Does Chicken Guy require a transfer fee to be paid as a condition of transfer approval?

The 2025 Chicken Guy FDD does not explicitly state a transfer fee is required for franchise transfer approval. However, it does state that a transfer can be denied if the franchisee or proposed transferee has not paid all sums owed to Chicken Guy or has failed to correct any defaults in the franchise agreement at the time of the proposed transfer. This implies outstanding financial obligations or breaches of contract could prevent a transfer.

While a specific transfer fee isn't mentioned, prospective franchisees should be aware of this condition. It is common practice in franchising to have transfer fees to cover the franchisor's administrative costs and training of the new franchisee. The absence of a clearly stated transfer fee in this excerpt of the Chicken Guy FDD does not necessarily mean one does not exist, but rather that it is not disclosed in this particular section.

Therefore, it is crucial for potential Chicken Guy franchisees to carefully review the entire Franchise Agreement and related documents to fully understand all costs associated with transferring a franchise. They should also directly ask Chicken Guy about any transfer fees or other financial requirements for transfer approval to avoid surprises later on.