Irvine-based St. Joseph Health bought 26 Nurse Next Door franchises with an option to buy 12 more.
Nurse Next Door is a Vancouver, Canada-based home healthcare provider with about 140 locations in Canada and the U.S., including in six Orange County cities, according to a statement and its website.
St. Joseph locations are planned for Orange, Los Angeles and San Bernardino counties and could represent a commitment of $2.8 million to $4.1 million based on startup costs for one location, which Nurse Next Door’s state franchisor filings list as $106,000 to $159,000. That includes a $47,000 franchise fee; multiunit franchisees typically pay lower franchise fees for additional locations.
The documents show average annual revenue of $458,000 for a franchise that’s open at least two years. Royalty and marketing fees are 6% of gross sales, and monthly revenue per patient systemwide averages $2,245.
Nurse Next Door provides various levels of care, including basic companionship, Alzheimer’s disease and dementia support, and skilled nursing.
Home healthcare providers have said their services can reduce hospital readmission rates.
—Vita Reed
