Truly Nolen Franchise

Financing Details

Truly Nolen of America, Inc. may offer financing to qualified franchisees at its discretion. This financing can be used for the initial franchise fee, covering up to 25% of the total, or for purchasing an existing company-owned Truly Nolen Business branch. Loans for the initial franchise fee must be repaid in equal monthly installments of principal and interest over two years. The interest rate is fixed at the prime rate plus 2% (which was 10.5% as of April 30, 2024). These loans can be prepaid without penalty. For franchisees operating for 24 months or longer who need to expand, Truly Nolen of America, Inc. may also extend financing, provided they qualify and are in good standing. All loans require a personal guarantee from the individual owners of the franchise and must be secured by the franchisee's lease, leasehold improvements, vehicles, furnishings, fixtures, equipment, inventory, supplies, accounts receivable, cash proceeds, and contract rights.

Litigation Summary

Truly Nolen of America, Inc. has no litigation to report in this FDD document.

Renewal Conditions

To renew their franchise agreement, Truly Nolen of America, Inc. franchisees must provide written notice between three to six months before their current term ends. They must be in material compliance with all terms of their franchise agreement, have met minimum performance standards, and satisfied all financial obligations to the franchisor and its affiliates. Franchisees are also required to upgrade their business materials, including vehicles, to meet Truly Nolen of America, Inc.'s then-current standards for new businesses. A renewal fee of $5,000 is required, though this amount can be reduced based on the franchisee's annual gross revenue (e.g., $1,000 reduction for $250,000+ in revenue, up to $4,000 reduction for $1,000,000+ in revenue). Additionally, franchisees must sign a mutual release of claims and satisfy Truly Nolen of America, Inc.'s current qualification and training requirements. They must also be current on all financial and other obligations to their lessors, suppliers, and other business partners. Renewal involves signing a new form of franchise agreement, which may contain terms and conditions materially different from the original, potentially including higher fees and altered territorial rights.

Staffing Notes

Truly Nolen of America, Inc. requires franchisees to maintain a competent and conscientious staff in sufficient numbers to promptly service customers, adhering to staffing and service criteria outlined in the Manual. Employees must comply with dress codes, uniform apparel, and personal appearance standards, identifying themselves with the brand marks. All customer calls must be responded to within 24 hours, or the franchisee may be required to use an outside call service at their own expense. The franchisor reserves the right to conduct background checks on franchisees and their personnel. Pest control is a highly regulated industry, requiring state licensing for the business, its manager, and applicators. While the franchisee can hire licensed individuals to manage the business, they are responsible for ensuring all staff (including managers and applicators) meet licensing, training, and continuing education requirements, as well as posting necessary bonds and maintaining commercial liability insurance with specific endorsements.