Under what conditions can an All County franchisee sell or transfer accounts or clients of the business?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
20.3.7. transferring any of the accounts or clients of the Business to anyone except to another ALL COUNTY® business that has been approved in writing by us or to us or our designees.
20.4. Conditions for Approval of Transfer. If you and all owners are in full compliance with this Agreement, we will approve a transfer that meets all of our applicable requirements and otherwise meets our applicable standards for ALL COUNTY® businessfranchisees.
A transfer of ownership, possession or control of the Business may be made only in conjunction with a transfer of this Agreement.
If the transfer is of this Agreement or a controlling interest in you, or is one of a series of transfers which in the aggregate constitute the transfer of this Agreement or a controlling interest in you, all of the following conditions must be met prior to or concurrently with the effective date of the transfer:
20.4.1. Abilities. The transferee and its direct and indirect owners have the moral character, skill, aptitude, attitude, experience, references, credentials, acumen and financial capacity to operate the Business.
20.4.2. Current Accounts. You have paid all Royalties, Ad Fees, amounts owed for purchases from us and all other amounts owed to us or to third party creditors and have submitted all required reports and statements.
20.4.3. Training. The transferee's Managing Owner has agreed to complete training to our satisfaction and does complete training to our satisfaction prior to closing.
20.4.4. Franchise Agreement. The transferee has agreed to be bound by all of the terms and conditions of this Agreement for the remainder of its Term or, at our option, must execute our then current standard form of franchise agreement and related documents used in the state in which your Business is located (which may provide for different royalties, advertising contributions and expenditures, duration and other rights and obligations than those provided in this Agreement).
In the event this Agreement is transferred to a third party transferee in accordance with the terms of this Agreement and the remaining Term of this Agreement is two (2) years or less, then you acknowledge that prior to any such transfer you must notify the proposed transferee in writing, with additional written notice to us, that as a required condition of the proposed transfer the transferee must be willing
Source: Item 23 — Receipts (FDD pages 43–157)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, an All County franchisee is restricted from transferring business accounts or clients to anyone, with a specific exception. The franchisee can transfer accounts or clients to another All County business, provided that All County provides written approval, or to All County itself, or to All County's designees. This restriction is in place to maintain brand consistency and control over customer relationships within the All County franchise system.
If a franchisee wishes to transfer ownership of the All County business, this may only occur in conjunction with a transfer of the Franchise Agreement. The document outlines several conditions that must be met for All County to approve such a transfer. These conditions include demonstrating that the prospective transferee has the necessary character, skills, experience, and financial capacity to operate the business. The franchisee must also be current on all payments owed to All County and third-party creditors, and all required reports and statements must be submitted. The transferee's Managing Owner must also complete training to All County's satisfaction.
Furthermore, the transferee must agree to be bound by the existing Franchise Agreement's terms for the remainder of its term or, at All County's discretion, execute the then-current standard franchise agreement. This new agreement may include different royalties, advertising contributions, duration, and other obligations. If the remaining term of the agreement is two years or less, the franchisee must inform the transferee that they may be required to execute All County's current standard franchise agreement as a condition of the transfer. These stipulations ensure that any transfer of the All County franchise maintains the standards and obligations set forth by the franchisor.