What was the net value of Canopy Lawn Care's property and equipment in 2024?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
LLC CONSOLIDATED BALANCE SHEETS SEPTEMBER 30, 2024, 2023, AND 2022
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 | 10,215,595 | 8,416,631 | 5,544,544 |
| Rebates receivable, net | 1,889,160 | 1,815,484 | - |
| Notes receivable | 97,904 | 24,492 | 231,429 |
| Inventory | 3,461,346 | 3,215,098 | 950,753 |
| Prepaid expenses and other | 854,615 | 2,211,505 | 1,436,976 |
| Total Current Assets | 19,459,852 | 17,420,611 | 9,655,997 |
| Property and Equipment, Net | 3,998,259 | 3,511,245 | 1,952,874 |
| Other Assets | |||
| Notes receivable, net of current portion | 623,693 | 293,452 | 199,591 |
| Intangibles, net | 237,978,533 | 246,073,099 | 153,303,800 |
| Right-of-use assets | 4,548,121 | 2,972,324 | - |
| Other assets | 37,688 | 28,923 | 28,923 |
| Due from affiliated companies | - | - | 958,379 |
| 243,188,035 | 249,367,798 | 154,490,693 | |
| $ 266,646,146 LIABILITIES AND MEMBER'S EQUITY | $ 270,299,654 | $ 166,099,564 | |
| Liabilities | |||
| Accounts payable and accrued expenses | $ 7,890,614 | $ 7,737,340 | $ 3,264,529 |
| Contract liability - deferred revenue on franchise sales | 936,343 | 2,189,795 | 1,619,650 |
| Contract liability - customer deposits | 1,016,629 | 1,518,782 | 780,338 |
| Operating lease liabilities, current portion | 965,045 | 664,894 | - |
| Total Current Liabilities | 10,808,631 | 12,110,811 | 5,664,517 |
| Long-Term Liabilities | |||
| Operating lease liabilities, net of current portion | 4,676,367 | 3,117,530 | - |
| Due to affiliated companies | 6,475,895 | 4,757,068 | - |
| Note payable | 525,000 | 525,000 | - |
| 11,677,262 | 8,399,598 | - | |
| Noncontrolling Interest (Deficit) | (296,513) | (119,883) | - |
| Member's Equity | 244,456,766 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 55)
What This Means (2025 FDD)
According to Canopy Lawn Care's 2025 Franchise Disclosure Document, the net value of property and equipment in 2024 was $3,998,259. This figure represents the depreciated value of assets like leasehold improvements, furniture, fixtures, office equipment, vehicles, equipment, computer equipment, and software. These assets are essential for Canopy Lawn Care's operations, reflecting investments in the resources required to deliver services.
For a prospective Canopy Lawn Care franchisee, this indicates the level of capital investment the company has in its physical assets. It is important to note that these assets are subject to depreciation and amortization, as reflected in the financial statements. The difference between the gross value of these assets ($5,380,053) and their net value ($3,998,259) is due to accumulated depreciation and amortization of $1,381,794.
Understanding the composition and value of these assets can help a franchisee assess the financial health and operational capabilities of Canopy Lawn Care. Reviewing the changes in property and equipment values over the three years presented (2022-2024) can provide insights into the company's investment trends and growth strategies. Additionally, franchisees may want to inquire about the specific types of equipment and their expected lifespan to better understand potential future capital expenditure needs.