The Grounds Guys franchise unit economics
The Grounds Guys franchisees run crew-based grounds maintenance, landscaping, hardscaping and snow businesses that work on contract for commercial, residential and municipal properties.
The Grounds Guys in the news
- Neighborly® Appoints Brent Korb as Chief Financial Officer · Franchising.com ·
The headline above on The Grounds Guys is the publisher's own and links to the publisher. Averan Advisors checked this Grounds Guys link on 11 October 2026. Franchise news lists news on 95 brands, including The Grounds Guys. The Grounds Guys is in the Lawn, Pest and Irrigation franchise guide.
The Grounds Guys franchise at a glance
Item 19 of The Grounds Guys' 2026 FDD reports 2025 gross sales for 161 businesses that reported at least nine months, split between 105 open three years and over and 56 open under three years.
The Grounds Guys franchisees averaged $671,405 of sales in 2025, according to Item 19 of The Grounds Guys’ 2026 FDD, issued 1 April 2026. The 161 in that group are 74%* of The Grounds Guys’ 219 locations. Fees paid to The Grounds Guys come to about 9.17%* of sales. The Grounds Guys franchise costs $107,650 to $252,850 to open.
- A Grounds Guys franchise costs $107,650 to $252,850 to open, including a $43,750 initial franchise fee, according to the brand's 2026 FDD.
- The Grounds Guys charges a royalty of 6% of sales, a 2% brand fund contribution and a $654 monthly technology fee.
- 35% of reporting Grounds Guys locations reached the average.
- Work out The Grounds Guys's fees at your own sales with the minimum fee calculator.
- 44 of the 219 The Grounds Guys businesses trade under nine months a year.
These figures come from The Grounds Guys's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors.
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Talk to Averan → Move your books and accounting to Averan →- Businesses past three years bill 2.09 times the revenue of younger ones. $820,392 against $392,054 on the averages and $533,092 against $294,312 on the medians *, so the build-up in this business is measured in years.
- Nineteen terminations landed in the first quarter of 2026, matching the whole of 2025. That compares with 12 openings in 2025, and openings fell 43, 31, 12 across the three years while the franchised count went 211 to 229 and back to 219.
- Fees paid to the brand run 8.46% at the mature average and 10.00% at the young average. $69,383 on $820,392 and $39,217 on $392,054 *, with local marketing spend of the greater of $20,000 or 5% of prior-year sales on top.
- Each license threshold lowers the rate by half a point. That is $3,750 at $750,000 and $8,750 at $1,750,000 *. The rate is set on the previous calendar year and applies to every week of the next one. So December’s closing figure decides the following twelve months.
- Forty-four businesses trade under nine months a year. One in five of the 219 open at year end *, and the license minimum is itself seasonal, charged at one rate for April to November and another for December to March.
How much does a Grounds Guys franchise make?
The average Grounds Guys unit reported $671,405 of revenue in the 2026 FDD. The brand’s disclosure document discloses revenue and not profit, so what an owner keeps depends on the cost structure set out below. Fees come off the top first, at about 9.2% of sales across royalty, brand fund and the rest of the stack. Revenue is not income. Rent, wages, cost of goods and the franchise fees all come out before an owner is paid. The figures for the highest-selling and lowest-selling businesses are below.
Top performers
What separates the top Grounds Guys performers
The Grounds Guys splits its locations into groups instead of publishing one average. The top group averaged $820,392 a year. The lowest averaged $392,054. Both run the same brand, on the same agreement, paying the same fees.
Decided before you open
- Site and trade area.The top band sells 2.1× the bottom band. Catchment, daytime population and neighboring businesses affect where a location falls.
- Territory.This model sells from a territory quoted at 500,000 people, with no storefront. Population density sets how much driving sits between jobs.
- Opening cost range.Opening costs $107,650 to $252,850, a 2.3× range inside one brand.
- Fees and the minimum.Fees run about 9.2% of sales. A minimum fee also applies, so lower-selling locations pay a higher effective rate. Work out the sales level where the percentage overtakes the minimum.
- Cash needed in the first year.This filing shows how a new location builds up: the month sales cover costs, and how much cash you fund before then.
Live operating levers
- Accounts.Accounts bill year after year. Track how many you keep as well as how many you win.
Context you underwrite around
- Locations included.These figures cover 161 of 219 locations. Locations open less than the full year, brand-owned, or not meeting the reporting criteria are excluded.
