NAICS (us_state_6digitnaics_2022)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026U.S. Census Bureau — 2022 NAICS index file ('Home care of elderly, non-medical' = 624120)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Calculated by us from the Census table: $71,865,755,000 in receipts across 34,343 firms, rounded to the nearest dollar. Includes large multi-state companies. Receipts are gross revenue, not profit. Census groups non-medical home care of the elderly (including companion and homemaker services) under NAICS 624120, alongside other services for the elderly and people with disabilities, so this is broad context. Shown for context only — not a promise or prediction of your results.
- Average yearly receipts per NAICS 624120 firm with fewer than 5 employees (U.S. employer firms, 2022)$134,508 a yearPending verificationSourcesU.S. Census Bureau — Statistics of U.S. Businesses 2022, U.S. and states, 6-digit NAICS (us_state_6digitnaics_2022)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026U.S. Census Bureau — 2022 NAICS index file ('Home care of elderly, non-medical' = 624120)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Calculated by us from the Census table: $2,087,425,000 in receipts across 15,519 firms with fewer than 5 employees, rounded to the nearest dollar. Shows what a very small agency takes in. Receipts are gross revenue, not profit. Census groups non-medical home care of the elderly (including companion and homemaker services) under NAICS 624120, alongside other services for the elderly and people with disabilities, so this is broad context. Shown for context only — not a promise or prediction of your results.
- Average yearly receipts per NAICS 624120 firm with 20–99 employees (U.S. employer firms, 2022)$2,179,543 a yearPending verificationSourcesU.S. Census Bureau — Statistics of U.S. Businesses 2022, U.S. and states, 6-digit NAICS (us_state_6digitnaics_2022)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026U.S. Census Bureau — 2022 NAICS index file ('Home care of elderly, non-medical' = 624120)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Calculated by us from the Census table: $16,982,997,000 in receipts across 7,792 firms, rounded to the nearest dollar. Home care agencies with a full caregiver roster often fall in this size band. Receipts are gross revenue, not profit. Census groups non-medical home care of the elderly (including companion and homemaker services) under NAICS 624120, alongside other services for the elderly and people with disabilities, so this is broad context. Shown for context only — not a promise or prediction of your results.
- Average yearly receipts per NAICS 624120 firm in California (employer firms, 2022)$3,461,297 a yearPending verificationSourcesU.S. Census Bureau — Statistics of U.S. Businesses 2022, U.S. and states, 6-digit NAICS (us_state_6digitnaics_2022)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026U.S. Census Bureau — 2022 NAICS index file ('Home care of elderly, non-medical' = 624120)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Calculated by us from the Census table: $11,737,257,000 in receipts across 3,391 California firms, rounded to the nearest dollar. Includes large multi-site companies. Receipts are gross revenue, not profit. Census groups non-medical home care of the elderly (including companion and homemaker services) under NAICS 624120, alongside other services for the elderly and people with disabilities, so this is broad context. Shown for context only — not a promise or prediction of your results.
- Average yearly receipts per nonemployer (solo, no payroll) 'individual and family services' business (NAICS 6241, U.S., 2024)$33,395 a yearPending verificationSourceU.S. Census Bureau — Nonemployer Statistics 2024, U.S. file (nonemp24us)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Calculated by us from the Census file: $6,775,490,000 in receipts across 202,887 nonemployer businesses, rounded to the nearest dollar. Census publishes nonemployer data only at the broader 4-digit level, which also includes child, youth and family services. These are mostly self-employed individuals, not licensed agencies; it shows what one person working alone takes in. Receipts are gross revenue, not profit. Shown for context only — not a promise or prediction of your results.
Key Risks and How to Manage Them
Caregivers leave constantly
Hiring and keeping caregivers is the hardest part of the business. An industry benchmarking report (Activated Insights, 2026, as cited by HHAeXchange) put caregiver turnover at 75.5% in 2025. Every departure means recruiting, background checks, training and a client who has to meet someone new.
How to manage it: Pay at or above local rates, give consistent hours, recognize good work, and build referral hiring from your best caregivers. Budget recruiting as a permanent monthly cost, not a start-up task.
California wage-and-hour law
Under the Domestic Worker Bill of Rights, personal attendants earn overtime at 1.5 times their rate after 9 hours in a day or 45 hours in a week. Live-in and 24-hour shifts, travel time between clients, meal and rest breaks, and treating caregivers as independent contractors are common sources of wage claims against home care agencies.
How to manage it: Treat every caregiver as an employee on payroll, use scheduling software that flags overtime, price 24-hour care to cover overtime, and have an employment attorney review your pay policies before your first hire.
