Under what condition is there no transfer fee charged by Exit?

According to Exit's 2025 Franchise Disclosure Document, a transfer fee is not charged if a franchise is transferred from one person to an entity controlled by the same person. This means that if the ownership of the Exit franchise remains essentially with the same individual, even if the legal structure changes (e.g., from an individual to a corporation they control), Exit will not impose a transfer fee.

This provision can be beneficial for franchisees who wish to incorporate their business for liability or tax purposes without incurring additional fees. It allows for flexibility in structuring the ownership of the franchise without penalty, as long as the ultimate control remains with the original franchisee.

It is important for prospective franchisees to understand this condition fully, as other types of transfers, such as selling the franchise to a new owner or transferring a significant portion of the ownership to a different party, will likely incur a transfer fee. The FDD outlines other transfer fee scenarios, such as a "Minor Transfer" of less than 50% interest, which incurs a $500 fee, and a "Major Transfer" of 50% or more interest, which incurs a fee equal to 10% of the then-current Initial Fee (not to exceed 25% of the Initial Franchise Fee paid).