What application and certification requirements must each person satisfy when requesting consent for a transfer of a Cream franchise?

According to Cream's 2025 Franchise Disclosure Document, if a franchisee wants to transfer their franchise, the transferee and their owners must meet certain application and certification requirements. Specifically, the franchisee must submit a written application requesting Cream's consent. This application must include all information and documents Cream requests about the transferee and their owners. This information is used to evaluate the transferee's ability to fulfill the obligations under Cream's then-current franchise agreement and any related documents.

Each person involved in the transfer, including the transferee and their owners, must complete and satisfy all of Cream's application and certification requirements. One critical criterion is that neither the transferee, its owners (if the transferee is an entity), nor their affiliates can have an ownership interest in or perform services for a competitive business. This ensures that the transferee is fully committed to the Cream franchise and does not have conflicting business interests.

In addition to these application and certification requirements, both the current franchisee and the transferee must meet other conditions for the transfer to be approved. These include resolving any violations of the franchise agreement, providing all necessary transfer documents, and ensuring that the transfer terms do not adversely affect the operation of the shop. Both parties must also sign all required documents, including releases of claims and covenants to satisfy post-termination obligations. These comprehensive requirements aim to protect Cream's brand and ensure the continued success of the franchise under new ownership.