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Cooper's Scoopers

FDD Version:

How much does Cooper's Scoopers cost?

Initial Investment Range

$21,900 to $75,000

Franchise Fee

$10,000 to $40,000

We offer a franchise opportunity to establish and operate a pet waste removal and management business.

Enjoy our partial free risk analysis below

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Cooper's Scoopers June 3, 2025 FDD Risk Analysis

Free FDD Library AI Analysis Date: August 22, 2025

DISCLAIMER: Not Legal Advice - For Informational Purposes Only. Consult With Qualified Franchise Professionals.

1

Franchisor Stability Risks

Start Here
Total: 10
5
0
5

Disclosure of Franchisor's Financial Instability

High Risk

Explanation

The franchisor, formed in late 2024, has only $5,000 in equity. This is explicitly flagged as a “Special Risk.” Multiple state regulators require the company to defer collecting your initial fee due to this financial condition. This severe undercapitalization creates significant doubt about its ability to provide support, grow the brand, or remain solvent without relying entirely on franchisee fees, placing your investment at high risk.

Potential Mitigations

  • An accountant must review the franchisor's financial statements and the implications of the state-mandated fee deferrals.
  • Discuss the extreme financial risk with your franchise attorney, focusing on the company's ability to fulfill its contractual support obligations.
  • A financial advisor can help you model the risks of investing in a severely undercapitalized startup franchisor.
Citations: Item 21, FDD Page 4, Exhibit A (CA, IL, MD, VA, WA Addenda), Exhibit G

High Franchisee Turnover

Low Risk

Explanation

This risk was not identified as the franchise system is brand new and has no operating history with franchisees. Item 20 shows zero franchised or company-owned outlets have ever operated. Generally, high franchisee turnover can be a major red flag indicating systemic problems. As one of the first franchisees, you accept the risk of there being no track record to evaluate.

Potential Mitigations

  • Understanding how to analyze franchisee turnover data in Item 20 will be a critical skill to develop with your business advisor for future opportunities.
  • Once the system has franchisees, an attorney can advise on how to contact them to understand their satisfaction levels.
  • An accountant can help you learn to calculate turnover rates from FDDs to gauge system health in other opportunities.
Citations: Item 20

Rapid System Growth

Low Risk

Explanation

This risk is not present based on historical data, as the franchisor has no prior operating history. However, Item 20 projects 26 franchise sales in the next year, which would be extremely rapid growth for a new, undercapitalized company. In general, rapid expansion can strain a franchisor's ability to provide adequate support. You should monitor whether the franchisor can build the necessary infrastructure to support this planned growth.

Potential Mitigations

  • Discuss with a business advisor the potential challenges a new franchisor faces when attempting rapid growth.
  • Your accountant should review the franchisor's financials to assess if they possess the capital to support such expansion.
  • It is wise to question the franchisor on its specific plans to scale support staff and systems to match projected growth.
Citations: Item 20

New/Unproven Franchise System

High Risk

Explanation

This is a brand-new franchise system, with the franchisor entity formed in late 2024 and no outlets operating as of the FDD issuance. The FDD's "Special Risks" section explicitly highlights the "Short Operating History," meaning the business model, support systems, and brand recognition are entirely unproven. Investing in a startup concept like this carries a significantly higher risk of failure compared to an established system.

Potential Mitigations

  • A thorough due diligence process with your business advisor is needed to evaluate the viability of this new concept.
  • Your franchise attorney should help you understand the heightened risks associated with being a foundational franchisee.
  • Having an accountant scrutinize the business plan and financial projections is critical, given the lack of any historical performance data.
Citations: Item 1, Item 20, FDD Page 4, Exhibit A (Washington Addendum)

Possible Fad Business

Low Risk

Explanation

This risk was not identified. The franchise is for a pet waste removal business, which is a well-established service industry with consistent demand rather than a concept based on a short-term trend or fad. Generally, investing in a fad business carries the risk that consumer interest will decline, leaving you with a long-term contract for a business with a short-term appeal.

