# Home Instead Item 19 Deep Dive: $2.26M Median Across 603 Franchised Territories

> Home Instead Item 19: $2.26M median across 603 franchised territories in calendar 2024. The AUV-to-investment ratio, year-one ramp, and how it compares to Visiting Angels and Comfort Keepers.

**Last updated**: 2026-06-05
**URL**: https://vetmyfranchise.com/blog/home-instead-item-19-deep-dive?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md

> **Quick answer:** [Home Instead](/franchise/home-instead-inc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md)'s Item 19 reports a $2.26M median across 603 franchised territories — calendar 2024, no tenure filter. The AUV-to-investment ratio at the median exceeds 10× ($2.26M of AUV against $91K-$270K of total investment), which is one of the strongest in franchising. The catch is the ramp: senior care territories take 24-36 months to build the client book that produces the disclosed AUV.

## The Disclosure

| Metric | Value |
|---|---:|
| Sample size | 603 franchised territories |
| Sample criteria | All franchised territories (no tenure filter) |
| Reporting period | Calendar year 2024 |
| Median annual gross billings | $2,261,503 |
| Total system units | 619 |
| Total investment (Item 7) | $91,040 - $269,750 |
| Royalty rate | 5% of gross billings |

The sample covers essentially the entire franchised system (603 of 619 territories, or 97%). The no-tenure-filter methodology means the disclosed median includes recent openings alongside mature operations, which drags the central tendency down somewhat — but produces the most representative figure possible for the franchised system as a whole.

The royalty structure is 5% of gross billings, which is moderate for the category. Total ongoing fee burden including the ad fund typically lands at 6-7% of revenue — lower than QSR (often 8-10% combined) and competitive within senior care.

## Why the AUV-to-Investment Ratio Is Exceptional

A $2.26M median against a $91K-$270K investment range produces an AUV-to-investment ratio in the 8-25× range depending on configuration. By any historical franchise standard, that's outstanding. Comparison:

| Brand | AUV/Investment ratio at median |
|---|---:|
| [Wingstop](/franchise/wingstop-franchising-llc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md) | 3× |
| Dunkin' | 1.5× |
| [Hand and Stone](/franchise/hand-and-stone-franchise-llc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md) | 2× |
| Orangetheory | 0.7× |
| **[Home Instead](/franchise/home-instead-inc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md)** | **8-25×** |
| ASP (America's Swimming Pool Company) | 8-15× |
| [Mr. Rooter](/franchise/mr-rooter-spv-llc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md) | 5-10× |

The ratio is high because senior care has a fundamentally different operating structure than physical-retail franchises:

**No retail buildout.** Senior care operates from a modest office space (1,500-3,000 sq ft) without customer-facing requirements. Build-out is comparable to a professional services office — a fraction of QSR or boutique-fitness buildouts.

**No equipment-intensive operations.** Care delivery happens at the client's home. The franchisee's office houses scheduling, recruiting, training, and back-office functions but doesn't require commercial kitchen equipment, fitness equipment, or retail fixtures.

**Variable cost structure scales with revenue.** Caregiver labor (the primary cost) scales directly with billed hours. No fixed inventory, no rent on additional retail space, no consumer-facing infrastructure to maintain at scale.

The ratio is what makes senior care attractive to capital-efficient buyers. The downside (covered below) is the slow ramp.

## What "Mature Territory" Actually Means

A [Home Instead](/franchise/home-instead-inc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md) territory at the system median ($2.26M annual billings) typically has:

- **80-150 active clients** receiving regular care services
- **30-50 caregivers** on the active roster (including part-time and PRN)
- **8,000-12,000 billed hours per year** at an average rate of $28-$38
- **Referral network depth** — relationships with hospital discharge planners, senior living communities, geriatric care managers, and the broader senior care ecosystem in the territory
- **3-5+ years of operation** to build the above

That maturity doesn't happen in year one. A new [Home Instead](/franchise/home-instead-inc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md) territory in months 1-12 is essentially building infrastructure: hiring the first cohort of caregivers, developing referral relationships, taking the first 10-30 clients. Year-one revenue typically lands at $200K-$500K — a fraction of the system median.