Client injury, theft or abuse allegations
Your caregivers work alone in clients' homes with frail people. A fall during a transfer, a missing piece of jewelry or an abuse accusation can bring a lawsuit, a licensing investigation or both — even when the caregiver did nothing wrong.
How to manage it: Carry the required $1M/$3M liability insurance and $10,000 dishonesty bond, add abuse coverage, check every caregiver on the state registry, document visits and care plans, and respond to complaints in writing right away.
A slow, cash-hungry first two years
Agencies take years to build hours. Griswold's FDD shows new franchisees averaging $236,326 in their first year, against an average of $2,583,857 for owners 6–15 years in. You pay caregivers every pay period, often before families pay, so cash runs short just as you start to grow.
How to manage it: Keep several months of payroll in reserve, collect payment up front or weekly, start building referral relationships with hospitals, care managers and senior communities before the license arrives, and set a personal income plan that does not depend on the agency for the first year or two.
Waiting on the state license
You cannot serve clients until the Department of Social Services approves your Home Care Organization license, which includes fingerprinting and an orientation. Right at Home's FDD says its franchisees typically take 125–190 days from signing to opening, partly because of state licensing.
How to manage it: Submit a complete application the first time, finish your policies and training plan while you wait, and line up caregivers and referral partners so you can start the week you are approved.
On call around the clock, and filling shifts yourself
When a caregiver calls in sick at 6 a.m., the owner often covers the shift. That can mean bathing, lifting and transferring clients, which is real physical strain for someone in their mid-50s, on top of evenings and weekends on the phone.
How to manage it: Build a bench of part-time caregivers early, hire a scheduler or care coordinator as soon as hours allow, and decide in advance which shifts you will and will not cover yourself.
Workers' comp and payroll costs that grow with every hour
Workers' comp is priced on payroll, and California's rates for this work are typically higher than most states', according to Home Instead's FDD. Caregiver wages, payroll taxes and insurance take most of every dollar billed; Right at Home reports an average gross margin of 44.60% after these direct costs.
How to manage it: Get workers' comp quotes from several carriers before you set prices, train caregivers on safe transfers to keep claims down, and review your hourly rates every year.
Licensing by State
Requirements vary by state and local jurisdiction.
More states are coming.
A general guide only. Rules change and vary by city and county — confirm with your local government before you start.
Home Care Organization license (CDSS Home Care Services Bureau)
Pending verificationPending verificationSourcesCalifornia Department of Social Services — Home Care Organization application process(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Department of Social Services — Home Care Services application fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Health and Safety Code §1796.37 (Home Care Services Consumer Protection Act — license applicant requirements), via california.public.law(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026California's Home Care Services Consumer Protection Act (Health and Safety Code §1796.10 and following) requires agencies that provide non-medical home care through their own caregivers to be licensed. You mail the application (HCS 200 and related forms, including the HCS 402 employee dishonesty bond form) with job descriptions, personnel policies, a training plan, a program description and insurance information to the Home Care Services Branch in Sacramento. The fee is $5,603 for a two-year license. After the state receives it, you get an HCO number and instructions for fingerprinting and an online orientation, which the law requires you to complete.
Verify with the CDSS Home Care Services — HCO application process(opens in a new tab)Required insurance, workers' comp and dishonesty bond
Pending verificationPending verificationSourcesCalifornia Health and Safety Code §1796.37 (Home Care Services Consumer Protection Act — license applicant requirements), via california.public.law(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Division of Workers' Compensation — Employer information(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Health and Safety Code §1796.37 requires a license applicant to show general and professional liability insurance of at least $1,000,000 per occurrence and $3,000,000 in the aggregate, a valid workers' compensation policy covering its home care aides, and an employee dishonesty bond with third-party coverage of at least $10,000.
Verify with the California Health and Safety Code §1796.37(opens in a new tab)Home Care Aide Registry and Live Scan for every caregiver
Pending verificationPending verificationSourcesCalifornia Department of Social Services — Information for Home Care Aides (registry application)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Department of Social Services — Home Care Services application fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Department of Social Services — Live Scan application process and fees(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Each caregiver must be registered as a home care aide with CDSS, which means a $35 application (renewed for $35) and Live Scan fingerprinting at an approved vendor. The Live Scan site sets its own charges. Check each caregiver's status on the registry before they work with a client.
