What is the meaning of 'good credit rating' in the context of an All Team franchise transferee?

According to All Team's 2025 Franchise Disclosure Document, a transferee must meet the established standards for new franchisees, be of good moral character, have a good credit rating, possess sufficient financial resources to operate the business, and have competent qualifications.

This means that if a franchisee wants to sell their All Team franchise to someone else, the potential buyer ('transferee') will be evaluated based on similar criteria as a brand new franchisee. All Team wants to ensure that anyone taking over an existing franchise is financially stable and responsible. A 'good credit rating' suggests that the transferee has a history of paying debts on time and managing credit responsibly, which reduces the risk for All Team that the transferee will default on financial obligations related to the franchise.

However, the FDD does not provide a specific definition of 'good credit rating.' It does not state the minimum credit score required or the specific credit history All Team considers acceptable. Therefore, it is important for a prospective transferee to discuss this in detail with All Team to understand their specific requirements and standards for creditworthiness. This will help avoid any surprises or potential roadblocks during the transfer approval process.