What reports and statements must be submitted to 7 Brew to complete a franchise transfer?
7_Brew Franchise · 2025 FDDAnswer from 2025 FDD Document
- b. on both the date you send us the transfer request and the transfer's proposed effective date, you have paid all required Royalties, Brand Fund contributions, Tech Fees, and other amounts owed to us and our affiliates relating to this Agreement and the Store, have submitted all required reports and statements, and are not in breach of any provision of this Agreement or another agreement with us or our affiliates relating to the Store;
Source: Item 22 — CONTRACTS (FDD pages 82–83)
What This Means (2025 FDD)
According to 7 Brew's 2025 Franchise Disclosure Document, a franchisee looking to transfer their franchise must have submitted all required reports and statements to 7 Brew on both the date they send the transfer request and the proposed effective date of the transfer. Additionally, all required Royalties, Brand Fund contributions, Tech Fees, and other amounts owed to 7 Brew and its affiliates must be paid.
This requirement ensures that the 7 Brew franchise is in good standing financially and administratively before a transfer is approved. The prospective franchisee must also not be in breach of any provision of the Franchise Agreement or another agreement with 7 Brew or its affiliates relating to the store.
This stipulation is fairly standard in franchising, as franchisors want to ensure a smooth transition and maintain brand consistency. A prospective 7 Brew franchisee should maintain meticulous records of all submissions and payments to ensure compliance with these requirements, which will facilitate a smoother transfer process should they decide to sell the franchise in the future.