The Item 19's no-tenure-filter methodology includes those new territories in the disclosed median, which is why the central tendency sits below where a tenure-filtered disclosure would. A buyer underwriting against the median needs to remember that the median includes ramp-stage units; the steady-state for mature territories runs above the disclosed median.

## Year-One and Year-Two Ramp

Senior care ramps slowly. A typical first-year monthly progression:

- Months 1-3: $5K-$15K monthly billings (initial clients, building caregiver roster)
- Months 4-6: $15K-$30K monthly billings (early referrals start flowing)
- Months 7-9: $25K-$50K monthly billings (referral network developing)
- Months 10-12: $35K-$70K monthly billings (approaching operating scale)
- Annualized year-one: $200K-$500K

Year two typically lands at $700K-$1.2M as the referral network matures and caregiver roster scales. Year three approaches or hits the lower end of mature performance. Year four-plus is when territories hit and exceed the system median.

The slow ramp is the dominant operational variable. Operators who underestimate the ramp run out of capital before the business stabilizes; operators who plan for a 24-30 month ramp to operational scale tend to land at or above the system median by year four.

## Comparison to Senior Care Peers

| Brand | Sample | Median AUV | Investment | AUV/Investment |
|---|---:|---:|---|---:|
| [Home Instead](/franchise/home-instead-inc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md) | 603 | $2.26M | $91K-$270K | 12× |
| Visiting Angels | smaller | $1.0M-$1.5M | $75K-$200K | 7× |
| Comfort Keepers | similar | $900K-$1.4M | $100K-$200K | 8× |
| [Right at Home](/franchise/right-at-home-llc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md) | smaller | $1.0M-$1.3M | $85K-$180K | 9× |
| BrightStar Care | medical model | $1.5M-$2.5M | $112K-$215K | 12× |
| Senior Helpers | smaller | $1.0M-$1.5M | $116K-$164K | 9× |

Home Instead leads the non-medical home care category by absolute AUV. BrightStar Care produces similar AUVs but operates a medical home care model (see our [BrightStar vs Senior Helpers vs Always Best Care comparison](/blog/brightstar-care-vs-senior-helpers-vs-always-best-care-franchise?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md)). For broader category context, see [best senior care franchises](/blog/best-senior-care-franchises?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md) and [Home Instead vs Right at Home vs Visiting Angels](/blog/home-instead-vs-right-at-home-vs-visiting-angels-franchise?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md).

## What This Means for Buyers

- **The AUV-to-investment ratio is genuinely exceptional.** Senior care produces some of the best capital efficiency in franchising — at the median.
- **The slow ramp is the trade-off.** A 24-36 month ramp to operational scale requires meaningful working capital depth. See [franchise working capital math](/blog/franchise-working-capital-why-50k-isnt-enough?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md) for the calculation.
- **Operator profile matters more than capital.** Successful Home Instead operators are typically sales-and-relationship oriented (not clinically trained — that's BrightStar). The business is referral-driven and depends on the operator's ability to develop the local senior care network.
- **The brand and the model do real work.** Home Instead's 25+ year operating history means buyers inherit national referral relationships, training programs, and operating systems that smaller competitors can't match.
- **Item 19 includes ramp-stage units.** The disclosed median ($2.26M) is conservative because it includes new territories. Mature territories run materially above the median.

For brand-specific cost detail, the live `/franchise/home-instead-inc` page. For the broader senior care decision framework, [best senior care franchises](/blog/best-senior-care-franchises?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md).

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## Brands mentioned in this post

- [Home Instead](/franchise/home-instead-inc?utm_source=claude&utm_medium=ai_referral&utm_campaign=vmf_agent_md)
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