What is the Bath Tune Up transfer fee if selling to an existing franchisee?
Bath_Tune_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE 1 | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| Fees on Transfer3 | If selling to a new franchisee, greater of $24,950 or 6% of sale price up to a maximum of $50,000. If selling to an existing franchisee, $5,000 transfer fee per territory. | Before transfer | Payable when you sell your franchise. No charge if your franchise is assigned to a corporation or similar entity that you control. |
Source: Item 6 — OTHER FEES (FDD pages 15–19)
What This Means (2025 FDD)
According to Bath Tune Up's 2025 Franchise Disclosure Document, the transfer fee varies depending on who you are selling the franchise to. If a Bath Tune Up franchisee sells their franchise to another existing franchisee, the transfer fee is $5,000 per territory. This fee is payable before the transfer takes place.
This means that if a franchisee owns multiple territories and sells them to another existing franchisee, the transfer fee will be $5,000 for each territory being transferred. For example, if a franchisee sells three territories to an existing franchisee, the total transfer fee would be $15,000.
It is important to note that there is no transfer fee if the franchise is assigned to a corporation or similar entity that the franchisee controls. This provides an exception for franchisees who may want to transfer the franchise to a business entity they own for legal or tax purposes. Prospective franchisees should carefully consider these transfer fee implications as part of their long-term business planning.