Is a new initial franchise fee required for a transfer of a Basecamp Fitness franchise?
Basecamp_Fitness Franchise · 2025 FDDAnswer from 2025 FDD Document
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- the proposed transferee enters into a new franchise agreement with us, on the terms we then generally offer to new franchisees (including fees payable and size of territory); provided, however, that no new initial franchise fee will be required to be paid, and further provided that the term of that franchise agreement, unless otherwise agreed, will be the remaining term of your franchise agreement;
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Basecamp Fitness's 2025 Franchise Disclosure Document, a new initial franchise fee is not required when transferring a franchise. However, several conditions must be met for the transfer to proceed.
The proposed transferee must meet all the requirements of a new Basecamp Fitness franchisee, including demonstrating good reputation, character, business experience, financial strength, credit rating, and liquidity. Basecamp Fitness must also be satisfied that the sale price is not excessive. The original franchisee must sign a written agreement to observe all post-term obligations and covenants, releasing Basecamp Fitness from any claims.
Furthermore, the proposed transferee must enter into a new franchise agreement with Basecamp Fitness based on the terms then generally offered to new franchisees, but without paying a new initial franchise fee. The term of the new franchise agreement will be the remaining term of the original agreement, unless otherwise agreed. The transferee must also agree in writing to perform any necessary maintenance, remodeling, or re-equipping of the Basecamp Studio to meet the current standards of Basecamp Fitness, including updates to technology and security equipment.