Good Neighbor Pharmacy Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
n.a.
Investment required
$44,000 - $575,000
Royalty fee
n.a.

Good Neighbor Pharmacy: Empowering Independent Pharmacies with Community-Focused Care

Good Neighbor Pharmacy is a cooperative network of independently owned and operated pharmacies, established in the early 1980s. Founded as part of AmerisourceBergen, one of the largest pharmaceutical distribution companies in the world, the franchise was created to support independent pharmacists by providing them with resources and a brand that could compete with large chain pharmacies. 

Headquartered in Conshohocken, Pennsylvania, Good Neighbor Pharmacy operates with a mission to deliver personalized, community-focused healthcare while maintaining the autonomy of its member pharmacies.

The franchise began offering its services in the 1980s, providing member pharmacies with access to competitive pricing, marketing support, and a robust supply chain, enabling them to thrive in a market dominated by large corporations. 

What sets Good Neighbor Pharmacy apart is its commitment to customer service and community involvement, which has led to its recognition for excellence in customer satisfaction by J.D. Power and other industry bodies.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Good Neighbor Pharmacy offers 2 types of franchises:

Type of Pharmacy Initial Investment
GNP Premier Pharmacy Franchise (Existing Pharmacy) $43,797 to $556,405
Start-up Good Neighbor Pharmacy $278,797 to $575,205

We are summarizing below the main costs associated with opening a Start-up Good Neighbor Pharmacy franchise.

For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).

Start-up Good Neighbor Pharmacy

Type of Expenditure Amount
Real Property Lease/Leasehold Improvements $50,000 to $110,000
Leasehold Improvement Management Services $0 to $1,500
Furniture, Fixtures, and Equipment $25,000 to $75,000
Pharmacy Management System Hardware and Software $0 to $15,000
Point of Sale System Hardware and Software $0 to $35,000
Interior and Exterior Signage $0 to $5,000 (interior) / $0 to $20,000 (exterior)
Fees for Optional Goods and Services $0 to $1,908 (3 months)
Insurance $1,500 to $5,000
Opening Inventory (exclusive of GNP Private Label Products) $75,000 to $125,000
GNP Private Label Products $5,000 to $12,000
Pharmacy and Business Licenses $500 to $3,000
Additional Advertising and Marketing $0 to $15,000
Additional Funds – 3 months $120,000 to $150,000
GNP Premier Fee – 3 months $1,797
Total $278,797 to $575,205

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Number of units

2023
Franchised units

2,412

2,515

2,502

Company-owned units

0

0

0

Total units

2,412

2,515

2,502

Franchise Disclosure Document

Training 

Good Neighbor Pharmacy provides a structured training program to its franchisees, which includes the following key components:

  1. Operational Support Training: Franchisees receive guidance on managing daily pharmacy operations, covering areas such as inventory management, customer service, and workflow optimization. This ensures that each pharmacy operates efficiently and meets the high standards of the Good Neighbor brand.
  2. Marketing and Business Training: This includes strategies for attracting and retaining customers, enhancing community engagement, and effectively competing with larger chain pharmacies. Franchisees learn how to leverage marketing tools and techniques to build a loyal customer base.
  3. Ongoing Training and Support: Franchisees have access to continuous education and updates on industry trends, regulatory changes, and new technologies. This ongoing support helps pharmacies stay competitive and maintain a strong presence in their local communities.

Territory Protection

Good Neighbor Pharmacy does not typically offer territory protection to its franchisees in the traditional sense, as it operates more as a cooperative network rather than a standard franchise model. 

This means that while each independent pharmacy benefits from the collective strength and resources of the Good Neighbor Pharmacy brand, they do not usually receive exclusive rights to operate within a specific geographic area. 

Instead, the focus is on supporting independent pharmacies in maintaining their autonomy while providing them with the tools needed to compete effectively in their local markets.

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