Key Takeaways
- The initial investment for an Amada Senior Care franchise ranges from $116,765 to $278,040 with a franchise fee of $55,000.
- Profit margins vary based on location, market demand, and operational efficiency.
- According to online sources, Amada Senior Care franchise owners typically earn between $150,000 and $200,000 annually, with some top performers generating even higher income levels.
- Senior Care Authority presents a strong alternative, prioritizing comprehensive training and support, which can potentially result in a faster return on investment (ROI).
Amada Senior Care Franchise Overview
Amada Senior Care was founded in 2007 by Tafa Jefferson, who saw a growing need for quality in-home care for seniors. Since its inception, Amada has expanded significantly and now has over 213 franchise units across the United States as of 2024. The company has been recognized multiple times in Entrepreneur’s Franchise 500 rankings – reflecting its good market presence and growth potential.
Amada Senior Care focuses on providing a range of in-home care services to meet the unique needs of each senior client. The company’s mission is to enrich the lives of seniors by offering compassionate and professional care, allowing them to maintain their independence and quality of life.
Franchise Attribute | Details |
Incorporated Name | Amada Franchise Inc. |
Corporate Address | 901 Calle Amanecer, #350, San Clemente, CA 92673 |
Number of Units | 213 |
Term of Agreement | 10 years; renewable |
Canada Franchises | Yes, available |
International Franchises | Yes, available |
Home-Based Franchise | No |
Absentee Franchise | No, the owner must be involved in daily operations |
Item 19 | Available, contact them for more information |
Master Franchise Opportunity | No |
Senior Care Authority: Leading Senior Care Franchise
Join the award-winning, recession-resistant Senior Care Authority franchise, established in 2009 in Sonoma, California. Our franchise network has earned a place in the Franchise 500 Ranking, reflecting our powerful reputation and reliability. We pride ourselves on achieving outstanding franchisee satisfaction, with 97% of our franchisees recommending our brand. We’re an approved franchise of the Small Business Administration (SBA). As a part of our network, you will deliver essential eldercare consulting services and benefit from a proven business model and a supportive community. |
Amada Senior Care Franchise Initial Investment and Costs
Initial Investment Breakdown
The initial investment for an Amada Senior Care franchise typically ranges from $116,765 to $278,040. This range covers the following:
- Franchise Fee: $55,000
- Lease or Rent: $4,000 – $4,500
- Utility Deposits: $750 – $1,200
- Furniture, Office Equip and Supplies: $2,500 – $6,000
- Vehicle and Wrap: $0 – $7,100
- Required Technology: $2,740 – $8,865
- Grand Opening Advertising: $1,500
- Training Expenses: $2,000 – $9,000
- Marketing Materials and Business Dev: $4,500 – $7,500
- Insurance (Excluding Workers’ Comp): $375 – $750
- Workers’ Compensation Insurance: $250 – $2,125
- Legal and Accounting Fees: $1,500 – $5,000
- Licenses and Permits: $1,650 – $13,000
- Loan Packaging Fee: $0 – $6,500
- Wages and Compensation: $0 – $70,000
- Additional Funds – 3 Months: $40,000 – $80,000
Interested Amada Senior Care franchise owners must also comply with net worth and liquid cash requirements of $250,000 and $150,000, respectively.
Franchise Fee
The franchise fee for an Amada Senior Care franchise is $55,000 – it grants you the right to operate under the Amada brand and access their comprehensive training and support programs.
Royalty Fees
Amada Senior Care franchisees are required to pay ongoing royalty fees. These fees are typically a percentage of your gross revenue, usually at 5%. Royalty fees help fund the support and resources provided by Amada to its franchisees, including ongoing training, technology updates, and marketing support.
Franchisees must contribute to a 1% ad royalty fee – this supports broader marketing campaigns that benefit all Amada franchises, such as national advertising, digital marketing, and public relations efforts.
Amada Senior Care Franchise Profit Margin
The senior care industry typically sees profit margins ranging from 10% to 20%. However, individual franchise performance can vary based on the effectiveness of management, local market conditions, and competition.
The duration of the Amada Senior Care franchise being open also plays a part in the profit margin.
For example, the average gross revenue of a unit in its 6th year is around $2.9M – which indicates a high-profit margin as time progresses.
Factors Affecting Profit Margin
Several factors can influence the profit margin of an Amada Senior Care franchise:
- Location: Franchises in areas with higher demand for senior care services tend to see better profit margins.
- Operational Efficiency: Efficient management of resources, staff, and costs can significantly impact profitability.
- Market Demand: Areas with a growing senior population often present more opportunities for higher profit margins.
- Competition: Less competition in the local market can lead to higher profit margins for your franchise.
