When is the transfer fee due for a Bor Restoration franchise transfer?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
"Transfer Fee" is 50% of the then-current IFF charged to new franchisees. If we are not offering franchises at that time, the Transfer Fee will be 50% of the IFF you paid.
1.2 Grant of Franchise
- d.
If a Proposed Transfer is only among existing natural-person franchisees, existing shareholders, equity holders, or members of a corporate or limited liability company franchisee, or among existing partners of a partnership franchisee, and if there is no Change of Control, then there will be no Transfer Fee, and we will not be entitled to exercise our "Right of First Refusal" which is described below.
We may require the Transferee to sign a guaranty if they have not already done so.
All other conditions to the approval of a Proposed Transfer will, however, apply.
Source: Item 23 — Receipts (FDD pages 40–202)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, the transfer fee is due when transferring a franchise. The transfer fee is 50% of the then-current Initial Franchise Fee (IFF) charged to new franchisees. If Bor Restoration is not offering franchises at that time, the transfer fee will be 50% of the IFF the franchisee paid.
However, if the transfer is only among existing natural-person franchisees, existing shareholders, equity holders, or members of a corporate or limited liability company franchisee, or among existing partners of a partnership franchisee, and if there is no Change of Control, then there will be no Transfer Fee.
It is important to note that all other conditions to the approval of a Proposed Transfer will, however, apply.