NaturaLawn of America logo

NaturaLawn of America Franchise

Audited Financials
Home ServicesEst. 1991Frederick, MD
www.NaturaLawn.com

Risk Score

Pending analysis

Investment Range

$57,500 - $122,650

Franchise Fee

$9,500

Total US Locations

99

Business Summary

NaturaLawn of America operates a lawn care service business that primarily uses organic-based treatments. Franchisees provide services such as diagnosing lawn problems, applying organic-based fertilization, and biological weed, disease, and insect controls, along with aeration and seeding. These services are offered to residential, commercial, and government-owned properties typically 5 to 8 times a year, depending on the geographic region.

Corporate History

NaturaLawn of America, Inc. was incorporated in Maryland on January 18, 1991, and has operated a lawn care service business primarily focused on organic-based treatments since then. The company's origins trace back to its predecessor, NaturaLawn, Inc. (NLI), which was organized in 1987 by Philip Catron and Beecher Smith. NLI began offering franchises in July 1989 and subsequently transferred its franchise system assets to NaturaLawn of America, Inc. in 1991. Philip Catron, the founder of NaturaLawn of America, Inc., also has ownership interests in several company-owned outlets established through various entities over the years.

Financial Overview

Investment Range

$57,500 - $122,650

Franchise Fee (Low)

$9,500

Franchise Fee (High)

$29,500

Royalty %

9%

Marketing %

1%

Equipment Costs (Low)

$41,500

Equipment Costs (High)

$65,000

Working Capital

$3,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

NaturaLawn of America appears to be in a strong financial position, as indicated by its audited financial statements. The company reported a net income of over $1.7 million in each of the past three fiscal years and maintains a robust cash balance. The auditors issued an unqualified opinion, signifying that the financial statements present fairly and accurately the company's financial position, and no substantial doubt about NaturaLawn of America's ability to continue as a going concern was identified. The company also has access to a $400,000 bank line of credit.

Financing Details

NaturaLawn of America does not offer any direct or indirect financing to its franchisees. The company also does not guarantee any notes, leases, or other obligations for franchisees.

Performance Metrics

Total US Locations

99

Franchised Units

89

Corporate Units

10

Avg Square Footage

2,000

Franchising Since

1991

Agreement Terms

Initial Term

5 years

Renewal Term

5 years

Renewal Conditions

To renew their NaturaLawn of America franchise, franchisees must provide six months' written notice of their desire to renew. They must be in full compliance with the Franchise Agreement, meet the minimum annual Gross Sales volume of at least $500,000 by the end of their fifth year in business (or an adjusted dollar amount based on changes in the Consumer Price Index), and ensure their machinery and equipment meet the then-current standards. Franchisees must also sign a new franchise agreement, which may contain materially different terms and conditions than their original agreement.

Training & Support Program

Franchisor Assistance

NaturaLawn of America provides various forms of assistance to its franchisees. Before opening, the company offers advice on site selection, specifications for machinery, equipment, inventory, and supplies, along with initial office paper supplies, uniforms, and marketing materials. Franchisees also receive initial training and guidance in business development, including confidential information. During operation, NaturaLawn of America advises and consults periodically on management, marketing, operations, and service, communicating new developments through field visits and written reports. Franchisees are provided with the NaturaLawn of America System Manual covering aspects like equipment specifications, inventory control, bookkeeping, business practices, market analysis, insurance, personnel policies, purchasing, public relations, and agronomic safety. The company also holds mandatory annual franchise owner meetings and up to four training and discussion meetings per year for franchisees, managers, technicians, and office staff. Additional training is provided if new procedures or techniques are developed.

Initial Training Hours

130

Training Location

Franchisor's home office in Frederick, Maryland, at one of the company locations in Maryland or Virginia, and at the franchisee's location.

Ongoing Support

NaturaLawn of America provides ongoing support to its franchisees through periodic advice and consultation on business operations, including management, marketing, operations, and service. This support is delivered through field visits from Regional Operations Managers and other Home Office personnel, as well as printed reports and written communications. Franchisees have access to the NaturaLawn of America System Manual and supplemental business manuals, which are updated with new know-how and techniques. The company also holds one to two mandatory annual franchise owner meetings and one to four mandatory training and discussion meetings per year for franchisees and their staff. Additionally, NaturaLawn of America provides further training when new procedures or techniques are developed after the business has opened.

Franchise Requirements

Ideal Candidate Profile

NaturaLawn of America seeks individuals or legal entities who are prepared to be hands-on, full-time operators or ensure their franchised business is managed by an acceptable, full-time manager. The ideal candidate must personally dedicate their full attention and energy to managing and operating the business and supervising employees. Franchisees are required to own a majority interest (more than 50%) in the franchise. While not explicitly required, candidates with prior experience operating a lawn care business similar to NaturaLawn of America may qualify for a reduced initial license fee.

Industry Experience Required

No

Management Experience Required

No

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

Commercial

Owner Participation

Full-Time

Territory Type

Exclusive

Territory Size Requirements

NaturaLawn of America territories vary in size based on demographic profiles, but generally include at least 40,000 single-family households with median household incomes over $55,000. If a territory exceeds these guidelines, an additional license fee of $0.55 per household in excess of 40,000 may be charged.

Staffing Notes

NaturaLawn of America requires that the franchised business always be under the direct, on-premises supervision of either the franchisee or an acceptable manager. This individual must work full-time, dedicating their full attention to managing and operating the business and supervising employees. All incoming telephone calls during the business hours of 8:00 AM to 5:00 PM, Monday through Friday, must be answered by a live person. Additionally, all employees working in the franchised business are required to wear uniforms approved or prescribed by NaturaLawn of America and present a neat and clean appearance. All employees and independent contractors must also sign a confidentiality agreement.