How to Finance a Monster Tree Service Franchise: Trucks and Fees
By Marc Cornella
A Monster Tree Service franchise loan pays for something most home-service franchises never need: a working fleet of heavy equipment. Before the first tree comes down, a new owner needs a chip truck, a chipper, a stump grinder, a loader, a trailer and a sales vehicle, plus insurance, marketing and a year of payroll for a skilled crew.
Below we cover what Monster Tree Service’s 2026 Franchise Disclosure Document (FDD) says a new territory costs, how its royalty structure affects a loan request, and how SBA 7(a), conventional and equipment loans fit together.
US Professional Funding is not affiliated with, sponsored by or endorsed by Monster Tree Service; the name is used only to describe the business. Figures from the franchisor’s disclosure document can change, loan programs and terms vary by lender and borrower, and every loan is subject to approval. Nothing here is legal, tax or investment advice. Review the current FDD and franchise agreement with a qualified franchise attorney and accountant before you sign or borrow.
Monster Tree Service Franchise Loan at a Glance
- Initial franchise fee: $49,500 for a territory of up to 80,000 single-family dwelling units, plus $0.25 for each additional unit, according to the 2026 FDD.
- Total initial investment: $335,040 to $489,775, including 12 months of additional funds.
- Equipment and vehicles: required trucks and equipment of $299,000 to $368,500, which the FDD assumes are financed; the Item 7 table counts only the deposit and first payments.
- Royalty: tiered from 6.5% of the first $1,000,000 of gross revenue down to 3.5% above $3,000,000, with weekly minimums starting in the second year.
- Brand fund and local marketing: brand fund currently 1% of gross revenue; local marketing of the greater of $2,000 or 5% of gross revenue per month.
- Franchisor financing: up to 75% of the franchise fee may be financed by the franchisor, as described in Item 10.
- Discounts: 30% off the first franchise for veterans and active-duty service members; reduced fees for second and third territories.
- SBA Franchise Directory: listed as “Monster Tree Service” (code S1128) with no special notes.
What Is Monster Tree Service?
Monster Tree Service started in 2008, first serving homeowners in the Pennsylvania, New Jersey and Delaware area. Franchising began in 2012 under a predecessor company. The current franchisor, Monster Franchising SPE LLC, is a Delaware company with its principal office in Columbia, Maryland, and it began offering franchises in 2021 as part of a larger home-services franchise group owned by its parent company.
The concept. Franchisees provide residential and commercial tree services: tree removal, pruning, land clearing, stump grinding, plant health care and related work, along with emergency storm response.
A mobile, equipment-driven format. There is no storefront; the FDD says the business may be run from your home, with a modest budget for parking and storing the trucks. What it does need is heavy equipment, trained crews and a sales arborist who writes estimates.
Why lenders view it the way they do. Tree work produces larger tickets than many home services and the equipment holds real collateral value, which lenders like. On the other side, the work carries safety and insurance risk, demand slows in winter, and debt starts high because the fleet comes first.
Monster Tree Service Franchise Costs
Initial franchise fee. The 2026 FDD sets the base fee at $49,500 for a territory of up to 80,000 single-family dwelling units, with $0.25 charged for each unit above that. A second territory costs $40,000 and a third $35,000, for cumulative fees of $89,500 and $124,500. Veterans and active-duty service members receive 30% off the first franchise, existing franchisees receive 30% off additional territories, and a diversity program takes $5,000 off the first territory. The fee is not refundable.
Grand opening marketing. A $6,000 pre-opening and grand opening marketing fee is paid at signing.
Equipment and vehicles. This is the heart of the budget. The FDD lists a pickup truck, a chip truck, a chipper, a stump grinder, a mini skid loader or articulating loader and a trailer, plus a fuel-efficient sales vehicle, with an optional tracked lift. The required equipment and vehicles total $299,000 to $368,500. Item 7 shows only $59,800 to $110,700 for this line because it assumes the equipment is financed, with a 20% deposit and three months of payments counted in the opening budget.
