A Home Healthcare Franchise with a Purpose
by Ed Teixeira
Recently I had the opportunity to interview Gary Kneller, President of
CareMinders Home Care.
One of the fastest growing franchise segments over the past several years has
been in home healthcare. This past year home care franchises grew 10% according
to Entrepreneur Magazine. This growth is dramatic given the fact that overall
franchise growth has been flat, since the arrival of the recession and during
the slow recovery. Look for this franchise sector to have continued
Within the home care category the preponderance of franchises limit their
services to companion or custodial services. In fact, there are only four
franchises that offer a full menu of home healthcare services.
Recently, I interviewed Gary Kneller, President of
CareMinders, one of the
few full service home healthcare franchises in the U.S. Based in Atlanta,
Georgia, CareMinders has 31 locations and growing.
FKH: Gary thanks for taking the time to talk with
FranchiseKnowHow. Since CareMinders franchisees can provide a full range of
services to clients, how do you maintain oversight and quality control over your
Gary K: Ed, our company staff has a total of over 250
combined years experience in home healthcare. We also have a strong franchise
agreement and we make on-site quality control visits. In addition, we have Joint
FKH: For our readers: The Joint Commission is an
independent, not-for-profit organization, The Joint Commission accredits and
certifies more than 19,000 hospitals, health care organizations and programs in
the United States. Joint Commission accreditation and certification is
recognized nationwide as a symbol of quality that reflects an organization’s
commitment to meeting certain performance standards.
FKH: Given, the number of franchises in the home care
area, how does CareMinders separate themselves from other home care franchise
Gary K: In addition to our franchisees being able to offer a
full range of services, we also have a royalty program that declines as
franchisee billings increase. There is no minimum royalty and we don’t charge a
fee for national account sales.
FKH: Can you explain how your royalty program works?
Gary K: The royalty percent is 5% but can be reduced to
3.75% based upon the previous 30 day rolling cycle of billings. This rewards our
franchisees for increasing their revenues.
FKH: How do you deal with the billing and payroll issues
that your franchisees need to manage?
Gary K: We provide our franchisees a software program,
called VividNet that is web based. It’s a client and employee management program
that processes all of the back office activities a franchisee has to deal with.
We also have VividCall, which is a time and attendance program for our
franchisees that enables them to manage their caregivers.
FKH: Do all of your franchisees provide Medicare and
Medicaid reimbursed services?
Gary K: Our franchisees can provide 1.companion and
homemaker services, 2.personal care assistance with client’s activities of daily
living and 3.skilled home care services, subject to licensure and certification.
In any case, a franchisee must provide services under the first two categories.
FKH: In my last home care and franchising report, I
predicted that home care franchises will need to provide more services in order
to maintain growth. Looks like you’ve reached that stage.
CareMinders franchise territories are based on a population of approximately
The initial franchise fee is currently $39,000 for most locations and the
estimated investment including the franchisee fee ranges from $75,500 to
$123,900, excluding owner’s compensation. There is a Regional Development
program for qualified candidates.
The royalty fee is 5% of gross revenue, but can be reduced to as little as
3.75% as franchise revenues increase. The franchise term is 15 years with a 10
year renewal option.
Those interested in learning more about CareMinders should call: (855)
© 2011 FranchiseKnowHow, LLC
Ed Teixeira is the President of FranchiseKnowHow, LLC. He can be reached at