If a buyer does not meet Better Blend's standards, can a transfer still occur?
Better_Blend Franchise · 2024 FDDAnswer from 2024 FDD Document
| Provision | Section in franchise | Summary |
|---|---|---|
| m. Conditions for | FA: § 15.2 | Pay transfer fee; buyer meets our standards; |
| franchisor’s approval of | ||
| transfer |
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 34–38)
What This Means (2024 FDD)
According to Better Blend's 2024 Franchise Disclosure Document, a transfer of a franchise to a buyer who does not meet Better Blend's standards is not allowed. The FDD states that as a condition for Better Blend's approval of a transfer, the buyer must meet their standards.
This requirement ensures that any new franchisee entering the Better Blend system is qualified and capable of maintaining the brand's standards for quality and service. It protects the overall reputation and success of the franchise network. A prospective franchisee looking to sell their franchise should keep this in mind, as finding a qualified buyer is crucial for obtaining approval from Better Blend.
In addition to meeting Better Blend's standards, the buyer must not be a competitor, must sign the then-current franchise agreement and related documents (including a personal guaranty), complete the training program, and the seller must make all payments to Better Blend and be in compliance with all contractual requirements. The business must also comply with then-current system specifications, including any required remodeling. The seller must also sign a general release, subject to state law.