Scoop Brothers logo

Scoop Brothers Franchise

Audited Financials
PetsEst. 2023Charlotte, NC
www.scoopbrothers.com

Risk Score

Pending analysis

Investment Range

$109,500 - $306,000

Franchise Fee

$30,000

Total US Locations

1

Business Summary

Scoop Brothers operates a business that provides residential and commercial pet waste removal services and related products and clean-up stations. Franchisees operate this business under the 'Scoop Brothers' brand.

Corporate History

Scoop Brothers Franchising, LLC was formed as a South Carolina limited liability company on March 8, 2023. Scoop Brothers began offering franchises in April 2024. The franchisor has no predecessors. Its parent company, B. Rugged Brands, Corp., was formed in South Carolina in March 2023. An affiliate, RestoPros Franchising, LLC, was formed in North Carolina in June 2017 and offers restoration and remediation services.

Financial Overview

Investment Range

$109,500 - $306,000

Franchise Fee (Low)

$30,000

Franchise Fee (High)

$50,000

Royalty %

7.5%

Equipment Costs (Low)

$9,000

Equipment Costs (High)

$51,500

Working Capital

$17,500

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Going concern qualification

Financial Health Notes

Scoop Brothers' financial condition raises questions about its ability to provide services and support to franchisees. As of December 31, 2024, Scoop Brothers had negative working capital and experienced net operating losses of $157,402 and negative operating cash flows of $147,387 during the period from April 17 to December 31, 2024. The company has historically relied on its sole Member for cash flow and will need additional funds for start-up expenditures. The Member has committed to providing funding to meet liquidity needs for one year from the financial statement issuance date, demonstrated by additional advances on related party debt in 2024 to fund 2025 expenses.

Financing Details

Scoop Brothers does not offer any direct or indirect financing to its franchisees. Additionally, Scoop Brothers does not guarantee any notes, leases, or other obligations for its franchisees.

Performance Metrics

Total US Locations

1

Franchised Units

0

Corporate Units

1

Franchising Since

2024

Agreement Terms

Initial Term

10 years

Renewal Term

10 years

Renewal Conditions

To renew, Scoop Brothers franchisees must give the franchisor advance written notice between 90 and 180 days before their agreement ends. They must be in full compliance with the franchise agreement and any other agreements with the franchisor, make any required changes to their business to meet current brand standards for new franchisees, and sign the franchisor's then-current form of franchise agreement. This new agreement may have different terms and potentially higher fees. Franchisees also need to pay the current renewal fee, which is $2,500, and sign a general release of all claims against the franchisor and its affiliates (unless state law prohibits it).

Training & Support Program

Franchisor Assistance

Before opening, Scoop Brothers provides franchisees with suggested staffing levels, hiring guidelines, operational instructions through the Manual, an initial training program, and advice for their market introduction plan. After opening, Scoop Brothers offers ongoing advice by phone or electronic communication for improving the business and resolving operational issues, though in-person support may incur additional fees. Scoop Brothers also sets minimum and maximum prices for services, provides required procedures for administration, bookkeeping, accounting, and inventory control, and maintains the Scoop Brothers brand website which includes the franchisee's location and telephone number. The franchisor will also manage the Brand Fund if it is established.

Initial Training Hours

27

Training Location

Charlotte, North Carolina

Ongoing Support

After opening, Scoop Brothers provides ongoing advice (by telephone or electronic communication) to franchisees regarding improving and developing their business and resolving operating problems, with potential fees for in-person support. Scoop Brothers also establishes minimum and maximum prices, provides required and approved procedures for administration, bookkeeping, accounting, and inventory control, and maintains the brand's website which includes the franchisee's location and phone number. Franchisees' Principal Executives are required to complete any additional training or refresher programs designated by the franchisor and attend an annual convention for up to three days each year if one is hosted.

Franchise Requirements

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

Non-Exclusive

Territory Size Requirements

Scoop Brothers territories are defined by the number of households, with a single territory typically including at least 200,000 households based on U.S. Census data and mapping software. Franchisees can purchase multiple territories, with up to five territories covering approximately 1,000,000 households.

Staffing Notes

Scoop Brothers provides franchisees with suggested staffing levels, guidelines for hiring employees, and operational instructions in the Manual for training new staff. Franchisees can choose to operate as owner-operators or hire employees to operate Service Trucks. If employees are hired, Scoop Brothers expects to see an increase in payroll expenses. The Manual outlines job roles and responsibilities for positions such as Pet Waste Technician, Office Administrator, and Operations Manager.