Canopy

Item 7 lays out the financial entry: initial investment ranges from $98,100 to $188,200, with a $49,500 franchise fee covering territory based on single-family homes. Ongoing fees hit hard at 8% royalty, plus 2% technology, 1% brand fund, and a flat $350/month bookkeeping—totaling around 11% plus fixed costs that could squeeze thin margins in a seasonal business. Item 19 shines light on performance: average gross revenue of $103,458 and median $99,704 from comparable outlets, suggesting steady but not explosive sales in a market with established players. With just one SBA loan averaging $153,300 on record, financing isn't flooding in yet, hinting prospective owners might need personal capital to cover the lower-end buildout from a home office or warehouse.

System health metrics paint a cautious picture: 41 franchised plus 5 corporate locations grew only 5% from 39 to 41 units last year, with 4 terminations signaling early churn in a franchising debut from 2023 under Empower Brands. Projected 11 new units shows optimism, but the low termination count relative to size is tempered by the youth of the system—many outlets may still be ramping. For investors eyeing home services, Canopy's disclosed revenues offer a realistic benchmark around $100K gross, but seasonal suburban demand and competition mean profitability hinges on efficient ops and add-on sales like aeration; it's viable for hands-on operators, yet the fee stack and slow growth warrant scrutiny before committing.