Visiting Angels Franchise Analysis 2026

What is Visiting Angels?

Founded in 1991, Visiting Angels operates 720 US locations specializing in non-medical senior home care and companion services. The franchise benefits from demographic tailwinds supporting in-home elder care demand and has built strong franchisee loyalty through operational support and recurring revenue models.

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Investment & Fee Data

Investment Overview

Franchise Fee$52K

Total Investment$125K – $171K

Royalty Rate3.5%

Ad/Marketing Fund0.5%

Total Fee Burden4.0%

System Size & Growth

US Locations720

Unit Growth Rate+2.0%

Founded1991

Franchising Since1998

FDD Item 19Yes ✓

🔒 Premium Data Available

Avg Unit Volume (AUV)$1.7M

Owner Earnings$160K

SBA Default RateN/A

5-Year Survival92%

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💡 What This Means For You

A combined fee burden of 4.0% is well below the industry average, leaving you more room for profitability. Beyond the listed investment, expect approximately $99K in hidden costs (working capital, legal, insurance, tech fees) — bringing your realistic total closer to $247K.

Financial Performance & Risk Analysis

Financial Performance

Avg Unit Volume (AUV)$1.7M

Net Profit Margin13%

Est. Owner Earnings$160K

Breakeven6-12 months

Payback Period1-2 years

Capital Requirements & Operations

Liquid Capital Required$100K

Net Worth Required$200K

Staff Required30-100 caregivers

Training1 weeks

TerritoryDesignated area

Multi-Unit RequiredNo

Term Length10 years

Risk & SBA Safety Data

SBA Default RateNo Data

5-Year Survival92%

Renewal FeeVaries

Transfer FeeVaries

💡 Financial Analysis

The revenue-to-investment ratio of 11.4x is excellent — every dollar invested generates $11.4 in annual revenue, well above the 2x industry benchmark. At estimated owner earnings of $160K/year, the simple payback period is approximately 0.9 years.

Due Diligence Deep Dive

The data franchise brokers don't show you — real costs, owner lifestyle, franchisee satisfaction, exit options, and FDD transparency.

💰 True Cost of Ownership

Working Capital (6 mo)$50K

Legal & Accounting$15K

Insurance (Annual)$20K

Tech/Software (Monthly)$700/mo

Lease Deposit Est.$0

Grand Opening$10K

Total Hidden Costs$99K

👤 Owner Reality Check

Hours Per Week50-60

Absentee Owner Friendly?No ✗

Manager-Run Possible?Yes ✓

Seasonal VariationLow

Labor Cost (% of Revenue)62%

Owner-managed operations. Expect to invest 50-60 hours per week managing day-to-day activities, staff oversight, customer acquisition, and brand compliance. Focus on operational efficiency and franchisee standards adherence.

📊 Franchisee Health

Satisfaction Score82/100 (Good)

Annual Turnover Rate3.0%

Litigation Count (Item 3)6 cases

5-Year Closure Rate2%

Avg Franchisee Tenure12 years

Franchisee AssociationYes ✓

🚪 Exit Strategy & Resale

Resale Value Multiple3.0-4.0xx earnings

Transfer RestrictionsFranchisor approval required; right of first refusal

Non-Compete Period3 years

Non-Compete Radius25 miles

Avg Time to Sell6-12 months

Exit DifficultyModerate

📋 FDD Transparency Report

Item 19 QualityComprehensive

Item 19 Includes:

✓ Gross revenue

✓ Operating costs

✓ Staffing costs

Territory ProtectionStrong

Territory scope varies by location; strong exclusivity provided

Required Suppliers?No

Supplier Markup RiskNone

Renewal Terms10-year term; renewal terms subject to brand standards compliance

🚩 FDD Red Flags & Green Flags

⚠️ Watch Out For:

Moderate fee structure (4.0% total)Low litigation history

✅ Positive Signals:

Item 19 comprehensive financial disclosureEstablished system with strong unit baseTrack record data available

💡 Due Diligence Verdict

A franchisee satisfaction score of 82/100 is a strong positive signal — happy franchisees usually mean good support, realistic expectations, and a healthy franchisor-franchisee relationship. At 62% of revenue going to labor, staffing is your #1 cost driver. Minimum wage increases in your state could significantly impact margins.

AI Disruption Risk Assessment

🛡️ AI Disruption Risk: Very Low

9/100

AI-Proof Disruption Timeline: 10+ years High Risk

Very low risk. Like Home Instead, Visiting Angels provides essential human care (companionship, assistance, medical support) that AI cannot replace. The franchise model is protected by regulation and the nature of care itself.

AI Threats:

Regulatory human presence requirements

Defensive Moat:

Franchisee network, caregiver relationships, in-home service, regulatory licensing, family trust.

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AI Risk Analysis

See how AI will impact Visiting Angels over the next 5-10 years — threats, moats, and disruption timeline.

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Territory Saturation Analysis

0.21

Units per 100K pop.

0.16x

Saturation Index

vs. Senior Care avg (1.31/100K)

States with Presence

Low Saturation

Visiting Angels has significant whitespace opportunity relative to its category.

Geographic Distribution

No units

High density

Most Saturated States

State	Units	Population	Per 100K
Wyoming	17	581,000	2.93
Montana	24	1,118,000	2.15
Washington DC	14	671,000	2.09
Vermont	12	645,000	1.86
North Dakota	14	781,000	1.79

Least Saturated States

State	Units	Population	Per 100K
California	16	39,029,000	0.04
Texas	14	30,503,000	0.05
Illinois	14	12,549,000	0.11
North Carolina	13	10,849,000	0.12
Florida	29	23,555,000	0.12

Growth Opportunity States

High-population states where Visiting Angels has minimal or no presence — potential expansion territories.

New York Washington Missouri Oregon Oklahoma

Investment Thesis

Visiting Angels carries a BUY signal with a FutureScore of 77/100. A strong second option in senior care with the lowest royalty rate in the category (3.5%). The $125K-$171K investment with $1.68M AUV provides excellent returns. The 4% total fee burden means more margin stays with the operator.

Ideal Investor Profile: Cost-conscious investor prioritizing low ongoing fees

Strengths

Lowest royalty in senior care (3.5%)4% total fee burden — best in categoryLow entry costStrong brand recognition

Risk Factors

Caregiver recruitment challengesLower AUV than Home InsteadThin margins

Visiting Angels