Must a transfer of ownership of the All County business be made in conjunction with a transfer of the agreement?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
A transfer of ownership, possession or control of the Business may be made only in conjunction with a transfer of this Agreement.
Source: Item 23 — Receipts (FDD pages 43–157)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, a transfer of ownership, possession, or control of the business can only occur alongside a transfer of the Franchise Agreement. This means that if a franchisee decides to sell their All County business, the transfer of the business's ownership must be accompanied by a formal transfer of the existing franchise agreement to the new owner.
All County requires that several conditions must be met before or during the transfer. The potential new franchisee must have the appropriate moral character, skills, experience, and financial capacity to manage the business. The current franchisee needs to have paid all outstanding royalties, advertising fees, and other debts to All County and third-party creditors, as well as submitted all required reports. The new franchisee's managing owner must also complete All County's training program to their satisfaction before the transfer can be finalized.
Furthermore, the new franchisee must agree to adhere to all the terms and conditions of the existing franchise agreement for the remainder of its term. However, All County has the option to require the new franchisee to sign their then-current standard franchise agreement, which may include different terms such as royalties, advertising contributions, duration, and other obligations. This ensures that All County maintains control over who becomes a franchisee and that the new franchisee meets their standards.
If the remaining term of the agreement is two years or less, the current franchisee must inform the potential new franchisee that they may need to execute All County's current standard franchise agreement as a condition of the transfer. This provision protects All County's interests and ensures that the franchise continues to operate under current standards, even with a change in ownership.