- What the filing does not include.The Grounds Guys’ Item 19 gives no profit or cost data for franchised locations. Ask the franchisor or current owners for cost and profit figures.
Discounts available
- The Grounds Guys takes 20% off the $43,750 minimum fee for honorably discharged U.S. and Canadian veterans (VetFran).
- The Grounds Guys offers rural-territory pricing (40,000-100,000 people, no city over 30,000) that can cut the fee to as low as 50% of the $43,750 minimum.
- The Grounds Guys takes 5% off for every $100,000 of annual sales an owner rolls in from an existing similar business with at least $200,000 in sales, up to 50%.
- The Grounds Guys takes 5% to 20% off an additional territory for franchisees of at least 2 years, rising with years in the system.
- The Grounds Guys takes 10% off for franchisees of its affiliated brands of at least 2 years.
- The Grounds Guys takes 10% to 25% off for employees of its or its affiliates' franchisees with at least 2 years' service who are recommended by their employer.
From Item 5 of the The Grounds Guys 2026 FDD. The costs on this page use the full initial franchise fee for one unit, before any discount.
What three years is worth
Gross sales by time in operation, 2025
| Measure | Three years and over, 105 | Under three years, 56 | Mature against young * |
|---|---|---|---|
| Average gross sales | $820,392 | $392,054 | 2.09 times |
| Median gross sales | $533,092 | $294,312 | 1.81 times |
| Highest | $3,588,439 | $1,608,826 | 2.23 times |
| Lowest | $42,555 | $35,170 | 1.21 times |
| Reaching the average | 37, 35% | 20, 36% | n/a |
| Median as a share of average * | 65.0% | 75.1% | n/a |
Counts, averages, medians, ranges and attainment are as the brand reported it across the 161 businesses that reported at least nine months. The final column and the closing row are marked *.
The median business past three years bills $533,092. That is 65.0% of its own group average *, and 37 of 105 reach that average. So the mature group is carried by a long upper tail running to $3,588,439.
The young group’s median is 75.1% of its average. That compares with 65.0% in the mature group *, so new businesses cluster and the range opens up as they age.
Attainment is identical in both groups at about 35%. That is 37 of 105 and 20 of 56, so two businesses in three sit below their own group average whatever their age. The maturity gain is a gain in the level.
The highest-selling mature business bills 4.37 times its own group average. That is $3,588,439 against $820,392 *, and 84 times the lowest-selling in the same group, which is the widest internal range on this page.
Blending the two groups gives $671,405 across the 161 reporting businesses*. That figure weights the $820,392 average of the 105 businesses open three years and over and the $392,054 average of the 56 open under three years. It is the figure to carry forward, because The Grounds Guys states the two groups separately.
Fees and the season
Brand and marketing fees at each level
| Business | Gross sales | License fee * | Brand fund * | Software * | Paid to the brand * | Share of sales * |
|---|---|---|---|---|---|---|
| Highest-selling mature business | $3,588,439 | $179,422 | $71,769 | $7,853 | $259,044 | 7.22% |
| Mature average | $820,392 | $45,122 | $16,408 | $7,853 | $69,383 | 8.46% |
| Mature median | $533,092 | $31,986 | $10,662 | $7,853 | $50,501 | 9.47% |
| Young average | $392,054 | $23,523 | $7,841 | $7,853 | $39,217 | 10.00% |
| Young median | $294,312 | $17,659 | $5,886 | $7,853 | $31,398 | 10.67% |
| Lowest-selling young business | $35,170 | $9,360 | $703 | $7,853 | $17,916 | 50.94% |
The rates and minimums are as the brand reported it and every dollar figure is marked. The license minimum is taken at the $180 weekly rate that applies from week 157.
The license scale runs 6%, 5.5% and 5% on $750,000 and $1,750,000 of prior-year sales. It is set on the previous calendar year and charged against every week of the next. So each threshold is a cliff worth half a percent of itself, $3,750 and $8,750 *.
The local marketing requirement is the greater of $20,000 or 5% of prior-year sales. It sits on top of the 2% brand fund, and at the mature average 5% is $41,020 a year *.
5% overtakes the $20,000 minimum at $400,000. The young group averages $392,054 *, just under it, so a business in its first three years is usually paying the flat minimum. Growth up to $400,000 dilutes that charge without adding to it.
