Risk Score
Pending analysis
Investment Range
$159,650 - $320,400
Franchise Fee
$150,000
Business Summary
Cooper's Scoopers offers an Area Representative franchise opportunity. Area Representatives recruit and support Cooper's Scoopers Unit Franchisees who provide pet waste removal and management services. The Area Representative Business focuses on finding and supporting these unit franchisees within a designated territory, earning a portion of their initial franchise fees and royalties.
Corporate History
Cooper's Scoopers LLC was established on December 26, 2024, as a Virginia Limited Liability Company. It began offering Area Representative franchises in January 2025. As of the FDD issuance date, Cooper's Scoopers had not yet sold any Unit Franchisees and had not operated an Area Representative business of the type being offered. The company's parent is Loyalty, LLC, which was formed in November 2017. Loyalty, LLC also oversees several other affiliated franchise brands operating in diverse sectors such as tax services, business brokerage, compliance, pet salons, exterior remodeling, and inspection services.
Financial Overview
Investment Range
$159,650 - $320,400
Franchise Fee (Low)
$150,000
Franchise Fee (High)
$300,000
Equipment Costs (Low)
$750
Equipment Costs (High)
$1,500
Working Capital
$4,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Cooper's Scoopers is a newly formed company that began operations in late 2024 and commenced offering franchises in January 2025. As of January 8, 2025, the company had just $5,000 in cash and no revenues or expenses for the first week of its existence. Auditors issued an unqualified opinion, but the company's financial statements only cover a one-week period, and it has a limited operating history, which inherently makes it a riskier investment than a system with a longer track record.
Financing Details
Cooper's Scoopers does not offer any direct or indirect financing to its Area Representatives, nor does it guarantee any notes, leases, or other obligations. Area Representatives will need to secure all their own funding through external sources.
Performance Metrics
Total US Locations
0
Franchised Units
0
Corporate Units
0
Franchising Since
2025
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Count
7
Litigation Summary
Cooper's Scoopers itself has no litigation mentioned. The litigation disclosed pertains to John T. Hewitt, the CEO and Chairman of Cooper's Scoopers' parent company, Loyalty, LLC. These actions relate to his previous roles with JTH Tax LLC d/b/a Liberty Tax Service and ATAX LLC, or actions against Liberty Tax, Inc. There were seven concluded civil or governmental actions involving John T. Hewitt or his former companies. One case, JTH Tax LLC v. John T. Hewitt, Loyalty LLC, ATAX LLC, ATAX Franchise, Inc., and Yneva Marte, was filed in February 2021, alleging trademark infringement, tortious interference, breach of employment, and unfair competition. It was settled in December 2021 for $545,000. Two related cases, K&A Publicidad, Inc. v. JTH Tax, Inc. and Kirke Franz Szawronski v. JTH Tax, Inc., filed in September 2017, alleged breach of contract and defamation. Both were settled in January 2019 for a total of $50,000. Several shareholder derivative actions against John T. Hewitt and Liberty Tax, Inc. (Asbestos Workers' Philadelphia Pension Fund, Erie County Employees Retirement System, RSL Senior Partners, LLC) were filed between December 2017 and March 2018. These alleged breach of fiduciary duties and corporate misconduct by Hewitt. These actions were consolidated and settled in 2019, leading to governance reforms within Liberty Tax, Inc. Another civil action, Bablu Shahabuddin v. JTH Tax, Inc., filed in January 2018, claimed failure to pay monies and fraud. This was settled in November 2018 for $775,000 plus a portion of future revenue. A governmental action, a Consent Order from California, required John T. Hewitt to disclose a December 2019 federal case (United States of America v. Franchise Group Intermediate L 1, LLC d/b/a Liberty Tax Service). This case involved allegations that Liberty Tax failed to maintain adequate controls over tax returns. John T. Hewitt was referenced in the order, which stipulated that Liberty Tax not rehire him, but he was not a named party in that specific case. Cooper's Scoopers states there are no pending actions.
Bankruptcy History
Cooper's Scoopers has no bankruptcy history to report for the franchisor or its key personnel.
Agreement Terms
Initial Term
10 years
Renewal Conditions
To renew their agreement, Cooper's Scoopers Area Representatives must provide written notice to Cooper's Scoopers at least 120 days before their current agreement expires. They must be in compliance with the terms and conditions of their Area Representative Agreement, and Cooper's Scoopers must still be offering unit franchised outlets. Upon renewal, Area Representatives will need to execute a general release of claims and sign Cooper's Scoopers' then-current Area Representative Agreement, which may include materially different terms and conditions, though their percentage of Initial Fee Commissions or Royalty Commissions will not be reduced.
Training & Support Program
Franchisor Assistance
Cooper's Scoopers provides various types of assistance to its Area Representatives. Before opening, Cooper's Scoopers offers an initial training program that the Area Representative and any manager must attend and complete successfully. It also provides access to its proprietary Operations Manual. During the operation of the franchise, Cooper's Scoopers calculates and pays commissions, offers ongoing operational support, and provides an electronic copy of its latest Franchise Disclosure Document. It assists with marketing by providing advertising templates and may conduct general electronic or print advertising campaigns. Cooper's Scoopers also sets the price of its Unit franchise offering and may offer additional training or seminars that Area Representatives are required to attend.
Initial Training Hours
12
Training Location
Corporate headquarters in Virginia Beach, VA
Ongoing Support
Cooper's Scoopers provides ongoing support to its Area Representatives, including assistance with operational problems and issues. The franchisor offers marketing support, such as providing advertising templates and conducting various electronic or print advertising campaigns. Cooper's Scoopers manages and promotes digital marketing efforts, including websites, social media, and digital advertising. Area Representatives can participate in digital campaigns negotiated with vendors, paying a pro-rata share. Cooper's Scoopers may also offer and require additional training or seminars and intends to establish a Franchisee Advisory Council for advisory purposes.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Home-Based
Owner Participation
Supervisory
Territory Type
Non-Exclusive
Territory Size Requirements
Cooper's Scoopers Area Representative territories are defined by specific geographic regions, which can include zip codes, natural boundaries, or political boundaries, as detailed in Schedule 1 of the Area Representative Agreement. A typical Area Representative territory is designed to encompass 15 to 30 single Unit franchise territories. Each of these individual Unit franchise territories is further defined to contain a population of approximately 125,000 people, with population data sourced from the U.S. Census Bureau or other reliable services.
Staffing Notes
Cooper's Scoopers Area Representatives are required to either directly operate their business themselves or hire a General Manager. If a General Manager is hired, they must attend and successfully complete the initial training program to Cooper's Scoopers' satisfaction. All General Managers are also required to sign a Confidentiality and Non-Compete Agreement as specified by Cooper's Scoopers, subject to state law.