Monster Tree Service Franchise Prices, Charges, Revenues, Income (2023 Evaluation)

On this unique Franchise Chatter FDD Speak put up, you’ll be taught the next:

Part I – Estimated preliminary funding (franchise prices) for a Monster Tree Service franchise, based mostly on Merchandise 7 of the corporate’s 2022 FDD

Part II – Preliminary franchise charge, royalty charge, and advertising charge for a Monster Tree Service franchise, based mostly on Objects 5 and 6 of the corporate’s 2022 FDD

Part III – Variety of franchised and company-owned Monster Tree Service retailers initially of the 12 months and the tip of the 12 months for 2019, 2020, and 2021, based mostly on Merchandise 20 of the corporate’s 2022 FDD

Part IV – Information updates on the Monster Tree Service franchise alternative

Part V – Presentation and evaluation of Monster Tree Service’s monetary efficiency representations (common revenues and/or earnings), based mostly on Merchandise 19 of the corporate’s 2022 FDD, together with data on the:

• 2021 mixture, common, median, highest, and lowest gross income by years in enterprise (13-24 months, 25-36 months, and 37+ months) for the 155 Monster Tree Service territories that had been in operation for your complete 2021 fiscal 12 months

• 2021 mixture, common, median, highest, and lowest gross income by years in enterprise (13-24 months, 25-36 months, and 37+ months) for the 62 Monster Tree Service franchisees that had been in operation for your complete 2021 fiscal 12 months

• gross income development (2020 fiscal 12 months to 2021 fiscal 12 months) of Monster Tree Service franchisees by years in enterprise (13-24 months, 25-36 months, and 37+ months as of December 31, 2021)

• 2021 common gross income, price of products offered, gross revenue, working bills, and EBITDA for the 62 Monster Tree Service franchisees who reported gross income throughout your complete 2021 fiscal 12 months

• 2021 common, median, highest, and lowest whole job estimates, shut ratio, and job measurement for the 39 Monster Tree Service franchisees (representing 104 territories) that had been in operation for your complete 2021 fiscal 12 months and used Monster Tree Service’s proprietary CRM/Estimating/Job Costing software program to report the knowledge

• 2020 and 2021 whole gross income and common gross income from plant healthcare jobs for the 58 Monster Tree Service franchisees (representing 145 territories) that had been in operation for your complete 2020 and 2021 fiscal years and used Monster Tree Service’s proprietary CRM/Estimating/Job Costing software program to report the knowledge

• 2021 whole backlog worth and common backlog worth per franchisee for the 58 Monster Tree Service franchisees (representing 145 territories) that had been in operation for your complete 2021 fiscal 12 months and used Monster Tree Service’s proprietary CRM/Estimating/Job Costing software program to report the knowledge

• 2015-2021 mixture gross income (systemwide gross sales) reported by all Monster Tree Service franchisees whose Monster Tree Companies companies had been operational for any a part of the relevant 12 months (whilst little as one month if the franchisee accomplished preliminary coaching in December of their preliminary 12 months) and the affiliate-owned location

Part VI – Key ratios, comparables, computations, and analyses for the Monster Tree Service franchise alternative (unique content material for Platinum subscribers)

Part I – Monster Tree Service Franchise Prices

• Monster Tree Service franchise prices, based mostly on Merchandise 7 of the corporate’s 2022 FDD:

• Preliminary Franchise Charge:  $49,500
• Coaching Bills:  $500 to $3,000
• Tools and Autos:  $306,606 to $393,508
• GPS Monitoring Programs:  $360 to $600
• Small Tools and Instruments:  $10,000 to $25,000
• Insurances:  $9,000 to $15,000
• Preliminary Promoting/Advertising:  $6,000 to $8,000
• Skilled Charges:  $2,500 to $4,000
• Graphics:  $4,000 to $8,000
• Hire (parking location/workplace):  $500 to $2,500
• Workplace Expense:  $500 to $1,250
• Laptop, Cellphone, and Fax Programs:  $1,200 to $3,500
• Required Working and Monetary Software program Program:  $1,000 to $3,000
• Enterprise Licenses and Permits:  $500 to $1,500
• Extra Funds:  $30,000 to $50,000
• Complete Estimated Monster Tree Service Franchise Prices:  $422,166 to $568,358

Part II – Monster Tree Service’s Preliminary Franchise Charge, Royalty Charge, and Advertising Charge

