What current requirements must an assignee meet to be approved for an Alloy franchise transfer?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
We condition our consent to any proposed transfer, whether to an individual, a corporation, a partnership or any other entity upon the following:
Assignee Requirements.
The assignee must meet all of our then-current requirements for our ALLOY franchise program we are offering at the time of the proposed transfer and sign our then-current form of franchise agreement modified to reflect the term remaining under this Agreement.
Payment of Amounts Owed.
All amounts owed by you to us, or any of our affiliates, your suppliers or any landlord for the Facility premises and Facility, or upon which we or any of our affiliates have any contingent liability must be paid in full.
Reports.
You must have provided all required reports to us in accordance with subparagraphs 9.H and I.
Modernization.
You must have complied with the provisions of subparagraph 5.E.
Source: Item 23 — RECEIPTS (FDD pages 69–245)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, if a franchisee wishes to transfer their franchise, the assignee must meet all of Alloy's then-current requirements for its franchise program at the time of the proposed transfer. Additionally, the assignee is required to sign Alloy's then-current form of franchise agreement, which will be modified to reflect the remaining term of the original agreement.
Alloy also requires that all outstanding amounts owed to them or their affiliates, suppliers, or the landlord for the facility premises be paid in full before the transfer can be approved. This includes any amounts for which Alloy or its affiliates have any contingent liability. The franchisee must also have submitted all required reports to Alloy as outlined in the franchise agreement.
Furthermore, the franchisee must have complied with the modernization provisions outlined in the agreement. These conditions ensure that the assignee is fully qualified and financially capable of operating the Alloy franchise, maintaining brand standards, and fulfilling all obligations to Alloy and related parties. This protects Alloy's interests and the integrity of the franchise system.