Spring-Green Franchise

Financing Details

Spring-Green Lawn Care Corp. offers several financing options directly to qualified franchisees. For the initial franchise fee, Spring-Green can finance a portion (up to $15,000) over 5 years, requiring a minimum down payment of $25,000. This loan accrues interest at 5% over the Bank of America Prime Rate (13.50% as of March 10, 2024) and is secured by the franchised business's assets. Eligible Industry Associate Program participants can also finance their initial marketing campaign fee over a 5-year term. They pay 50% of the principal in monthly installments over the first 2 years, with interest accruing but unpaid. The remaining 50% may be forgiven if sales targets are met and compliance is maintained; otherwise, it is paid with interest over the remaining 3 years. The initial property data fee can also be financed over 5 years, with interest at 5% over the Prime Rate, also secured by the business's assets. Additionally, Spring-Green offers a lease program for certain equipment, requiring a 20% down payment and monthly installments over a typical 5-year term, with an interest rate of 5% over the Prime Rate. At the end of the lease, the equipment can be purchased for $1. Spring-Green Lawn Care Corp. also facilitates external financing by referring franchisees to Advantage Leasing Corp. (ALC) for loans between $25,000 to $100,000 for various startup needs. While Spring-Green Lawn Care Corp. receives no compensation from ALC, it may guarantee these loans, which requires franchisees and their owners to sign an indemnification agreement.

Litigation Summary

Spring-Green Lawn Care Corp. has no litigation that is required to be disclosed in Item 3 of its Franchise Disclosure Document. This means Spring-Green Lawn Care Corp. has not been involved in any legal cases that require reporting under federal franchise regulations.

Renewal Conditions

To renew their Spring-Green Lawn Care Corp. franchise for an additional 10-year term, franchisees must meet several conditions. They need to be substantially in compliance with all terms of their franchise agreement and provide written notice of their intent to renew between 12 to 18 months before the current agreement expires. Franchisees must also allow Spring-Green Lawn Care Corp. or its representatives to inspect their business to identify any necessary modifications to meet current standards. These required modifications must be completed within 90 days of notification. Franchisees are required to sign Spring-Green Lawn Care Corp.'s then-current franchise agreement and any related documents, including a general release of claims, within 30 days of receiving them. Additionally, the franchisee (or their Managing Owner) and any required employees must attend and successfully complete any designated renewal or refresher training programs. While there is no initial or renewal franchise fee for renewal, Spring-Green Lawn Care Corp. reserves the right to charge for services and expenses incurred in connection with the renewal process. If the territory's single-family dwelling units (SFDUs) have doubled since the initial grant, Spring-Green Lawn Care Corp. may require the franchisee to sign multiple new franchise agreements to ensure each territory size aligns with current offerings for new franchises.

Staffing Notes

Spring-Green Lawn Care Corp. recommends that franchisees, or their designated Managing Owner, participate personally in the actual operation of the Spring-Green Lawn Care business. However, personal participation is not a strict obligation. Regardless of direct franchisee involvement, the business must always be under the direct, full-time supervision of either the franchisee (or the Managing Owner) or a competent operations manager. This operations manager must meet Spring-Green Lawn Care Corp.'s minimum qualifications, which include successfully completing their initial training program or equivalent training. Spring-Green Lawn Care Corp. reserves the right to establish additional criteria for operations managers, such as requiring them to sign non-competition and non-disclosure agreements. Franchisees must keep Spring-Green Lawn Care Corp. informed of the identity of their operations manager and any supervisory employees. Any supervisory employees hired after the business opens may attend Spring-Green Lawn Care Corp.'s training programs, with the franchisee covering all associated costs like travel, lodging, meals, and wages. All franchisee employees are required to sign a non-disclosure agreement before participating in training. Franchisees are entirely responsible for all employment-related decisions for their staff, including recruiting, hiring, firing, training, compensation, scheduling, work assignments, and discipline, and must comply with all federal, state, and local employment laws. For those participating in the Flex Start Program, the franchisee or Managing Owner may initially devote less than full-time effort but must transition to full-time dedication by January 1st of the calendar year following the business's commencement.