Here are the Amada Senior Care territories available for future franchisees. At the time of writing, there are 3 available territories in Hawaii (not shown in the image above).
Amada Senior Care Franchise Owner Salary
Online sources such as FinModelsLabs state that Amada Senior Care franchise owners typically earn between $150,000 and $200,000 annually, with some top performers generating even higher income levels. However, this range can vary based on the size and success of the individual franchise.
Amada Senior care performance metrics that can indicate your potential salary.
Factors Influencing Salary
Several factors can influence the salary of an Amada Senior Care franchise owner:
- Business Size and Revenue: Larger franchises with higher revenue typically allow for higher owner salaries.
- Operational Involvement: Owners who are more involved in day-to-day operations may see higher salaries due to reduced staffing costs.
- Experience and Skills: Experienced owners with strong business acumen and management skills can drive higher profitability and, consequently, higher salaries.
Franchise Attribute | Amada Senior Care | Senior Care Authority, LLC |
Type of Franchise | Home Care and Assisted Living Placement | Eldercare Consulting and Senior Living Placement |
Number of Units | 213 | 104 |
Term of Agreement | 10 years; renewable | 10 years; renewable |
Canada Franchises | Yes, available | Available |
International Franchises | Yes, available | Not available |
Investment Cost | $116,765 to $278,040 | $73,140 to $99,040 |
Net Worth Requirement |
|
|
Franchise Fee | $55,000 | $52,500 |
Royalty Fee | 5% | 8% |
Table showing the differences between Amada Senior Care and Senior Care Authority businesses.
Why Choose Senior Care Authority Instead?
While Amada Senior Care offers a compelling franchise opportunity, it’s essential to consider other options in the senior care industry. Senior Care Authority stands out as a strong alternative.
Founded in 2009 by our Founder and CEO Frank Samson, we focus on providing a concierge approach to senior care. We provide an economical entry into the senior care industry, characterized by low overhead and the potential for a quick return on investment (ROI).
Our company has quickly earned a reputation for excellence and has been recognized in the Franchise 500 Ranking.
Unique Benefits
Senior Care Authority provides several unique benefits that make it an attractive option for potential franchisees:
- Comprehensive initial training, mentoring, and coaching programs
- Exclusive territories to minimize competition
- Low overhead costs since it can be operated from home and has a potential for quick ROI
- Access to proprietary software and a franchisee intranet platform
- Ongoing support and marketing assistance
- Diverse revenue streams thanks to different services including eldercare consulting and specialized programs like “Beyond Driving with Dignity.”
97% of our franchisees enjoy being part of our brand family and would recommend our senior care franchise brand to another franchisee candidate.
Comparison with Amada
When comparing Senior Care Authority with Amada Senior Care, several key differences stand out:
- Business Model: Senior Care Authority specializes in senior placement services and eldercare consulting. Our business is all about helping families find assisted living communities or residential care homes – and our eldercare consulting program guides families in eldercare decisions. On the other hand, Amada Senior Care offers personal care, companionship, and daily living support for seniors at home.
- Initial Investment: Senior Care Authority’s initial investment ranges from $73,140 to $99,040, which is lower when compared to Amada’s $116,765 to $278,040.
- Franchise Fee: Senior Care Authority’s franchise fee is also lower at $52,500, while Amada’s is $55,000.
- Training and Support: Both franchises offer comprehensive training and support, but Senior Care Authority’s concierge approach provides a more personalized experience. We also require our franchisees to obtain a Certified Senior Advisor (CSA) certification.
- Overhead Costs: Senior Care Authority has lower overhead costs, allowing for a quicker return on investment.
While both franchises operate in the senior care industry, they have distinct service focuses – Senior Care Authority on placement and consulting, and Amada on in-home care. The financial requirements also differ, with Senior Care Authority having a lower initial investment range. Franchisees should carefully evaluate their goals, experience, and financial capabilities to determine which franchise is the best fit.
Explore Senior Care Franchise Opportunities Today
Frequently Asked Questions (FAQ)
What is the initial franchise fee for Amada Senior Care?
The initial franchise fee for an Amada Senior Care franchise is $55,000. This fee grants you the right to operate under the Amada brand and access their comprehensive training and support programs.
How long does it take to become profitable?
The time it takes to become profitable can vary based on several factors, including location, market demand, and operational efficiency. On average, franchisees can expect to see a return on investment within 12 to 24 months. However, effective management and strong local market demand can shorten this timeframe. For example, the average gross revenue for Amada Senior Care franchisees in their third calendar year is $1.2M.
What support does Amada provide its franchisees?
Amada Senior Care offers extensive support to its franchisees, including:
- Provides extensive training through Amada University.
- Awards large protected territories with a minimum population of 350,000.
- Encourages building relationships with referral sources like hospitals and insurance agencies.