• Monster Tree Service’s preliminary franchise charge, royalty charge, and advertising charge, based mostly on Objects 5 and 6 of the corporate’s 2022 FDD:

• Preliminary Franchise Charge:  $49,500
• Royalty Charge:  the higher of: (a) the Relevant Proportion; or (b) the Minimal Royalty Charge, as decided beneath: “Relevant Proportion” means: 6.5% of the primary $1,000,000 of Gross Income within the then-current calendar 12 months; 5% of Gross Income from $1,000,001 to $2,000,000 within the then-current calendar 12 months; 4.25% of Gross Income from $2,000,001 to $3,000,000 within the then-current calendar 12 months; and three.5% of Gross Income in extra of $3,000,000 within the then-current calendar. The Minimal Royalty Charge is set utilizing the next schedule: Months 1 to 12: none; Months 13 to 24: $350/week; Months 25 to 36: $500/week; Month 37+: $625/week
• Model Fund Contribution:  at the moment, 1% of Gross Income
• Native Advertising and/or Cooperative:  the higher of: (a) $2,000; or (b) 5% of Gross Income monthly on a rolling 12-month common. This contains $350 monthly for Search Engine Optimization and $500 monthly for digital promoting.

Part III – Variety of Franchised and Firm-Owned Monster Tree Service Shops

Franchised

2019

• Shops on the Begin of the Yr:  52
• Shops on the Finish of the Yr:  148
• Internet Change:  +96

2020

• Shops on the Begin of the Yr:  148
• Shops on the Finish of the Yr:  176
• Internet Change:  +28

2021

• Shops on the Begin of the Yr:  176
• Shops on the Finish of the Yr:  240
• Internet Change:  +64

Firm-Owned

2019

• Shops on the Begin of the Yr:  4
• Shops on the Finish of the Yr:  4
• Internet Change:  0

2020

• Shops on the Begin of the Yr:  4
• Shops on the Finish of the Yr:  4
• Internet Change:  0

2021

• Shops on the Begin of the Yr:  4
• Shops on the Finish of the Yr:  3
• Internet Change:  -1

Part IV – Information Updates on the Monster Tree Service Franchise

Part V – Monetary Efficiency Representations (Common Revenues and/or Income) for the Monster Tree Service Franchise (Merchandise 19, 2022 FDD)

• This Merchandise units forth sure historic data for franchisee-owned retailers for the 2021 fiscal 12 months. As of December 31, 2021, there have been 94 franchisees working in 240 territories.

• Franchisees function both in a single territory or a number of territories collectively as one enterprise. Franchisees who function a number of territories don’t function, account, or report every territory individually and the historic information mirrored on this Merchandise 19 is predicated on the totals for all territories owned along with their Monster Tree Service companies.

• Half 1 and Half 2 current data on 62 Franchisees (representing 155 Territories) that had been in operation for your complete 2021 fiscal 12 months. Excluded from these Components are 25 Franchisees (representing 72 Territories) that weren’t in operation for your complete 2021 fiscal 12 months, 2 Franchisees (representing 8 Territories) that ceased operation through the 2021 fiscal 12 months, 3 Franchisees (representing 7 Territories) that had been in operation for your complete 2021 fiscal 12 months however didn’t report Gross Income utilizing Monster Tree Service’s commonplace reporting procedures by means of its proprietary CRM/Estimating/Job Costing software program to report the knowledge, and 1 Franchisee (representing 2 Territories) that transferred the franchised enterprise in 2021.

• Half 1 additionally excludes 1 Franchisee (representing 3 Territories) as the one franchisee in Monster Tree Service’s system utilizing subcontractors to offer companies and subsequently just isn’t consultant of the everyday outcomes of the franchise system.

Half 1 – Common Annual Gross Income and Mixture Annual Gross Income

A. Gross Income by Years in Enterprise, by Territory for the Fiscal Yr Ended December 31, 2021

In Operation for 13-24 Months

• Variety of Franchisees in Group:  18
• Variety of Territories in Group:  42
• Mixture Gross Revenues of Territories in Group:  $13,950,031
• Common Gross Income Per Territory in Group:  $332,144
• Highest Annual Gross Income of Territories in Group:  $646,956
• Lowest Annual Gross Income of Territories in Group:  $206,123
• Median Gross Income of Territories in Group:  $293,082