Opening costs and working capital. Training travel, small tools, insurance deposits, truck graphics, technology and professional fees all come before revenue. The largest single line is additional funds of $128,000 to $197,000 for the first 12 months of staff salaries and operating expenses, which excludes any owner salary or draw.
Total investment. The 2026 FDD estimates a total initial investment of $335,040 to $489,775 for one territory, based on 2025 data. The Item 7 line items are:
- Franchise fee: $49,500
- Pre-opening and grand opening marketing: $6,000
- Training expenses: $10,000 to $11,000
- Equipment and vehicles (deposit and first payments): $59,800 to $110,700
- GPS tracking systems: $360 to $600
- Small equipment and tools: $19,000 to $25,000
- Ongoing local marketing: $24,000
- Insurance: $20,250 to $29,250
- Legal and accounting fees: $5,500 to $8,500
- Vehicle graphics: $6,700 to $10,700
- Rent for parking or office space: $500 to $6,000
- Office expense: $550 to $2,300
- Computer, phone and technology: $3,000 to $6,000
- Operating and financial software: $1,380 to $1,725
- Business licenses and permits: $500 to $1,500
- Additional funds for 12 months: $128,000 to $197,000
The low end assumes the owner acts as the sales arborist for the first year. The high end assumes a sales arborist is hired on day one or that the business opens late in the season or in the off-season, when the FDD says about $20,000 of initial local marketing may be needed.
Ongoing Fees and How They Affect Your Loan
Tiered royalty. The royalty is 6.5% of the first $1,000,000 of gross revenue each year, 5% from $1,000,001 to $2,000,000, 4.25% from $2,000,001 to $3,000,000 and 3.5% above $3,000,000. The tiers reset each calendar year, so the highest rate applies at the start of every year.
Minimum royalty. There is no minimum in the first 12 months. After that, the minimum is $350 per week in months 13 to 24, $500 per week in months 25 to 36 and $625 per week from month 37 onward. A lender will treat these minimums as fixed costs in a slow winter.
Marketing. The brand fund is currently 1% of gross revenue and can rise to a maximum of 2% on notice. Local marketing must equal the greater of $2,000 or 5% of gross revenue per month on a rolling average, including a $350 monthly website fee.
Technology and other fees. The technology fee is $1,700 per year. Owners also pay roughly $175 to $250 per month for required software and $40 per vehicle each month for GPS tracking. The transfer fee is generally $10,000 and the renewal fee $5,000.
How lenders factor these costs in. Lenders subtract crew wages, fuel, maintenance, insurance, royalties and marketing from revenue before looking at debt service, then test whether a weak month still covers the equipment notes, the minimum royalty and the marketing floor.
Franchisor Requirements for New Owners
Monster Tree Service’s FDD sets out the fees and investment, but the minimum net worth and liquid capital the franchisor expects are set during the qualification process, so confirm them with the franchise development team.
- Training: the training program for you and one additional person is included in the franchise fee; you pay travel, lodging and meals, and the budget includes two days of on-site tree care and safety training.
- Insurance: general liability of at least $1 million per incident and $2 million in aggregate plus a $1 million umbrella, and compliance with state rules for pesticide and herbicide application.
Ways to Own a Monster Tree Service
A new territory. Most buyers start with an open territory. Financing typically combines an SBA 7(a) or conventional loan for the franchise fee, deposits and working capital with separate equipment financing for the fleet. Our page on financing a franchise start-up explains how start-up requests are structured.
Buying an existing territory. A resale comes with trucks, equipment, trained crews, a customer list and revenue history. Lenders can underwrite actual cash flow, and the equipment is appraised as collateral. The franchisor must approve the transfer, and the buyer typically completes training. Read more about buying a franchise resale.
Financing Options for a Monster Tree Service Franchise Loan
SBA 7(a) loans. Monster Tree Service is on the SBA Franchise Directory, so the SBA 7(a) loan program can finance the franchise fee, deposits, tools, insurance, marketing and working capital, and in some cases the equipment itself, in one loan.
