What is the Dermani Medspa policy regarding a transferee's involvement in a competitive business?

According to Dermani Medspa's 2025 Franchise Disclosure Document, a transferee seeking to acquire a Dermani Medspa franchise cannot have an ownership interest in or perform services for a competitive business. Specifically, neither the transferee nor its owners (if the transferee is an entity) or affiliates can have a direct or indirect ownership interest in, or perform services for, a Competitive Business.

This condition is part of the requirements that must be met before or concurrently with the effective date of the transfer. Dermani Medspa must approve the transferee, ensuring they meet the standards for new Dermani Medspa businesses and possess sufficient business experience, aptitude, and financial resources.

This policy ensures that new Dermani Medspa franchisees are fully committed to the brand and do not have conflicting interests that could harm the franchise system. It is a fairly standard practice in franchising to prevent franchisees from operating or being involved with competing businesses, as it protects the franchisor's confidential information and market position.