How is the transfer fee for Crawlspace Medic calculated?

According to Crawlspace Medic's 2024 Franchise Disclosure Document, the transfer fee is calculated based on the type of transfer. The standard transfer fee is sixty percent (60%) of the then-current franchise fee if the transfer is to an individual or entity new to the Crawlspace Medic brand. If the transfer is to an existing owner within the Crawlspace Medic system, the transfer fee is reduced to forty percent (40%) of the then-current franchise fee.

There are also some exceptions to the standard transfer fee. A transfer between existing owners or the addition of a new shareholder that does not change the majority ownership incurs a transfer fee of $1,500. Furthermore, no transfer fee is charged for a transfer to a spouse, parent, or child upon the death or permanent disability of the current Crawlspace Medic franchisee.

It is important to note that these transfer fee arrangements are contingent upon meeting other conditions for franchisor approval of a transfer, such as Crawlspace Medic not exercising its right of first refusal, the transferee meeting the then-current standards for franchisees, the transferee signing the current Franchise Agreement, completing the Initial Training Program, all outstanding amounts being paid, and both parties signing a General Release. The franchisee must also subordinate any claims against the transferee to Crawlspace Medic and indemnify Crawlspace Medic for three years following the transfer.