If the transferee acquiring the entire Franchised Business is not an existing C12 Group franchisee, what additional fee must they pay?
C12_Group Franchise · 2025 FDDAnswer from 2025 FDD Document
eree, as applicable, executing Franchisor's then-current form of franchise agreement, which may contain terms materially different than the Franchise Agreement. Franchisor may condition its consent to any transfer based on the evaluation of successor or transferee qualifications, business plan viability (including recognition of Franchise purchase terms), the transferee's successful completion of New Chair Training and payment of a $6,000 transfer fee. In addition, if the transferee acquiring the entire Franchised Business is not an existing C12 franchisee, they must pay Franchisor a training fee. The transfer is deemed approved only after the transferee has been deemed qualified to serve by Franchisor in its sole discretion, the transfer fee of $6,000 has been paid to Franchisor, all outstanding amounts owed by Franchisee to Franchisor have been paid in full, Franchisee (and its owners, if applicable) has executed a general re
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to C12 Group's 2025 Franchise Disclosure Document, if the transferee acquiring the entire Franchised Business is not an existing C12 Group franchisee, they must pay C12 Group a training fee. In addition to the training fee, the transferee must also pay a $6,000 transfer fee.
This means that a new franchisee coming into the C12 Group system through a transfer will need to budget for both a transfer fee and a training fee, on top of any purchase price they negotiate with the existing franchisee. The FDD does not specify the amount of the training fee, so prospective franchisees should inquire about the amount of this fee.
It is important to note that C12 Group's approval of the transfer is contingent upon the transferee being deemed qualified, payment of the $6,000 transfer fee, full payment of all outstanding amounts owed by the franchisee to C12 Group, execution of a general release of C12 Group by the franchisee, and the signing of a new franchise agreement if more than fifty percent (50%) of the Franchised Business is transferred.