Must the transferee demonstrate aptitude and ability to conduct the Crave business?

According to Crave's 2025 Franchise Disclosure Document, if a franchisee wishes to transfer their interest in the franchised business, the proposed transferee must demonstrate to Crave's reasonable satisfaction that they meet the criteria considered when reviewing a prospective franchisee's application. This includes demonstrating aptitude and ability to conduct the Crave business, which may be evidenced by prior related business experience or otherwise.

Crave evaluates several factors when reviewing a potential transferee. These factors include educational, managerial, and business standards, good moral character, business reputation and credit rating, financial resources and capital for operation of the business, and the geographic proximity and number of other Franchised Businesses owned or operated by the transferee.

This requirement ensures that any new operator of a Crave franchise has the skills and resources necessary to maintain the brand's standards and continue the business successfully. The transferee will also need to meet other conditions, such as satisfying all outstanding obligations, not being in default of any agreements, and executing a general release of claims against Crave. The transferee must also enter into a written agreement assuming all obligations of the original franchise agreement and potentially renovate the franchised business to meet current system standards.