What is the minimum transfer fee for a Card My Yard franchise?

According to Card My Yard's 2025 Franchise Disclosure Document, a franchisee seeking to transfer their business must pay a transfer fee. The minimum transfer fee is the greater of $3,000, or 5% of the sale/transfer price. This fee applies when a franchisee sells their existing Card My Yard business to a new owner.

This transfer fee is designed to compensate Card My Yard for the administrative and legal costs associated with approving the transfer and ensuring the new franchisee meets their standards. The fee structure, using the greater of a fixed amount or a percentage of the sale price, is a common approach in franchising. This ensures Card My Yard receives a fair fee regardless of the business's valuation.

It's important to note that the transfer process involves several other conditions. The transferee must meet Card My Yard's qualifications, complete required training, and often renovate the business to meet current standards. Additionally, both the transferor and transferee must sign agreements and releases to protect Card My Yard's interests. Failing to follow the transfer process can lead to termination fees and franchise termination.

For a transfer to a corporation or other entity wholly owned by the franchisee solely for ownership convenience, the transfer fee is limited to Card My Yard's reasonable out-of-pocket costs and expenses, including legal and accounting fees. This is a notable exception that can significantly reduce the transfer costs in specific circumstances.