The first two years each have $25,000 of local marketing, and $15,000 of it must fall in high season. That is the fee schedule acknowledging what the trade already knows. The money has to be spent when the work is available.
The license minimum is charged at one rate from April to November and another from December to March. It runs $90 a week, rising to $180 by week 157, which is $9,360 a year at full years open *, and 6% overtakes it at $156,000 of sales.
Fixed software and call handling run about $10,253 a year. That is $654.45 a month for the software stack and $199.99 for the call center *, plus $15 for each appointment booked, which is 1.2% of the mature average and 2.6% of the young one.
The terminations
Outlets opened and terminated, 2023 to 2025
| Year | At start | Opened | Terminations | Non-renewals | Reacquired | Ceased, other | At end | Net * |
|---|---|---|---|---|---|---|---|---|
| 2023 | 211 | 43 | 18 | 1 | 0 | 9 | 226 | +15 |
| 2024 | 226 | 31 | 21 | 3 | 0 | 4 | 229 | +3 |
| 2025 | 229 | 12 | 19 | 1 | 0 | 2 | 219 | −10 |
Every figure is as the brand reported it apart from the net column. That is marked *, and company-owned outlets stood at zero in all three years.
Another 19 businesses were terminated in the first quarter of 2026. That is as many in three months as in the whole of 2025. The franchisor states plainly that it is disclosing them because of the high number, a brand volunteering that figure is telling an owner something the outlet table leaves out.
Openings fell by 72% in two years. They went 43, then 31, then 12 *, and the projection for the next year is 21 new outlets against 19 agreements already signed with the outlet still to open.
Across three years 86 opened and 78 left. The departures were 58 terminations, 5 non-renewals and 15 that ceased for other reasons. The Grounds Guys ended 2025 with 219 franchised businesses, 8 more than the 211 it started 2023 with.
Twenty businesses closed during 2025, one of them inside its first twelve months. Their figures sit outside the tables on this page, so the averages describe the businesses that were still trading at the end of the year.
Territory and opening
Territory pricing
Territory is priced at exactly 35 cents a head, whatever the size. $43,750 covers 125,000 people and each further 1,000 costs $350, so a 500,000-population territory costs $175,000 *. The maximum is generally 500,000, which is four times the base.
Opening costs $107,650 to $252,850. That is 13.1% to 30.8% of a mature year’s sales *. The business runs from home or from premises, and the printed advertising line caps at $15,000 against a first-year requirement of $25,000.
Snow and ice work sits alongside the grounds calendar. Property maintenance, landscaping, hardscaping, arboriculture, turf care, irrigation and lighting fill the warm months and snow fills the cold ones. That is why one business in five still trades under nine months and why the fee calendar splits at April and December.
Key account work has its own charge. It is up to a further 5% on sales made through the brand’s key accounts program, on top of the license fee and the brand fund. So national contract revenue arrives at a lower margin than work you win yourself.
A local marketing group may take up to 3% more. Contributions count toward the required local spend, so the group absorbs the requirement. At the mature average that is up to $24,612 of the $41,020 already committed *.
Questions we get asked
Questions an owner asks
How much does The Grounds Guys franchise make?
The Grounds Guys franchisees averaged $671,405 of sales in 2025, according to Item 19 of The Grounds Guys’ 2026 FDD, issued 1 April 2026. The 161 in that group are 74%* of The Grounds Guys’ 219 locations. Fees paid to The Grounds Guys come to about 9.17%* of sales. The Grounds Guys franchise costs $107,650 to $252,850 to open.
What does a Grounds Guys business bill?
Item 19 covers 161 Grounds Guys businesses that reported at least nine months of 2025. Those open three years or more averaged $820,392 with a median of $533,092, on a range from $42,555 to $3,588,439. Those under three years averaged $392,054 with a median of $294,312, on a range from $35,170 to $1,608,826. Combined across both groups, that is $671,405 on our reading. About 35% of each group reaches its own average.
What fees does The Grounds Guys charge?
The Grounds Guys charges a license fee of 5% to 6% of gross sales, paid weekly each Wednesday and set by the previous calendar year. The license fee is 6% up to $750,000, 5.5% to $1,750,000 and 5% above, plus a 2% brand fund fee. Minimum license fees run $90 a week rising to $180 by week 157, charged at different rates for April to November than for December to March. A local marketing group may take up to 3%, and key account sales have up to a further 5%.
What is the marketing requirement at The Grounds Guys?