SBA 504 loans. The 504 program suits owner-occupied real estate, so it fits mainly an established owner who later buys an equipment yard and shop.
Conventional term loans. Owners with strong credit, collateral or a track record may use a conventional business loan for an acquisition, an added territory or new equipment.
Equipment financing. The FDD assumes the fleet is financed, and the trucks and machines serve as their own collateral, which keeps cash free for payroll and marketing. See our franchise equipment financing and leasing options.
Franchisor financing. Item 10 says the franchisor may finance up to 75% of the franchise fee and any additional dwelling-unit fee in monthly installments.
Working capital and lines of credit. The FDD notes that tree work is busier in spring, summer and autumn than in winter, while wages and equipment payments continue all year. A line of credit can carry payroll through the slow season. Learn more about franchise working capital.
Seller financing on resales. A seller may carry part of the price of an existing territory. Any seller note must be acceptable to the senior lender, is typically subordinate to it, and SBA and other loan programs may limit how it is structured.
SBA Loans for Monster Tree Service Franchisees
The SBA Franchise Directory lists brands whose franchise agreements have been reviewed for SBA eligibility, so an SBA lender can focus on the borrower and the business.
Monster Tree Service’s listing. The brand appears under the name “Monster Tree Service” with code S1128 and no additional notes. In plain English, there are no brand-specific conditions for the lender to work through, and the loan is reviewed under the standard SBA rules.
Loan size. The SBA 7(a) program maximum is currently $5 million, though program rules can change. A single territory, even with the fleet included, is well below that ceiling, which leaves room for multi-territory buyers and acquisitions.
Application tips. Build your sources-and-uses statement from Item 7, but show the full equipment cost separately so the lender sees the whole debt picture. You can estimate payments on different loan amounts with our SBA loan calculator; results are estimates only, not an offer.
How Lenders Evaluate a Monster Tree Service Deal
Personal credit and financial history. Start-up loans rely on the borrower’s credit, tax returns and personal financial statement.
Net worth and liquidity. Lenders want an equity injection plus reserves that remain after closing. With equipment deposits, insurance down payments and a year of payroll to fund, liquidity is often the deciding factor.
Industry and management experience. Tree experience is not the only path in, but lenders value experience leading field crews, selling to homeowners, managing safety programs or running a P&L.
Business plan and projections. Strong plans show the territory’s household count, how many crews you will field and when, average job size assumptions, seasonal swings, the owner’s living costs, equipment payments, insurance and the royalty, minimum royalty and marketing requirements from Item 6. Our article on how lenders read a Franchise Disclosure Document covers which items matter most.
The FDD and franchise agreement. Lenders review the term, renewal and transfer terms, territory protections, minimum royalties and the franchisor financing in Item 10. Check Item 19 to see whether the FDD includes financial performance representations.
For resales. Expect to provide tax returns, profit and loss statements, a fleet list with hours, maintenance records and claims history.
The Fleet: Financing Trucks, Chippers and Stump Grinders
Because the equipment list runs from $299,000 to $368,500, the shape of the equipment debt drives the whole Monster Tree Service franchise loan. Matching loan terms to each asset’s useful life keeps payments manageable.
Lenders will ask whether you buy new or used equipment, whether it arrives in time for launch, and how much cash goes into deposits.
Multi-Unit Growth and Development Agreements
The FDD rewards growth with lower fees on second and third territories, but revenue only grows when you add crews and equipment to serve the added households.
Financing a second territory. Once your first territory has a financial history, lenders can underwrite its cash flow along with projections for the new area. Plan the fee, the added truck and equipment, and the extra marketing minimum together. Our article on multi-unit franchise financing explains how lenders approach expansion.
Real-World Scenarios
A veteran opens a first territory. A former service member uses the 30% veteran discount on the franchise fee, finances the fleet with equipment loans, and uses an SBA 7(a) loan for working capital, insurance and marketing. Our article on franchise financing for veterans covers similar paths.
A buyer purchases an existing territory. A buyer acquires an operating territory with trucks, crews and commercial accounts from a retiring owner. The lender underwrites the territory’s results and appraises the equipment, and the seller carries a small subordinate note.
