If Franchise Agreements are transferred, are additional transfer fees due to Face Foundrie?
Face_Foundrie Franchise · 2025 FDDAnswer from 2025 FDD Document
Additionally, for any Franchise Agreements executed pursuant to this Agreement that are transferred, the transfer fee due under such Franchise Agreement(s) shall be paid to Franchisor pursuant to the terms of such Franchise Agreement(s).
Source: Item 23 — RECEIPTS (FDD pages 74–257)
What This Means (2025 FDD)
According to Face Foundrie's 2025 Franchise Disclosure Document, if a franchisee transfers any Franchise Agreements executed under the Area Development Agreement, a transfer fee will be due to Face Foundrie. The amount of the transfer fee will be determined by the terms of the Franchise Agreement itself.
For a prospective Face Foundrie franchisee, this means that if they decide to sell their franchise, they should expect to pay a transfer fee to Face Foundrie. The specific amount and terms of this fee will be detailed in the Franchise Agreement. It is important to carefully review the Franchise Agreement to understand the financial implications of transferring ownership.
It is typical in franchising for transfer fees to be charged to cover the franchisor's costs associated with approving the transfer and training the new franchisee. Franchisees should factor in this potential cost when considering selling their Face Foundrie franchise.