In Operation for 25-36 Months

• Variety of Franchisees in Group:  28
• Variety of Territories in Group:  80
• Mixture Gross Revenues of Territories in Group:  $29,204,800
• Common Gross Income Per Territory in Group:  $365,060
• Highest Annual Gross Income of Territories in Group:  $1,193,473
• Lowest Annual Gross Income of Territories in Group:  $137,059
• Median Gross Income of Territories in Group:  $379,419

In Operation for 37+ Months

• Variety of Franchisees in Group:  16
• Variety of Territories in Group:  33
• Mixture Gross Revenues of Territories in Group:  $18,252,201
• Common Gross Income Per Territory in Group:  $553,097
• Highest Annual Gross Income of Territories in Group:  $1,935,481
• Lowest Annual Gross Income of Territories in Group:  $178,487
• Median Gross Income of Territories in Group:  $476,717

B. Gross Income by Years in Enterprise, by Franchisee for the Fiscal Yr Ended December 31, 2021

In Operation for 13-24 Months

• Variety of Franchisees in Group:  18
• Variety of Territories in Group:  42
• Mixture Gross Revenues of Territories in Group:  $13,950,031
• Common Gross Income Per Franchisee in Group:  $775,002
• Highest Annual Gross Income of Franchisees in Group:  $1,293,912
• Lowest Annual Gross Income of Franchisees in Group:  $487,026
• Median Gross Income of Franchisees in Group:  $728,462

In Operation for 25-36 Months

• Variety of Franchisees in Group:  28
• Variety of Territories in Group:  80
• Mixture Gross Revenues of Territories in Group:  $29,204,800
• Common Gross Income Per Franchisee in Group:  $1,043,029
• Highest Annual Gross Income of Franchisees in Group:  $2,609,465
• Lowest Annual Gross Income of Franchisees in Group:  $388,956
• Median Gross Income of Franchisees in Group:  $930,708

In Operation for 37+ Months

• Variety of Franchisees in Group:  16
• Variety of Territories in Group:  33
• Mixture Gross Revenues of Territories in Group:  $18,252,201
• Common Gross Income Per Franchisee in Group:  $1,140,763
• Highest Annual Gross Income of Franchisees in Group:  $1,935,481
• Lowest Annual Gross Income of Franchisees in Group:  $535,462
• Median Gross Income of Franchisees in Group:  $1,010,342

C. Gross Income Development by Time in Operation – 2020 Fiscal Yr to 2021 Fiscal Yr Comparability

In Operation for 13-24 Months as of December 31, 2021

• Variety of Franchisees in Group:  18
• Variety of Territories in Group:  42
• 2020 Mixture Gross Income of Group:  $5,998,801
• 2021 Mixture Gross Income of Group:  $13,950,031
• Gross Income Development %:  132.5%

In Operation for 25-36 Months as of December 31, 2021

• Variety of Franchisees in Group:  28
• Variety of Territories in Group:  80
• 2020 Mixture Gross Income of Group:  $21,488,808
• 2021 Mixture Gross Income of Group:  $29,204,800
• Gross Income Development %:  35.9%

In Operation for 37+ Months as of December 31, 2021

• Variety of Franchisees in Group:  16
• Variety of Territories in Group:  33
• 2020 Mixture Gross Income of Group:  $16,094,799
• 2021 Mixture Gross Income of Group:  $18,252,201
• Gross Income Development %:  13.4%

Half 2 – Gross Income, Complete Working Expense Ratios, and EBITDA Margins of Franchisees

• The desk beneath stories the Gross Income and sure Working Bills as a Proportion of Gross Income based mostly on the averages for the 62 Franchisees who reported Gross Income throughout your complete 2021 fiscal 12 months. The Franchisees included in and excluded from the desk beneath are the identical as for Half 1.

Variety of Franchisees:  62

Common of 4 Quartiles

Gross Income:  $988,155 (100.0%)

Price of Items Offered

• Price of Manufacturing Bills:  $97,791 (9.9%)
• Price of Manufacturing Labor:  $331,892 (33.6%)
• Price of Tools and Automobile:  $71,849 (7.3%)
• Complete Price of Items Offered:  $501,532 (50.8%)

Gross Revenue:  $486,623 (49.2%)

Working Bills

• Advertising Expense:  $51,416 (5.2%)
• Non-Manufacturing Payroll:  $97,330 (9.8%)
• Worker Advantages:  $9,330 (0.9%)
• Insurance coverage Bills:  $40,610 (4.1%)
• Promoting Expense:  $4,105 (0.4%)
• Financial institution and Service provider Charges:  $7,610 (0.8%)
• Administrative Expense:  $43,057 (4.4%)
• Skilled Charges:  $7,232 (0.7%)
• Franchise Obligations:  $73,007 (7.4%)
• Complete Working Bills:  $333,697 (33.8%)

