What financial obligations must be satisfied before a Goldfish Swim School franchisee can transfer their franchise?
Goldfish_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
If Franchisee is in compliance with this Agreement, Franchisor's consent to such transfer shall be conditioned upon the satisfaction of the following requirements:
18.2.1 Franchisee has complied with the requirements set forth in Section 19;
18.2.2 all obligations owed to Franchisor, and all other outstanding obligations relating to the Franchised Swim School, are fully paid and satisfied;
18.2.8 Franchisee, or the transferee, has paid to Franchisor a transfer fee in an amount equal to two thousand five hundred dollars ($2,500) if the transferee is already part of the System and fifty percent (50%) of the then-existing initial franchise fee for new franchisees if the transferee is new to the System;
Source: Item 23 — RECEIPTS (FDD pages 77–389)
What This Means (2025 FDD)
According to Goldfish Swim School's 2025 Franchise Disclosure Document, a franchisee must meet specific financial obligations before transferring their franchise to a third party. The franchisee must ensure that all outstanding financial obligations to Goldfish Swim School, as well as any other debts related to the swim school, are fully paid and satisfied.
In addition to settling outstanding debts, the franchisee, or the prospective transferee, is required to pay a transfer fee to Goldfish Swim School. The amount of this fee depends on whether the transferee is already part of the Goldfish Swim School system. If the transferee is an existing franchisee, the transfer fee is $2,500. However, if the transferee is new to the Goldfish Swim School system, the transfer fee is 50% of the then-current initial franchise fee for new franchisees.
These financial requirements ensure that Goldfish Swim School maintains financial stability and that new franchisees are properly vetted and committed to the brand. Prospective franchisees should be aware of these costs and obligations when considering the purchase of an existing Goldfish Swim School franchise.