What is the Face Foundrie franchisee required to offer the franchisor when assigning their contract?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
| Provision | Section in Franchise Agreement | Summary the Facial Bar; and offer us the right to purchase the Facial Bar and/or assume interest in lease or sublease. | n. | Franchisor's right of first refusal to acquire franchisee's business | Section 13.05 | We can match any offer for the transfer of your business or any ownership interest. | o. | Franchisor's option to purchase franchisee's business | Section 16.03 | Upon expiration or termination of the Franchise Agreement, you must offer us the right to purchase the Facial Bar.
Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION OF THE FRANCHISE RELATIONSHIP (FDD pages 51–59)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, if a franchisee wishes to transfer their business, they must first offer Face Foundrie the right to purchase the Facial Bar. This is referred to as the franchisor's right of first refusal.
This condition allows Face Foundrie to maintain control over who operates a franchise within their system. By having the first option to buy the business, Face Foundrie can ensure that any new owner meets their standards and is a good fit for the brand.
This requirement is fairly standard in franchising. It is important for prospective Face Foundrie franchisees to understand that they cannot simply sell their business to anyone; Face Foundrie has the first option to acquire it themselves. This could potentially limit the franchisee's options when they decide to exit the business.