What action is required from a Beehive Homes franchisee if they want to transfer their franchise?
Beehive_Homes Franchise · 2025 FDDAnswer from 2025 FDD Document
YOU may not transfer YOUR franchise without OUR prior written consent. If WE consent to a transfer of the franchise by YOU, a fee of $2,500.00 for certain Permitted Transfers or $15,000.00 for certain approved transfers must be paid, by either YOU or the approved transferee to reimburse US for OUR reasonable legal, accounting, credit or other investigation expenses. This transfer fee is nonrefundable and is payable at the time of the approved transfer. If WE arrange the transferee for YOU, YOU must pay US a nonrefundable commission equal to six percent (6%) of the gross transfer price, in addition to the transfer fee. For certain Unauthorized Transfers, YOU will pay US a transfer fee equal to 10 times the amount of Franchise Fees paid for the highest 12 of the 18 months preceding the transfer.
Source: Item 6 — OTHER FEES (FDD pages 11–13)
What This Means (2025 FDD)
According to Beehive Homes' 2025 Franchise Disclosure Document, a franchisee cannot transfer their franchise without first obtaining written consent from Beehive Homes. If Beehive Homes approves the transfer, the franchisee must pay a transfer fee. The amount of the transfer fee is either $2,500.00 for certain permitted transfers or $15,000.00 for other approved transfers. This fee is to reimburse Beehive Homes for expenses related to the transfer, such as legal, accounting, and credit investigation costs. The franchisee or the transferee is responsible for paying this nonrefundable fee at the time of the transfer.
In the event that Beehive Homes arranges the transfer for the franchisee, the franchisee is obligated to pay Beehive Homes a nonrefundable commission equal to six percent (6%) of the gross transfer price, in addition to the transfer fee. For unauthorized transfers, the franchisee will pay Beehive Homes a transfer fee equal to 10 times the amount of Franchise Fees paid for the highest 12 of the 18 months preceding the transfer.
The table in Item 6 of the 2025 FDD provides a summary of the transfer fee amounts, clarifying that the standard transfer fee is either $2,500 or $15,000, payable at the time of transfer to Beehive Homes. It also specifies an additional transfer fee, calculated as 10 times the calculated annual franchise royalties, also payable at the time of transfer to Beehive Homes. Finally, if Beehive Homes arranges the transfer, a transfer commission of 6% of the total price is due to Beehive Homes at the time of transfer.