How often must a Canopy Lawn Care franchisee pay the Brand Fund Contribution?
Canopy_Lawn_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
Franchisor currently requires that you contribute 1% of your Gross Revenues to the Brand Fund ("Brand Fund Contribution").
Franchisee must pay the Brand Fund Contribution at the same time as the Royalty Fees.
Franchisor reserves the right to increase the Brand Fund Contribution upon at least 30 days' notice to Franchisee, provided that the Brand Fund Contribution will not exceed 2% of Gross Revenues.
Source: Item 22 — CONTRACTS (FDD page 55)
What This Means (2025 FDD)
According to Canopy Lawn Care's 2025 Franchise Disclosure Document, franchisees are required to contribute to the Brand Fund. This contribution is currently set at 1% of the franchisee's Gross Revenues. The Brand Fund is used to promote Canopy Lawn Care businesses and conduct marketing activities.
The Brand Fund Contribution must be paid at the same time as the Royalty Fees. While the FDD does not explicitly state the payment frequency of Royalty Fees, it is common practice in the franchise industry for royalty fees to be paid on a weekly or monthly basis. Therefore, it is likely that the Brand Fund Contribution is also paid weekly or monthly.
Canopy Lawn Care retains the right to increase the Brand Fund Contribution, but it cannot exceed 2% of Gross Revenues. The franchisor must provide at least 30 days' notice before increasing the Brand Fund Contribution. Prospective franchisees should confirm the exact payment schedule for both Royalty Fees and the Brand Fund Contribution with Canopy Lawn Care to fully understand their ongoing financial obligations.