Monster Tree Service Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$33,860 - $534,510
Total US Locations
176
Business Summary
MONSTER TREE SERVICE operates businesses that offer residential and commercial tree services. These services include tree removal, pruning, land clearing, stump grinding, plant healthcare, and other general tree care services.
Corporate History
Monster Franchising SPE LLC was organized on March 24, 2021, and began offering MONSTER TREE SERVICE franchises on May 17, 2021. The brand's history traces back to its predecessor, Monster Franchise, LLC (MFL), a Pennsylvania company, which offered MONSTER TREE SERVICE franchises from 2012 until September 15, 2020. MFL's assets were then acquired by Monster New Franchisor (MNF), which offered franchises until May 14, 2021, when the current franchisor took over as part of a securitization transaction. The brand is ultimately majority owned by Funds advised by Apax Partners, LLP.
Financial Overview
Investment Range
$33,860 - $534,510
Franchise Fee (High)
$53,697
Royalty %
6.5%
Marketing %
1%
Equipment Costs (Low)
$358,250
Equipment Costs (High)
$415,000
Working Capital
$215,270
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
The financial statements for Monster Franchising SPE LLC's parent company, AB Assetco LLC, show a net loss of $14,362,000 for the year ended December 31, 2024, after reporting net income in the prior two years. The ultimate parent, Authority Brands Inc., also reported net losses of $104,486,000, $59,534,000, and $35,630,000 for the years ended December 31, 2024, 2023, and 2022, respectively. Despite these losses, the independent auditors have issued an unqualified opinion for both AB Assetco LLC and Authority Brands Inc., indicating that the financial statements present fairly in all material respects. The auditors did not identify any conditions or events that raise substantial doubt about either company's ability to continue as a going concern.
Financing Details
Monster Tree Service may, at its discretion, allow franchisees to finance up to 75% of the initial Franchise Fee and any Additional SFDU Fee. This financing is provided by Monster Tree Service and is not available for transactions involving brokers or third-party referral sources. If financed, the balance can be paid in up to 36 monthly installments, with interest at 12% per annum. Franchisees can prepay without penalty. A Promissory Note and Guaranty, along with a security interest in the business's assets, are required. All payments must be made via Automated Clearing House (ACH) or electronic funds transfer. Failure to pay can lead to acceleration of the loan and termination of the franchise agreement. Aside from this, Monster Tree Service does not offer any other direct or indirect financing to franchisees and does not guarantee third-party loans.
Performance Metrics
Total US Locations
176
Franchised Units
176
Corporate Units
0
Franchising Since
2021
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Count
2
Litigation Summary
MONSTER TREE SERVICE has disclosed two concluded litigation cases. Both cases were arbitration demands filed in 2016 against its predecessor, Monster Franchise LLC, and its CEO. The claimants alleged fraud and sought emergency injunctions and millions of dollars. MONSTER TREE SERVICE denied all allegations. Both cases were settled, with the predecessor waiving arrears or reducing royalties in exchange for termination or compliance with agreements. Neither party was held liable for wrongdoing, and the matters were dismissed with prejudice. There is no other litigation required to be disclosed, and no ongoing or recent litigation since 2016.
Bankruptcy History
MONSTER TREE SERVICE has no bankruptcy information to disclose.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their Monster Tree Service franchise, franchisees must provide written notice 6 to 12 months before their agreement ends. They must be in good standing, without defaults, and have a strong record of customer service and compliance with brand standards. Franchisees must also not be involved in litigation with Monster Tree Service. Upon renewal, franchisees will sign the then-current franchise agreement, pay a renewal fee of $5,000, and sign a general release of claims. The Key Person and any designated employees must complete additional training, and the franchisee must confirm their right to use the Approved Location. The business and its vehicles, equipment, and premises must be updated to meet current brand standards, subject to an Annual Upgrade Cap, unless previously required upgrades were not completed.
Training & Support Program
Franchisor Assistance
Before opening, Monster Tree Service assists franchisees with initial training, ordering equipment and technology, and setting up their Operations Manual, Franchisee Portal, Call Center, and software. They also help with creating a pre-opening and grand opening marketing plan. After opening, Monster Tree Service provides ongoing support through additional training programs, development and maintenance of brand standards, management of the Franchisee Portal, specification of approved vendors, assessment programs for brand standards, administration of the Brand Fund, review of advertising plans, management of social media accounts, monitoring customer warranty programs, and managing Key Accounts. They also provide opening support as deemed appropriate.
Initial Training Hours
107
Training Location
Doylestown, Pennsylvania, with on-site field training at the franchisee's office location.
Ongoing Support
After opening, Monster Tree Service franchisees receive ongoing support through additional required and optional training programs. The franchisor develops and maintains brand standards, manages the Franchisee Portal for communications and resources, and specifies approved vendors. Monster Tree Service also conducts brand standards assessments, manages the Brand Fund for system-wide marketing, and reviews franchisees' advertising and promotional materials. They manage social media accounts for the brand, monitor compliance with any customer warranty programs, and manage contracts and relationships with Key Accounts. Key Persons, owners, and/or designated employees are required to attend an annual convention and regional conferences.
Franchise Requirements
Ideal Candidate Profile
Monster Tree Service seeks franchisees (or their designated Key Person) who will be responsible for the day-to-day operational performance of the franchised business, will have the authority to make all business decisions, and will work on-premises at the business office. This Key Person, who must be an owner, must successfully complete the initial training program. If the Key Person also serves as the primary salesperson (Sales Arborist), Monster Tree Service prefers them to have a minimum of two years of sales experience in the tree service industry. All owners must undergo credit and background checks.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Min Years Experience
2
Operational Details
Location Type
Hybrid
Owner Participation
Hands-On
Territory Type
Protected
Territory Size Requirements
Each Monster Tree Service territory for a start-up franchise is defined using postal zip codes and typically covers an area with approximately 70,000 Single Family Dwelling Units. The specific population is determined using recent U.S. Census Data or other chosen statistical sources.
Staffing Notes
Monster Tree Service requires franchisees to maintain adequate staffing to meet Brand Standards and is solely responsible for all employment decisions. While the franchisor provides initial training for the Key Person and designated owners/employees, franchisees are responsible for all other employee training. Franchisees must comply with policies, including initial and periodic drug testing and background checks for employees. Any information provided by the franchisor on employment matters is advisory only, and franchisees are responsible for ensuring their employees understand social media policies for the business. The franchisor requires all workers to be informed that the franchisee, not Monster Tree Service, is their employer.