What document must individuals sign if the Canopy Lawn Care franchisee is an entity?

According to Canopy Lawn Care's 2025 Franchise Disclosure Document, if a franchisee is an entity and accepts financing from Canopy Lawn Care, certain individuals must sign the "Guarantee and Assumption of Obligations" form. This form is attached as Attachment B to the Franchise Agreement.

This requirement means that if the franchisee is a corporation, LLC, or other business entity, certain individuals associated with that entity (likely owners, directors, or officers) will be personally responsible for the franchisee's obligations to Canopy Lawn Care under the financing agreement. This is a common practice in franchising, as franchisors often want to ensure that there is a personal guarantee behind the financial obligations of a franchisee, especially when the franchisee is a business entity with limited liability.

Prospective Canopy Lawn Care franchisees should carefully review Attachment B to understand the full scope of the personal guarantee and the obligations they would be assuming. They should also consult with an attorney or financial advisor to assess the risks and implications of signing such a guarantee. It is important to note that this requirement only applies if the franchisee accepts financing from Canopy Lawn Care; if the franchisee pays the initial fees in cash, this personal guarantee may not be required.