What must a new franchisee do to qualify for a transfer of a C12 Group franchise?
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 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION (FDD pages 36–40)
What This Means (2025 FDD)
According to the 2025 C12 Group Franchise Disclosure Document, a transfer of a C12 Group franchise requires approval from the Franchisor. A transfer is defined as when more than 50% of the equity ownership is sold or transferred to a third party.
A sale or transfer of a C12 Group franchise will require the franchisee and/or the transferee to execute the franchisor's current form of franchise agreement, which may have terms that differ from the original agreement. C12 Group may require an evaluation of the successor or transferee qualifications, a viable business plan, the transferee's completion of New Chair Training, and payment of a $6,000 transfer fee. If the transferee is not an existing C12 Group franchisee, they must also pay a training fee to C12 Group.
The transfer is only approved once the transferee is qualified by C12 Group, the $6,000 transfer fee is paid, all outstanding amounts owed by the franchisee are paid, the franchisee executes a general release of C12 Group, and a new franchise agreement is signed if more than 50% of the business is transferred. These conditions ensure that the new franchisee is well-prepared and financially stable, and that C12 Group's interests are protected.