Conserva Irrigation Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$125,800 - $159,500
Franchise Fee
$24,750
Total US Locations
202
Business Summary
CONSERVA IRRIGATION® operates businesses that specialize in the repair, maintenance, service, design, and construction of irrigation systems for both residential and commercial clients. A key focus of CONSERVA IRRIGATION® is water conservation. These businesses also offer complementary services such as landscape drainage solutions, including the installation, service, and maintenance of water collection devices designed to redirect water away from residential and commercial properties.
Corporate History
The CONSERVA IRRIGATION® business concept began operations under Underground Logistics, Inc. (UGLI) in April 2004, and the Conserva Irrigation mark was adopted in April 2012. The CONSERVA IRRIGATION® franchise system was formally launched in March 2017 by its predecessor, Conserva Irrigation Franchising, LLC (CI LLC), which franchised the system until September 2021. In September 2021, Conserva Irrigation Franchisor, LLC, the current franchisor, acquired the franchise assets and has continued to operate the system since then.
Financial Overview
Investment Range
$125,800 - $159,500
Franchise Fee (Low)
$24,750
Franchise Fee (High)
$66,000
Royalty %
8%
Marketing %
1.5%
Equipment Costs (Low)
$6,300
Equipment Costs (High)
$12,000
Working Capital
$22,500
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
Outdoor Living Brands Holdco LLC, the parent company of Conserva Irrigation, consistently receives unqualified audit opinions on its consolidated financial statements, indicating that its financial records are presented fairly in all material respects. The company also states that its management actively monitors receivable balances and evaluates the credit standing of financial institutions to limit credit risk. While the company acknowledges potential risks from liquidity issues in global credit and capital markets, there are no specific concerns about Conserva Irrigation's ability to continue as a going concern or significant financial difficulties noted in the audit report or notes.
Financing Details
Conserva Irrigation offers limited direct financing, specifically to qualifying existing franchisees. This financing can cover up to 80% of the franchise fee for a period of up to 24 months. The interest rate for this financing is set at four percentage points above the prime interest rate at the time the Franchise Agreement is signed. Payments are made in equal monthly installments, and there are no penalties for prepaying the loan. Conserva Irrigation does not sell or assign these financing notes to third parties. Beyond this specific franchise fee financing for existing franchisees, Conserva Irrigation does not provide any other direct or indirect financing, nor does it guarantee loans or other obligations.
Performance Metrics
Total US Locations
202
Franchised Units
202
Corporate Units
0
Avg Square Footage
250
Franchising Since
2017
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Conserva Irrigation has no litigation cases or legal disputes to report.
Bankruptcy History
Conserva Irrigation has no bankruptcy history to report.
Agreement Terms
Initial Term
7 years
Renewal Term
7 years
Renewal Conditions
To renew their Conserva Irrigation® franchise, franchisees must notify the franchisor between two and six months before their current agreement expires. They must be current on all payments to Conserva Irrigation and its affiliates and must not have committed two or more breaches of the franchise agreement in the 24 months before renewal, even if those breaches were resolved. Franchisees are also required to meet the franchisor's current qualifications for new and renewing franchisees, pay a successor franchise fee (currently the greater of $4,950 or 10% of the then-existing initial franchise fee), sign a general release of all claims against Conserva Irrigation, upgrade their computer system and vehicle to current standards, and provide proof of all necessary licenses, insurance, and permits. The new renewal agreement may contain materially different terms and conditions.
Training & Support Program
Franchisor Assistance
Conserva Irrigation provides comprehensive support to its franchisees. Before opening, Conserva Irrigation designates the franchisee's territory and provides specifications for all required equipment, tools, inventory, and supplies. It conducts an initial training program of up to 10 business days for the Designated Business Manager and one additional person at its Richmond, Virginia office or a designated location. Franchisees are also loaned a confidential operations manual, receive an initial art graphics package for branding, and may receive optional on-site assistance during the first months of operation. Ongoing support includes informing franchisees of mandatory operational standards, providing telephone availability for operational issues, researching new products and services, and maintaining a National Branding & Marketing Fund for promotional programs. Conserva Irrigation also provides advertising materials in the form of a graphics package and may offer additional assistance or delegate duties to regional representatives. If a franchisee is unable or unwilling to handle a specific job, Conserva Irrigation reserves the right to assign it to another franchisee, complete it itself, or hire a third-party specialist.
Initial Training Hours
84
Training Location
Richmond, Virginia
Ongoing Support
Conserva Irrigation provides ongoing support to its franchisees through various channels. This includes keeping franchisees informed about mandatory operational standards and procedures, and making representatives available by telephone during business hours to discuss operational issues and support needs. Conserva Irrigation also conducts research on new products, services, and methods, sharing this information with franchisees. It maintains a National Branding & Marketing Fund to develop promotional programs and provides access to advertising materials. Additionally, Conserva Irrigation may offer continuing conference calls, meetings, or mandatory annual conferences, and may require franchisees or their Designated Business Managers to attend supplemental or refresher training programs, potentially for an additional fee.
Franchise Requirements
Ideal Candidate Profile
Conserva Irrigation looks for franchisees who meet its current standards and qualifications. For transfers, which apply to new franchisees, candidates must demonstrate sufficient experience, a strong personal and financial reputation and stability, the necessary financial resources, and the willingness and ability to dedicate their full time and best efforts to operating the business.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Supervisory
Territory Type
Protected
Staff Count
2
Territory Size Requirements
Conserva Irrigation defines its franchise territories primarily by population, typically granting one license for areas with up to 300,000 people. If a franchisee is granted a territory exceeding 300,000 people, an additional fee of $0.165 per person for the population over that limit is required, with the franchisor generally not expecting to grant single territories larger than 400,000 individuals. Other factors considered for territory definition include population density, home values, average income, natural boundaries, existing competition, and the mix of urban, suburban, and rural areas.
Staffing Notes
A typical Conserva Irrigation franchise operates with a minimum staff of one irrigation technician and one part-time administrative employee. The administrative employee or service is primarily responsible for answering telephones and scheduling appointments.