For Aira Fitness, is a gift of the business considered a transfer?
Aira_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
Any sale (including installment sale), lease, pledge, management agreement, contract for deed, option agreement, assignment, bequest, gift or otherwise, or any arrangement pursuant to which you turn over all or part of the daily operation of the business to a person or entity who shares in the losses or profits of the business in a manner other than as an employee will be considered a transfer for purposes of this Agreement.
Source: Item 23 — **RECEIPTS (FDD pages 59–254)
What This Means (2025 FDD)
According to Aira Fitness's 2025 Franchise Disclosure Document, a gift of the business is considered a transfer. Specifically, Item 23 details the conditions under which a franchisee can transfer their interest in the Aira Fitness business.
The FDD states that any transfer or assignment of the franchisee's interest in the Agreement, the Aira Fitness Business, or its assets requires Aira Fitness's prior written consent. This includes various scenarios such as a sale, lease, pledge, or any arrangement that involves turning over the business's daily operation to another party who shares in the profits or losses, excluding employees.
Specifically, the document explicitly lists a "gift" as one of the events that constitutes a transfer. Therefore, gifting the Aira Fitness business is subject to the transfer conditions outlined in Section 12, including the right of first refusal for Aira Fitness, consent requirements, and potential transfer fees.