How much notice will Canopy Lawn Care provide before increasing the Brand Fund Contribution?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
We have established a production and marketing fund (the "Brand Fund") to promote CANOPY® businesses in the System and conduct other promotional and marketing activities. We currently require that you contribute 1% of your Gross Revenues to the Brand Fund ("Brand Fund Contribution"). You must pay the Brand Fund Contribution at the same time that you pay your Royalty fee. We reserve the right to increase the Brand Fund Contribution upon at least 30 days' notice to you, provided that the Brand Fund Contribution will not exceed 2% of Gross Revenues.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 32–38)
What This Means (2025 FDD)
According to Canopy Lawn Care's 2025 Franchise Disclosure Document, Canopy Lawn Care reserves the right to increase the Brand Fund Contribution, providing at least 30 days' notice to franchisees. Currently, franchisees are required to contribute 1% of their Gross Revenues to the Brand Fund.
However, the FDD stipulates that even with advance notice, the Brand Fund Contribution will not exceed 2% of Gross Revenues. This means that while Canopy Lawn Care can adjust the contribution rate, the increase is capped, offering some financial predictability for franchisees.
Franchisees must pay the Brand Fund Contribution at the same time they pay their Royalty fee. This integrated payment schedule simplifies the process but also means that any increase in the Brand Fund Contribution will directly impact the franchisee's regular financial obligations to Canopy Lawn Care.