Verify with the CDSS — Information for Home Care Aides(opens in a new tab)Caregiver training hours
Pending verificationPending verificationSourceCalifornia Health and Safety Code §1796.44 (home care aide training), via california.public.law(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Before a caregiver is with a client, the agency must ensure at least five hours of entry-level training: two hours of orientation and three hours of safety training. Each caregiver also needs at least five hours of annual training on core competencies, and both may be done online (Health and Safety Code §1796.44). The posted version of this section runs until January 1, 2027, so check for changes before you write your training plan.
Verify with the California Health and Safety Code §1796.44(opens in a new tab)Workers' compensation insurance (required from the first caregiver)
Pending verificationPending verificationSourcesCalifornia Division of Workers' Compensation — Employer information(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026California Department of Insurance — Decision and Order, September 1, 2026 workers' compensation claims cost benchmark (July 10, 2026)(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026California employers must carry workers' compensation insurance even with only one employee, and your caregivers are your employees. The Insurance Commissioner set the average advisory claims cost benchmark at $1.65 per $100 of payroll for policies from September 1, 2026; rates for home care work differ from that average, so get quotes.
Verify with the California Division of Workers' Compensation(opens in a new tab)Employer registration with EDD
Pending verificationPending verificationSourceCalifornia EDD — Step 1: Register as an Employer(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Once you pay an employee more than $100 in wages in a calendar quarter, you must register with the Employment Development Department within 15 days and begin payroll tax reporting.
Verify with the California EDD — Register as an Employer(opens in a new tab)Domestic Worker Bill of Rights overtime
Pending verificationPending verificationSourceCalifornia Labor Commissioner — Domestic Worker Bill of Rights FAQ(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Personal attendants, including those employed by a third-party employer in the health care industry, earn overtime of 1.5 times their regular rate for hours over 9 in a day or 45 in a week, unless an exclusion applies (Labor Code §§1450–1454). Confirm with the Labor Commissioner how these rules apply to your shifts, especially live-in and 24-hour care.
Verify with the California Labor Commissioner — Domestic Worker Bill of Rights(opens in a new tab)City or county business license
Pending verificationRequired almost everywhere in California. Check with the city where your office is based, and ask whether a home office is allowed.
The Playbook
A step-by-step guide from setup to growth.
Phase 1
Setup
- Form your business and open a separate bank account
- Write job descriptions, personnel policies, a training plan and a program description
- Get quotes for $1M/$3M liability insurance, workers' comp and a $10,000 dishonesty bond
- Mail your Home Care Organization application and fee to CDSS
- Complete fingerprinting and the state's online orientation
- Register with EDD and set up payroll before your first hire
Phase 2
Hiring and training caregivers
Included in the complete kit
Phase 3
Pricing and client agreements
Included in the complete kit
Phase 4
Referral partners
Included in the complete kit
Phase 5
Care plans, scheduling and payroll
Included in the complete kit
Phase 6
Staying compliant
Included in the complete kit
Phase 7
Growth and your first office manager
Included in the complete kit
Suppliers and Tools
Vendors independent operators use.
No supplier pays to be listed. If we ever earn a referral fee from a link, it will say “Affiliate link” right next to it.
Trade associations
Industry groups with training, compliance updates and peer networks.
Scheduling and billing software
Caregiver scheduling, visit verification, client billing and payroll exports.
Insurance and bonds
Liability, workers' comp and dishonesty bond quotes for small home care agencies.
The Kit Is Coming
Everything on this page is free. The downloadable kit (playbook, spreadsheets, templates) is in the works.
Frequently Asked Questions
Is this a franchise?
No. The Open Franchise is not a franchise and does not sell franchises. You start and own your agency yourself, with no franchise fee, royalties, or territory rules. We sell guides and kits; that's all.
Can I do this on my own, without employees?
Not as an agency. In California, a business that sends caregivers into clients' homes needs a Home Care Organization license, and the license requires a workers' comp policy covering your caregivers. The smallest legal version is a home-based agency with you managing a few part-time caregivers. Working alone as a caregiver is a job, not this business; ask the Home Care Services Bureau if you are unsure where the line falls.
Do I need to be a nurse or have healthcare experience?
No. Non-medical home care covers companionship, meals, bathing, dressing, errands and similar help. Your caregivers need the state's registry clearance and training hours. Skilled nursing is a different, separately licensed business.
How much do families pay?
CareScout's 2025 survey puts the national median at $35 an hour and the California median at $40 an hour. Rates vary by city and by how many hours a client buys.
Are these numbers guaranteed?
No. Every cost and price is an estimate from a cited source, shown as a range where possible, with the date we last checked it. Franchise sales figures are revenue, not profit. Your costs and results will depend on your market and choices.
Figures last verified October 31, 2026. Every number links to its source. See all sources for this page.