EBITDA:  $152,926 (15.5%)

Half 3 – Complete Estimates, Common Job Measurement, and Shut Ratio

• The desk beneath units forth the common whole job estimates, common shut ratio, and common job measurement of 39 Franchisees (representing 104 Territories) that had been in operation for your complete 2021 fiscal 12 months and used Monster Tree Service’s proprietary CRM/Estimating/Job Costing software program to report the knowledge. The desk excludes the Affiliate-Owned Outlet.

Complete Estimates

• Common Efficiency of Franchisees in Group:  1,463
• Median Efficiency of Franchisees in Group:  1,345
• Highest Efficiency of Franchisees in Group:  2,914
• Lowest Efficiency of Franchisees in Group:  463

Shut Ratio

• Common Efficiency of Franchisees in Group:  44%
• Median Efficiency of Franchisees in Group:  46%
• Highest Efficiency of Franchisees in Group:  68%
• Lowest Efficiency of Franchisees in Group:  21%

Common Job Measurement

• Common Efficiency of Franchisees in Group:  $1,664
• Median Efficiency of Franchisees in Group:  $1,645
• Highest Efficiency of Franchisees in Group:  $2,708
• Lowest Efficiency of Franchisees in Group:  $946

Half 4 – Plant Healthcare Gross Income

• The desk beneath units forth the Gross Income generated from plant healthcare jobs for the fiscal 12 months ending December 31, 2020 and the fiscal 12 months ending December 31, 2021 for 58 Franchisees (representing 145 Territories) that had been in operation for your complete 2020 and 2021 fiscal years and used Monster Tree Service’s proprietary CRM/Estimating/Job Costing software program to report the knowledge. The desk excludes the Affiliate-Owned Outlet.

• Plant Healthcare is outlined because the care of vegetation, bushes, and shrubs by growing and sustaining total well being and contains fertilization, suppression of ailments, or discount and/or elimination of insect populations inflicting decline or loss of life of tree, shrubs, or vegetation and doesn’t embody tree removing, pruning, and stump grinding companies.

Plant Healthcare

• 2020 Complete Gross Income:  $659,452
• 2020 Common Gross Income:  $21,273
• 2021 Complete Gross Income:  $1,369,476
• 2021 Common Gross Income:  $32,607
• Yr-Over-Yr Development Proportion:  107.7%

Half 5 – Complete and Common Backlog

• The desk beneath units forth the full worth of Backlog and common worth of Backlog for 58 Franchisees (representing 145 Territories) that had been in operation for your complete 2021 fiscal 12 months and used Monster Tree Service’s proprietary CRM/Estimating/Job Costing software program to report the knowledge.

• “Backlog” is outlined as the full worth of companies offered to clients and but to be produced as of December 31, 2021. The typical is set by dividing the Complete Backlog Worth and dividing by the 58 reported franchisees.

Backlog

• Complete Backlog Worth:  $4,632,060
• Common Backlog Worth Per Franchisee:  $79,863

Half 6 – Systemwide Gross sales

• The desk beneath units forth the mixture Gross Income (“Systemwide Gross sales”) reported by all Monster Tree Service franchisees whose Monster Tree Companies companies had been operational for any a part of the relevant 12 months (whilst little as one month if the franchisee accomplished preliminary coaching in December of their preliminary 12 months) and the Affiliate-Owned Location.

• In 2021, the franchisees operated territories with populations that ranged roughly between 200,000 and 1,000,000.

• In 2021, the Affiliate-Owned Outlet operated 3 territories with a complete territory inhabitants of roughly 1,330,800. The Affiliate-Owned Outlet operates from a single location with 4 separate crews.

Systemwide Gross sales

• 2015:  $7,305,440
• 2016:  $11,226,387 (53.7% year-over-year development)
• 2017:  $11,788,472 (5.0% year-over-year development)
• 2018:  $15,457,524 (31.1% year-over-year development)
• 2019:  $30,341,069 (96.3% year-over-year development)
• 2020:  $52,598,738 (73.4% year-over-year development)
• 2021:  $75,187,811 (42.9% year-over-year development)

Part VI – Monster Tree Service Franchise Ratios, Comparables, Computations, and Analyses (Unique Content material for Platinum Subscribers) ⬇️