Franchising Since: 1976
Headquarters: Orono, Ontario
Country of Origin: Canada
Estimated Number of Units: 355
Franchise Description: The franchisor is Turf Holdings Inc. The franchisor is the US master licensee and affiliate of TH Canada, Inc. The franchise offered is for the right to operate a business maintaining quality turf, mosquito control, and perimeter pest control for residences and businesses by providing various professional services under the trademarked name “Weed Man”.
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Territory Granted: As long as the Franchise Agreement remains in effect, franchisees will have the right use the Weed Man Lawn Care system to sell lawn care services, mosquito control services, and perimeter pest control services under the marks within an assigned territory. The territory is based on such factors as population density, market statistics, competition and other factors. The general target for the size of a single franchise territory is a population of up to 150,000 people. However, by mutual agreement with the new franchisee a single franchise territory may be awarded with a population as low as 50,000 residents in isolated areas. The franchisor draws its population data from the data supplied by the US Census Bureau. Precise boundaries are described by the use of a map setting forth county lines, township lines, municipal boundaries, census tract boundaries and state and US highways. A description of the territory will be attached in the Franchise Agreement. So long as franchisees are not in default under the Franchise Agreement, neither the franchisor THI, TH Canada or their respective designees will operate, or license anyone to operate, a lawn care or mosquito and perimeter pest control business within the territory.
Obligations and Restrictions: While the franchisor recommends that franchisees participate personally in the actual operation of the business, they are not obligated by the terms of the Franchise Agreement or other device or practice to do so. However, franchisees (or if they are a corporation or partnership or limited liability company, a shareholder or partner or member who has been approved by the franchisor) must successfully complete the training program. The Franchise Agreement prohibits franchisees from using or selling any product or service not authorized and approved by the franchisor for use or sale by the business, and requires them to follow the franchisor’s specifications and standards regarding the services they provide to customers.
Term of Agreement and Renewal: The length of the initial franchise term is 10 years. One renewal term of 10 years on new terms and conditions is permitted if franchisees meet certain requirements.
Financial Assistance: The franchisor offers to financially qualified franchisees the financing of portions of the initial franchise fee, initial training and start-up costs up to a maximum of $50,000. The amount of financing the franchisor offers will depend on the franchisee’s financial qualifications and the level of financing it chooses to make available. The franchisor reserves the right to suspend this financing program at any time.
Estimated Initial Investment
Name of Fee | Low | High |
Initial Franchise Fee | $30,000 | $50,000 |
Training Cost | $4,600 | $4,600 |
Travel & Living Expenses During Initial Training | $2,000 | $3,000 |
Real Estate Improvements | Varies | |
Equipment and Fixtures | $7,700 | $7,700 |
Truck & Spray Package Lease (per month) | $1,000 | $1,500 |
Computer Hardware and Software | $6,250 | $6,250 |
Insurance | $3,000 | $4,000 |
Miscellaneous Opening Costs | $1,600 | $2,350 |
Additional Funds – 3 months | $25,000 | $30,000 |
ESTIMATED TOTAL | $81,150 | $109,400 |
Other Fees
Type of Fee | Amount |
Royalty | For annual cumulative net sales of up to $1 million the monthly royalty fee is 6.5% of net sales. For annual cumulative net sales in excess of $1 million the royalty fee is 5.5% of net sales. The current minimum annual royalty fee is $7,192.46 per unit territory. |
Advertising Fund Contributions | Each month franchisees will contribute 1.2% of net sales (will not exceed 3% of net sales per month). |
Audit | Cost of inspection or audit ($100 to $1,000). |
Assignment | Transfer fee of $10,000 plus legal costs and expenses incurred with transfer, including administrative costs, legal fees, and training costs. |
Renewal | 50% of the then current initial franchise fee. |
Refresher Training | Will vary under the circumstances. |
Convention | $450 to $550 |
Indemnification | Will vary. |
Interest | The greater of 1.5% per month or 5% over Wall Street Journal Prime Rate, but not above the highest legal rate for open account business credit. |
Management Fee | Reasonable fee plus expenses incurred. |
Special Assistance | $200/hr. plus travel expenses |
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