If my Hydrodog business participates in a conversion due to a merger or acquisition of Hydrodog, will I be reimbursed for costs?

According to Hydrodog's 2025 Franchise Disclosure Document, if Hydrodog merges with or is acquired by another entity, and your Hydrodog business participates in a conversion as a result, you may be eligible for reimbursement of reasonable costs. Specifically, the FDD states that the person or entity merging with or acquiring Hydrodog must reimburse you for reasonable costs directly related to the conversion.

This is a potentially significant benefit for Hydrodog franchisees. Mergers and acquisitions can lead to changes in business operations, branding, or systems, which can require franchisees to invest in updates or modifications to their businesses. The reimbursement provision helps to offset these costs, reducing the financial burden on the franchisee during a transition period. However, the reimbursement is limited to "reasonable costs directly related to the conversion," which means franchisees should carefully document all expenses and ensure they are directly attributable to the conversion process.

It is important for prospective Hydrodog franchisees to understand the scope and limitations of this reimbursement provision. While the FDD specifies that reimbursement will occur, it does not define what constitutes "reasonable costs" or provide a specific process for claiming reimbursement. Franchisees should seek clarification from Hydrodog regarding the types of expenses that are eligible for reimbursement, the documentation required to support a claim, and the timeline for receiving reimbursement. Understanding these details will help franchisees prepare for potential conversions and protect their financial interests.