Under what circumstances does Management Recruiters waive the transfer fee?
Management_Recruiters Franchise · 2024 FDDAnswer from 2024 FDD Document
| Transfer Fee | $5,000. | At time of Transfer | We don't charge a fee for transfer to corporations, partnerships or companies formed by you for the convenience of ownership or for transfers made to your Family Members. |
Source: Item 6 — OTHER FEES (FDD pages 16–23)
What This Means (2024 FDD)
According to Management Recruiters' 2024 Franchise Disclosure Document, the standard transfer fee is $5,000. However, Management Recruiters does not charge a transfer fee under specific circumstances.
Specifically, the transfer fee is waived for transfers to corporations, partnerships, or companies formed by the franchisee for ownership convenience. This provides flexibility for franchisees who wish to structure their business under different legal entities without incurring additional costs. This waiver simplifies internal restructuring for estate planning or liability purposes.
Additionally, Management Recruiters waives the transfer fee for transfers made to the franchisee's Family Members. This facilitates succession planning within the family, allowing the business to stay within the franchisee's family without incurring the $5,000 fee. This can be a significant benefit for franchisees looking to pass their business on to the next generation.