Common Mistakes to Avoid
- Reading the Item 7 equipment line as the full cost of the fleet instead of the deposit and first payments
- Leaving the minimum royalty and the local marketing floor out of winter projections
- Underfunding payroll while crews build a backlog in the first season
- Forgetting the owner’s own living expenses, which the additional funds estimate excludes
- Opening in the off-season without the extra marketing budget the FDD suggests
- Buying a resale without inspecting equipment hours, maintenance records and safety history
For more pitfalls, read the service contractor loan mistakes that cost owners the most.
Next Steps to Finance Your Monster Tree Service Franchise
Step 1: Confirm your finances. Ask the franchisor for its net worth and liquidity expectations and check them against your equity and reserves.
Step 2: Explore territories. Review available territories and dwelling-unit counts, which set your fee.
Step 3: Review the FDD with advisors. Study Items 5, 6, 7, 10, 17 and 19 and the franchise agreement with a franchise attorney and accountant.
Step 4: Price the fleet. Get equipment quotes and decide what to finance, buy used or lease.
Step 5: Build your plan. Turn Item 7 into a sources-and-uses statement and build a seasonal monthly forecast with crews, fees and equipment payments.
Step 6: Talk with a financing specialist. Compare SBA 7(a), conventional and equipment financing and decide whether to use franchisor financing for part of the fee.
Step 7: Apply, close and launch. Time equipment delivery to training and opening, and protect your working capital reserve.
Monster Tree Service Franchise Loan FAQs
How much does a Monster Tree Service franchise cost?
The 2026 FDD estimates a total initial investment of $335,040 to $489,775 for one territory. That total assumes the trucks and equipment are financed, so the full equipment cost of $299,000 to $368,500 is not paid in cash up front.
What is the Monster Tree Service franchise fee?
The base fee is $49,500 for up to 80,000 single-family dwelling units, plus $0.25 for each unit above that. Veterans and active-duty service members receive 30% off the first franchise.
What royalty does Monster Tree Service charge?
The royalty is tiered: 6.5% of the first $1,000,000 of annual gross revenue, 5% on the next $1,000,000, 4.25% on the next $1,000,000 and 3.5% above $3,000,000. Weekly minimum royalties begin in month 13.
How much liquid capital or net worth do I need?
Ask the franchise development team for its current requirements. Lenders will want to see an equity injection plus reserves, and the FDD’s 12-month additional funds estimate shows why liquidity matters.
Is Monster Tree Service eligible for SBA loans?
Yes. The brand is listed on the SBA Franchise Directory with code S1128 and no special notes, so qualified buyers can apply for an SBA-backed Monster Tree Service franchise loan, subject to lender approval.
Does Monster Tree Service offer financing?
Item 10 says the franchisor may finance up to 75% of the franchise fee and any additional dwelling-unit fee in monthly installments. Other costs need outside financing or your own cash.
Can I finance the equipment separately?
Yes. The FDD assumes the trucks and equipment are financed, and equipment loans are typically secured by the assets themselves.
Can I own more than one territory?
Yes. A second territory costs $40,000 and a third $35,000, and existing franchisees receive 30% off additional territories.
How long is the franchise agreement?
Item 17 of the current FDD sets the term and renewal conditions, and the renewal fee is $5,000. Lenders compare the remaining term with the loan term.
Can I buy an existing Monster Tree Service territory?
Yes, with franchisor approval. The transfer fee is generally $10,000, and lenders can underwrite the territory’s actual results and equipment.
Does the FDD include financial performance information?
Check Item 19 of the current FDD to see whether it includes financial performance representations and what they cover.
Final Thoughts
A Monster Tree Service franchise is as much an equipment business as a service business. The fleet, insurance, minimum royalty and a year of crew payroll decide how much financing you need and how to structure it, so plan the equipment debt and working capital together.
US Professional Funding helps franchise owners and buyers finance start-ups, acquisitions, equipment and working capital. Learn more about our franchise financing programs and our wider service contractor financing solutions.
