What was the net value of Canopy Lawn Care's property and equipment in 2023 (as restated)?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
| ASSETS | |||||
|---|---|---|---|---|---|
| 2024 | 2023 ("As Restated") | 2022 ("As Restated") | |||
| Current Assets | |||||
| Cash | $ 2 ,941,232 | $ 1 ,737,401 | $ 1 ,492,295 | ||
| Royalties and accounts receivable, net | 1 0,215,595 | 8 ,416,631 | 5 ,544,544 | ||
| Rebates receivable, net | 1 ,889,160 | 1 ,815,484 | - | ||
| Notes receivable | 9 7,904 | 2 4,492 | 2 31,429 | ||
| Inventory | 3 ,461,346 | 3 ,215,098 | 9 50,753 | ||
| Prepaid expenses and other | 8 54,615 | 2 ,211,505 | 1 ,436,976 | ||
| Total Current Assets | 1 9,459,852 | 1 7,420,611 | 9 ,655,997 | ||
| Property and Equipment, Net | 3 ,998,259 | 3 ,511,245 | 1 ,952,874 | ||
| Other Assets | |||||
| Notes receivable, net of current portion | 6 23,693 | 2 93,452 | 1 99,591 | ||
| Intangibles, net | 2 37,978,533 | 2 46,073,099 | 1 53,303,800 | ||
| Right-of-use assets | 4 ,548,121 | 2 ,972,324 | - | ||
| Other assets | 3 7,688 - | 2 8,923 | 2 8,923 - | 9 58,379 | |
| Due from affiliated companies | |||||
| 2 43,188,035 | 2 49,367,798 $ 2 66,646,146 | 1 54,490,693 | $ 2 70,299,654 | $ 1 66,099,564 |
Source: Item 23 — RECEIPT (FDD pages 55–199)
What This Means (2025 FDD)
According to Canopy Lawn Care's 2025 Franchise Disclosure Document, the net value of its property and equipment in 2023 (as restated) was $3,511,245. This figure represents the company's investment in physical assets like vehicles, machinery, and office equipment, minus accumulated depreciation.
For a prospective franchisee, this number provides insight into the scale of Canopy Lawn Care's operations and its reliance on physical assets. A higher value might suggest a more capital-intensive business model, potentially requiring franchisees to also invest significantly in equipment. It also allows comparison against previous years to see trends in capital investment.
It's important to note that these figures are 'as restated,' meaning Canopy Lawn Care has made adjustments to previously reported numbers. While restatements aren't inherently negative, a franchisee should understand the reasons behind them. Reviewing several years of financial statements, as presented in the FDD, helps to establish a more complete picture of the company's financial health and asset management strategies.
Understanding the composition and depreciation schedule of Canopy Lawn Care's property and equipment is crucial for assessing future capital expenditure needs. A potential franchisee should inquire about the typical lifespan of equipment, replacement costs, and any planned investments that could impact the company's financial performance.