Is the transferee required to complete the Devon Creek Initial Training Program?

According to Devon Creek's 2024 Franchise Disclosure Document, a transferee—someone to whom a franchise is being transferred—must agree to complete Devon Creek's Initial Training Program to the franchisor's satisfaction as a condition of the transfer. This requirement is in place to ensure that the new operator of the franchise is properly trained and capable of maintaining the standards and practices of the Devon Creek system.

This requirement is one of several conditions that must be met for Devon Creek to approve a transfer. Other conditions include that the proposed transferee and their principals must meet Devon Creek's standards for franchisees, possess sufficient business experience, aptitude, and financial resources, have paid all outstanding amounts to Devon Creek and third-party creditors, and execute Devon Creek's current standard Franchise Agreement. However, the transferee is not required to pay the initial franchise fee again.

For a prospective franchisee looking to sell their Devon Creek franchise in the future, this means they need to find a buyer who is not only financially capable but also willing to undergo the initial training program. This could potentially narrow the pool of eligible buyers. It also ensures that Devon Creek maintains a level of control over who operates its franchises, safeguarding brand consistency and service quality. The new agreement may contain different terms and conditions than the original agreement.