What is the definition of 'Transfer Fee' for a Benjamin Franklin Plumbing franchise?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
tation, and credit rating; and aptitude and ability to operate the Franchised Business. If the proposed transferee is already a franchisee of the Brand, that fact does not guarantee approval to become the operator of the Franchised Business. We have no less discretion with respect to a proposed transferee than we have with granting a new franchise.
- (b) At our optio
Source: Item 23 — RECEIPTS (FDD pages 88–312)
What This Means (2025 FDD)
According to the 2025 Benjamin Franklin Plumbing Franchise Disclosure Document, a franchisee must pay a $10,000 transfer fee to the franchisor when transferring their franchise. This fee is required as a condition of the transfer.
In addition to the $10,000 transfer fee, if a third party refers a potential buyer to either the franchisee or the franchisor and there is a referral arrangement in place, the franchisee or the buyer must pay an additional fee. This additional fee will be equal to the amount owed under the referral arrangement.
It's important to note that the transfer is also contingent on the proposed transferee meeting several requirements. The transferee must demonstrate that they meet the current qualifications to become a Benjamin Franklin Plumbing franchisee. They may also need to sign the then-current standard form of the Franchise Agreement, which could include new or increased fees. The transferee may also need to complete the current training requirements and make arrangements to modernize the Franchised Business to comply with the Brand Standards.