What happens if there are existing deficiencies with the Dermani Medspa franchise before a transfer?
Dermani_Medspa Franchise · 2025 FDDAnswer from 2025 FDD Document
- (c) (i) You have corrected any existing deficiencies of the Franchised Business of which we have notified you in writing or by electronic communications, and/or (ii) the transferee agrees to upgrade and refurbish the Franchised Business in accordance with our then current requirements and specifications for Franchised Businesses and Medspas within the time period we specify following the effective date of the transfer (we will advise the transferee before the effective date of the transfer of the specific actions that it must take and the time period within which such actions must be taken);
Source: Item 23 — RECEIPTS (FDD pages 66–311)
What This Means (2025 FDD)
According to Dermani Medspa's 2025 Franchise Disclosure Document, if there are existing deficiencies with the franchised business before a transfer can occur, the franchisee must correct these deficiencies if Dermani Medspa has notified them in writing or via electronic communication.
Alternatively, instead of the seller correcting the deficiencies, the transferee can agree to upgrade and refurbish the Dermani Medspa franchise to meet the then-current requirements and specifications. Dermani Medspa will inform the transferee of the specific actions required and the timeframe for completion before the transfer's effective date.
This condition ensures that the Dermani Medspa brand maintains its standards even when ownership changes. It protects the integrity of the franchise system and ensures that new owners are committed to upholding brand standards. This requirement is fairly standard in franchising, as franchisors want to ensure consistency across all locations, regardless of ownership.