CanopyFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A CANOPY franchise requires a total initial investment of $98K – $188K, including a $50K franchise fee. Per the 2026 FDD, average unit revenue was $103K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $98K – $188K
- 32nd pct Home Services
- Avg gross sales
- $103K
- 1st pct Home Services
- Royalty
- N/A
- Units
- 46
- 40th pct Home Services
- SBA default
- N/A
Quick verdict · Home Services · color = vs category peers
Green = >15% above Home Services avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
At 0.7x revenue per dollar invested, this system underperforms the typical 1.5-2.5x range.
Started franchising in 2023. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $98K – $188K including a $50K franchise fee.
- Average unit revenue of $103K/year (median $100K).
- Verdict A (Top Quintile) with a risk score of 22/100.
- Emerging franchise: only 3 years of franchising with 46 units. Early-stage systems carry higher risk but may offer better territory availability.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- CANOPY FRANCHISE CORPORATION
- Parent company
- Outdoor Living Brands Holdco, LLC
- Ultimate parent
- MidOcean Associates V, LP
- Predecessor
- Conserva Irrigation Franchising
- Prior franchisor entity
- Incorporated in
- DE
- HQ
- 2426 Old Brick Road, Glen Allen, VA 23060
- Auditor
- Smith + Howard PC
- Audited financials
- Franchisor revenue
- $79.5M
- vs $96.8M prior year
Affiliated brands
- CanopyNC Ventures
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Canopy franchisees operate a service-based or product-driven business model (specific operations unclear from data provided). Day-to-day activities likely involve customer acquisition, service delivery or fulfillment, staff management, and local marketing within their protected territory.
- CEO
- Hunt Davis
- Headquarters
- VA
- Founded
- 2022
- FDD year
- 2026
- States available
- 13
FDD Item 7 · 2026 filing · 13 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $50K | $50K | |
| Grand Opening Marketing Spend | $5K | $50K | |
| Service Vehicle Down Payment and Lease Payments | $8K | $10K | |
| Aftermarket Vehicle Items | $15K | $40K | |
| Rent | $0 | $1K | |
| Construction, Leasehold Improvements, Furniture and Fixtures | — | — | |
| Supplies, Uniforms, and Inventory | $1K | $3K | |
| Computer Systems | $2K | $6K | |
| Insurance Deposits and Premiums | $900 | $2K | |
| Travel and Living Expenses While Training | $1K | $5K | |
| Professional Fees and Business Licenses | $500 | $1K | |
| Office Equipment and Supplies | $500 | $1K | |
| Additional Funds - 3 months | $15K | $20K | |
| Total initial investment | $98K | $188K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$12K
12.0% margin
Unlevered ROIC
8%
EBITDA / total invested capital
Payback
12.9 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $98K – $188K
- Better than avg vs category
- Liquid capital req'd
- $15K – $20K
- Better than avg vs category
- Franchise fee
- $50K – $50K
- Better than avg vs category
- Royalty
- The greater of 8% of Gross Revenue or the required Minimu…
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 11.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $2 |
| Transfer fee | $10K |
| Renewal fee | $10K |
| Inventory (initial) | $1K – $3K |
| Total fee load | 11.0% of rev |
Financial Performance
- Avg gross sales
- $103K
- Per unit, per year
- Median gross sales
- $100K
- Item 19 type
- Historical
- Sample size
- 8 units
- vs category median 25 · small
- Range (low → high)
- $26K→$241K
- Cohort dispersion (min → max)
- Transparency tier
- full
- Categorical assessment of disclosure depth
- Reporting year
- 2025
- Fiscal year the figures cover
- Transparency
- 10 / 5
- vs category median 4 / 5 · above
Compared against 349 Home Services brands
Revenue is only 0.7x the investment. This means each unit may take 5+ years to recoup the initial outlay at typical margins.
vs Home Services averages
How Canopy Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 46
- Opened
- 8
- Last reporting year
- Closed
- 4
- Turnover rate
- 8.7%
- Company-owned
- 5
- Corporate units in the system
- % franchised
- 89%
- vs corporate-owned
- Net growth (yr3)
- +10.8%
- Net unit change last year
3-year detail · Item 20
- Opened (3yr)
- 4
- Closed (3yr)
- 0
- Terminated (3yr)
- 2
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Termination rate
- 0.1%
- Franchisor-initiated terminations
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 9 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Canopy presents moderate-to-cautious risk due to missing financial documentation, implausible profitability claims, undisclosed royalty minimums, and slow unit growth that limits validation of franchisee success.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $199,500
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Smith + Howard PC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 22 / 100 rating
- 01MEDNo Item 19 financial performance representation (FPR) disclosed — cannot verify if avg revenue of $103,458 is typical or cherry-picked
- 02MEDMassive profitability gap: $103k avg revenue but $317k avg net income suggests data inconsistency, survivorship bias, or undisclosed costs
- 03MEDMinimum Royalty structure not disclosed — could create cash flow pressure on lower-performing locations
- 04MEDSlow unit growth (10.8% YoY) with only 46 units indicates limited brand momentum or saturation concerns
- 05MEDHigh initial investment range ($98k-$188k) relative to disclosed average revenue raises ROI and break-even timeline concerns
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | Census based (Single-family dwelling units) |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Virginia |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 42 hrs
- On-the-job training
- 20 hrs
- Training location
- On-site and franchisor location
- Site selection
- franchisor
- Franchisor financing
- Offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
11 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
CANOPY · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a CANOPY franchise?
The total investment to open a CANOPY franchise ranges from $98K – $188K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do CANOPY franchise owners earn?
According to Item 19 of the CANOPY FDD, the average gross sales per unit is $103K. The median is $100K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is CANOPY's franchise failure rate?
SBA 7(a) loan charge-off data is not available for CANOPY (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many CANOPY franchise locations are there?
As of their most recent FDD filing, CANOPY has 46 total units in the United States, including 0 franchised units and 5 company-owned units. 8 new units were opened in the latest reporting year.
Is CANOPY a good franchise to buy?
FranchiseVerdict rates CANOPY as a A-grade franchise with a risk score of 22 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.