BrightStar Care is among the largest residence care franchises within the nation, however there are additionally a couple of issues concerning the firm that make it distinctive.

First, it has a senior dwelling portfolio – consisting of BrightStar Senior Residing and BrightStar Care Properties – which grew out of the popularity that residence care purchasers typically relied on BrightStar to supply steering when senior dwelling choices grew to become needed.

It invests far more in Medicare Benefit (MA) operations than its friends, which has been a degree of rivalry with a few of its franchisees up to now. It’s far more embedded in different residence care fashions than some comparable fashions, particularly the hospital at residence. It additionally has a partnership with Chamberlain College aimed toward broadening the pool of residence well being care employees.

These numerous initiatives have helped the corporate broaden its company footprint. It now has about 10% of its places beneath company possession, permitting it to check new concepts and use circumstances.

In the meanwhile, BrightStar stays unbiased. However its founder and CEO, Shelly Solar, instructed to Residence Well being Care Information in 2022 that the corporate would ultimately “be part of” a bigger community.

“Ten years from now, I’ll nonetheless be working for this model, no matter whether or not I make all the selections at residence or whether or not I’m an worker inside a bigger ecosystem employees,” Solar stated on the time. “I feel within the subsequent three to 5 years we'll see that chance to align inside a payer, with a hospital community, with a Medicare residence well being company. That can be needed, as a result of I feel we have to get nearer to the federal government financing mannequin.”

Solar based BrightStar Care in 2002 and started franchising three years later. Now the corporate's portfolio contains greater than 380 residence care places nationwide. Along with providing residential and residential take care of seniors, it additionally provides extra care employees to enterprise clients.

By 2020, Solar had constructed a $500 million enterprise. 4 years later, systemwide income has elevated to greater than $650 million.

Practically three years after Solar teased a attainable sale or merger, HHCN caught up together with her once more to debate the corporate's future.

“A whole lot of the [larger networks] have made some massive acquisitions lately, so that they're nonetheless making an attempt to devour these,” Solar stated. “So perhaps [we make that move] within the subsequent two years, or perhaps seven years. The flexibility to align is determined by what the cycles in the end appear to be.”

There have been some notable acquisitions within the residence care franchise world lately.

Honor acquired Residence As a substitute in 2021. That very same 12 months, Advocate acquired Aurora Enterprises Senior Helpers. And final September, The Halifax Group acquired Consolation Keepers from Sodexo.

It’s notable that every one of those residence care franchises have been acquired by several types of entities. Honor is a house care know-how platform; Advocate Aurora Enterprises is a part of a healthcare system, particularly Advocate Well being, after Advocate Aurora and Atrium Well being merged; and The Halifax Group is a non-public fairness agency.

For BrightStar Care, Solar believes retailers and payers will take advantage of sense if an acquisition involves fruition sooner or later.

“I feel it's a payer or a retailer,” Solar stated. “It wouldn't be a well being care system as a result of well being care programs don't run from coast to coast. We’ve got had alternatives to hitch those that had been beforehand regionally targeted. And it will have been a really excessive sale value, however I'm not motivated by the cash.”

The most important payers are all invested ultimately in residence care, however not particularly within the supply of non-public residence care.

In residence care, UnitedHealth Group (NYSE: UNH) owns LHC Group and is within the technique of buying Amedisys Inc. (Nasdaq: AMED). Humana Inc. (NYSE: HUM) additionally has CenterWell Residence Well being.

Humana was one of many first payers to spend money on residence care with SeniorBridge, however has since discontinued that initiative. The corporate additionally divested Kindred at Residence's private care property after totally buying them.

Residence care companies are usually the most well-liked amongst payers, for instance by way of entities like Elevance Well being's (NYSE: ELV) Carelon.

A big residence well being community might make sense for these payers, however traditionally an acquisition could be a departure from their technique.

On the retailer entrance, CVS Well being (NYSE: CVS) and Walgreens Boots Alliance (Nasdaq: WBA) have each modified their enterprise plans to turn out to be extra well being care suppliers than simply retailers. Greatest Purchase (NYSE: BBY) can be energetic in healthcare, particularly by way of residence care initiatives.

A payer or main retailer buying a franchise the dimensions of BrightStar might have vital impacts on the house well being care business.

But it surely might additionally assist BrightStar obtain its objectives of caring for as many seniors as attainable.

“I would like this model to nonetheless exist in thirty to fifty years,” Solar stated. “And for me, I feel that's unimaginable if we align ourselves with somebody who isn’t going to assist us essentially attain extra moms and dads, grandmothers and grandfathers. So if we're searching for progress capital or a partnership, it's going to be with somebody who can assist me develop the pie, not simply pay me out, proper? As a result of that’s not my motivation.”