What is the Transfer Fee for City Wide franchises?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
s eligible for a Royalty Rebate, based upon the criteria set forth in the Royalty Rebate Program, Franchisee and the transferee shall split the Royalty Rebate on a pro rata basis based upon the number of months each owned the Franchise Business. For purposes of calculating the Gross Sales, the aggregate of the Gross Sales of Franchisee before the Transfer will be added to the Gross Sales generated by the transferee after the Transfer. If eligible, the Royalty Rebate will be paid as stated herein and in the Operating Manual.
- 13.5 Transfer Fee. In the event CITY WIDE approves a Transfer, Franchisee shall pay to CITY WIDE a transfer fee ("Transfer Fee") which is equal to Twenty Five Thou
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, a franchisee must pay a Transfer Fee of $25,000 to City Wide if they transfer their franchise. This fee is in addition to any Initial Franchise Fee that may be due under the current franchise agreement. The franchisee may also need to pay any applicable third-party broker fees.
However, the Transfer Fee terms and conditions do not apply if the transfer is to or among current owners, their spouses or domestic partners, or children, provided that the transfer does not result in a loss of control as defined in Section 13.3 of the franchise agreement.
Before any transfer is finalized, the franchisee must also settle all outstanding payments and resolve any breaches of the franchise agreement or any other agreements with City Wide. Additionally, the franchisee must provide City Wide with a general release of all claims against City Wide and its affiliates. The prospective transferee must also complete the initial training required of new City Wide franchisees and pay any associated fees.