Does the Transferee for a Closet Storage Concepts franchise execute a new Franchise Agreement?

According to the 2025 Closet Storage Concepts FDD, whether a transferee is required to execute a new Franchise Agreement is at the discretion of Closet Storage Concepts. The FDD states that the transferee "has executed Franchisor's then-current Franchise Agreement, at Franchisor's option".

This means that if you are looking to acquire an existing Closet Storage Concepts franchise, you may or may not be required to sign a new franchise agreement. This decision rests solely with Closet Storage Concepts. If a new agreement is required, it would be the then-current version, which may have different terms and conditions than the agreement the original franchisee signed.

It is important for a potential transferee to clarify this point with Closet Storage Concepts during the due diligence process. Understanding whether a new agreement is required, and reviewing its terms, is crucial for making an informed decision about acquiring the franchise. If a new agreement is required, the transfer may also be subject to the standard training and transfer fee requirements.