Potential Mitigations

  • A business advisor can help you research the long-term market stability for any industry you consider entering.
  • When evaluating franchises, your attorney might suggest looking at the franchisor's plans for innovation and adaptation.
  • It is prudent to consult with a financial advisor to assess the resilience of a business model to economic shifts.
Citations: Not applicable

Inexperienced Management

High Risk

Explanation

The management team is newly assembled for this specific venture. While some individuals have prior franchise experience, their ability to successfully launch and manage this particular new system is unproven. Furthermore, the CEO of the parent company has an extensive and troubled litigation history detailed in Item 3. This history, combined with the newness of the management team for this brand, presents a significant operational and leadership risk.

Potential Mitigations

  • Conducting deep due diligence on the entire management team's track record is crucial; your business advisor can assist.
  • Your attorney must carefully review the litigation history of key executives to assess potential character and operational risks.
  • Questioning the franchisor about how past issues involving its leadership have been addressed is an important step.
Citations: Item 2, Item 3

Private Equity Ownership

Low Risk

Explanation

This risk was not identified, as the FDD does not indicate that the franchisor or its parent company is owned by a private equity firm. When a franchise is PE-owned, there can be a risk that decisions prioritize short-term investor returns over the long-term health of the system and its franchisees, which your attorney can help you evaluate.

Potential Mitigations

  • A business advisor can help you research the ownership structure of any franchisor you consider.
  • When PE ownership is present, speaking with an attorney is wise to understand potential impacts on your franchise agreement.
  • If a system is acquired by a PE firm, an accountant can help analyze subsequent changes in fees or support levels.
Citations: Not applicable

Non-Disclosure of Parent Company

High Risk

Explanation

While the FDD discloses Loyalty, LLC as the parent company, it does not include the parent's financial statements. Given that the franchisor, Coopers Scoopers, LLC (Cooper's Scoopers), is a new entity with only $5,000 in equity, the parent's financial health is critical to understanding the system's stability. Without the parent's financials, you cannot adequately assess the overall financial risk of your investment.

Potential Mitigations

  • A franchise attorney should be consulted to determine if the parent company's financial statements are required to be disclosed here.
  • You should request the parent company's audited financial statements from the franchisor for a proper risk assessment by your accountant.
  • Proceeding without a clear understanding of the parent's financial stability would be a significant gamble; discuss this with your financial advisor.
Citations: Item 1, Item 21

Predecessor History Issues

Low Risk

Explanation

This specific risk is not present, as the franchisor states in Item 1 that it has no predecessors. In cases where a franchisor has acquired a business from a predecessor, it is important to review the predecessor's history for issues like litigation, bankruptcy, or high franchisee failure rates, as these could indicate inherited problems within the system.

Potential Mitigations

  • An attorney can help verify statements about predecessors and analyze any historical information provided in an FDD.
  • A business advisor can assist in researching the history of a brand, especially if it has been bought and sold.
  • When predecessors exist, speaking with long-term franchisees about their experience is a key due diligence step.
Citations: Not applicable

Pattern of Litigation

High Risk

Explanation

Item 3 discloses a significant and troubling litigation history involving John T. Hewitt, the CEO of the parent company, which is highlighted as a special risk in the Washington Addendum. While not against Cooper's Scoopers directly, the cases involve his other franchise brands and include serious, recent allegations of fraud, breach of fiduciary duty, and misuse of funds. This pattern presents a critical risk regarding management's character, ethics, and business practices.

Potential Mitigations

  • Your franchise attorney MUST conduct a detailed review and analysis of all litigation disclosed in Item 3.
  • A business advisor can help you assess the operational risks associated with a leadership team facing such serious allegations.
  • Consider the potential impact on brand reputation and franchisor stability that could arise from this litigation history.
Citations: Item 3, Washington Addendum (Exhibit A)
2

Disclosure & Representation Risks

Total: 15
3
0
12

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

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3

Financial & Fee Risks

Total: 10
1
5
4

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

4

Legal & Contract Risks

Total: 16
4
6
6

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

5

Territory & Competition Risks

Total: 5
2
2
1

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

6

Regulatory & Compliance Risks

Total: 10
4
3
3

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

7

Franchisor Support Risks

Total: 4
2
1
1

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

8

Operational Control Risks

Total: 12
2
6
4

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

9

Term & Exit Risks

Total: 18
9
4
5

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

10

Miscellaneous Risks

Total: 1
1
0
0

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.