If a Canopy Lawn Care franchisee arranges the buyer for a transfer, what is the transfer fee?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
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| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| QuickBooks Online is currently $74.50; QuickBooks Payroll QuickBooks Payroll is currently $35.75 for the Core service and $59.30 for the premium service. The cost of service increase as additional employees are added. | S | Monthly econdary Fees | This is paid to us or our affiliate. We may increase this fee based upon any increases imposed by the third-party vendor. QuickBooks Online is required, but QuickBooks Payroll is optional. |
| Transfer Fee (Note 6) | If you arrange the buyer, the transfer fee is the greater amount of $10,000 or 20% of our thencurrent initial franchise fee. If we arrange the buyer, the transfer fee is the greater amount of $15,000 or 30% of our thencurrent initial franchise fee. | Upon application for transfer | We must approve any transferee. If the transfer does not occur or we do not approve the transfer, we will refund the fee less our expense |
Source: Item 6 — OTHER FEES (FDD pages 19–24)
What This Means (2025 FDD)
According to Canopy Lawn Care's 2025 Franchise Disclosure Document, the transfer fee depends on who arranges the buyer. If a franchisee arranges the buyer for their Canopy Lawn Care franchise, the transfer fee is the greater of $10,000 or 20% of the then-current initial franchise fee.
This fee is due upon application for the transfer. However, Canopy Lawn Care must approve any transferee. If the transfer does not occur or Canopy Lawn Care does not approve the transfer, the document states that Canopy Lawn Care will refund the fee, less any expenses associated with their review.
It's important to note that if Canopy Lawn Care arranges the buyer, the transfer fee is higher: the greater of $15,000 or 30% of the then-current initial franchise fee. This difference highlights the value Canopy Lawn Care places on its own efforts in finding a suitable buyer for a franchise.