When is the transfer fee for Carbones Pizzeria payable?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
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| (Column 1) Type of Fee1 | (Column 2) Amount | (Column 3) Due Date | (Column 4) Remarks |
|---|---|---|---|
| Transfer | $5,000 | Prior to consummation of transfer | Payable when you sell your franchise or your business entity or a majority interest in said entity. No charge if franchise transferred to a corporati |
Source: Item 6 — OTHER FEES (FDD pages 8–10)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, the transfer fee is due prior to the consummation of the transfer. The transfer fee is $5,000. This fee is payable when a franchisee sells their franchise, their business entity, or a majority interest in that entity.
However, the FDD specifies that there is no charge for the transfer of the franchise to a corporation that the franchisee solely owns. This provides an exception to the standard transfer fee under specific circumstances.
Franchise transfer fees are common in the franchise industry. They typically cover the franchisor's administrative costs and the costs associated with training and onboarding a new franchisee. The fee amount can vary widely depending on the brand and the complexity of the transfer process.