Is C12 Group's approval required for franchise transfers?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
| then you do not pay or otherwise reimburse C12 for its cost of sending a representative. | |||
|---|---|---|---|
| Member Registration | Currently: CEO - $550 Key Players - $330 | Upon sign-up | Enrolls member and provides start-up kit. See Item 12 of this FDD for definitions of CEO and Key Player membership. This is amount due to C12, franchisee may charge more to the new member. |
| Transfer Fee | $6,000 | On date of transfer | Transfers of franchises ar |
Source: Item 6 — OTHER FEES (FDD pages 12–17)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, franchise transfers are subject to the company's prior approval. This means that if a franchisee wishes to sell or transfer their franchise to another party, they must first obtain permission from C12 Group. This approval process allows C12 Group to ensure that the new franchisee meets their standards and is capable of successfully operating the business.
In addition to requiring prior approval, C12 Group also charges a transfer fee of $6,000. This fee is due on the date of the transfer. The transfer fee likely covers the costs associated with reviewing the potential new franchisee, updating records, and providing any necessary training or support to the new owner.
The requirement for prior approval and the associated transfer fee are common practices in franchising. They protect the integrity of the C12 Group brand and ensure that all franchisees meet certain standards. Prospective franchisees should understand these requirements and factor the transfer fee into their financial planning if they anticipate selling their franchise in the future.