Risk Score
Pending analysis
Investment Range
$10,350 - $18,550
Franchise Fee
$8,500
Total US Locations
545
Business Summary
Card My Yard franchises operate businesses that provide yard greeting services and related products. Card My Yard businesses set up and display festive yard signs and customized messages in front of customers' homes and businesses to commemorate and celebrate various events and occasions. The business is typically run from a home office and requires storage space for signs and letters.
Corporate History
CMY Franchising, LLC was formed in Delaware on September 3, 2020. The current parent company, CMY Holdco, LLC, acquired substantially all assets of the Card My Yard franchise system from its predecessor entities, Card My Yard Franchising, LLC and Card My Yard, LLC, on October 1, 2020. The original Card My Yard business concept was operated by Card My Yard, LLC in Austin, Texas, from September 2014 through September 2020. The predecessor, Card My Yard Franchising, LLC, offered franchises from June 2017 to September 2020. CMY Franchising, LLC began offering franchises in October 2020. In March 2024, CMY Holdco, LLC was acquired by FS PEP Holdco, LLC, creating additional affiliations.
Financial Overview
Investment Range
$10,350 - $18,550
Franchise Fee (Low)
$8,500
Franchise Fee (High)
$8,500
Royalty %
25%
Equipment Costs (Low)
$150
Equipment Costs (High)
$2,500
Working Capital
$1,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Qualified opinion
Financial Health Notes
CMY Franchising, LLC's auditor issued a Qualified Opinion for the year ended December 31, 2023, due to the company not recording share-based compensation in its financial statements. The company has also reported net losses for the years 2021, 2022, and 2023. Member's equity has declined from $12,480,698 in 2021 to $8,526,159 in 2023. The auditor's report does not raise concerns about the company's ability to continue as a going concern.
Financing Details
Card My Yard does not offer any direct or indirect financing to its franchisees and does not guarantee any of their notes, leases, or other obligations.
Performance Metrics
Total US Locations
545
Franchised Units
543
Corporate Units
2
Franchising Since
2017
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Count
1
Litigation Summary
Card My Yard has no litigation required to be disclosed in Item 3 of its Franchise Disclosure Document. However, in Item 13, it discloses one past lawsuit. The franchisor's parent company, CMY Holdco, LLC, filed a lawsuit on February 10, 2021, against a competitor in Bethesda, Maryland. The suit alleged trademark infringement and unfair trade practices because the competitor was operating under names confusingly similar to "Card My Yard." The parties resolved this dispute through a settlement agreement in July 2021. There is no ongoing litigation to report.
Bankruptcy History
Card My Yard has no bankruptcy history to report for the franchisor or its key personnel.
Agreement Terms
Initial Term
5 years
Renewal Term
5 years
Renewal Conditions
To renew the franchise agreement, Card My Yard franchisees must provide written notice between six and nine months before the initial term ends. They must refurbish or replace all necessary equipment, signs, fixtures, and other items to meet current brand standards. Franchisees must not be in default of any agreements with Card My Yard or its affiliates, must have paid all outstanding monetary obligations, and must maintain the right to their approved location. Additionally, they are required to pay a $3,000 renewal fee, sign a general release of claims, and comply with the then-current qualification and training requirements.
Training & Support Program
Franchisor Assistance
Before a Card My Yard business opens, the franchisor provides basic instructions for storing yard signs and letters, reviews and accepts the proposed site, grants electronic access to its confidential Manuals, provides an initial set of yard letters, graphics, stakes, lights, stands, business cards, a car magnet, and door hangers, offers a list of approved suppliers, and conducts an initial training program. After opening, Card My Yard performs periodic evaluations of operations, administers the marketing fund (if established), provides advertising and promotional materials, offers advice and written materials on managing operations, gives updated lists of approved suppliers, provides pricing methods and guidance, and maintains a centralized payment processing system on its website, handling customer payments, sales tax reporting, and weekly remittance of net proceeds to franchisees.
Initial Training Hours
22
Training Location
Online/virtual or corporate headquarters in Springville, Utah
Ongoing Support
Card My Yard provides ongoing support by conducting periodic evaluations of franchisee operations and administering a marketing fund, if established, which includes providing advertising and promotional materials. The franchisor offers advice and written materials on management and operations, gives updated lists of approved suppliers, and provides pricing methods and guidance. Additionally, it offers a centralized payment processing system through its website, handling customer payments, sales tax reporting, and weekly remittance of net proceeds. Franchisees are also required to attend mandatory annual conferences.
Franchise Requirements
Ideal Candidate Profile
Card My Yard requires its franchisees to designate an approved Principal Owner who holds an ownership interest in the business. This individual must dedicate their full-time efforts to supervising the business unless a separate General Manager is approved to do so. Even with a General Manager, the Principal Owner remains ultimately responsible for the business's performance. All owners must personally guarantee the franchise agreement. If a General Manager is appointed, they must also meet qualifications, devote full-time efforts to the business, and cannot be involved in other businesses. Each Card My Yard business must have a different General Manager.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Hands-On
Territory Type
Protected
Territory Size Requirements
Card My Yard Protected Areas are defined by zip codes and are anticipated to consist of one or more contiguous zip codes, including a population of no less than 30,000 people. The specific zip codes are determined on a case-by-case basis, considering factors like population, driving distance, proximity to the franchisee's location, and potential customer sources.
Staffing Notes
Card My Yard requires the franchisee's Principal Owner or a designated General Manager to operate the business under direct, on-site supervision, devoting full-time efforts to operations. Franchisees must maintain a competent, conscientious, and trained staff, ensuring good customer relations and compliance with any prescribed dress code. Additionally, any General Managers and other personnel with access to confidential information must sign non-competition and confidentiality covenants.