When will the purchase price be paid at the closing of the All County business purchase?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
- 23.6.6. Closing. The purchase price will be paid at the closing of the purchase, which will take place not later than ninety (90) days after determination of the purchase price.
We have the right to set off against the purchase price, and thereby reduce the purchase price by, any and all amounts you or your owners owe to us.
23.6.7. Instruments. At the closing, you agree to deliver instruments transferring:
23.6.7.1. good and merchantable title to the assets purchased, free and clear of all liens and encumbrances (other than liens and security interests acceptable to us), with all sales and other transfer taxes paid by you; and
23.6.7.2. all licenses and permits of the Business which may be assigned or transferred; and
23.6.7.3. the leasehold interest in the Location and improvements thereon.
Source: Item 23 — Receipts (FDD pages 43–157)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, the purchase price for the business will be paid at the closing of the purchase. The closing will occur no later than ninety (90) days after the determination of the purchase price.
All County retains the right to offset any amounts owed to them by the franchisee or their owners against the purchase price, effectively reducing the amount paid at closing. At the closing, the franchisee must deliver instruments transferring good and merchantable title to the assets purchased, free of liens (unless acceptable to All County), and pay all sales and transfer taxes. Additionally, the franchisee must transfer all assignable or transferable licenses and permits of the business, as well as the leasehold interest in the location and improvements.
This clause ensures that All County receives payment for the business within a defined timeframe after the purchase price is established. It also protects All County's interests by allowing them to deduct any outstanding debts from the purchase price and ensuring a smooth transfer of assets, licenses, and leasehold interests. For a prospective franchisee, this means being prepared to finalize the financial transaction and transfer all necessary documentation within the specified timeframe to ensure a smooth closing process.