For how long can Fitstop extend the completion date of a transfer?

According to Fitstop's 2024 Franchise Disclosure Document, if Fitstop elects to exercise, or to assign under payment guarantee, the Right of First Refusal, the completion date of the transfer can be extended at Fitstop's option for up to an additional 30 calendar days.

This means that if Fitstop decides it wants to either take over the franchise itself or assign its right to purchase the franchise to another party under a payment guarantee, it has the ability to push back the closing date by up to a month. This gives Fitstop additional time to arrange financing, conduct due diligence, or find a suitable assignee.

For a franchisee looking to transfer their Fitstop location, this clause introduces a degree of uncertainty. While it allows Fitstop flexibility, it could delay the franchisee's exit and potentially impact their plans. Franchisees should factor this potential delay into their timelines when planning a transfer.