Is a training fee required for a transferee of a C12 Group franchise, and under what conditions?
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, a training fee is required for a transferee under specific conditions. If the transferee acquiring the entire C12 Group Franchised Business is not already an existing C12 Group franchisee, they must pay a training fee to C12 Group.
In addition to the training fee, C12 Group may also condition its consent to the transfer based on an evaluation of the transferee's qualifications, the viability of their business plan (including recognition of franchise purchase terms), and the transferee's successful completion of New Chair Training. A transfer fee of $6,000 is also required.
The transfer is only considered approved after C12 Group deems the transferee qualified to serve, the $6,000 transfer fee has been paid, all outstanding amounts owed by the current franchisee to C12 Group have been paid in full, the current franchisee executes a general release of C12 Group, and a new franchise agreement has been signed with the transferee if more than 50% of the Franchised Business is transferred.
This means that prospective transferees who are not already part of the C12 Group system should be prepared to cover training costs, in addition to meeting other qualifications and financial obligations, to ensure a smooth transfer process. Existing franchisees looking to transfer their business need to ensure all financial obligations are met and that the transferee is fully qualified and approved by C12 Group.