When is the Initial Franchise Fee for a Canopy Lawn Care franchise payable?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
e Agreement
Initial Franchise Fee. You must pay us an Initial Franchise Fee equal to $49,500, provided that your Territory is less than 45,000 single-family dwelling units ("Dwelling Limit"). The Initial Franchise Fee is payable in full when you sign a Franchise Agreement, and except as described below, is not refundable. Other than the Initial Franchise Fee, there are no other initial fees charged to you. If your Territory is larger than the Population Limit, we reserve the right to charge you an increased Initial Franchise Fee, which will be determined on a case-by-case basis.
Additional Dwelling Fee. If we permit you to purchase additional geographic areas for a specific Territory so that the Territory exceeds 45,000 single-family dwelling units, then you must pay us an additional fee in an amount equal to the single-family dwelling units in your Territory in excess of 45,000 multiplied by $0.95 (the "Additional Dwelling Fee"). We do not anticipate granting a single Territory that exceeds the Dwelling Limit of single-family dwelling units. The Additional Dwelling Fee is earned upon receipt and not refundable under any circumstances.
For example, if we permit you to purchase additional geographic areas for your Territory so that the individual Territory consists of a total of 65,000 single-family dwelling units, then you must pay us an Additional Dwelling Fee equal to $19,000, for a total Initial Franchise Fee of $68,500 (which is equal to $49,500 + $19,000).
VetFran Discount. We are a member of the International Franchise Association ("IFA"), and support and participate in IFA's VetFran Program.
Source: Item 5 — INITIAL FEES (FDD pages 17–19)
What This Means (2025 FDD)
According to Canopy Lawn Care's 2025 Franchise Disclosure Document, the initial franchise fee is generally payable in full when you sign the Franchise Agreement. The standard initial franchise fee is $49,500, assuming the territory covers less than 45,000 single-family dwelling units. If the territory exceeds this limit, Canopy Lawn Care reserves the right to charge an increased initial franchise fee, determined on a case-by-case basis.
There are some exceptions to the standard payment terms. If a franchisee is purchasing multiple contiguous territories and is in the process of securing financing, Canopy Lawn Care may allow the initial franchise fees to be paid in installments. In this case, the franchisee would pay the full initial franchise fee for the first territory, plus a minimum of $5,000 for each additional territory upon signing the franchise agreements. The remaining balance for the additional territories would then be due upon the earlier of 90 days from the execution of the franchise agreements or the date the franchisee receives funding.
It's important to note that the initial payment is non-refundable. If a franchisee fails to pay the remaining balance of the total initial franchise fees under the installment plan, Canopy Lawn Care has the right to terminate the franchise agreements. Additionally, if a franchisee purchases additional geographic areas that exceed the 45,000 single-family dwelling unit limit, an additional dwelling fee applies, calculated by multiplying the excess dwelling units by $0.95. This additional dwelling fee is also earned upon receipt and is non-refundable.