What reports and statements must be submitted for a Hydrodog franchisee to transfer their business?

According to Hydrodog's 2025 Franchise Disclosure Document, a franchisee must submit all required reports and statements to transfer their business. This is one of several conditions that must be met for Hydrodog to approve the transfer of a franchise.

Other conditions include ensuring that all royalties, marketing fund fees, and amounts owed to Hydrodog or third-party creditors are paid. The franchisee must also ensure the transferee completes Hydrodog's standard training program and agrees to be bound by the terms of the lease or enter into a new lease. The transferee must sign the then-current franchise agreement. A transfer fee of $20,000 per territory sold must be paid to Hydrodog, subject to state law, along with any applicable commissions to third-party brokers.

Furthermore, the franchisee must execute a general release of claims against Hydrodog and its affiliates. Hydrodog must approve the material terms of the transfer, ensuring the price and payment terms do not adversely affect the transferee's operation. If the franchisee finances any part of the sale, these obligations must be subordinate to the transferee's obligations to Hydrodog. Finally, the franchisee must execute a non-competition covenant in favor of Hydrodog and the transferee, agreeing to be bound by post-term competitive restrictions.