The Grounds Guys requires $25,000 of marketing in each of the first two years, of which $15,000 must be spent in high season. After that the franchisor reserves the right to require the greater of $20,000 or 5% of the previous year’s gross sales, in addition to the brand fund fee.
What does that work out to at The Grounds Guys?
On our reading, fees paid to The Grounds Guys take 8.46% of sales at the mature average, 9.47% at the mature median, 10.00% at the young average and 10.67% at the young median, counting the license fee, the 2% brand fund and the $654.45 monthly software fee. At the lowest-selling young business, billing $35,170, the minimum license fee takes it to 50.94%. Local marketing spend comes on top.
How big is The Grounds Guys territory?
A Grounds Guys territory holds 125,000 people as standard, with a maximum of generally 500,000. The fee is $43,750 for the first 125,000 and $350 for each further 1,000, so the price per head is 35 cents at any size.
How much does a Grounds Guys franchise cost to open?
A Grounds Guys franchise costs $107,650 to $252,850 to open, before any additional franchise fee for territory beyond 125,000 people. The printed advertising line runs to $15,000, which sits below the $25,000 the agreement requires in the first year.
How stable is The Grounds Guys system?
The Grounds Guys had 219 franchised businesses at the end of 2025, down from 229, with no company-owned outlets. Across 2023 to 2025, 86 opened and 78 left, 58 terminations, 5 non-renewals and 15 that ceased for other reasons. Openings fell 43, 31, 12. A further 19 terminations occurred in the first quarter of 2026, which the franchisor puts on record expressly because of the number.
Which two numbers should run weekly at The Grounds Guys?
Track year-to-date gross sales against $750,000 and $1,750,000, because December’s closing figure sets the license rate for all twelve months that follow. Then track high-season sales against the rest of the year, because the fee calendar, the marketing requirement and the work itself all split on the same line.
- The filing gives no profit figure. The filing reports sales and not earnings, so what an owner keeps is not disclosed.
- The filing breaks out no cost lines. Wages, rent and cost of goods are not broken out, so margin cannot be rebuilt from the document.
Questions worth putting to The Grounds Guys
These are questions the The Grounds Guys filing leaves open. An owner or a buyer can put them to The Grounds Guys directly.
- What do locations at the median spend on wages and rent as a share of sales? The filing reports sales only.
- Which factors does The Grounds Guys see in its highest-selling locations, such as trade area, years open and size?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many Grounds Guys locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Numbers Check runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. Checks whether you are ready to open another one. It is free and it runs in your browser.
Launch the diagnostic →Will December’s close move your rate?
We review your unit economics and cash forecast and build your reporting around the $750,000 threshold that sets next year’s license rate, a 5% marketing requirement that switches on at $400,000. A season that decides when the money can be spent.
Talk to Averanthe franchise library, all 447 brands · how franchise unit economics work · running the books across several locations · what Averan does for franchise owners
The Grounds Guys reads against the rest of the lawn, pest and irrigation group: Conserva Irrigation · Lawn Doctor · Mosquito Joe · Mosquito Shield · Mosquito Squad · Pestmaster. The lawn, pest and irrigation guide compares all of them on the same figures.
Questions owners ask next
The figures above raise these, and each one is answered on its own page.
- At what level of sales does a minimum fee stop costing me more than the percentage?It works out the sales level where a minimum fee stops applying.
- How much cash do I fund before a new location covers its own costs?It builds a 13-week forecast for the months before break-even.
- My payroll percentage keeps climbing. Is that a payroll problem?It shows how to tell whether payroll is rising or revenue is falling.
- I run several locations. Which ones actually make money?It shows each location's contribution to profit and the reporting it takes to see it.
- How much of Item 19 can I rely on?It explains what an Item 19 financial performance representation tells you and what it leaves out.
Where these figures come from.
Every figure here comes from The Grounds Guys SPV LLC’s 2026 FDD and is unaudited by us. We are unaffiliated with the brand. Calculations of our own are labeled where they appear, the figures describe past performance at other businesses and are not a projection of yours. This page is an educational summary. It is not an offer to sell a franchise, and it is not financial, legal or tax advice. The Grounds Guys® is a registered trademark of its owner. How Averan reads a Franchise Disclosure Document.
These figures come from the brand's disclosure. They are not a forecast, an offer to sell a franchise or advice. Source: The Grounds Guys SPV LLC, 2026 Franchise Disclosure Document, issued 1 April 2026.