What is the deadline for completing the sale of the Bevaris Alliance franchise after the Asset Purchase Notice is received?
Bevaris_Alliance Franchise · 2024 FDDAnswer from 2024 FDD Document
- 16.7 Asset Purchase Notice. Within 20 Business Days of receipt (or deemed receipt) of an Asset Transfer Notice, the Franchisor shall be entitled (but not obliged) to give notice in writing to the Seller that it wishes to purchase the Franchisee's Business at the Proposed Asset Sale Price (Asset Purchase Notice), in which case the Franchisor is bound to buy and the Franchisee is bound to sell the Franchisee's Business at the Proposed Asset Sale Price, with such sale to complete within 20 Business Days of receipt (or deemed receipt) of the Asset Purchase Notice.
Source: Item 23 — RECEIPT (FDD pages 22–88)
What This Means (2024 FDD)
According to the 2024 Bevaris Alliance Franchise Disclosure Document, if the franchisor, Bevaris Alliance Franchise System, LLC, decides to purchase the franchisee's business after receiving an Asset Transfer Notice, the sale must be completed within a specific timeframe.
Specifically, after the franchisor issues an Asset Purchase Notice, which indicates their intent to buy the franchisee's business at the proposed asset sale price, the sale must be completed within 20 business days of the franchisee's receipt (or deemed receipt) of the Asset Purchase Notice. This means the franchisee has a little less than a month to finalize the transfer of their business to Bevaris Alliance once the notice is received.
This clause ensures a relatively quick transaction process if Bevaris Alliance decides to exercise its right to purchase the franchise. It provides a defined timeline for both parties to complete the sale, which can be beneficial for the franchisee by providing clarity and a faster resolution. However, franchisees should be prepared to act quickly to gather necessary documentation and finalize the sale within this 20-business-day window.